Yesterday Massachusetts Governor Charlie Baker announced that he had submitted 138 census tracts to the U.S. Department of Treasury for Opportunity Zone designation.
Approximately 48 percent of the tracts submitted are “Gateway Cities” meaning municipalities with a population between 35,000 and 250,000 that have median household income rates, and the rate of educational attainment of a bachelor’s degree or greater is below state average. 18 percent of the tracts Baker submitted are in rural communities. According to the Boston Globe, 13 tracts around Boston in the cities Cambridge, Somerville, Everett, Chelsea and Quincy have been also been submitted. The U.S. Treasury will be responding to the submission within 30 days.
While there is no guarantee of funds, the Massachusetts law makers are hopeful that investors will be attracted to the communities submitted. The IRS is currently working on providing guidance for establishing the Opportunity Funds and the Economic Innovation Group has predicted that the guidance will be released at the beginning of May. For a full list of the Massachusetts Opportunity Zones click here.