Georgia's Opportunity Zones have improved economic outcomes including household income, employment, and unemployment rates since the program launched in 2018, according to a new analysis published June 24, 2026 by the Georgia Public Policy Foundation. The report, which partnered with economic consulting firm Keystone Strategy, examined both academic literature on place-based incentives and original data from Georgia's designated Opportunity Zones. The analysis comes as Georgia prepares to decide whether to renominate existing zones or designate new ones under federal law changes that made the program permanent.
Opportunity Zones were created as part of the 2017 Tax Cuts and Jobs Act, offering preferential tax treatment for investments made in designated low-income areas. The program was originally set to expire December 31, 2026, but Congress made it permanent through the 2025 One Big Beautiful Bill Act, which also established 10-year designation cycles starting in 2027. Places qualify based on income levels or poverty rates and must be nominated by state governors. The report analyzed Georgia's current zones to determine whether Gov. Brian Kemp should renominate the same tracts or choose different ones for the next cycle.
Through its review of evidence and empirical analysis of Georgia's Opportunity Zones, Keystone Strategy "that the program has improved economic outcomes, including household income, employment, and unemployment rates, and enterprise sales since its implementation in 2018." The firm recommends that "the potential of the policy to generate positive economic impacts has not been fully realized and would benefit from decision making which stabilizes the policy over a longer period." According to the analysis, "Redesignating eligible tracts is likely to generate greater long-run benefits than shifting designation to previously non-designated tracts."
The recommendation to stick with existing zones rather than switch to new ones reflects a key insight about how place-based incentives work. The report suggests these economic improvements need time to compound and that changing which areas receive benefits could disrupt progress already underway. By keeping the same zones designated for another 10-year cycle, Georgia could allow the positive trends in income, employment, and business activity to deepen rather than starting from scratch in different communities. The Georgia Public Policy Foundation noted it takes no position on the federal Opportunity Zone program itself, focusing instead on helping state policymakers make the best decision about which areas to nominate.
Governor Kemp faces a choice that could shape economic development across Georgia for the next decade. The report's conclusion is clear: continuity beats change when it comes to maximizing the program's impact. Communities that have already seen gains in household income and job creation stand to benefit more from another decade of investment incentives than new areas would from starting the process fresh.