HUD Announces Section 3 Self-Paced Training Modules

HUD has posted a self-paced “Understanding Section 3” training curriculum on the HUD Exchange. The curriculum is intended to provide “participants” (meaning public housing agencies, local and state governments, and business contractors) with information enabling them to be well-versed about this provision of the Housing and Urban Development Act of 1968 and its implementing regulations. Final regulations were issued on September 29, 2020 (see Memo, 10/5/20).

The online, self-directed training consists of eight modules that cover a variety of Section 3 topics:

  1. Understanding Section 3
  2. Implementing Section 3 Requirements
  3. Procurement Requirements
  4. Grantee Oversight Responsibilities and SPEARS (reporting)
  5. Compliance and Monitoring
  6. HUD Programs Covered by Section 3
  7. Best Practices
  8. Opportunity Portal

The materials also include a small contractors initiative training.

The purpose of Section 3 of the Housing and Urban Development Act of 1968 is to ensure that when HUD funds are used to assist housing and community development projects, “to the greatest extent feasible,” preference for some of the jobs and other economic opportunities created go to low-income people, “particularly those who are recipients of government assistance for housing.” Another Section 3 obligation is to support businesses owned or controlled by low-income people or businesses that hire them.

The Section 3 curriculum is at:

More information about Section 3 is on page 7-45 of NLIHC’s 2021 Advocates’ Guide, and on NLIHC’s public housing website at:, including a “Brief Summary and Analysis of the Final Section 3 Regulations” and a “Detailed Summary and Analysis of the Final Section 3 Regulations.