[Code of Federal Regulations]
[Title 24, Volume 1]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 24CFR135.3]

[Page 690-691]
 
                 TITLE 24--HOUSING AND URBAN DEVELOPMENT
 
    CHAPTER I--OFFICE OF ASSISTANT SECRETARY FOR EQUAL OPPORTUNITY, 
               DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
 
PART 135--ECONOMIC OPPORTUNITIES FOR LOW- AND VERY LOW-INCOME PERSONS--Table of Contents
 
                      Subpart A--General Provisions
 
Sec. 135.3  Applicability.

    (a) Section 3 covered assistance. Section 3 applies to the following 
HUD assistance (section 3 covered assistance):
    (1) Public and Indian housing assistance. Section 3 applies to 
training, employment, contracting and other economic opportunities 
arising from the expenditure of the following public and Indian housing 
assistance:
    (i) Development assistance provided pursuant to section 5 of the 
U.S. Housing Act of 1937 (1937 Act);
    (ii) Operating assistance provided pursuant to section 9 of the 1937 
Act; and
    (iii) Modernization assistance provided pursuant to section 14 of 
the 1937 Act;
    (2) Housing and community development assistance. Section 3 applies 
to training, employment, contracting and other economic opportunities 
arising in connection with the expenditure of housing assistance 
(including section 8 assistance, and including other housing assistance 
not administered by the Assistant Secretary of Housing) and community 
development assistance that is used for the following projects;
    (i) Housing rehabilitation (including reduction and abatement of 
lead-based paint hazards, but excluding routine maintenance, repair and 
replacement);
    (ii) Housing construction; and
    (iii) Other public construction.
    (3) Thresholds--(i) No thresholds for section 3 covered public and 
Indian housing assistance. The requirements of this part apply to 
section 3 covered assistance provided to recipients, notwithstanding the 
amount of the assistance provided to the recipient. The requirements of 
this part apply to all contractors and subcontractors performing work in 
connection with projects and activities funded by public and Indian 
housing assistance covered by section 3, regardless of the amount of the 
contract or subcontract.
    (ii) Thresholds for section 3 covered housing and community 
development assistance--(A) Recipient thresholds. The requirements of 
this part apply to recipients of other housing and community development 
program assistance for a section 3 covered project(s) for which the 
amount of the assistance exceeds $200,000.
    (B) Contractor and subcontractor thresholds. The requirements of 
this part apply to contractors and subcontractors performing work on 
section 3 covered project(s) for which the amount of the assistance 
exceeds $200,000; and the contract or subcontract exceeds $100,000.

[[Page 691]]

    (C) Threshold met for recipients, but not contractors or 
subcontractors. If a recipient receives section 3 covered housing or 
community development assistance in excess of $200,000, but no contract 
exceeds $100,000, the section 3 preference requirements only apply to 
the recipient.
    (b) Applicability of section 3 to entire project or activity funded 
with section 3 assistance. The requirements of this part apply to the 
entire project or activity that is funded with section 3 covered 
assistance, regardless of whether the section 3 activity is fully or 
partially funded with section 3 covered assistance.
    (c) Applicability to Indian housing authorities and Indian tribes. 
Indian housing authorities and tribes that receive HUD assistance 
described in paragraph (a) of this section shall comply with the 
procedures and requirements of this part to the maximum extent 
consistent with, but not in derogation of, compliance with section 7(b) 
of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 
450e(b)). (See 24 CFR part 905.)
    (d) Other HUD assistance and other Federal assistance. Recipients, 
contractors and subcontractors that receive HUD assistance, not listed 
in paragraph (a) of this section, or other Federal assistance, are 
encouraged to provide, to the greatest extent feasible, training, 
employment, and contracting opportunities generated by the expenditure 
of this assistance to low- and very low-income persons, and business 
concerns owned by low- and very low-income persons, or which employ low- 
and very low-income persons.