Housing authority touts Section 3 hiring results, lays out workforce plans for Rancho San Pedro

The Los Angeles Housing Authority delivered a verbal report to the City Council on its use of Section 3 hiring requirements and related local-hire strategies, saying the effort has created on-ramps to construction careers for neighborhood residents and will be applied to large developments such as Rancho San Pedro.

Housing Authority staff said the program placed about 2,000 people over the last four years, and that roughly 90 percent of those trainees were Black or Hispanic, about 34 percent were formerly incarcerated, and roughly 20 percent were women. Staff described a combination of requirements and performance monitoring — including a 30 percent target for new hires and an additional 10 percent “priority” share aimed at nearby residents — and a roster of support services for recruits, such as childcare, transportation support and financial coaching.

Why it matters: Authority officials said the Section 3 tools are meant to convert large housing investments into local career pathways and to increase the number of residents who move from short-term jobs into ongoing construction careers. Council members asked for continued monitoring and data on how many hires remain employed project to project.

What officials reported: Denisana, identified in the presentation as a development agent/director with the housing authority, summarized the authority’s enforcement and support approach, saying the program requires developers and contractors to report monthly on hires. Howard Bonch, introduced as the agency representative who oversees General Services compliance, described the authority’s monitoring activities, including site visits and comparisons of contractor payroll records to worker interviews.

Housing staff said their benchmarks sometimes exceed the 30-percent new-hire target, reporting that on many projects 50 to 70 percent of new hires have come from Section 3-eligible populations or local neighborhoods. The authority also described workforce supports delivered at job sites — training, on-site support if a worker has a vehicle breakdown, and partnerships with nonprofits to help residents remain employed.

Rancho San Pedro: Presenters outlined plans for Rancho San Pedro, describing a multi‑phase redevelopment they said currently includes a 478-unit site and that they expect to expand across multiple phases with a target in the low thousands of units (presenters used figures of “about 1,600 units” and referenced developing in four phases). Staff said they would use the project to formalize agreements with labor and training partners so residents can move from training into construction jobs.

Outside voices: Ray Lazen, introduced as a member of the Western States union during public comment, urged the council to adopt project labor agreements for major pipeline projects and to ensure local residents get sustained work rather than brief, temporary stints.

Council action and next steps: Councilmembers received the report for the record and asked staff to return with more precise, project-level metrics showing how many hires remain employed from project to project. The Housing Authority said it would continue monthly reporting to the council and would return to committee for follow-up on Rancho San Pedro implementation.

Ending: Councilmembers praised the program’s community supports while pressing staff to deliver clearer, hyperlocal metrics that tie hires to specific projects and show longer-term career advancement.