Section 3 requirements do not apply to materials-only contracts or contracts that do not require any labor. Section 3 applies to all housing and community development projects with $200,000 or more of federal funding (HOME, HTF, CDBG, other federal sources). (HUD published a separate Benchmark Notice which established initial numeric goals, or benchmarks, to measure grantee compliance with the regulation). (c) However, contractors and subcontractors must meet the regulations requirements, regardless of whether their agreements or contracts include Section 3 language. PHAs or other recipients must include language in any agreement or contract to apply Section 3 to contractors. -+j!Z1-PD"FZQ`Uqr0 $8wt\=& t>[D)N5ogtIL+ct1+tMxo*N78_o. Make sure your information is up to date. For public housing financial assistance, the definition of a Targeted Section 3 worker is a Section 3 worker who is also: For housing and community development financial assistance programs, a Targeted Section 3 worker is a Section 3 worker who is also: Determining a Service Area: When fewer than 5,000 people living within one mile of the Section 3 project, a recipient of housing and community development financial assistance may increase the size of the service area so that it is sufficient to encompass a population of 5,000 people, according to the most recent U.S. Census. 09/28/2020 at 8:45 am. Fraikin Chambry ou si vous avez visit un magasin, veuillez laisser vos commentaires sur ce magasin: At least 51 percent owned and controlled by low-or very low-income persons >>, B. The final rule took effect on November 30, 2020, and updates HUD's Section 3 regulations to create more effective incentives for employers to retain and invest in their low- and very low-income workers, streamline reporting requirements by aligning them with typical business practices, provide for program-specific oversight, and clarify the obli. should verify the contents of the documents against a final, official Find point of contact information for HUD's grantees. The following benchmarks apply to recipients subject to Section 3 upon the effective date in the Section 3 final rule: For meeting the safe harbor in 75.13, PHAs and other recipients that certify to following the prioritization of effort in 75.9 and meet or exceed the following Section 3 benchmarks will be considered to have complied with requirements in proposed 24 CFR part 75, subpart B, in the absence of evidence to the contrary: (1) Twenty-five (25) percent or more of the total number of labor hours worked by all workers employed with public housing financial assistance in the PHA's or other recipient's fiscal year are Section 3 workers; (2) Five (5) percent or more of the total number of labor hours worked by all workers employed with public housing financial assistance in the PHA's or other recipient's fiscal year are Targeted Section 3 workers, as defined at 75.11. &/$66(0(17 0,1,0(6 0dvfxolqv 5(*,21 $85$ oh mdqylhu &odvvhphqw 1rp 3upqrp 6h[h&rplwp &oxe &dwp srlgv 0lql &dwp srlgv uhwhqx Partially correct. A worker who currently fits, or when hired fit, at least one of the following categories, as documented within the past five years: Living within one mile of the service area or the neighborhood of the project; If fewer than 5,000 people live within one mile of a Section 3 project, within a circle centered on the Section 3 project that is sufficient to encompass a population of 5,000 people according to the most recent U.S. Census. Targeted Section 3 Labor Hours = 5% Total Labor Hours Successful compliance with HUD Section 3, federal regulation 24 CFR Part 75, by the subrecipient, developer, general contractor, and subcontractor will be a factor in determining future awards of Section 3 covered assistance. ( i) Section 3 projects means housing rehabilitation, housing construction, and other public construction projects assisted under HUD programs that provide housing and community development financial assistance when the total amount of assistance to the project exceeds a threshold of $200,000. A Guide on How CDBG-DR Grantees Can Meet the Requirements of the Consolidated Notice, Infrastructure (Public Facilities and Public Improvements), Pre-Award Evaluation of Management and Oversight of Funds, DRGR Requirements & Submittal of the Public Action Plan, Connection of Programs and Projects to Unmet Need, Public Housing, Affordable Rental Housing, and Housing for Vulnerable Populations, Fair Housing, Civil Rights Data & Advancing Equity, Resilience, Hazard Mitigation and Climate Action, URA, Section 104(d), and Related Relocation Requirements, A. On April 4, 2019, HUD proposed a rule to update the Section 3 regulations. Small PHA Clause: Small PHAs may elect not to report under Part 75.15 (a). 