Section 3 of the Housing and Urban Development Act of 1968, commonly referred to as Section 3, requires that recipients of the United States 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.
PCHA, as a recipient of Federal funds, is committed to the compliance of Section 3 in its programs. Section 3 is applicable to all projects and activities funded, in part or in whole, with PCHA federal funds. Section 3 also applies to all subcontracts for Section 3 covered projects.
Section 3 benefits low-income and very low-income residents of
If you would like additional information, please plan to attend one of the following 2013 Section 3 Contractor Workshops:
May 30, 2013 from 3:00 pm - 5:00 pm
September 26, 2013 from 3:00 pm - 5:00 pm
The workshops will be held at the Central Office of the Pinellas County Housing Authority, located at 11479 Ulmerton Road, Largo, FL 33778.
What is a Section 3 Business Concern?
A Section 3 business concern is a business:
- that is fifty-one percent (51%) or more owned by Section 3 residents;
- whose permanent, full-time employees include persons, at least thirty percent 30%) 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 of subcontract in excess of twenty-five percent (25%) of the dollar award of all subcontracts to be awarded to business concerns that meet the qualifications set forth in items (1) or (2) above.
Section 3 business concerns who have been certified by PCHA qualify to receive contracting preferences similar to the ones that Section 3 residents receive in employment and training. Businesses registered, formed or licensed in accordance with city, county, or state laws that meet one of the qualifications listed below are known as “Section 3 business concerns”. These are business concerns:
- That are fifty-one percent (51%) or more owned by Section 3 residents;
- Whose permanent, full-time employees include persons, at least thirty percent (30%) 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 provide evidence of a commitment to subcontract in excess of twenty-five percent (25%) of the dollar award of all subcontracts to be awarded to business concerns that meet the qualifications set forth in items (1) or (2) above.
The order for providing the Section 3 business concern preference is listed below:
Category 1: Business concerns that are fifty-one percent (51%) or more owned by residents of the community or immediate area where the work is performed, or whose full time, permanent workforce includes thirty percent (30%) of these persons as employees.
Category 2: Local Youthbuild being carried out in
Category 3: Business concerns that are fifty-one percent (51%) or more owned by a Section 3 resident(s), or whose permanent, full-time workforce includes no less than thirty percent (30%) Section 3 residents (category 4 business); or that subcontract in excess of twenty-five percent (25%) of the total amount of subcontracts to Section 3 business concerns.
Businesses must submit an application to PCHA to become certified as a Section 3 business concern in order to receive preferences in Section 3 contracts. Click here to download the application.
How to Become a Section 3 Business Concern
Businesses seeking certification as a Section 3 Business must complete and submit the required form to the attention of the Resident Services & Programs Director and attach adequate proof of Section 3 eligibility, as required in the “Certification for Business Concerns Seeking Section 3 Preference in Contracting and Demonstrating Capability” application. Section 3 Business Concern Applications can be obtained by clicking here.
Certifications are provided on a two-year basis. Section 3 business concerns must meet the general conditions of compliance as referred to in 24 CFR §135.38, the Section 3 Clause. Previously certified Section 3 business concerns can submit a certification update to maintain certification if their qualifications have not changed.
Application packages should be mailed to the Pinellas County Housing Authority,
Business owners must submit an application to PCHA to become certified as a Section 3 business concern in order to receive preferences in Section 3 contracting.
Section 3 Resources
Section 3 Compliance Tips
Hiring and Training:
- Submit to PCHA a list of all positions necessary to complete a project including: names of employees who will fill those positions and the names of all other project related employees.
- Post notices of any vacant positions, in the service area (the location and/or neighborhood of the Section 3 covered project). The posting should include training and/or apprenticeship positions, qualifications for positions, places where applications will be received, contact information, starting date, time and days worked, hours worked, and rate of pay.
- To the greatest extent possible, making available vacant positions, including training and/or apprenticeship positions, to Section 3 residents (all categories) in order of priority.
- Conducting aggressive outreach regarding potential employment and training opportunities, such as advertising employment opportunities via newspaper, mailings, and posting vacancies on job boards.
- As positions are vacated during the completion of a contract, following the guidelines enumerated in numbers one, two, three and four above.
- Submitting compliance reports as required.
- If notified of non-compliance, correcting non-compliance within the allowable time period.