Section 3

What is Section 3?

Courtesy of

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.  The Section 3 program requires that recipients of certain HUD financial assistance, to the greatest extent feasible, provide job training, employment, and contracting opportunities for low- or very-low income residents in connection with projects and activities in their neighborhoods.

Who are Section 3 Residents?

  • 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 income limits.


If you are a resident who wishes to apply for Section 3 preference, clickHERE.

Learn more about Section 3 here.



Women & Minority-Owned Businesses and S3 Business Concerns


Woman & Minority Owned Businesses


This program ensures that small and disadvantaged businesses, minority firms, and women-owned businesses can compete for and win a fair share of the contracts that HUD awards.

HUD’s Office of Small and Disadvantaged Business Utilization (OSDBU) serves as an ombudsman for small businesses, minority firms, businesses owned by disadvantaged persons, and women-owned firms (“target businesses”) to make sure that they get a fair share of HUD’s Federal contract awards—as mandated by the Small Business Act (SBA). Under this Act, every Federal agency must have an OSDBU that pursues this contracting goal.

Type of Assistance: 
The Federal Government’s goal under SBA is to award 23 percent of its prime contracts to small businesses. Within this goal, there is a subgoal of 5 percent for small, disadvantaged businesses and minority businesses, and 5 percent for women-owned small businesses. 

Click HERE if your business would like to apply for a Woman or Minority Owned Business Certification

Click HERE if your business would like to Re-Certify for a Woman or Minority Owned Business Certification


Section 3 Business Concerns

What is a Section 3 business concern?

A business that:

• Is 51% or more owned by Section 3 residents;
• Employs Section 3 residents for at least 30% of its full-time / permanent staff
• Provides evidence of a commitment to subcontract to Section 3 business concerns, 25% or more of the dollar amount of the awarded contract.


Click HERE if your business would like to apply for S3 Certification

Click HERE if your business would like to Re-Certify for S3 Certification