Three Clallam County Areas Nominated for Federal Investment Incentives
Three of the 36 rural areas nominated for federal Opportunity Zone designation are in Clallam County, with two more in neighboring Jefferson County. All five were part of the Emerald Coast Opportunity Zone 2.0 proposal, jointly developed by the economic development councils of both counties.
By R.E. Carlino | The Sequim Post
On October 8, Governor Bob Ferguson announced the nominations of 99 low-income and rural communities across Washington state for the federal Opportunity Zones 2.0 program. The first generation of the program reportedly spurred an estimated $100 billion in private investments nationwide.
According to WA Department of Commerce, Gov. Ferguson submitted the nominations, representing 27 counties and 17 tribal lands, to the U.S. Treasury Department. The new designations will take effect January 1, 2027.
View the full list of nominations and program details on the Summary OZ Dashboard.
The 99 nominated areas were selected from 152 applications. Of those, 36 represent opportunities in rural communities.
Three of the 36 rural opportunities are in Clallam County, with two more in neighboring Jefferson County. All five were included in a joint proposal known as Emerald Coast Opportunity Zone 2.0, developed by the economic development councils of both counties.
The Clallam County Board of Commissioners approved a letter supporting the proposal on May 26, 2026. The letter identified three areas in Clallam County: downtown Port Angeles, another part of Port Angeles that includes the shuttered paper mill site, and a large portion of western Clallam County encompassing Clallam Bay, Sekiu, and Quileute tribal lands. The two Jefferson County areas include part of Port Townsend, and Western Jefferson County and Brinnon area.
The commissioners' letter explained that the original Emerald Coast Opportunity Zone encompassed 14 census tracts. Following discussions with potential investors, economic development officials narrowed the new proposal to five areas where they saw stronger alignment between investment interest and community priorities.
All five were included in Governor Ferguson's October 8 nominations, and all are classified as rural under the new program.
What Happens Next?
The governor has forwarded Washington's 99 nominations to the U.S. Treasury Department for certification. The new Opportunity Zone designations are scheduled to take effect January 1, 2027, and remain in place through 2036.
The program offers federal tax incentives to encourage private investment in designated areas. However, nomination does not guarantee that development projects will proceed or that investments will materialize.
For Clallam and Jefferson counties, the next question is whether the designations will attract businesses, redevelopment projects, housing investment, and jobs to the communities involved.
Related:
Emerald Coast Opportunity Zone: https://www.emeraldfunds.org/
Opportunity Zones/Washington (link)
Opportunity Zone/Invest - Washington Opportunity Zones 2.0
