New Mexico offers $1 million bonus to Opportunity Zone projects
Tuesday, August 27, 2019
The State of New Mexico has unveiled an incentive program for Opportunity Zone (OZ) projects and is offering a $1 million bonus to investments that meet certain benchmarks, Economic Development Cabinet Secretary Alicia J. Keyes said.
Keyes said the $1-million OZ Jobs Bonus shows that Opportunity Zone investments are a key strategy for Gov. Michelle Lujan Grisham as the state diversifies its economy. The federal tax initiative to stimulate development in lower-income neighborhoods can be a huge catalyst in New Mexico where it can be difficult to attract outside financing.
“One of the goals of my administration is to spread investment to all corners of New Mexico and we want to use every tool we can to accomplish that,” said Gov. Lujan Grisham. “That’s why we are going 'all in' for Opportunity Zones and giving an extra boost to help these communities."
The state has designated 63 Opportunity Zones in 22 counties as part of the U.S. Government’s Tax Cuts and Jobs Act of 2017. The purpose of the tax law is to attract capital investment into economically distressed areas in exchange for a reduced tax obligation.