11246. These markup elements allow the user to see how the document follows the The regulations are found at 24 CFR Part 75. on NARA's archives.gov. Agree to help contractors meet Section 3 requirements and attain Section 3 benchmarks for the covered project. The final rule includes a requirement that HUD set Section 3 benchmarks by publishing a notification, subject to public comment, in the Federal Register. To prepare for potential monitoring, grantees must establish and maintain documentation that: Demonstrates the workers meet the definition of a Section 3 worker or Targeted Section 3 worker. RAD for PRAC Initial Contract Rent Setting. 1701u. HUD considers public housing authorities to be in compliance with Section 3 if they and their contractors and subcontractors (for contracts other than for materials and supplies) meet the following minimum numerical goals for Section 3 Labor Hours and Qualitative Efforts: A. Section3 Worker and Targeted Section 3 Worker Labor Hours Requirements Find point of contact information for HUD's grantees. This amount exceeds the HUD funding threshold. rendition of the daily Federal Register on FederalRegister.gov does not This guidance document covers questions in several topic areas and is divided into parts that contain questions on that part's topic. These opportunities are, to the greatest extent feasible, required to be given to low- and very low-income persons and business concerns, particularly those who are recipients of government assistance for housing or residents of the community in which the federal funds are spent. For Section 3 projects, the proposed benchmark notification set the same benchmarks but with regards to the project itself rather than the recipient's fiscal year. Corse, Nimes, This chart provides an example of a recipient who determined that a one-mile radius around the Section 3 project site would only include 1,000 people. HUD offers guidance to grantees on how they can track and report on each of the three categories of workers as a safe harbor for compliance. More information and documentation can be found in our Learn about what HUD grantees are doing across the nation. All contractors/subcontractors that are debarred, suspended or otherwise excluded from or ineligible for participation on federal assistance programs may not undertake any activity in part or in full under this project. 4321). PHAs and other recipients must report the following information: The total number of labor hours worked on the project; The total number of labor hours worked by Section 3 workers on the project; and. The regulation simplifies and establishes Section 3 requirements. Pour le moment, il n'y a pas d'avis sur Explore featured publications and browse regulations, policy guidance, toolkits, and other resources. The burden applied to . A Rule by the Housing and Urban Development Department on 09/29/2020. This document is intended to provide guidance for Section 3 funding recipients, subrecipients, contractors, subcontractors, workers, and other stakeholders. This is the best answer. The final rule separates out the new requirements and benchmarks by the type of funding, as follows: (1) Public housing program: Subpart B, Additional Provisions for Public Housing Financial Assistance, covers development assistance provided pursuant to section 5 of the U.S. Housing Act of 1937 (1937 Act) and Operating Fund and Capital Fund assistance provided pursuant to section 9 of the 1937 Act, collectively; these are defined as public housing financial assistance in the proposed rule. Resident of public housing or Section 8-assisted housing; Resident of another project managed by the PHA that is expending assistance; or, Living within the service area or neighborhood of the project; or. Correct. It is not an official legal edition of the Federal Ensure all contractors commit to Section 3 labor hours goals and outline a labor hours plan. Documentation A Section 3 worker is a worker who currently fits or when hired within the past five years fits at least one of the following categories: An LMI worker that fell below HUD income limits for the previous or annualized calendar year. Espace ddi la vente et au service aprs-vente de badges tlpage pour vhicules lgers et linformation relative aux services autoroutiers. A worker who currently fits or when hired was living within the service area, neighborhood of the project, or is a YouthBuild participant. Report to HUD on the cumulative Section 3 activities taking place within their jurisdiction on an annual basis. Foursquare 2023 Lovingly made in NYC, CHI, SEA & LA. Jusqu' prsent, les critiques n'ont pas t ajoutes. More than 75 percent of the labor hours performed for the business over the previous 3-month period are performed by Section 3 workers >>, C. At least 51 percent owned and controlled by current residents of public housing or residents who currently live in Section 8 assisted housing >>, A. Neither HUD public housing financial assistance nor HUD housing and community development financial assistance is included in calculating whether the assistance exceeds the $100,000 threshold. This assessment should be informed by the employers existing salary or time and attendance-based payroll systems. Fraikin Chambry 455 Rue