Governor McKee, RI Commerce Nominate 25 Census Tracts to be Designated as Federal Opportunity Zones

U.S. Department of the Treasury program encourages long-term investment and economic revitalization within designated census tracts by providing federal tax incentives to attract private investment.

PROVIDENCE, R.I. – November 4, 2026 – Governor McKee and Rhode Island Commerce announce the nomination of 25 census tracts to be designated as federal Opportunity Zones (OZ). The program, administered by the U.S. Department of the Treasury, encourages long-term investment and economic revitalization within designated census tracts by providing federal tax incentives to attract private investment.

“My administration has worked to ensure Rhode Island can make the most of every opportunity to strengthen our economy and our communities,” said Governor McKee. “These new federal Opportunity Zones will help drive investment locally and support long-term growth throughout our state.”

OZ investors can potentially receive the following federal capital gains tax incentives: deferral of capital gains tax, a step up in basis on their investment, and tax exclusion. These investments have the potential to support business expansion, new business formation, job creation, and real estate development; as well as promote synergy with state and local efforts and support the needs of local communities.

“Opportunity Zones support economic revitalization in areas with both the need and the potential for development,” said Secretary of Commerce Stefan Pryor. “RI Commerce looks forward to working with local leaders to utilize these OZ designations in order to grow economic opportunities for Rhode Islanders.”

Passed into federal law in July 2025, Public Law 119-21 made the Opportunity Zone program permanent but revised eligibility and requires a new nomination process. Over the past several months, Commerce gathered feedback from state municipalities and community stakeholders to develop the principles that would guide the identification of potential new OZs in Rhode Island (commonly referred to as OZ 2.0). These principles are investment attractiveness/market readiness, community need, and alignment with state and local policy goals. Commerce also launched a dedicated webpage to provide OZ 2.0 details and invited input from municipalities and stakeholders on census tracts to consider for nomination.

Due by October 28, 2026 to the U.S. Department of the Treasury, the nominated census tracts are subject to certification by the Department, which is expected later this year. Once certified, the OZ 2.0 designations will take effect January 1, 2027 and remain in effect through December 31, 2036. The original Opportunity Zones, designated in 2018, will remain designated through December 31, 2028.

The 25 census tracts submitted as Opportunity Zones 2.0 nominations are:

Additional Opportunity Zone information can be found at:

The RI Commerce Opportunity Zone website page can be found here.

Rhode Island Media Contact
Giselle Mahoney
Chief of Communications, Executive Office of Commerce
Giselle.Mahoney.CTR@commerce.ri.gov
+1 401 545 0626