HomeMy WebLinkAboutPCD 2026-05-11 Item 1C - Resolution - Support Designation of Certain Census Tracts as Opportunity ZonesCity of Tukwila
Thomas McLeod, Mayor
Marty Wine, City Administrator
AGENDA BILL
ITEM NO.
1.C.
Agenda Item
Sponsor
Legislative History
Resolution in Support to Designate Opportunity Zones
Derek Speck, Economic Development Administrator
May 11, 2026
May 18, 2026
Planning & Community Development Committee
Regular Meeting Consent
Recommended Motion ❑ Discussion Only ❑x Action Requested
MOVE TO approve resolution expressing support to designate
opportunity zones.
EXECUTIVE SUMMARY
This item seeks Council approval of a resolution requesting Governor Ferguson nominate eligible
census tracts in Tukwila to be designated as opportunity zones.
DISCUSSION
Opportunity zones are federally designated census tracts approved for a special federal tax incentive to
encourage investment in low-income communities. In 2025 the federal government revised the program
to designate new census tracts effective January 1, 2027. Eligible census tracts must be nominated by
each State's governor by September 28, 2026. The Washington State Department of Commerce is
coordinating an application process to support the Governor and is accepting applications that
nominate census tracts. Applications are due May 28, 2026 and the City has started working on our
applications. Commerce's application process includes a point system and allocates up to 5 points (out
of a possible total of 185) if the application includes a local government resolution or letter of support.
The opportunity zone designation process will be very competitive because governors may only
nominate 25% of the census tracts that are eligible in their state. Tukwila has eight eligible census
tracts of which three are fully within the City and five include portions of our neighboring cities.
Staff requests Council approval of the attached resolution to use in the application process.
ATTACHMENTS
• Draft Resolution
17
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUKWILA, WASHINGTON, SUPPORTING THE
NOMINATION OF CERTAIN ELIGIBLE CENSUS TRACTS
FOR DESIGNATION UNDER THE NEW OPPORTUNITY
ZONES PROGRAM (OZ 2.0) IN THE CITY OF TUKWILA.
WHEREAS, the Federal Opportunity Zone Program is a Federal Tax Incentive
created as part of the Tax Cuts and Job Acts in 2017 to encourage private investment in
low-income census tracts ("Opportunity Zones"); and
WHEREAS, in 2025, the Federal Government revised the Opportunity Zone Program
and the new program ("OZ 2.0") will take effect on January 1, 2027; and
WHEREAS, as a requirement of the new program, State Governors must nominate
census tracts to become Opportunity Zones; and
WHEREAS, Washington State requires submissions for consideration by the
governor to be submitted by May 28, 2026; and
WHEREAS, certain census tracts within the City of Tukwila continue to experience
economic challenges;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
Section 1. The City of Tukwila has experienced new development under the current
Opportunity Zone Program and desires to attract future development under the revised
Opportunity Zone Program.
Section 2. The City Council of the City of Tukwila hereby endorses the nomination
of the census tracts 530330-262-00, 530330-263-00, 530330-264-00, 530330-271-00,
530330-272-00, 530330-273-00, 530330-281-00, and 530330-282-00 to be designated
as Opportunity Zones under the revised program as reflected on the map attached as
Exhibit A and incorporated herein by reference.
2026 Legislation: Supporting Opportunity Zones
Version: 05-05-2026
Staff: D. Speck
Page 1 of 2
18
PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at
a Regular Meeting thereof this day of , 2026.
ATTEST/AUTHENTICATED:
Andy Youn-Barnett, CMC, City Clerk Armen Papyan, Council President
APPROVED AS TO FORM BY:
Office of the City Attorney
Attachment: Exhibit A — Map of Census Tracts
2026 Legislation: Supporting Opportunity Zones
Version: 05-05-2026
Staff: D. Speck
Filed with the City Clerk:
Passed by the City Council:
Resolution Number:
Page 2 of 2
19
Census Tracts
CT 280
CT 287
CT 109
CT 288.01
CT 246.01
0,02 \CT 111.0?,\ CT 111.02
T 110.0i
It ivla^sr.a;t Nl mi
CT 246.02
CT117
CT 288,02
CT 118.01
CT 118.02
WA 5
CT 119.02
CT 260.0
CT 261.02
CT 261.01
T 292.06
T 260.0
CT 253.04
CT 27.04
CT 257.0
CT 293.09
CT 293.05
Kent
CT 255
CT 257
CT 258.04
CT 258.03
CT 247.03
T 250.!`
T 250.0
CT 252.02
CT 254.0
1 j!`
CT 254.02�a
CT 256,01
CT 257.04
CT 258.05
CT 293.0
CT 293.06
02
CT 293.04
T 293.07
CT 292.07 i CT 294.03 CT 294.05
0
City Boundary - Eligible Census Tracts 0
I *IV"! 530330-262-00 (CT 262) 530330-272-00 (CT 272) o
530330-263-00 (CT 263) 530330-273-00 (CT 273)
530330-264-00 (CT 264) 530330-281-00 (CT 281)
530330-271-00 (CT 271) 530330-282-00 (CT 282)
Tract Boundary
1;69,047
0.5 1
0.75 1.5
Source: U.S. Census Bureau, Sources: Esri. USGS, NOAA
2 mi
3 km
20
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(c)Copyright 2026 • US Census Bureau