The purpose of Section 3 of the Housing and Urban Development Act of 1968 is to ensure that employment and other economic opportunities are, to the greatest extent feasible, directed to low income persons and to businesses which provide economic opportunities for low income persons. It gives preference to firms that are owned by, or hire, people with low incomes. The video, The Power of Section 3, from the El Paso Housing Authority does a good job of explaining the program.
What is a Section 3 business?
- A business that is at least 51 percent owned by low-income residents,
- Whose permanent, full-time employees include persons, at least 30 percent of whom are currently Section 3 residents, or within three years of the date of first employment with the business concern were Section 3 residents, or
- That provides evidence of a commitment to subcontract in excess of 25 percent of the dollar award of all subcontracts to be awarded to a Section 3 business concern.
Section 3 Businesses must register every three years to maintain certification.
What is a Section 3 Resident?
Section 3 residents are:
- Public housing residents or
- Persons who live in the area where a HUD-assisted project is located and who have a household income that falls below HUD's Low-Income (80%), as shown above.
Section 3 Businesses
Find Section 3 Businesses in Clark County
This list of Section 3 Businesses in Clark County is updated regularly.
Building Industry Association of Clark County
The Building Industry Association (BIA) of Clark County has a website you might find helpful when looking to sub out work. The BIA is the region’s leading building industry and small business advocate.
Section 3 Businesses in Portland
Our neighbors in Portland have a Section 3 program too. You can learn more about their program and get a list of Section 3 businesses in Portland by visiting the City of Portland's website.
National HUD Section 3 Business Registry
Section 3 businesses can register with HUD on a national level. HUD provides a searchable list of these Section 3 businesses.
History of Section 3