Downtown Infrastructure Improvements

Georgia Department of Community Affairs
Mandatory Section 3 Solicitation Package
This mandatory solicitation package has been developed in accordance with DCA's Section 3 Policy for
Covered HUD Funded Activities. DCA encourages all recipients, sub-recipients, contractors, and sub-
contractors to review this policy prior to completion of the solicitation package. For those awards that
meet the applicable Section 3 thresholds, this package must be returned in accordance with the
applicable instructions to the contracting entity prior to award or at the time of submission of a
bid/proposal in order to claim a Section 3 preference. The Section 3 Clause, required forms, and
instructions are included in this package. All Recipients and Sub-recipients of Section 3 covered
Assistance (including but not limited to contractors, sub-contractors, developers, grantees, CHDOs, non-
profits, and local government entities) are subject to compliance with regulations in 2 Part 75.
Additional provisions for Housing and Community Development Financial Assistance.
75.19 Requirements.
(a)Employment and training.
(1) To the greatest extent feasible and consistent with existing federal state and local laws and
regulations recipients covered by this subpart shall ensure that employment and training
opportunities arising in connection with Section 3 projects are provided to Section 3 workers
within the metropolitan area (or nonmetropolitan county) in which the project is located.
(2) Where feasible priority for opportunities and training described in paragraph (a)(l) of this section
should be given to:
(i) Section 3 workers residing within the service area or the neighborhood of the
project and
(ii) Participants in YouthBuild programs.
(b)Contracting
(1) To the greatest extent feasible and consistent with existing, Federal, state, and local laws and
regulations recipients covered by this subpart shall ensure contracts for work awarded in
connection with Section 3 projects are provided to business concerns that provide economic
opportunities to Section 3 workers residing within the metropolitan area (or nonmetropolitan
county) in which the project is located.
(2) Where feasible, priority for contracting opportunities described in paragraph (b)(l) of this section
should be given to:
(i) Section 3 business concerns that provide economic opportunities to Section 3 workers
residing within the service area or the neighborhood of the project, and
(ii) YouthBuild programs.
Any bid/proposal claiming a preference must include the completed and signed Section 3 Self-
Certification and Action Plan and the Section 3 Business Concern Self Certification and be
submitted by the bid/proposal deadline.
The following Section 3 forms must be completed and returned prior to contract execution:
* Section 3 Self Certification and Action Plan
* Previous Section 3 Compliance Certification
* Assurance of Compliance Certification
Additionally, if the contractor is claiming certification as a 51% owned by low or very low-income
residents or is certifying as a 75% workforce the Resident Self-Certification and Skills Data Form must
be returned for all employees who meet the low- or very low-income requirement as well as the
appropriate Section 3 Business Certification.

Section 3 Solicitation Overview and Instructions for
Contractors
The DCA Section 3 Policy requires that, when the Section 3 regulation is triggered, every
effort within the contractor's disposal must be made, to the greatest extent feasible, to offer all
available employment and contracting opportunities to Section 3 residents and Section 3
businesses based on the compliance methods below.
All Contracts and All Contractors must meet Section 3 compliance by:
A. Giving notice of any and all opportunities for employment and contracting to residents of
the local Public Housing Authority (PHA), and other low and very low income area
residents and businesses, by posting the opportunity in community sources generally
available to low income residents and the general public. Exercising a minimum of
three (3) of the following listed sources must be completed prior to offering employment
to anyone not covered by Section 3 requirements:
1. The local community newspaper
2. The most widely distributed newspaper
3. Company or agency website
4. The management office of the local housing authority/homeless service
agency/local low income housing community
5. Local Workforce Board (i.e., Department of Labor)
6. Local office of the Georgia Division of Family and Children Services
7. Dodge Room http://www.construction.com/dodge/dodge.asp
8. Other locations as approved by DCA
B. The recipient, sub-recipient or contractor must check the HUD Section 3 Business
Registry to determine if there are any Section 3 businesses in the County where the
work will be performed. If there are Section 3 businesses in the County that may be able
to perform the work, the recipient, sub-recipient or contractor must provide a copy of the
contracting opportunity(ies) (e.g., bid notices) to the Section 3 businesses. See the HUD
Section 3 Business Registry at: https://hudapps.hud.gov/OpportunityPortal/.
C. Clearly stating in notices that the position is a "Section 3 covered position under the
HUD Act of 1968 and that Section 3 Residents and Business Concerns are encouraged
to apply."