des Epinettes, Z.I des Landiers Nord, La Motte-Servolex, ara 73000 . HUD's regulations implementing the requirements of Section 3 have not been updated since 1994 and are not as effective as HUD believes they could be. L. 90-448, approved August 1, 1968) (Section 3) (12 U.S.C. Each document posted on the site includes a link to the Register for upcoming training, webinars, conferences, and more. What documentation must be maintained by HUD recipients, contractors and subcontractors certifying that low- and very-low individuals and business concerns meet the . edition of the Federal Register. The methodology in determining the Section 3 benchmarks, as discussed above in the Background section, did not change from what was described in the proposed benchmark notification because the definitions of Section 3 Workers, Targeted Section 3 Workers, and Section 3 Business concerns provided in the proposed rule and adopted in the Section 3 final rule were not substantially different. Bids may be held by the City for a period not to exceed 60 days from the date of the bid opening for the purpose of reviewing the bids and investigating the bidders qualifications prior to the contract award. If a Section 3 project is assisted with public housing financial assistance and housing and community development financial assistance, the recipient must follow subpart B of Part 75 for the public housing financial assistance and may follow either subpart B or C of Part 75 for the housing and community development financial assistance. The Section 3 plan template is a tool to help contractors complete a Section 3 Plan and be in compliance with HUD's requirements for complying with Section 3. Certifies the employee met the requirements to receive the Section 3 worker status. In establishing the Section 3 benchmarks, HUD would exclude professional services, which would be defined as non-construction services that require an advanced degree or professional licensing, including, but not limited to, contracts for legal services, financial consulting, accounting services, environmental assessment, architectural services, and civil engineering services. Recipients should require a self-certified Section 3 business concern to submit some type of certification form during the bidding or contracting process for businesses bidding on a Section 3 activity or project. This document finalizes the benchmarks with regards to labor hours for both public housing financial assistance and Section 3 projects without changes from what was included in the proposed benchmark notification. 5 percent or more of the total number of labor hours worked by all workers employed with public housing financial assistance in the PHAs or other recipients fiscal year are Targeted Section 3 workers. Federal Register. Small PHAs that make such election are required to report on their qualitative efforts, as described in Part 75.15 (b), in a manner consistent with reporting requirements for the applicable HUD program. 1701u) was enacted to ensure, to the greatest extent feasible, that economic opportunities generated by certain HUD financial assistance expenditures are directed to low- and very low-income persons, particularly those who receive Federal financial assistance for housing and those residing in communities where the financial assistance is expended. Occitanie, Provins, Section 3 projects, as described above under Thresholds Section 3 requirements apply to an entire project, regardless of whether the project is fully or partially assisted under HUD programs that provide housing and community development financial assistance; Section 3 requirements do not apply to: Material Supply Contracts - 75.3(b) (a) Tax and Flood Determination Fees. Section 3 of the Housing and Urban Development Act of 1968 (Pub. For example, if CDBG-DR funds are used for direct homebuyer assistance or tenant-based rental assistance, the Section 3 requirements do not apply. Section 3 applies to training or employment arising in connection with HUD-funded housing rehabilitation, housing construction, or other public construction projects, and any contracting opportunities arising in connection with both public housing and other Section 3 projects. This is an equal opportunity bidding event and MBE, WBE and Section 3-DBE bidders are encouraged to bid. SECTION 3 CONTRACT REQUIREMENTS [24 CFR 135] . Based on the wage distribution data for on-site construction and building services, HUD set the threshold for Section 3 labor hours at 25 percent of all labor hours to encourage recipients, subrecipients, contractors, and subcontractors to hire more Section 3 workers for construction. Alastair W. McFarlane, Director, Economic Development and Public Finance Division, Office of Policy Development and Research, Department of Housing and Urban Development, 451 7th Street SW, Room 8216, Washington, DC 20410; telephone 202-402-5845 (voice/TDD) (this is not a toll-free number). If a recipient complies with the statutory priorities regarding effort