Thank you for your interest in doing business with Better Housing Coalition (BHC). BHC is committed to providing contracting opportunities that may provide employment and training for residents in the neighborhoods we build in. See below for current contract opportunities.
State and Federal funding sources often trigger Section 3 compliance requirements. While not every contractor needs to be Section 3-certified themselves, you must be willing to make best efforts to work with us to make opportunities available to qualified businesses and individuals. Read below for more information about Section 3.
From time to time, the Better Housing Coalition will post contracting opportunities for the construction of its single- and multi-family developments in this space. Our most recent contracting opportunity was for the construction of Market Square IV, a 60-unit senior community in North Chesterfield, Virginia. The contract was awarded in January, 2019.
Better Housing Coalition encourages Minority-Owned Businesses, Section 3 Businesses and businesses that employ Section 3 residents, to respond to our RFPs.
To receive a contract award, you must hold a Class A Contractors License for new construction projects, or a Class B License for rehabilitation projects. Please deliver the original completed forms via mail, email, or hand delivery to our office.
Better Housing Coalition
Attn: Phil Cunningham
23 W. Broad St. Suite 100
Richmond, VA 23220
- BHC Section 3 Action Plan – Single Family
- BHC Section 3 Process Workflow
- Section 3 Business Self-Certification Form
- W9 Form
Email BHC Development Associate Phil Cunningham or call (804) 644-0546 x135.
Section 3 Q&A
- What is Section 3?
- How does Section 3 promote homeownership?
- Who are Section 3 residents?
- What is a Section 3 business concern?
- How can businesses find Section 3 residents to work for them?
- Are recipients, contractors and subcontractors required to provide long-term employment opportunities, not simply seasonal or temporary employment?
- What if it appears an entity is not complying with Section 3?
- Will HUD require compliance?
- How can Section 3 residents or Section 3 business concerns allege Section 3 violations?
1. What is Section 3?
Section 3 is a provision of the Housing and Urban Development (HUD) Act of 1968 that helps foster local economic development, neighborhood economic improvement, and individual self-sufficiency. The Section 3 program requires that recipients of certain HUD financial assistance, to the greatest extent feasible, provide job training, employment, and contracting opportunities for low- or very-low income residents in connection with projects and activities in their neighborhoods.
2. How does Section 3 promote homeownership?
Section 3 is a starting point to homeownership. Once a Section 3 resident has obtained employment or contracting opportunities they have begun the first step to self-sufficiency.
3. Who are Section 3 residents?
Section 3 residents are:
- Public housing residents or
- Persons who live in the area where a HUD-assisted project is located and who have a household income that falls below HUD’s income limits.
Determining Income Levels
- 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.
4. What is a Section 3 business concern?
A business that:
- Is 51 percent or more owned by Section 3 residents;
- Employs Section 3 residents for at least 30 percent of its full-time, permanent staff; or
- Provides evidence of a commitment to subcontract to Section 3 business concerns, 25 percent or more of the dollar amount of the awarded contract.
5. How can businesses find Section 3 residents to work for them?
Businesses can recruit Section 3 residents in public housing developments and in the neighborhoods where the HUD assistance is being spent. Effective ways of informing residents about available training and job opportunities are:
- Contacting resident organizations, local community development and employment agencies
- Distributing flyers
- Posting signs
- Placing ads in local newspapers
6. Are recipients, contractors, and subcontractors required to provide long-term employment opportunities, not simply seasonal or temporary employment?
Recipients are required, to the greatest extent feasible, to provide all types of employment opportunities to low and very low-income persons, including permanent employment and long-term jobs.
Recipients and contractors are encouraged to have Section 3 residents make up at least 30 percent of their permanent, full-time staff.
A Section 3 resident who has been employed for 3 years may no longer be counted towards meeting the 30 percent requirement. This encourages recipients to continue hiring Section 3 residents when employment opportunities are available.
7. What if it appears an entity is not complying with Section 3?
There is a complaint process. Section 3 residents, businesses, or a representative for either may file a complaint if it seems a recipient is violating Section 3 requirements are being on a HUD-funded project.
8. Will HUD require compliance?
Yes. HUD monitors the performance of contractors, reviews annual reports from recipients, and investigates complaints. HUD also examines employment and contract records for evidence that recipients are training and employing Section 3 residents and awarding contracts to Section 3 businesses.
9. How can Section 3 residents or Section 3 business concerns allege Section 3 violations?
You can file a written complaint with your local HUD Field Office.
A written complaint should contain:
- Name and address of the person filing the complaint
- Name and address of subject of complaint (HUD recipient, contractor or subcontractor)
- Description of acts or omissions in alleged violation of Section 3
- Statement of corrective action sought i.e. training, employment or contracts