HUD has recently changed the definition of a Section 3 Business:
- At least 51% owned by a CHA resident(s) or HCV participant(s)
- At least 51% owned by a low-income person(s)
- A business where low-income persons make up a minimum of 75% of the labor hours
HUD defines a Section 3 Worker as:
Any worker who currently fits or when hired within the past five years fit at least one of the following:
- The worker’s income for the previous or annualized year is below the income limit established by HUD. ($61,800 for Chicago)
- The worker is employed by a Section 3 Business Concern
- The worker is a YouthBuild participant
HUD defines a Targeted Section 3 Worker as:
- A worker employed by a Section 3 Business Concern OR
- A worker who currently fits or when hired fit at least one of the following categories within the past five years:
- A resident of public housing or HCV;
- A resident of other public housing projects or Section 8 assisted housing managed by the PHA providing assistance; OR
- A Youthbuild worker