and meets the outcome benchmarks in this document, HUD will presume the recipient is following Section 3 requirements, absent evidence to the contrary. Section 202 Capital Advance and assisted with a Project Rental Assistance Contract (PRAC). and services, go to Use the PDF linked in the document sidebar for the official electronic format. A worker who currently fits or when hired was living within the service area, neighborhood of the project, or is a YouthBuild participant >>, A. Grantees should also be regularly monitoring for contractor compliance; assisting contractors to obtain compliance; penalizing non-compliance; providing incentives for good performance; and refraining from entering into contracts with any contractor that previously failed to comply with the requirements of Section 3. In order for the Section 3 employment goal to be attainable, HUD determined a labor-hour threshold that is congruent with the labor market for low-income workers by examining the lower end of the wage distribution of the relevant industries. The final rule also includes all Section 3 business concerns labor hours in the definition of both Section 3 workers and Targeted Section 3 workers. Grantees must certify that they are making efforts to prioritize contracting with Section 3 business concerns and are responsible for verifying that businesses meet the definition. Incorrect. The final rule, consistent with HUD's Section 3 proposed rule, includes new metrics for compliance safe harbors and provides that these benchmarks will be set by notification in the Federal Register. daily Federal Register on FederalRegister.gov will remain an unofficial Labor hours means the number of paid hours worked by persons on a Section 3 project or by persons employed with funds that include public housing financial assistance. to the courts under 44 U.S.C. This table of contents is a navigational tool, processed from the A low- or moderate-income worker that fell below HUD income limits for the previous or annualized calendar year >>, B. This repetition of headings to form internal navigation links Correct. A business at least 51 percent owned and controlled by current public housing residents or residents who currently live in Section 8-assisted housing. The Section 3 program requires recipients of HUD funding to direct employment, training, and contracting opportunities to low-income individuals and the businesses that employ these persons within their community. The purpose of Section 3 is to ensure that preference for employment, training and contracting opportunities generated from the expenditure of certain HUD funds is directed to local low- and very low-income persons, particularly those who receive federal housing assistance, and businesses that are owned by or substantially employ such persons. The following is a list of examples of programs that provide housing and community development financial assistance: The threshold is $100,000 where the assistance is provided through LHCHH programs, as authorized by Sections 501 or 502 of the Housing and Urban Development Act of 1970, the Lead-Based Paint Poisoning Prevention Act, and the Residential Lead-Based Paint Hazard Reduction Act of 1992. This Guidebook curates the latest guidance, tools, and resources for implementing and applying Section 3 to HUD funded projects and activities. Section 3 contributes to the establishment of stronger, more sustainable communities by ensuring that employment and other economic opportunities generated by Federal funds for housing and community development programs are directed toward low- and very low-income persons. establishing the XML-based Federal Register as an ACFR-sanctioned HUD funding recipients can recruit potential Section 3 business concerns by: Implementing a resident business development initiative or business incubator to support resident entrepreneurship (e.g. 2020-19183 Filed 9-28-20; 8:45 am]. Explore featured publications and browse regulations, policy guidance, toolkits, and other resources. |5@- o,xuHY#S/ZLq$R%zS`FGgt0 1#)d2Dt4`3h | 1%pa5`K1Zn m,"kJ vO9 The benchmark for Section 3 workers was set at 25 percent or more of the total number of labor hours worked by all workers employed with public housing financial assistance in the PHA's or other recipient's fiscal year. A Targeted Section 3 worker is a worker who meets the definition of a Section 3 worker, plus one of the following: A worker employed by a Section 3 business concern, or. Provence-Alpes-Cte d'Azur, Reims, Furthermore, significant legislation has been enacted that affects HUD programs that are subject to Section 3 and that are not adequately addressed in the current Section 3 regulations. Occitanie, Quimper, for better understanding how a document is structured but Bid/Contract Documents, including Drawings and Technical Specifications are on file at the office of the Mayor located at 107 S Main St, Milford, TX 76670. percent of the assisted units leased or available for leasing by Families eligible under section 8 requirements at initial occupancy, HUD (or the PHA at the direction of HUD, as appropriate) may, on at least 30 days' notice, reduce the number of units covered by the HAP Contract. Espace AREA de Chambry. Public housing financial assistance means: Section 3 projects are housing rehabilitation, housing construction, and other public construction projects assisted under HUD programs that provide housing and community development financial assistance when the total amount of assistance to the project exceeds $200,000 of housing and community development financial assistance. 