What is Section 3?

Section 3 is a provision of the Housing and Urban Development (HUD) Act of 1968 that is intended to foster local economic development, neighborhood economic improvement, and individual self-sufficiency. The Section 3 program requires that recipients of certain HUD financial assistance provide job training, employment, and contracting opportunities for low- or very-low income residents in connection with projects and activities in their neighborhoods.

The goal of Section 3 is to ensure that employment and other economic opportunities generated by federal financial assistance for housing and community development programs are directed toward low- and very low-income persons, particularly recipients of government assistance.

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