Section 3 Hud

What dollar threshold amounts apply to contractors subcontractors.

Section 3 hud. Hud section 3 section 3 of the housing and urban development act of 1968 commonly referred to as section 3 requires that recipients of the us department of housing and urban development hud funds to the greatest extent possible provide job training employment and contract opportunities for low or very low income residents in connection with projects and activities in their neighborhoods. Section 3 applies to projects that are fully or partially funded with hud financial assistance. Hud has not verified the information submitted by businesses listed in this registry and does not endorse the services that they provide.

Additionally hud investigates complaints filed by section 3 residents and business concerns alleging noncompliance. Section 3 is a provision of the housing and urban development hud act of 1968 that helps foster local economic development neighborhood economic improvement and individual self sufficiency. Users of this database are strongly encouraged to perform due diligence by verifying section 3 eligibility before providing preference or awarding contracts to firms that have self certified their section 3 status with the department.

Agencies that are found to be in noncompliance may be subject to sanctions including debarment suspension or limited denial of participation in hud programs. A section 3 business is not entitled to a contract simply by being listed in the hud section 3 business registry database. 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.

One way that hud achieves these objectives is through the promotion and administration of section 3.