530 0 obj <>/Filter/FlateDecode/ID[<1CC66F43982597499E5CE18AE7F7CCC0><43D597538BEF0F419945DD5C308C7427>]/Index[520 30]/Info 519 0 R/Length 66/Prev 276387/Root 521 0 R/Size 550/Type/XRef/W[1 2 1]>>stream 4111(k)) must provide preferences in employment, training, and business opportunities to Indians and Indian organizations, and are therefore not subject to Section 3 requirements, Other HUD assistance and other federal assistance -, Recipients that are not subject to Section 3 are encouraged to consider ways to support the purpose of Section 3, The workers income for the previous or annualized calendar year is below the income limit established by HUD, The worker is employed by a Section 3 business concern, A worker employed by a Section 3 business concern; or. The Section 3 final rule aims to make Section 3 goals and reporting more meaningful and more aligned with statutory requirements. developer tools pages. Occitanie, Niort, A business must meet one or more of these requirements to qualify as Section 3 Business Concern. Successful methods by which a business can locate and hire Section 3 workers within the area of the project or in public housing development projects include: HUD funding recipients can recruit potential Section 3 business concerns by: 2023 US Department of Housing and Urban Development, Office of Community Planning and Development, Office of Housing Rental Assistance Demonstration, Office of Lead Hazard Control and Healthy Homes. Explore collections of guided learning opportunities on a variety of topics. Lastly, HUD commits to updating the benchmarks no less frequently than once every three years through notice, Start Printed Page 60909subject to public comment, in the Federal Register. It is a business at least 51 percent owned by current public housing residents or residents who currently live in Section 8-assisted housing. Telephone: (202) 708-1112TTY: (202) 708-1455. 520 0 obj <> endobj Attention is called to the fact that not less than, the federally determined prevailing (Davis-Bacon and Related Acts) wage rate, as issued by the Texas Department of Agriculture Office of Rural Affairs and contained in the contract documents, must be paid on this project. Professional Services: PHAs and other recipients reporting under this section, as well as contractors and subcontractors who report to PHAs and recipients, may report labor hours by Section 3 workers and labor hours by Targeted Section 3 workers from professional services without including labor hours from professional services in the total number of labor hours worked. See 84 FR 13177. Until the ACFR grants it official status, the XML Fraikin Chambry sur notre site. The recipient expanded and ultimately defined their service area for this Section 3 project at 50 miles, which encompassed 5,000 people. This document involves the establishment of new Section 3 benchmarks for creating economic opportunities for low- and very low-income persons and eligible businesses, and does not direct, provide for assistance or loan and mortgage insurance for, or otherwise govern or regulate, real property acquisition, disposition, leasing, rehabilitation, alteration, demolition, or new construction; or establish, revise, or provide for standards for construction or construction materials, manufactured housing, or occupancy. Elsewhere in this issue of the Federal Register, HUD published a final rule that would amend the Section 3 regulations to, among other things, increase Section 3's impact, and streamline and update HUD's reporting and tracking requirements. Employed by a Section 3 business concern. Employed by a Section 3 business concern >>, A. Correct. le-de-France, Poitiers, Grantees will report Section 3 data at the activity level data in DRGR. HUD is finalizing the same benchmarks for all public housing financial assistance and Section 3 projects. Mortgage Insurance. In the final rule, HUD is not adopting the new hires formula as proposed as an alternative in the proposed rule, so the new hires formula is accordingly not reflected in this document. It is at least 51 percent owned by low- or very low-income persons; Over 75 percent of the labor hours performed for the business are performed by low- or very low-income persons; or. the Federal Register. If you have any questions or need any additional information, please contact Mark at 816-309-9647 or .
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