Section 3 Resources
What is it?
Section 3 is a compliance requirement from HUD that applies to all
construction projects funded with HUD-sourced grants that exceed $200,000 (in total costs), and
to all contractors or subcontractors with an individual construction contract
or subcontract above $100,000 on a HUD-assisted project.
A summary of compliance requirements are:
1) To the greatest extent feasible, hire and
train Section 3 residents, and submit monthly reports of the total labor hours worked on
project to [email protected] At least 25% of total labor hours must be worked by Section 3 Workers, and at least 5% of total labor hours must be worked by Targeted Section 3 Workers.
2) To the greatest extent feasible, contract
with Section 3 Business Concerns.
3) Provide outreach/training for Section 3
residents, and report on the outreach and training undertaken in monthly
Forms and Resources
This document provides an overview of Section 3 compliance and reporting processes: Section 3 Reporting Guide
These documents may be used be an employee or employer to self-register as a Section 3 Worker or Section 3 Business Concern: Section 3 Self-Certification Forms
Use this form to submit Section 3 Monthly Reports: Section 3 Monthly Reporting Tool
Section 3 Contractual Clause