HUD Boosts Funding Limits for Low-Income Job Opportunities
Published Date: 2/13/2026
Rule
Summary
Starting March 16, 2026, HUD is updating the money limits for projects that help low-income people and businesses get jobs and contracts. These new thresholds reflect rising construction costs and make sure more opportunities go to those who need them most. If you work in housing or community development, these changes could affect your projects and funding.
Analyzed Economic Effects
3 provisions identified: 2 benefits, 0 costs, 1 mixed.
Section 3 Thresholds Raised to $300K / $150K
Starting March 16, 2026, HUD raises the Section 3 project funding thresholds. Projects that receive HUD housing and community development assistance must now exceed $300,000 to be a Section 3 project (rounded from about $299,200), and projects receiving Lead Hazard Control and Healthy Homes assistance must now exceed $150,000 (rounded from about $149,600). HUD says the rounded numbers make external compliance and internal administration easier.
Public Housing Assistance Still Always Covered
This notice does not apply to public housing financial assistance. Public housing has no dollar threshold and any amount of public housing financial assistance will continue to trigger Section 3 compliance requirements.
Thresholds Tied to Construction Inflation (49.6%)
HUD will update Section 3 project thresholds at least once every 5 years using a national construction cost inflation factor. HUD calculated that construction costs rose about 49.6% from 2017 to 2023 using Bureau of Labor Statistics data, and used that factor to update the thresholds.
Your PRIA Score
Personalized for You
How does this regulation affect your finances?
Sign up for a PRIA Policy Scan to see your personalized alignment score for this federal register document and every other regulation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.
Key Dates
Department and Agencies
Related Federal Register Documents
2026-04990 — Revocation of the 30-Day Notification Requirement Prior to Termination of Lease for Nonpayment of Rent; Indefinite Delay of Effective Date
HUD is hitting the pause button on a new rule that would have stopped the 30-day heads-up before evicting tenants for not paying rent. This means public housing tenants and property owners won’t see changes just yet, as HUD reviews feedback and legal challenges. No rent-related notices are changing for now, so everyone can breathe easy until HUD decides the next move.
2026-04095 — Establishing Flexibility for Implementation of Work Requirements and Term Limits
HUD is proposing new rules that let local housing agencies and some apartment owners require adults to work and set time limits on housing help for families who aren’t elderly or disabled. This gives communities more control to encourage self-sufficiency and mix incomes, helping tackle the affordable housing crunch. Comments on these changes are open until May 1, 2026, so get ready to weigh in!
2026-05437 — 60-Day Notice of Proposed Information Collection: Indian Housing Block Grants (IHBG) Formula and Competitive Programs
HUD wants to update how it collects info for Indian Housing Block Grants, which help Native communities build and improve homes. They’re asking for public feedback over the next 60 days to make sure the forms and process work well. If approved, these changes could affect how tribes apply for funding starting soon, keeping the money flowing smoothly.
2026-05289 — Notice of Intent To Prepare an Environmental Impact Statement for the Fulton Park Redevelopment Project in Brooklyn, New York
New York City is planning to redevelop Fulton Park in Brooklyn and wants your thoughts! They’re starting an Environmental Impact Statement to check how the project might affect the neighborhood, environment, and community. If you live nearby or care about Brooklyn’s future, you can join a virtual meeting on April 2, 2026, or send your comments by April 13, 2026.
2026-05102 — 30-Day Notice of Proposed Information Collection: Maintenance Wage Rate Recommendation
HUD wants to keep collecting info about maintenance worker wages to make sure pay rates stay fair in low-income housing. They’re asking for public feedback by April 15, 2026, but no changes or new costs are planned. If you care about fair wages or work in housing, now’s the time to speak up!
2026-05030 — 60-Day Notice of Proposed Information Collection: Economic Development Initiative Community Project Funding Grants
HUD wants to update the forms and info it collects for Economic Development Initiative Community Project Funding Grants. This affects communities applying for these grants and helps make sure the paperwork is clear and useful. You’ve got until May 15, 2026, to share your thoughts before the changes take effect.
Previous / Next Documents
Previous: 2026-02982 — North Dakota Regulatory Program
North Dakota updated its rules for surface coal mining to include new ways to use real property as collateral bonds. These changes, approved by the federal government, affect mining companies and landowners by adding clearer rules on pledging property for mining guarantees. The new rules kick in on March 16, 2026, helping keep mining safe and responsible without extra costs.
Next: C1-2026-00147 — Hazard Communication Standard; Corrections
OSHA fixed a small but important mistake in the Hazard Communication Standard to make sure chemical safety info is crystal clear. This update mainly affects workplaces handling chemicals and aerosols, clarifying how to classify gases under pressure. The correction is effective immediately and won’t cost anyone extra—just smoother safety rules!
Take It Personal
Get Your Personalized Policy View
Start a Free Government Policy Watch to see how policy affects your household, then upgrade to PRIA Full Coverage for year-round monitoring.
Already have an account? Sign in