Program intended to spur economic growth in low-income areas
HARRISBURG – Two municipalities located in the 23rd Senatorial District have been nominated for a new federal ‘Opportunity Zone’ program designed to draw investment to low-income neighborhoods, according to state Sen. Gene Yaw (R-23).
According to an announcement made today by the Wolf Administration, Towanda Borough, Bradford County and the City of Williamsport, Lycoming County, have been added to the list of census tracts in Pennsylvania submitted to the U.S. Treasury for inclusion in the Qualified Opportunity Zone Program.
The Program, created through the Federal Tax Cuts and Jobs Act of 2017, allows private investors to receive tax benefits on currently unrealized capital gains by investing those gains in qualified census tracts or “opportunity zones.”
“This new federal program is yet another tool our communities can use in its toolbox, Yaw said. “These Opportunity Zone designations will help build on ongoing community development efforts already taking place.”
The U.S. Treasury has 30 days to certify Pennsylvania’s recommendations. After the Zones are approved, the federal government will begin the rulemaking process to designate how funds are created and how businesses, developers and financial institutions can invest in qualified Zones.
Rita Zielonis, Chief of Staff