Reps. Earl Blumenauer, Darin LaHood, Terri Sewell, and Mike Kelly have introduced the Historic Tax Credit Growth and Opportunity Act. The legislation aims to bring more value to HTC transactions by eliminating the HTC basis adjustment requirement, and increasing the credit from 20 to 30 percent for properties with rehabilitation expenses of less than $2.5 million.

Rural communities, like many urban neighborhoods, need outside investment to create jobs, build affordable housing, and provide critical services. Unfortunately, for many investors, rural deals are often too small and come with too much risk. Similarly, rural real estate appreciates very slowly and few investors know rural places and players.

Chart House Energy is using Opportunity Zones to help hire and train workers in low-income communities. Chart House is also working across Michigan to develop solar projects that capture the tax benefits from Opportunity Zones in an effort to offer lower cost power. In an Ypsilanti project, the for-profit entity owns the system and provides discounted power to the host facilities.

Puerto Rico Gov. Ricardo Rosselló has signed Senate Bill 1147, which establishes the regulatory framework for the development of Opportunity Zones on the island under the U.S. Tax Cuts and Jobs Act of 2017. The governor expects that with the help of the legislation, Puerto Rico will attract some $600 million in OZ investments across the island.

Senators Tim Scott (R-SC), Cory Booker (D-NJ), Todd Young (R-IN) and Maggie Hassan (D-NH) have announced legislation that would require investors to provide the Department of Treasury with important data so that it can measure the social impact being made around the country as a result of Opportunity Zones.

The complexity, breadth of geographic opportunities, and potential value to investors of Opportunity Zones, make navigation supports important. To attract investors, state administrators may need to offer coordination and interaction with investors and other OZ stakeholders. Investors may otherwise find it difficult to identify attractive projects in certain communities.

Cities in the broadest sense — local governments, urban institutions, urban networks will need to act with deliberate agency and purpose if OZs are to spur growth that is inclusive, sustainable and truly transformative. Given this perspective, it is clear that philanthropies have a critical role in helping cities realize the full impact of Opportunity Zones.

This report outlines the plan of the White House Opportunity and Revitalization Council to implement reforms and initiatives that will optimize Federal resources in Opportunity Zones. The White House aims to stimulate economic development, encourage entrepreneurship, expand educational and workforce development opportunities, and promote safe neighborhoods.

On April 17, the U.S. Department of the Treasury announced the release of the much anticipated second tranche of Opportunity Zones guidance. The announcement, coming first at the CDFA Federal Policy Conference and later at the White House Opportunity Zones Conference, brings new and essential information on the tax treatment and special issues related to:

• Operating businesses in Opportunity Zones
• Land and land leases
• Original use and building vacancy
• Opportunity Fund assets and investments

>>> VIEW THE OPPORTUNITY ZONES RESOURCE CENTER