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HUD   >   Press Room   >   Press Releases   >   2011   >   HUDNo.11-265

 

HUD No. 11-261
Shantae Goodloe
(202) 708-0685
FOR RELEASE
Thursday
November 3, 2011

HUD EXPANDS JOB AND CONTRACTING OPPORTUNITIES FOR LOW-INCOME INDIVIDUALS AND THE BUSINESSES THAT HIRE THEM
New online database featured in five city pilot program promotes Section 3 contracting opportunities

WASHINGTON – The U.S. Department of Housing and Urban Development (HUD) today announced that it is launching a Section 3 Business Registry pilot program in Washington, DC, New Orleans, Detroit, Los Angeles, and Miami that will expand job opportunities for low-income people and public housing residents by registering businesses that currently hire them. 

Section 3 of the Housing and Urban Development Act of 1968 promotes employment, training, and contracting opportunities to low-income residents who live in communities where HUD funds are spent.   As a result, Section 3 promotes self-sufficiency for low-income persons, fosters the creation of small businesses, and helps build strong local economies.  For the data received so far, 2010 HUD investments led to 38,000 new jobs- of which 47% were Section 3 hires.  Almost 4000 Section 3 business concerns received $475 million in contracts.  These numbers should increase as reporting continues.

Under the pilot, HUD’s Section 3 Business Registry will offer a searchable online database that housing authorities, local government agencies, and contractors can use to identify firms that have self-certified their status as Section 3 businesses and that hire low-income individuals. 

“The business registry is the latest HUD initiative to increase job and contracting opportunities for low-income people and the companies who hire them,” said John Trasviña, HUD Assistant Secretary for Fair Housing and Equal Opportunity.  “What we learn from these five cities will enable local communities across the nation to expand job opportunities through HUD investments.” 

Since 2009, HUD has increased Section 3 reporting from 20% to 80% of eligible HUD recipients. HUD has supported recipients by providing technical assistance and training in Section 3 compliance and conducted a listening session of stakeholders from various sectors to hear ideas for improvement.  Recent HUD funding enabled 12 local recipients (public housing authorities, states, counties, and cities) to hire full-time Section 3 coordinators. 

The Section 3 Business Registry’s online database is also intended to make compliance easier for recipients.  It will increase the visibility of Section 3 firms and afford them better access to contracting opportunities.  In addition, Section 3 residents will be encouraged to use the Section 3 Business Registry to identify businesses that may have employment opportunities they can apply for. 

The Section 3 business registry pilot program will run until the fall of 2012.  For more information about or to search HUD’s new Section 3 Business Registry, go to www.hud.gov/Sec3biz.

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