By Aidan Mortensen | KOAL News| Photo by Aidan Mortensen | KOAL News

A trio of Utah legislators have introduced a new bill that aims to block Natural Asset Companies from gaining stakes in Utah’s public lands. Senators Mike Lee, John Curtis, and Congressman Mike Kennedy are pushing the Natural Asset Company Prohibition Act, which the trio says would” prohibit Natural Asset Companies (NACs) and similar entities from entering into agreements that affect land, water, or natural resources within Utah’s borders.”

According to Utah State Treasurer Marlo Oaks, “Unlike other types of companies, the purpose of a NAC is to maximize the value of the land’s “ecological services,” rather than generate a profit from traditional activities. “Unsustainable extractive activities” including energy extraction and the use of farm machinery and synthetic fertilizers, would be prohibited on NAC-managed land.”

In 2023, the Securities and Exchange Commission proposed a rule that would have allowed NACs rights to ecological performance, allowing these companies to lease mineral, water and air rights on tribal and private lands. Following heavy pushback, the SEC rescinded this proposal.

“Wall Street shouldn’t be allowed to dictate what happens on Utah lands just to satisfy ESG mandates,” said Sen. Curtis. “Public lands are central to Utah’s way of life – supporting families, ranchers, recreation, energy production, and conservation. This bill ensures that investors from New York or foreign capitals don’t get to lock up Utah lands and cut off access to the people who depend on them.”

This bill comes at a time where public lands in Utah are at the forefront of many politicians’ attention. In August, the state launched a lawsuit in the Supreme Court against the federal government for ownership of 18.5 million acres of unappropriated land. However, the Supreme Court would reject this suit. This battle was supported by the Carbon County Commissioners, who passed a resolution supporting the lawsuit in an Oct. 3 meeting of the body.

The Emery County Commissioners have also taken similar action, passing a resolution opposing the placement of solar technology on state and federal lands within the county. “We’re a multiple-use county. Once solar is put on federal land, there’s only one use. It also affects the grazing for the farmers and ranchers. And so it’s a red flag for us. I think solar panels on private land are up to the private land owner. But on federal and state land, we have a heavy concern for that,” said Emery County Commissioner Jordan Leonard.

Sen. Lee arguably has the most influence of the three legislators pursuing the bill as he serves as the chairman of the Energy and Natural Resources Committee. “Access to public lands is essential to Utah’s way of life, supporting thriving energy, agriculture, and recreation industries,” said Lee. “Natural Asset Companies pose a direct threat to this access by enabling private and foreign investors to seize control of the very land that our communities depend on. This legislation is crucial to protect Utahns’ rights to their lands, ensuring that our local communities, not foreign interests, retain control and continue to thrive for generations to come.”

The bill was introduced on Tuesday, March 11, and was referred to the Energy and Natural Resources Committee.