Section 3 Business Concern Representation

To be certified as a Section 3 Business Concern, the vendor must meet the requirements of one of the following four categories:

  • Category 1 business 51% or more owned by residents of the housing development or developments for which the Section 3-covered assistance is expended or whose full-time, permanent workforce includes 30% of such residents as employees.

Category 2 business 51% or more owned by residents of other housing developments or developments managed by the housing authority that is expending the section 3-covered funding or whose full-time, permanent workforce includes 30% of such residents as employees.

  • Category 3 business An entity selected to carry out a HUD Youth build program in the metropolitan area, or non-metropolitan county, in which the section 3-covered funding is expended.
  • Category 4 business 51% or more owned by section 3 residents or whose full-time, permanent workforce includes no less than 30% section 3 residents or that will subcontract in excess of 25% of the total amount of subcontracts to category 1 or 2 section 3 businesses.