Kelly praises use of Opportunity Zones to revitalize downtown Erie, invites Treasury Secretary Mnuchin to see results of new tax law

Mar 21, 2019

WASHINGTON – During a hearing of the House Committee on Ways and Means last Thursday, Congressman Mike Kelly highlighted the successful use of Opportunity Zones to revitalize downtown Erie. He also invited U.S. Secretary of the Treasury, Steve Mnuchin, to visit the city to experience first-hand the example it has set for drawing investment into economically-distressed areas using this provision of the Tax Cuts and Jobs Act. A copy of the follow-up letter sent to the Secretary on March 20 is attached.

KEY QUOTES FROM HEARING

Kelly: The City of Erie has done exceptionally well with Opportunity Zones. We have eight Opportunity Zones in Erie.

Kelly: We are looking again at growth, growth, growth, and more growth, and investment in places that nobody would have invested in before, but because of the Tax Cuts and Jobs Act, it is bringing vitality and a dynamic economy back to these areas.

Kelly: If you ever have the chance, would you please come to Erie, Pennsylvania and walk with me through the opportunity zones to see what it’s like to put life back into a community because of tax policy that was done right here in his room?

Mnuchin: Mr. Kelly, I would be happy to find a time to go with you to Erie. I would look forward to that. I think the opportunity zones are important and I want to visit the specific areas.

Localities qualify as an Opportunity Zone if nominated by a state and certified by the U.S. Treasury. Projects in the zones can be eligible for preferential tax treatment, which creates incentives to invest in areas that are otherwise high risk to investors. This provision was one of the cornerstones of tax reform and has the potential to lift up America’s communities of need.

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