The Tax Cuts and Jobs Act created Opportunity Zones, a new community investment tool designed to drive long-term capital to rural and low-income urban communities throughout the nation. Our Opportunity Zones Policy Brief has more information. Treasury has approved Opportunity Zones in 20 states and 4 territories (April 9, April 18), and we have updated the Opportunity360 state mapping tool to show newly-designated Opportunity Zones. An additional 22 states and Washington, D.C. have made public their nominations prior to final approval, which is anticipated by mid-May.
View the presentation slides and recording for the Analyzing Opportunity Zone Nominations and What States Should Do Next webinar.
First Key Date
Governors have until March 21, 2018 to submit their recommendations for Zone designations to Treasury, unless the state requests a 30-day extension (April 20). By failing to submit Zone nominations, Governors effectively opt out, rendering the state ineligible to receive private investment encouraged through Opportunity Zones tax benefits on over the next decade.
Choosing Opportunity Zones
Enterprise has created a tool to help states and others determine which tracts or regions are eligible for Opportunity Zones, and how those eligible tracts relate to other federal programs and designations. Here’s what we have heard from states regarding Zone selection, and well as our recommendations for that process.
Need More Information? Start Here
Mapping Opportunity Zones
- Adjust multiple filter controls to see how many eligible tracts in your state meet the criteria you have selected, and compare this to the official number of tracts that can be designated according to Treasury.
- Mouse over a tract to view additional information about eligibility and to access a free Opportunity360 Measurement Report which provides key details about the social determinants and conditions in that tract.
Read more about the methods used to produce these eligibility designations. Download the eligibility data underlying this tool. The tool and data will be updated to reflect any further data or guidance from the CDFI Fund and IRS.
Webinar (Recording) - An Early Overview of Program Details and What’s Ahead
- This webinar recording includes an overview of the program, implementation details, as well as what states and advocates should be considering in the coming months as Opportunity Zones are designated. The new census tract designation mapping tool is also highlighted in this recording. (slides only)
Webinar: Nominating Opportunity Zones
In our second webinar, we demonstrate the Opportunity360 state mapping tool, review responsibilities of governors in the Zone nomination process, and discuss how some states are engaging local elected officials and other stakeholders. (slides only)
Breaking Down the Tax Benefits of Investing in Opportunity Zones
Created as part of tax reform, Opportunity Zones offers incentives to private investors taking equity stake in communities at the nexus of need and opportunity. Tiered tax benefits are tied to investments at five, seven, and ten-year terms. Benefits include a temporary deferral and small reduction of tax liability, as well as - in some circumstances - a full exemption on earnings.
Opportunity Zones 101 and Guidance on Implementation
Our policy brief has been used as a go-to resource for high-level information on Opportunity Zones, and our recent comments to Treasury provide guidance on how the tax incentive could be implemented to maximize the value of capital flowing to distressed communities over the next decade.
Read Opportunity Zones blog posts for in depth coverage, explanations, and new resources as they are made available, and sign up to receive Community Developments and Capitol Express e-mails for updates.
U.S. Department of the Treasury’s CDFI Fund - Opportunity Zones Resources. The federal government’s hub for information featuring the IRS Revenue Procedure and sortable lists by state designations of all eligible census tracts.
- Economic Innovation Group - Opportunity Zones resource page
- US Impact Investing Alliance – Opportunity Zones resource page
- Georgetown University’s Beeck Center – Guiding Principles for Opportunity Zones
- Council of Development Finance Agencies - Opportunity Zones resource page
- Urban Institute - Maximizing Return on Public Investment: Scorecard Dataset
- Federal Reserve Bank of St. Louis - Opportunity Zone Investment Explorer
- Your Call Radio - Can tax incentives draw investments without driving displacement?
- Transform Finance - Investor Network Webinar on Opportunity Zones
- Kresge Foundation - First Principles: Opportunity Zones need responsive, transparent and long-term investments
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