Three census tracts in Bloomington were chosen by the state for potential federal tax incentives.

Hopewell, Seminary Park, and an area west of the Trades District were nominated for the Opportunity Zone 2.0 program.

The program promotes "long-term private investment in low-income communities by offering federal tax incentives to investors," according to the Indiana Economic Development Corporation.

The Opportunity Zones would start on Jan. 1, 2027, if the census tracts are approved.

"We approached this process very intentionally, looking not simply at which areas were eligible, but where this tool could make the greatest difference for Bloomington’s future," Jane Kupersmith, director of the the city's Department of Economic and Sustainable Development, said in a news release.

"We are pleased that the state recognized the potential of these areas and the work already underway to position them for continued investment. This is an important step, but our work now shifts toward making sure we are prepared to turn this opportunity into meaningful projects and investment."