HUD Archives: News Releases

HUD No. 09-200
Shantae Goodloe
(202) 708-0685
For Release
October 14, 2009

Section 3 designed to stimulate employment and economic development in local communities

WASHINGTON - The U.S. Department of Housing and Urban Development today launched a new campaign to increase hiring of low-income individuals and public housing residents by state and local governments that receive HUD funds. HUD is contacting more than 3,000 state and local agencies, including public housing authorities, to document their efforts to hire low-income individuals and to contract with companies who hire them. Agencies that fail to comply may be debarred, suspended, or denied participation in HUD programs.

HUD's authority stems from Section 3 of the Housing and Urban Development Act of 1968 which was enacted to promote new employment, training, and contracting opportunities and to guarantee low-income residents a chance to work on federal HUD-funded projects.

"HUD dollars should be invested in people as well as buildings," said John Trasviña, HUD Assistant Secretary for Fair Housing and Equal Opportunity. "Section 3 is the law. We will work with state and local governments, public housing authorities, labor organizations, businesses, and community leaders to create job opportunities and vigorously enforce the law."

Trasviña was joined by HUD Assistant Secretaries Sandra Henriquez and Mercedes Márquez of the Offices of Public and Indian Housing and Community Planning and Development in a letter directing state and local governments and public housing authorities to comply with Section 3 reporting requirements. The letter is one of the first in a series of steps to more aggressively enforce Section 3 hiring and contracting requirements and assist state and local governments and housing authorities to identify, train, and promote job opportunities for low-income individuals and public housing residents and companies employing them. Covered HUD programs include: PIH Assistance for Operations, Capital, and Modernization; HOPE VI, Community Development Block Grants, HOME Investment Partnerships; Disaster Recovery Assistance; Housing Opportunities for Persons with AIDS, and certain Recovery Act funding.

State and local agencies and public housing authorities have until November 30, 2009, to submit to HUD their required reports. More information on job opportunities and Section 3 are available online.

FHEO and its partners in the Fair Housing Assistance Program investigate more than 10,000 housing complaints annually. People who believe they are the victims of housing discrimination should contact HUD at (800) 669-9777 (voice), (800) 927-9275 (TTY). Additional information is available at Stay on top of the most up-to-date news regarding the Fair Housing Act by signing up for the FHEO RSS Feed.


HUD's mission is to create strong, sustainable, inclusive communities and quality affordable homes for all. HUD is working to strengthen the housing market to bolster the economy and protect consumers; meet the need for quality affordable rental homes: utilize housing as a platform for improving quality of life; build inclusive and sustainable communities free from discrimination; and transform the way HUD does business. More information about HUD and its programs is available on the Internet at and You can also follow HUD on twitter @HUDnews, on facebook at, or sign up for news alerts on HUD's News Listserv.


Content Archived: August 17, 2015