Section 3 Reporting Requirements by Program Office
Please note: The funding sources listed on this page are not the comprehensive list of programs applicable to Section 3 requirements. If a source is not listed, please follow up directly with the Program Office.
DRGR -
CDBG-DR, CDBG-MIT, NSP, and RHP grantees must report Section 3 data in HUD's Disaster Recovery Grant Reporting (DRGR) system. Section 3 requirements apply to a housing rehabilitation, housing construction or other public construction. The project is the site or sites together with any building(s) and improvements located on the site(s) that are under common ownership, management, and financing (e.g., CDBG funds used to rehabilitate 20 units in one building as part of an effort to rehabilitate 40 units in two buildings on a single property. The "Section 3 project" includes the rehabilitation of all 40 units.). Once the project is complete, the Section 3 requirements no longer apply to subsequent contracts. Section 3 requirements do not apply to projects assisted with housing and community development financial assistance that do not include housing rehabilitation, housing construction or other public construction (e.g., funds used for direct homebuyer assistance or tenant-based rental assistance). Pursuant to 24 CFR 75.3(b), Section 3 requirements also do not apply to materials-only contracts or contracts that do not require any labor. CDBG-DR, CDBG-MIT, NSP, and RHP grantees must report Section 3 data in HUD’s Disaster Recovery Grant Reporting (DRGR) system. The regulation established an applicability threshold of $200,000 for housing rehabilitation, housing construction, and other public construction (e.g., public facilities and improvements) projects assisted with housing and community development financial assistance.
HHGMS (Healthy Homes) -
IDIS -
CDBG, Section 108, and CDBG-CV grantees must report Section 3 data in HUD's Integrated Disbursement and Information System (IDIS). Section 3 requirements apply to a housing rehabilitation, housing construction or other public construction. The project is the site or sites together with any building(s) and improvements located on the site(s) that are under common ownership, management, and financing (e.g., CDBG funds used to rehabilitate 20 units in one building as part of an effort to rehabilitate 40 units in two buildings on a single property. The "Section 3 project" includes the rehabilitation of all 40 units.). Once the project is complete, the Section 3 requirements no longer apply to subsequent contracts. Section 3 requirements do not apply to projects assisted with housing and community development financial assistance that do not include housing rehabilitation, housing construction or other public construction (e.g., funds used for direct homebuyer assistance or tenant-based rental assistance). Pursuant to 24 CFR 75.3(b), Section 3 requirements also do not apply to materials-only contracts or contracts that do not require any labor. Per 24 CFR 75.3, the Section 3 requirements apply based on the amount of housing and community development funding provided by one or a combination of two or more different applicable HUD programs exceeding the $200,000 threshold. For example, if a project is funded with $101,000 of HOME funds and $100,000 of CDBG funds, then it exceeds the applicability threshold of $200,000 and the Section 3 requirements apply.
https://www.hudexchange.info/programs/idis/guides/
https://www.hudexchange.info/trainings/courses/section-3-final-rule-for-home-and-htf-overview/
RAD (Resource Desk) -
The link below is a resource desk to help direct users to their platform.
https://www.radresource.net/
PIH -
Section 3 applies to all public housing financial assistance and Section 3 projects, as follows:
Public housing financial assistance:
- Development assistance provided pursuant to section 5 of the United States Housing Act of 1937 (the 1937 Act);
- Operations and management assistance provided pursuant to section 9(e) of the 1937 Act;
- Development, modernization, and management assistance provided pursuant to section 9(d) of the 1937 Act; and
- The entirety of a mixed-finance development project as described in 24 CFR 905.604, regardless of whether the project is fully or partially assisted with public housing
Section 3 Projects:
Section 3 projects mean 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. The threshold is $100,000 where the assistance is from the Lead Hazard Control and Healthy Homes programs. The project is the site or sites together with any building(s) and improvements located on the site(s) that are under common ownership, management, and financing.