Mahoning, Trumbull snare federal tax credit designations
Trending
The Western Reserve Port Authority's continuing push to attract investment was rewarded last week when the state announced the sites eligible for Opportunity Zones 2.0 program designation.
Starting Jan. 1, investments made in the zones are eligible for federal tax incentives, the Ohio Department of Development said in a news release. They are designed to stimulate outside investments to support housing development, business expansion, job creation and community revitalization.
The U.S. Department of the Treasury gave its approval recently to the 260 census tracts nominated by the DeWine administration. A census tract is a small, geographically defined area established by the U.S. Census Bureau to collect and analyze population, housing and economic data within a community.
"The state selected 20 tracts in our region: six in Ashtabula, two in Columbiana, seven in Mahoning and five in Trumbull," said Nicholas Chretien, the authority's director of planning and regional development. "That is about 25% of the roughly 80 eligible tracts in our four counties.
"Seventeen of those 20 came from our recommendations, including 14 of our 20 top priority tracts. The other three were not on our list."
The Mahoning County tracts are centered on Youngstown while tracts in Niles and Warren were selected in Trumbull County.
Established in 2017, the Opportunity Zones encourage private investment in economically distressed communities by providing tax benefits to eligible investors. Ohio’s first round of Opportunity Zones, designated in 2018, included 320 census tracts across 73 counties.
“Every community in Ohio has something special to offer, and we want to make sure they have the opportunity to thrive,” Gov. Mike DeWine said in the news release. “Whether it’s bringing new life to a downtown, creating great-paying jobs, or building housing for more families, these Opportunity Zones will help attract investments that can make a real difference in the lives of Ohioans."
States are required to redesignate eligible zones every 10 years, according to the release. The newly designated zones will remain in effect through 2036. The Department of Development received 951 nominations representing 515 of Ohio’s 1,040 eligible census tracts. From those submissions, which were provided through a statewide survey, 260 tracts were nominated for designation -- including 96 in rural communities. All counties with an eligible tract received at least one nomination.
Additionally, 78 of the newly designated tracts were included in Ohio’s original Opportunity Zones program, building on previous growth efforts while expanding the program’s reach to additional communities.