What Are Opportunity Zones?
Opportunity Zones are economically distressed communities where new investments, under certain conditions, may be eligible for preferential tax treatment. Localities qualify as Opportunity Zones if they have been nominated for that designation by the state, and that nomination has been certified by the Secretary of the U.S. Treasury’s delegation of authority to the Internal Revenue Service. Opportunity Zone eligibility is determined at the census tract level.
Opportunity Zones in Appalachia
There are currently 737 Opportunity Zones across the Appalachian Region, representing 8.5 percent of the designated Opportunity Zones nationwide. More than 2.8 million Appalachian residents live in these designated areas. ARC is a member of the White House Opportunity and Revitalization Council.
How Does ARC Support Opportunity Zones
By connecting Opportunity Zones to ARC investments, communities can better leverage the investment incentives offered by Opportunity Zones, while also benefiting the Region’s most economically distressed areas. This is why ARC encourages potential grantees to consider how to directly impact Opportunity Zones in their proposed project designs. In some cases, like the POWER Initiative, ARC will give project proposals offering direct benefits to Opportunity Zones a scoring advantage during the review process.