Legislation, adopted in 2025 updating the federal Opportunity Zone program, changes eligibility criteria, resulting in fewer census tracts qualifying for designation. This means states will have fewer Opportunity Zones to nominate and to receive designation, and not all current designated zones will be eligible. Beginning in 2026 and every 10 years thereafter, governors will nominate one-quarter of their states’ eligible census tracts for designation as Opportunity Zones. Virginia’s nominations are due to the federal government at the end of September.
On April 6, the federal government released the official list of eligible census tracts. Third-party mapping tools are also being updated to show the new information and can help determine relevant zones for designation. Consulting with partners in housing, economic development, finance and investment, philanthropy, and community development can help establish priorities.
The Virginia Department of Housing and Community Development (DHCD) and the Virginia Economic Development Partnership (VEDP) are engaging stakeholders about the process, and to gather their insights to support the governor’s decisions regarding nominating eligible census tracts for designation. DHCD and VEDP will host webinars on Thursday April 16 and Tuesday April 21 at noon to provide additional details about the program and the 2026 nomination process. They have also prepared a short survey where stakeholders can share their priorities for the 2026 Opportunity Zone process. The survey will be open through April 27.
For questions reach out to oz2026@vedp.org and oz@dhcd.virginia.gov.
VACo Contact: Joe Lerch, AICP