Section 3 Requirements

All section 3 covered contracts and subcontracts must include the section 3 clause verbatim.

Section 3 requirements. What if it appears an entity is not complying with section 3. Hiring section 3 residents when employment opportunities are available. The section 3 program requires that recipients of certain hud financial assistance to the greatest extent possible provide training employment contracting and other economic opportunities to low and very low income persons especially recipients of government assistance for housing and to businesses that provide economic opportunities to low and very low income persons.

A 51 percent or more owned by section 3 residents. The section 3 requirements apply to recipients of housing and or community development assistance exceeding 200 000 combined from all sources in any one year. There is a complaint process.

Section 3 residents businesses or a representative for either may file a complaint if it seems a recipient is violating section 3 requirements are being on a hud funded project. While the rad program itself does not provide funding for housing construction or rehabilitation the rad notice pih 2012 32 rev 2 applies section 3 to all initial repairs or new. Section 3 covers the expenditure of any portion of those funds for any activity that involves housing construction rehabilitation or other public construction.

Section 3 businesses are those that can provide evidence of meeting one of the following three criteria.