On Friday, April 20, Governor Kim Reynolds and Lieutenant Governor Adam Gregg, along with the Iowa Economic Development Authority (IEDA), announced 62 Iowa census tract nominations for Opportunity Zones designation. Opportunity Zones is a new economic development program administered by the U.S. Department of the Treasury. The program was established within the Tax Cuts and Jobs Act of 2017 to encourage long-term investments in low-income zones by providing investors with a capital gains tax deferral. The Governor of each state was responsible for nominating Opportunity Zones in their state.
Census tracts eligible to be nominated for this program must have a poverty rate that is 20 percent or greater within the tract, and/or have a family income that is less than 80 percent of the area’s median income. In Iowa, 247 tracts are eligible. In Decatur County, there are three census tracts, and all are eligible to apply for this designation.
The Decatur County Development Corporation, in partnership with the Decatur County Supervisors and City Administrators, City Clerks and Council Members throughout the county worked together to apply for this designation for all three census tracts. The application told stories of our hardships, but also detailed our many recent successes, and expected continued success with the addition of this new incentive tool.
Of the three tracts applied for, two tracts were nominated by the Governor. The two tracts include the cities of Decatur City, Grand River, Lamoni and Leon; as well as rural areas surrounding these cities. This designation will allow economic development agencies in Decatur County to recruit new business to the area, leading to more jobs and capital investment to Decatur County. Decatur County is the only county in Iowa outside of Des Moines to have eligible tracts located on Interstate 35. Other nominated tracts in the region include Centerville, Chariton, Creston, and Winterset.
Nominations must be approved by the Treasury Department, and administrative rules are still being written, but this recognition from the Governor’s Office and other economic development partners throughout the state are evidence that Decatur County is innovate, creative and willing to welcome new business.
More information including a press release from the Governor’s office and a map of nominated tracts can be found at https://iowaeconomicdevelopment.com/opportunityzones.
If you have any questions on this program, contact Shannon Erb, Executive Director of the Decatur County Development Corporation via email at serb@dcdciowa.org, or via phone at 641-442-6511. Follow the DCDC Facebook page at www.facebook.com/dcdciowa for continued updates on the business and economic development of the county.