D. Placing the Section 3 Clause provided in Appendix A in ALL solicitations.
E. When possible, other activities may be done to demonstrate effort to comply with the
Safe Harbor Limits. These other efforts are listed in the appendix to part 75 of the Code
of Federal Regulations-24 CFR Part 75 and include:
Engaged in outreach efforts to generate job applicants who are Targeted Section 3 workers.
1) Provided training or apprenticeship opportunities.
2) Provided technical assistance to help Section 3 workers compete for jobs (e.g.,
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resume assistance, coaching).
3) Provided or connected Section 3 workers with assistance in seeking employment
including: drafting resumes, preparing for interviews, and finding job opportunities
connecting residents to job placement services.
4) Held one or more job fairs.
5) Provided or referred Section 3 workers to services supporting work readiness
and retention (e.g., work readiness activities, interview clothing, test fees,
transportation, childcare).
6) Provided assistance to apply for/or attend community college, a four-year
educational institution, or vocational/technical training.
7) Assisted Section 3 workers to obtain financial literacy training and/or coaching.
8) Engaged in outreach efforts to identify and secure bids from Section 3 business
concerns.
9) Provided technical assistance to help Section 3 business concerns understand
and bid on contracts.
10)Divided contracts into smaller jobs to facilitate participation by Section 3 business
concerns.
11)Provided bonding assistance, guaranties, or other efforts to support viable bids
from Section 3 business concerns.
12)Promoted use of business registries designed to create opportunities for
disadvantaged and small businesses.
13)Outreach, engagement, or referrals with the state one-stop system as defined in
Section 121(e)(2) of the Workforce Innovation and Opportunity Act
F. Linking residents or businesses to local resources that may be available to
help prepare them for applying for and achieving the opportunity.
G. Working with DCA, the recipient, sub-recipient or contractor as applicable in
developing a communication and follow up process to track and report all
Section 3 applications and hiring activities to ensure the reporting of
compliance efforts, and that contracting and sub- contracting are accurate.
Provide preference in hiring and contracting to Section 3 applicants and
contractors when employment or contracting opportunities are offered and all
requirements are met and remain equal. Contractors must:
1. Provide this package to all sub-contractors when soliciting bids for all
contracts or sub- contracts;
2. Meet all the same processes in A-E; and
3. Provide Preference to all sub-contractors meeting the definitions as
stated in Section VI of DCA's Section 3 Policy for Covered HUD Funded
Activities.
H. In order for Preference as a Section 3 Contractor to be factored into the
award decision, all elements of the solicitation criteria must be equal between
contracts. This means price and all other factors must be equal. Then the
contractors that elect Preference on the Certification and Action Plan form
that meet that Preference criterion will be provided Preference in the award
of the contract as provided in Part VI., Preferences and Eligibility of DCA's
Section 3 Policy for Covered HUD Funded Activities.
Example:
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Bill's electrical and Sue's Electrical bid a job where the housing authority has a budget of
$500,000. Bill bids $480,000 and elects a Preference as a Section business concern
because he qualifies as a Section 3 Business concern. Sue bids $450,000 but does not
elect any Preference. Both companies met all the other requirements. Sue will be
awarded the contract because Bill's bid was higher.
Important items to remember about receiving Preferences in contract award:
All contractors and/or subcontractors that elect a Preference and are
awarded a contract must be in compliance prior to the issuance of a Notice to
Proceed by DCA, the recipient, sub- recipient, or the contractor based on the
policies established for the applicable DCA funding program. The contractor
and/or subcontractor must maintain the elected Preference standard during
the entire contract or risk having the contract terminated for failure to comply.
See Appendix B for further details.
When a contractor and/or subcontractor that elected a Preference is unable
to identify a Section 3 resident or a Section 3 business for employment or
contracting opportunities, the contractor then must offer employment
related training to the Section 3 residents in the county. The training must
be provided according to Part VII - Other Economic Opportunities in DCA's
Section 3 Policy.
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Appendix A
Section 3 Clause
Training and Employment Opportunities for Residents in the Project Area (Section 3,
HUD Act of 1968; 24 CFR 75)
(a) The work to be performed under this contract is subject to the requirements of section 3 of
the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u (section 3).
The purpose of section 3 is to ensure that employment and other economic opportunities
generated by HUD assistance or HUD-assisted projects covered by section 3, shall, to the
greatest extent feasible, be directed to low- and very low-income persons, particularly persons
who are recipients of HUD assistance for housing.
