RCAP Endorses Investing in Opportunity Act

October 26, 2017 | Economic Development

The Rural Community Assistance Partnership, Inc. (RCAP) officially endorses the “Investing in Opportunity Act”, new legislation which would incentivize investment in economically distressed communities across the United States. Introduced by Senators Tim Scott (R-SC) and Cory Booker (D-NJ) and Congressmen Pat Tiberi (R-OH) and Ron Kind (D-WI), the bipartisan bill will help revitalize low-income communities suffering from a lack of investment and new business growth.

 

The Investing in Opportunity Act facilitates private investment in the following ways:

  • Removes barriers to investment through a temporary capital gains deferral in exchange for reinvesting them in distressed communities
  • Provides a new way for investors across the nation to pool resources through newly-created “Opportunity Funds,” established specifically for making investments in distressed communities
  • Concentrates capital by establishing “Opportunity Zones,” geographically targeted low-income areas that will be designated by governors
  • Encourages investors to make long-term commitments to these communities by tying incentives to longevity

 

RCAP Executive Director, Nathan Ohle, issues the following statement:

“Today more than ever, your zip code defines your ability to succeed. In rural communities across the country, there is an opportunity gap that continues to widen, and the Investing in Opportunity Act would help address some of the fundamental issues they are confronting. Innovation can be found in every rural community, and helping those entrepreneurs gain access to capital will be a huge step in driving opportunity to some of the most distressed rural regions of the country.”

PDF:  RCAP Endorses Investing in Opportunity Act