Oklahoma City Housing Authority Section 3 Policy
What is Section 3?
Authority’s Part in Compliance
The implementation of this policy is through the awarding
of contracts, to the greatest extent feasible, to create employment and business
opportunities for residents and/or businesses to low- and very low-income
OCHA and all Contractors shall be proactive in the
recruitment, employment and utilization of OCHA residents and other eligible
persons within the community for any new positions made available due to
contracts funded by HUD monies.
Making Section 3
Attempt to award at least 10% of the total dollar amount of
all Section 3 covered contracts to Section 3 business concerns for building
trades work including maintenance, repair, remodeling, modernization of OCHA
facilities or for building trades work arising in connection with housing
rehabilitation, housing construction or other contracted work.
OCHA’s goal is to advocate for as many OCHA residents as
possible. Contractors are strongly
encouraged to comply with Section 3 by hiring Section 3 eligible person
regardless of whether new hires are necessary.
How to Demonstrate
“Greatest Extent Feasible”
Any entity that enters into a contract or agreement to perform work generated by
the expenditure of Section 3 covered financial assistance.
This shall include all sub-tier contractors (subcontractors and
Opportunities Generated by Section 3 Covered Financial Assistance:
1) Training, employment, or other opportunities generated
by the expenditure of Section 3 covered financial assistance.
This shall include, but it not limited to, jobs (including training
positions or on-the-job training opportunities), skill development, registered
apprenticeships, and other business development; and 2) Other training
opportunities and contracting opportunities for building trades, professional
services and other activities directly associated with demolition,
rehabilitation or construction.
A person as defined in Section 3(b)(2) of the United States Housing Act of 1937
(42 U.S.C. 1437(b)(2), or a person whose median household income does not exceed
80 percent of the median household income within the metropolitan area or
nonmetropolitan county were the Section 3 cover project or activity is located.
1) Full or part-time employees for permanent, temporary, or seasonal employment
opportunities. This applies to any
employee that was not on the payroll of the entity administering Section 3
covered financial assistance funds at the beginning of the award of the Section
3 covered financial assistance; 2) Any person hired by an entity on a
per-project basis as a result of a Section 3 covered project or activity.
Consideration: The entity must give, to the greatest extent feasible,
training, employment, or contracting opportunities to Section 3 residents or
Section 3 businesses as defined in this section in accordance with the
appropriate orders of priority consideration related to the Section 3 covered
Section 3 Business:
A business that is located in the Section 3 local
area and that is able to demonstrate one of the following: 1) Meets the
definition of “resident-owned” business.
This is any business concern which is owned and controlled by public
housing residents. (The term
“resident-owned business” include sole proprietorships.) For purposes of this
part, “owned and controlled” means a business that a) Is at least 51% owned by
one or more public housing resident; b) Whose management and daily business
operations are controlled by one or more such individuals.
All securities which constitute ownership or control of a corporation for
purposes of establishing the business as a resident-owned business shall be held
directly by the public housing residents.
No securities held in trust, or by any guardian for a minor, shall be
considered as held by the public housing resident in determining the ownership
or control of a corporation. (Refer to 24 CFR 963 for complete details.); 2) The
business is 51 percent or more owned by a Section 3 resident; 3) The permanent,
full-time employees of the business include persons, at least 30% of whom are
Section 3 residents; 4) The business demonstrates that at least 20% of its
permanent full-time employees are Section 3 residents and the business either:
sponsored a minimum of 10% of its current Section 3 employees to attend
Department of Labor (DOL) or DOL recognized State-Apprenticeship Agency approved
registered apprenticeship, or a pre-apprenticeship training program that meets
the requirements in outlined DOL/ETA Training and Employment Notice 13-12; and
5) That 10% of its employees are participants or graduates of a DOL YouthBuild
Section 3 Resident:
An individual residing in the Section 3 local area
who can document that: 1) They are a public housing resident; 2) A participant
in a DOL YouthBuild program; 3) A member of a family that receives federal
housing assistance; and 4) An individual who meets the HUD income limits for
determining the eligibility of low- and very low-income persons for HUD assisted
housing programs within the metropolitan area or nonmetropolitan county.
Staff at OCHA is available to assist you with your Section 3 questions. Please contact (405) 239-7551 or post questions at mailto:firstname.lastname@example.org.
Oklahoma City Housing Authority
What is Section 3?
How does this affect me?
What is a Section 3 Resident?
1. A Housing Authority resident;
2. A participant in Department of Labor (DOL) YouthBuild program;
3. A member of a family that receives federal housing assistance;
4. An individual who meets the HUD income limits for determining the eligibility of low- and very low-income persons for HUD assisted housing programs within the metropolitan area.
What is a Section 3 Business?
1. A business that is located in the Section 3 Area (Oklahoma City/Oklahoma County);
2. A resident owned business. (A business at least 51 percent owned by one or more public housing residents. A business whose management and daily business operations are controlled by one or more such individuals.);
3. The permanent full-time employees of the business include persons, at least 30 percent of whom are Section 3 residents;
4. A business where at least 20% of its permanent full-time employees are Section 3 residents; sponsored a minimum of 10% to attend DOL recognized State-Apprenticeship Agency approved registered training programs; or 10% of its employees are participants or graduates of a DOL YouthBuild program.
How can I hire a Section 3 resident or business?
1. Post your position announcement at all Authority management offices;
2. Contract local community agencies;
3. Post signs;
4. Place an add in local newspaper or on the internet;
5. Contact CareerOneStop (http://www.careeronestop.org/).
6. The Oklahoma City Housing Authority is working on a Job Bank for contractors. This is in process. Please contact our Human Resources Dept. at (405) 239-7551 for further information.
You mention that some Section 3 residents must meet the HUD income limits for determining the eligibility of low- and very low-income persons for HUD assisted housing programs within the metropolitan area. How do I know these limits?
1. Contact the Oklahoma City Housing Authority;
2. Visit the following web-site, http://www.huduser.org/portal/datasets/il/il15/index.html.
Will the Oklahoma City Housing Authority require compliance?
How will I report to the Oklahoma City Housing Authority?
What is the new Section 3 Agreement that I must sign?
The Oklahoma City Housing Authority personnel are available to answer your questions regarding Section 3. In addition, you may visit the web-site sponsored by HUD at:http://portal.hud.gov/hudportal/HUD?src=/program_offices/fair_housing_equal_opp/section3/section3.