Governor Kotek Reviewing Nominations for Opportunity Zones

By Owen Blank

Opportunity Zones gained new life as a result of recently enacted amendments to existing laws. These amendments extended the life of the OZ program, limited the number of eligible census tracts, increased the eligibility standards for a census tract to qualify as an OZ, and established a process nominating qualifying census tracts by the states.

As of this date, Governor Kotek has received a list of 106 nominated census tracts along with evaluative comments from Business Oregon. We have obtained the list of nominated census tracts but the evaluative comments are not being released based on the agency’s position that those comments are confidential advice to the Governor. The Governor has until September 28, 2026, which may be extended for 30 days, to nominate 58 census tracts for consideration by the Secretary of the Treasury. The Secretary must decide which tracts will be certified by December 28, 2026.

As the Governor is deliberating, it may be helpful to communicate with her office on behalf of census tracts that you want her to nominate for consideration by the federal government. The Business Oregon website includes a list of the tracts that it forwarded to the Governor and an interactive map that will assist you in locating those tracts.

Tonkon Torp’s lawyers have the experience to guide clients through Opportunity Zone issues and transaction structures. We welcome your inquiries.