The tax incentive established in 2017, aimed at boosting economic growth and investment in struggling communities, has yielded mixed results. While the program has achieved some successes, it has also faced increasing scrutiny. Now, proposed reforms are set to potentially reshape its trajectory.
- Despite
billions invested and some success stories like downtown Erie, PA, the
program faces criticism for potentially favoring already improving
areas.
- Proposed reforms, focusing on enhanced oversight, aim to boost the program`s effectiveness and ensure fairer outcomes in community redevelopment.
Six years ago, Opportunity Zones officially became a reality. The program
was part of the Tax Cuts and Jobs Act of 2017, signed into law by
former President Donald Trump in late December 2017. It was hailed as a
success—a rare moment of bipartisanship that saw representatives on both
sides of the aisle championing the program. Overseen by the Treasury
Department, the Opportunity Zone Program went into effect at the start
of 2018 and was immediately a hot topic in the commercial real estate
industry. But ever since it was created, the program has been plagued
with criticism over whether it is working the way it was intended to
work: to lift up and revitalize disinvested communities through new
development projects. Reforms have been proposed by public officials
recently, which could make a big difference if enacted. Still, six years
after the program began, what kind of impact has it actually made? ...
RSK: OZ`s are still out there...good article on why they haven`t taken off as planned.
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- - Volume: 11 - WEEK: 52 Date: 12/27/2023 3:22:27 PM -