State Announces Opportunity Zone Recommendations

What this means

A factual summary is pending editorial review. The complete official release is reproduced below with issuer attribution and a direct link to the original publication.

Official release

Source material from Vermont Department of Economic Development. The wording below is the issuer’s statement.

Montpelier, Vt. – The Vermont Agency of Commerce and Community Development (ACCD) today recommended 25 Vermont communities as Opportunity Zones for Governor Phil Scott’s consideration. The federal designation increases investment in low-income areas, and, if approved by the Governor, the recommendations will be submitted to the U.S. Treasury Department for approval. ACCD is asking the public for input on the recommendations through July 24th.

“I am pleased to announce this draft map, which reflects months of work with regional economic development and community partners,” said Lyle Jepson, Commissioner of the Vermont Department of Economic Development (DED). “This program provides business investments and capital for crucial multi-unit housing projects, both drivers of robust economic development, so I look forward to reading the proposals.”

“These designations represent an opportunity to drive investment into underserved communities, creating the kind of transformational development that creates jobs, infrastructure, and the economic momentum Vermonters deserve," said Nick Grimley, DED Deputy Commissioner. "We've identified 25 census tracts in 17 Vermont communities for designation as Opportunity Zones, and we welcome public feedback as we finalize Governor Scott's nominations."

The proposal includes census tracts in Barre, Bellows Falls, Bennington, Brandon, Brattleboro, Burlington, Island Pond, Johnson, Lyndonville, Newport, Northfield, North Clarendon, Richford, Rutland, St. Albans, St. Johnsbury, Springfield. The proposed zones support more than 57,800 jobs and are home to approximately 87,826 Vermonters, 20 percent of whom live below the federal poverty line. Criteria for consideration include poverty and unemployment rates, population counts, the number of businesses and private sector jobs, available infrastructure, and the development potential of each tract.

Governor Scott’s nominations are due to the U.S. Department of Treasury by September 29th, 2026. Interested Vermonters who want to offer feedback or seek information can reference the Vermont State Opportunity Zones webpage and contact Nick Grimley at nick.grimley@vermont.gov.

About Federally Designated Opportunity Zones

The One Big Beautiful Bill of July 2025 made permanent a tax incentive for investors who make qualified investments in Opportunity Zones through an Opportunity Fund. According to guidance issued by the Internal Revenue Service, investors will be able to defer or reduce federal tax liability on income directed to a fund and invested in Opportunity Zones.

Release text attributed to Vermont Department of Economic Development. Consult the official publication for any subsequent corrections or updates.