(b) The parties to this contract agree to comply with HUD's regulations in 24 CFR Part 75,
which implement section 3. As evidenced by their execution of this contract, the parties to this
contract certify that they are under no contractual or other impediment that would prevent
them from complying with the Part 75 regulations.
(c)The contractor agrees to send to each labor organization or representative of workers with
which the contractor has a collective bargaining agreement or other understanding, if any, a
notice advising the labor organization or workers' representative of the contractor's
commitments under this section 3 clause and will post copies of the notice in conspicuous
places at the work site where both employees and applicants for training and employment
positions can see the notice. The notice shall describe the section 3 preference, shall set forth
minimum number and job titles subject to hire, availability of Section 3 apprenticeship and
training positions, the qualifications for each; and the name and location of the person(s)
taking applications for each of the positions; and the anticipated date the work shall begin.
(d) The contractor agrees to include this section 3 clause in every subcontract subject to
compliance with regulations in 24 CFR Part 75, and agrees to take appropriate action, as
provided in an applicable provision of the subcontract or in this section 3 clause, upon a finding
that the subcontractor is in violation of the regulations in 24 CFR Part 75. The contractor will
not subcontract with any subcontractor where the contractor has notice or knowledge that the
subcontractor has been found in violation of the regulations in 24 CFR Part 75.
(e)The contractor will certify that any vacant employment positions, including training
positions, that are filled (1) after the contractor is selected but before the contract is executed,
and (2) with persons other than those to whom the regulations of 24 CFR Part 75 require
employment opportunities to be directed, were not filled to circumvent the contractor's
obligations under 24 CFR Part 75.
(f) Noncompliance with HUD's regulations in 24 CFR Part 75 may result in sanctions,
termination of this contract for default, and debarment or suspension from future HUD
assisted contracts.
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Appendix B
Section 3 Contract Non-Compliance Cure /Termination Processes
This language is a component of contract compliance with the work to
which you are responding in this solicitation. The full requirements are
provided in the Section 3 Clause found elsewhere in this package and in
DCA's Section 3 Policy for Covered HUD Funded Activities.
Any recipient, sub-recipient or contractor claiming Preference must be in
compliance prior to issuance of a notice to proceed by DCA,
recipient, sub-recipient, or contractor based on the policies
established for the applicable DCA funding program. This preference
can be met by any of the three qualifications ( meets criteria within
the past 6 months):
1. 51% or more owned and controlled by low or very-low income persons
2. 75% or more of the labor hours are performed by Section 3
workers or YouthBuild Participants
3. 51% or more owned by current residents of Public Housing
The recipient, sub-recipient or contractor must maintain compliance
throughout the life of the contract. The contractor understands and agrees
that a compliance management firm may be used to conduct routine and
certified payroll reviews to ensure compliance. The Contractor agrees to
provide the payroll data in an Excel or Word format each time the payroll
is processed throughout the contract.
Failure to meet the Section 3 requirements will result in penalties up to
and including contract termination. Any contractor triggering the regulation
by doing any hiring or contracting once they are awarded the contract
through execution must comply with the Section 3 requirements by
executing the efforts on their Certification and Action Plan in accordance
with DCA's Section 3 Policy.
DCA, the recipient, sub-recipient or contractor shall execute these
remedies to achieve compliance in this order:
NON-COMPLIANCE CURE PROCESS
A. Based on the first observation or report of non-compliance with Section 3, the
recipient, sub-recipient or contractor will be sent an e-mail by the compliance
manager notifying them of their non-compliance issue. The recipient, sub-
recipient or contractor will have until the next payroll or 10 business days,
whichever is less, to bring the contract into compliance and/or justify in writing
why they cannot meet compliance requirements.
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B. DCA, the recipient, sub-recipient or contractor must render a response to the
violating party within 10 business days of receipt of the violating party's letter of
reason for non- compliance. If DCA, the recipient, sub-recipient, or the
contractor deems the reason to
be unacceptable, at its option, DCA, the recipient, sub-recipient, or the
contractor can extend the response period one time for up to 5 business days to
allow the violating party to identify and secure other compliance options.
