U.S. Department of Housing and Urban Development
- Section 3 Business
- Certification Designation: Section 3 Business
- Race Conscious: No
- Gender Conscious: No
- Re-Certification: Annual
- Graduation: None
- Approval Timeline: Varies (est. 30 Days)
- Cost: Free
- Website: www.hud.gov
Overview (Download PDF)
The purpose of section 3 Business Certification program is to ensure that recipients of certain HUD financial assistance direct economic opportunities to Section 3 residents and Section 3 business concerns. Economic opportunities include, but are not limited to, employment, apprenticeships, job training, contracts and subcontracting opportunities. HUD financial assistance covered under the Section 3 provision includes development assistance, operational assistance and modernization assistance (e.g., Community Development Block Grants).
A business may qualify as a Section 3 business concern if:
- The business is 51% or more owned by Section 3 resident; or
- HUD Youthbuild Programs; or
- The business employs Section 3 residents for at least 30% of its full-time, permanent staff; or
- The business provides evidence of a commitment to subcontract to Section 3 business concerns, 25% or more of the dollar amount of the awarded contract.
- Low income is defined as 80% or below the median income of that area;
- Very low income is defined as 50% or below the median income of that area; or
- Extremely low income is defined as 30% or below the median income of that area.
- Complete the HUD Section 3 Business application.
- Orleans Parish businesses: Submit the application to the Housing Authority of New Orleans.
- All other applicants: Contact the nearest HUD field office to determine where to submit your application.
The HUD Section 3 Business Concern Application
HUD Field Office contact information is included in the PDF Overview above.