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Attachment “H”
SECTION 3 INFORMATION
WHAT YOU NEED TO KNOW ABOUT SECTION 3
What is Section 3?
Section 3 is a provision of the Housing and Urban Development Act of 1968, as amended
by the Housing and Community Development Act of 1992 (Section 3). The purpose of
Section 3 is to ensure that employment and other economic opportunities generated by
certain HUD financial assistance shall, to the greatest extent feasible, and consistent with
existing Federal, State, and local laws and regulations, be directed to low-and very low-
income persons, particularly those who ate recipients of government assistance for
housing, and to business concerns which provide economic opportunities to low- and
very low-income persons, identified as Section 3 workers or targeted Section 3 workers.
What is a “Section 3 Worker”?
A Section 3 worker is any worker who currently fits, or when hired within the past five
years fit, at least one of the following categories, as documented:
1. The individual worker’s income for the previous or annualized calendar year
is below the income limit established by HUD; the income limit for 2025
is $59,650.
2. The worker is employed by a Section 3 business concern.
3. The worker is a YouthBuild participant.
What is a “Targeted Section 3 Worker”?
A Section 3 targeted worker for Public Housing Financial Assistance projects are workers
who:
1. Are employed by a Section 3 business concern; or
2. Currently fits or when hired fit at least one of the following categories, as
documented within the past five years:
a. A resident of public housing or Section 8 assisted housing.
b. A resident of other public housing projects or Section 8 assisted housing
managed by the PHA that is providing the assistance; or
c. A YouthBuild participant.
A Section 3 targeted worker for Housing and Community Development Financial
Assistance projects are workers who:
1. Are employed by a Section 3 business concern.
2. Currently fits or when hired fit least one of the following categories,
Financial Operations, IC & RA Review Initial:
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