(a) Reporting of labor hours.

1. (1) For Section 3 projects, recipients must report in a manner prescribed by HUD:

   1. (i) The total number of labor hours worked;
   2. (ii) The total number of labor hours worked by Section 3 workers; and
   3. (iii) The total number of labor hours worked by Targeted Section 3 workers.
2. (2) Section 3 workers' and Targeted Section 3 workers' labor hours may be counted for five years from when their status as a Section 3 worker or Targeted Section 3 worker is established pursuant to § 75.31.
3. (3) The labor hours reported under paragraph (a)(1) of this section must include the total number of labor hours worked on a Section 3 project, including labor hours worked by any subrecipients, contractors and subcontractors that the recipient is required, or elects pursuant to paragraph (a)(4) of this section, to report.
4. (4) Recipients reporting under this section, as well as subrecipients, contractors and subcontractors who report to recipients, may report labor hours by Section 3 workers, under paragraph (a)(1)(ii) of this section, and labor hours by Targeted Section 3 workers, under paragraph (a)(1)(iii) of this section, from professional services without including labor hours from professional services in the total number of labor hours worked under paragraph (a)(1)(i) of this section. If a contract covers both professional services and other work and the recipient or contractor or subcontractor chooses not to report labor hours from professional services, the labor hours under the contract that are not from professional services must still be reported.
5. (5) Recipients may report their own labor hours or that of a subrecipient, contractor, or subcontractor based on the employer's good faith assessment of the labor hours of a full-time or part-time employee informed by the employer's existing salary or time and attendance based payroll systems, unless the project or activity is otherwise subject to requirements specifying time and attendance reporting.

(b) Additional reporting if Section 3 benchmarks are not met. If the recipient's reporting under paragraph (a) of this section indicates that the recipient has not met the Section 3 benchmarks described in § 75.23, the recipient must report in a form prescribed by HUD on the qualitative nature of its activities and those its contractors and subcontractors pursued. Such qualitative efforts may, for example, include but are not limited to the following:

1. (1) Engaged in outreach efforts to generate job applicants who are Targeted Section 3 workers.
2. (2) Provided training or apprenticeship opportunities.
3. (3) Provided technical assistance to help Section 3 workers compete for jobs (e.g., resume assistance, coaching).
4. (4) 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.
5. (5) Held one or more job fairs.
6. (6) Provided or referred Section 3 workers to services supporting work readiness and retention (e.g., work readiness activities, interview clothing, test fees, transportation, child care).
7. (7) Provided assistance to apply for/or attend community college, a four-year educational institution, or vocational/technical training.
8. (8) Assisted Section 3 workers to obtain financial literacy training and/or coaching.
9. (9) Engaged in outreach efforts to identify and secure bids from Section 3 business concerns.
10. (10) Provided technical assistance to help Section 3 business concerns understand and bid on contracts.
11. (11) Divided contracts into smaller jobs to facilitate participation by Section 3 business concerns.
12. (12) Provided bonding assistance, guaranties, or other efforts to support viable bids from Section 3 business concerns.
13. (13) Promoted use of business registries designed to create opportunities for disadvantaged and small businesses.
14. (14) Outreach, engagement, or referrals with the state one-stop system as defined in Section 121(e)(2) of the Workforce Innovation and Opportunity Act.