All of Governor’s recommendations received approval for federal program aimed at economic development and job creation
FRANKFORT, Ky. (Oct. 29, 2026) – Today, Gov. Andy Beshear announced continued site and building development efforts throughout the state, as 137 census tracts across 76 Kentucky counties were approved for Opportunity Zone (OZ) 2.0 designation. The OZ program seeks to spur long-term economic development and job creation in overlooked communities, and the Governor recommended the tracts for designation.
“Every area of Kentucky deserves an opportunity to grow and succeed, and I am happy that the 137 tracts I submitted for this designation were approved,” said Gov. Beshear. “These areas are located across the commonwealth, representing both rural and urban locations that deserve more investment and opportunity for the people who live there. Our record-breaking economy; career readiness programs; site and building development; and state and local infrastructure prove that Team Kentucky knows what it takes to succeed and we are excited to continue that progress through Opportunity Zones 2.0.”
The OZ program was created to spur long-term economic development and job creation in overlooked communities by providing tax incentives to private investors. Kentucky’s strategy for tract submissions included engaging local officials and community leaders to understand the steps that would be taken to deploy and capitalize on the designation and future investments in their communities. The state also prioritized zones where investments have already been made, including Kentucky Product Development Initiative (KPDI)-funded projects, and zones near other known projects and counties with land that is publicly owned.
Every county that submitted a formal application for an eligible tract received at least one Opportunity Zone designation.
These recommendations include Adair (1 tract), Ballard (1), Bath (1), Bell (1), Boone (5), Boyle (1), Bracken (1), Breckinridge (1), Calloway (1), Campbell (5), Carroll (2), Carter (1), Christian (1), Clark (1), Clay (1), Crittenden (1), Daviess (2), Fayette (5), Fleming (2), Floyd (2), Franklin (2), Fulton (1), Gallatin (1), Garrard (2), Graves (1), Grayson (1), Hardin (1), Harlan (2), Harrison (1), Henry (1), Hickman (1), Hopkins (1), Jackson (1), Jefferson (18), Jessamine (2), Johnson (1), Kenton (7), Knott (2), Knox (2), Larue (1), Laurel (2), Lawrence (1), Leslie (1), Letcher (1), Lewis (2), Lincoln (1), Livingston (1), Logan (1), Madison (1), Magoffin (1), Marshall (1), Martin (1), Mason (1), McCracken (2), McCreary (2), Menifee (1), Monroe (1), Montgomery (1), Morgan (1), Muhlenberg (1), Owen (1), Owsley (1), Pendleton (2), Perry (2), Pike (3), Pulaski (1), Robertson (1), Rockcastle (2), Rowan (1), Russell (2), Simpson (1), Todd (2), Warren (3), Wayne (2), Whitley (2) and Wolfe (1) counties.
The approved 2.0 tracts will become active on Jan. 1, 2027.
For more information on Opportunity Zones 2.0, as well as the complete census tract list and map, please visit hud.gov/opportunity-zones.
Additionally, webinars will be offered in the coming weeks, along with a Local Community Guidebook on Opportunity Zones 2.0, which will be made available at the above link.
Kentucky’s site and building development efforts further what has been the best six-year period for economic growth in state history.
Since the beginning of his administration, Gov. Beshear has announced nearly 1,400 private-sector new-location and expansion projects totaling over $54 billion in announced investments, creating more than 72,000 jobs. This is the highest investment figure secured during the tenure of any governor in the commonwealth’s history and $33 billion more than the next highest total.
Gov. Beshear has announced some of the largest economic development projects in state history, which have solidified Kentucky’s position as a national leader in automotive and energy storage system battery production: Ford Motor Co.’s nearly $3 billion, 2,200-job commitments in Louisville, as well as its $2 billion, 2,100-job project at the Kentucky 1 plant in Hardin County; Shelbyville Battery Manufacturing’s $712 million investment, creating 1,572 jobs in Shelby County; and Toyota’s $1.3 billion investment in Scott County, among others.
In February, the Governor announced Kentucky once again set an all-time record for products shipped globally, with $51.6 billion in exports in 2025, representing a 7.65% increase over 2024.
Unemployment rates fell in all 120 counties between December 2024 and December 2025.
The Governor’s administration also secured the largest General Fund budget surplus and Rainy Day Fund. In 2023, Kentucky recorded over 2 million jobs filled for the first time ever and has stayed above that number ever since.
In addition, Kentucky has secured rating increases from major credit rating agencies Fitch Ratings, S&P Global Ratings and Moody’s Investors Service.
Earlier this year, Site Selection magazine ranked Kentucky in the top five nationally and second in the South Central region for economic development projects per capita in its 2025 Governor’s Cup rankings. In June, Area Development magazine awarded the commonwealth a Silver Shovel designation in its 2025 Shovel Awards, which highlight states for attracting high-value investment projects that will create a significant number of new jobs in their communities.
Gov. Beshear also announced a new initiative, called New Kentucky Home, to increase economic investment, attain and attract talent and increase tourism across the state.
Information on Kentucky’s economic development efforts and programs is available at NewKentuckyHome.ky.gov. Fans of the Cabinet for Economic Development can also join the discussion at facebook.com/CEDkygov, on Twitter @CEDkygov, Instagram @CEDkygov and LinkedIn.
Read about other key updates, actions and information from Gov. Beshear and his administration at governor.ky.gov and the Governor’s official social media accounts Facebook, Twitter and YouTube.
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