TRENTON >> President Donald Trump’s signature tax reform law could promote urban revitalization in the most distressed parts of Trenton and Hamilton Township.
That’s because the Tax Cuts and Jobs Act established so-called Opportunity Zones to spur private investment in struggling communities like Hamilton’s Bromley neighborhood.
New Jersey Gov. Phil Murphy’s administration has taken advantage of the program by designating the capital city, neighboring Hamilton Township and other blighted enclaves as Opportunity Zones.
“New Jersey is committed to using every tool at our disposal to develop our communities and grow our economy,” Murphy said Thursday in a press statement. “This program provides real opportunity for our state that has the potential to create significant, long-term economic development in the communities that need it the most.”
Diana Rogers, director of Trenton’s Department of Housing and Economic Development, suggested the 7.5-square-mile capital city can be uplifted through the Opportunity Zones program.
“We see this as an opportunity to make investments in the city of Trenton,” she told The Trentonian on Thursday, “and to address areas of the city where we see possibilities for stabilizing neighborhoods as well as in areas where there have been limited investment in prior years.”
Democratic Hamilton Councilman Jeff Martin suggested the township can greatly benefit from the program.
“I am thrilled the governor accepted our recommendation to include the Bromley area of Hamilton as an Opportunity Zone,” Martin said Thursday in a statement. “This designation, if accepted by the federal government, will encourage an increase in private investment monies into the area. This would not only increase our town ratable base but also redevelop neglected parcels of land.”
New Jersey’s Democratic U.S. Sen. Cory Booker and Republican U.S. Sen. Tim Scott of South Carolina sponsored the Opportunity Zones program. Both of them are African-American lawmakers who represent a large number of residents who live in distressed communities.
The bipartisan program was officially enacted as part of President Trump’s comprehensive tax reform law, according to the White House.
The White House says over 52 million low-income Americans reside in distressed communities like Bromley that may benefit from the investment brought by Opportunity Zones.
“We look forward to working with governors to implement this important provision that will encourage private investments in communities that need it the most,” U.S. Treasury Secretary Steven T. Mnuchin said in a recent press statement. “The resulting benefits will be jobs and economic growth to move these communities forward and provide a brighter future.”
The White House says that Opportunity Zones “will help attract otherwise wary investors to America’s most underserved communities; new investment will flow into blighted developments, stalled infrastructure projects, and other desperately needed economic enhancements, driving improvements that will help turn dreams to reality.”
To identify Opportunity Zones in the Garden State, Gov. Murphy worked directly with Sen. Booker’s office, convened meetings and roundtables with mayors throughout the state and met with the New Jersey Congressional delegation “to ensure a fair and transparent selection process,” according to the governor’s office. Murphy designated at least one municipality in each of the state’s 21 counties as Opportunity Zones.
In order to designate Opportunity Zones, governors needed to make nominations by March 21. The U.S. Department of the Treasury must provide feedback or approve a governor’s selections within 30 days of submission.