NON-COMPLIANCE TERMINATION PROCESS
If the violating party fails to take any corrective action to bring the contract into
compliance within the allotted time, or DCA, the recipient, sub-recipient, or the
contractor rejects any of the corrective plans and justifications for non-compliance,
DCA, the recipient, sub-recipient, or the contractor will either terminate the contract
immediately or impose liquidated damages equal to $100 a day for every day out
of compliance. At DCA's determination, any liquidated damages received must be
paid to the recipient, sub-recipient or DCA, at DCA's determination, and be used to
promote economic opportunities for Section 3 Residents and Business Concerns.
DCA, the recipient, sub-recipient, or the contractor will hold all funds due to the
violating party until such time that a financial workout is completed.
Additionally, the violating party may be banned by DCA, the recipient, sub-
recipient, and the contractor on future HUD funded projects.
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Appendix C Section 3 Forms
Georgia Department of Community Affairs
Required Submittal - Section 3 Self-Certification and Action Plan
All firms and individuals intending to do business with DCA, its recipients, sub-recipients and contractors
MUST complete and submit this Action Plan and submit it with the bid, offer, or proposal in order to claim
a preference on any contract or prior to award of a contract when projects involve more than $200,000 in
CDBG funds.
Business Name:
D.B.A. (if different from above):
Address: City: State/Zip
:
Business Phone: Fax:
( ) ( )
E-Mail: Business Website:
Federal Employer Identification Number: Owner Social Security Number (if no EIN):
Contact Person & Title: Contact Phone:
Trade Description:
Carpentry Heating (HVAC) Electrical Painting
Masonry Restoration Asbestos Plumbing Roofing
Lead (Abatement) General Contractor Concrete Ironwork
Carpet/Flooring Rubbish Removal/Hauling Appraisal Services Landscaping
Demolition Other:
Date Business was established (MM/DD/YYYY):
Type of Business (Check One): Corporation Partnership Sole Proprietorship
Limited Liability Corporation (LLC) Limited Liability Partnership (LLP) Joint Venture
Other (Describe):
Number of employees: Full-time: Part-time: Contract: Total: _
Section 3 workers: Full-time: Part-time: Contract: Total:
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I am Certifying as a Section 3 Business Concern and requesting
Preference accordingly (Select only One Option):
Option 1
A business claiming status as 51% or more owned and controlled by low or very-low
income persons
Option 2
Over 75% of the labor hours performed for the business over the prior six-month period are
performed by Section 3 workers
Option 3
51% or more owned and controlled by current residents of public housing or Section 8-assisted housing
Business Concern Affirmation
I, affirm that the above statements of this form in its entirety are true complete and correct to the best of my
knowledge and belief. I understand that businesses who misrepresent themselves as Section 3 business
concerns and report false information to insert name of recipient/grantee may have their contracts terminated as
default and be barred from ongoing and future considerations for contracting opportunities. Thereby certify
under penalty of law that the following information is correct to the best of my knowledge.
Signature: Date:
.Print name:
Certification expires within six (6) months of the date of signature
Information regarding Section 3 Business Concerns can be found at 2 Part 75.5
FOR ADMINISTRATIVE USE ONLY
Yes the business a Section 3 business concern based upon
their certification
EMPLOYERS MUST RETAIN THIS FORM IN THEIR SECTION
3 COMPLIANCE FILE FOR FIVE YEARS.
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DCA Mandatory Section 3 Solicitation Package June 2022

I am NOT Requesting Preference under Section 3:
I am NOT certifying as a qualified Section 3 Business Concern
and I am not requesting a preference. However, if I do trigger the
regulation by doing any sub-contracting or hiring, I will comply by
meeting all requirements of DCA's Section 3 policy and I am
committing to do the outreach as specified below.
Check all methods you will employ to secure Section 3 Residents/Businesses
Posting the position/contract opportunity in community sources that are generally
available to low income residents and Section 3 Businesses and the general public
is a standard requirement. Check at least three
(3)methods you will employ:
The local community newspaper
The most widely distributed newspaper
Company or agency website
The management office of the local housing authority, or homeless
service agency, or local low income housing community
Local Workforce Board (i.e., Department of Labor)
Local office of the Georgia Division of Family and Children Services
Local office of the Georgia Department of Public Health
Dodge Room http://www.construction.com/dodge/dodge.asp
Other locations identified below and subject to DCA approval:
Initial here to confirm selection of this option
Signature:
Printed/Typed Name:
Title:
Date:
Notarial Affidavit
Sworn to and subscribed before me this day of , 20 .
Signature of Notary Public
Printed Name of Notary Public
Commission Expiration Date:
(Notarial Seal)
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DCA Mandatory Section 3 Solicitation Package June 2022