Logo courtesy of the City of Gridley

GRIDLEY, CA (MPG) – The Gridley City Council endorsed seeking Opportunity Zones 2.0 designation for both eligible census tracts, a step intended to encourage private investment in economically distressed areas.

Principal Planner Christopher Smith presented the proposal on July 20, explaining that the recommendation will be forwarded to the Governor’s Office of Business and Economic Development, known as GO‑Biz, for consideration. The state will then nominate a limited number of census tracts for the federal program.

Smith said Opportunity Zones encourage investors to direct capital into qualifying areas by offering federal tax incentives for long‑term investments.

“This is investor funding, so nothing really comes from the city,” Smith said. “It helps the city and it helps those investors, and the people who participate in it.”

The two eligible census tracts encompass much of Gridley, generally divided by Highway 99. Smith said the designation could make the city more attractive to investors while leaving its existing planning and development review process unchanged. “There is not really much of a downside,” Smith said. “We don’t have to pay out anything. We don’t have to do any heavy lifting or financial obligation here. They just get a federal tax benefit by investing in these areas.”

Mayor Todd Farr asked whether the designation would give developers greater authority over projects proposed within the city. Smith said it would not. “They still have to go through the normal process,” he said, adding that the designation “doesn’t circumvent any of our current procedures.”

Councilmember Sanchez supported pursuing the designation but suggested the city track investment and development if Gridley is selected. She said collecting data could help evaluate whether the program benefits residents and strengthen future grant applications.

California will review nominations from communities across the state before selecting which census tracts advance for federal designation, making Gridley’s recommendation one step in a broader statewide selection process. Smith said additional data collection could be considered if Gridley receives the designation but emphasized the council’s action simply authorizes submission.

Because the application deadline fell later that evening, Smith completed and submitted the paperwork immediately after the council unanimously approved the recommendation.