Site and building development efforts will continue throughout the state as 137 census tracts across 76 Kentucky counties were approved for Opportunity Zone 2.0 designation.
The OZ program was created to spur long-term economic development and job creation in overlooked communities by providing tax incentives to private investors. Kentucky’s strategy for tract submissions included engaging local officials and community leaders to understand the steps that would be taken to deploy and capitalize on the designation and future investments in their communities.
“Every area of Kentucky deserves an opportunity to grow and succeed, and I am happy that the 137 tracts I submitted for this designation were approved,” Gov. Andy Beshear said. “These areas are located across the commonwealth, representing both rural and urban locations that deserve more investment and opportunity for the people who live there.”
The state also prioritized zones where investments already have been made, including Kentucky Product Development Initiative-funded projects, and zones near other known projects and counties with land that is publicly owned.
Every county that submitted a formal application for an eligible tract received at least one Opportunity Zone designation.
These recommendations include Adair, Ballard, Bath, Bell, Boone (5 tracts), Boyle, Bracken, Breckinridge, Calloway, Campbell (5), Carroll (2), Carter, Christian, Clark, Clay, Crittenden, Daviess (2), Fayette (5), Fleming (2), Floyd (2), Franklin (2), Fulton, Gallatin, Garrard (2), Graves, Grayson, Hardin, Harlan (2), Harrison, Henry, Hickman, Hopkins, Jackson, Jefferson (18), Jessamine (2), Johnson, Kenton (7), Knott (2), Knox (2), LaRue, Laurel (2), Lawrence, Leslie, Letcher, Lewis (2), Lincoln, Livingston, Logan, Madison, Magoffin, Marshall, Martin, Mason, McCracken (2), McCreary (2), Menifee, Monroe, Montgomery, Morgan, Muhlenberg, Owen, Owsley, Pendleton (2), Perry (2), Pike (3), Pulaski, Robertson, Rockcastle (2), Rowan, Russell (2), Simpson, Todd (2), Warren (3), Wayne (2), Whitley (2) and Wolfe counties.
The approved 2.0 tracts will become active on Jan. 1, 2027.
For more information on Opportunity Zones 2.0, visit https://kaco.org/calendar/opportunity-zone-20-application-overview/ or hud.gov/opportunity-zones. Additionally, webinars will be offered in the coming weeks, along with a Local Community Guidebook on Opportunity Zones 2.0.
