Economic Inclusion

Economic Inclusion

The City of Racine strives to continually have meaningful and substantial levels of participation by Section 3 Certified Business (Section 3), Minority Business Enterprises (MBEs), Women Business Enterprises (WBEs), and Small Business Enterprises (SBEs) in the services for which it contracts (either directly or through sub-grantees), and in its various contracts for development projects.

The City of Racine receives federal funds from various agencies, which are often sub-granted to area non-profits or other eligible groups to carry out community and economic development projects. Sub-grantees of the City’s federal funds are required to sign a Written Agreement with the City of Racine to ensure compliance with City, applicable state regulations, federal regulations, Federal Executive Orders and related HUD federal regulations including the Davis Bacon Act and Section 3 of the Housing and Community Development Act. Funds are subject to Federal and local regulations including but not limited to: non-discrimination, equal opportunity, accessibility, lead-based paint, prevailing wages, Uniform Relocation Act, audits, procurement, and environmental review. Additional requirements can be found in the CDBG regulations and OMB Circular A-122 and A-110. The City requires that agencies or private parties (including some construction contractors) certify to the City of Racine that they understand these requirements and have adequate administrative systems in place to fulfill the requirements. 

Racine First

The Racine First program applies to projects solely funded by the City of Racine or the City’s Water Utility in an amount greater than $200,000 (with some exceptions), and is designed to reduce unemployment rates among low and moderate income city residents.  A minimum of 15% of the total labor hours required to carry-out a public works project must be performed by low and moderate income city residents.  “Low and moderate income” is defined and updated annually by the U.S. Department of Housing and Urban Development, but generally refers to individuals of households earning less than 80% of Racine County’s median income based on household size.

Contractors must document and certify their compliance with the provisions of the Racine First Program, which is more specifically described in the Municipal Code. Significant penalties, including debarment, for non-compliance apply. 

The City’s Affirmative Action / Human Right’s Officer is responsible for the administration of the Racine First program.   

Section 3 

Section 3 is a provision of the Housing and Urban Development (HUD) Act of 1968 that helps foster local economic development, neighborhood economic improvement, and individual self-sufficiency. The City of Racine is committed to going to the greatest extent feasible to ensure its implementation.

The Section 3 program ensures that economic opportunities generated by certain HUD financial assistance shall, to the greatest extent feasible, and consistent with existing Federal, State, and local laws and regulations, be directed toward low- and very low-income persons, particularly those who are recipients of government assistance for housing, and to business concerns which provide economic opportunities to low- and very low-income persons.

The City of Racine works to ensure the provision of employment, training, contracting, and other economic opportunities to its residents and other low-income persons. In doing so, we utilize Section 3 as a means of promoting stability and self-sufficiency to Section 3 residents

WHO QUALIFIES AS A SECTION 3 RESIDENT?
Section 3 residents are public housing residents or other low- or extremely low-income residents of the area where Section 3 covered assistance is expended.

WHAT IS A SECTION 3 BUSINESS CONCERN?
Section 3 Business Concerns are businesses that meet one of the following:

• 51 percent or more owned by Section 3 residents; or
• At least 30 percent of full-time employees are currently Section 3 residents, or were Section 3 residents within three years of the date of first hire; or
• Provides evidence, as required, of a commitment to subcontract in excess of 25 percent of the dollar award of all subcontracts to business concerns that meet one of the first two qualifications above.

Please see the City of Racine Section 3 Implementation Plan for more information. This document contains the forms necessary to register a Section 3 Resident, a Section 3 Business Concern, and create a project specific Section 3 Work Plan.  

City of Racine Section 3 Implementation Plan

Minority and Woman Owned Enterprises

The City of Racine is committed to fulfilling our requirements under 24 CFR Part 85(E) to engage minority and/or woman owned business enterprises in contracting opportunities, and we require sub-grantees and prime contractors to do so as well. 

We encourage any business meeting the definition of a minority and/or woman owned business enterprise to get registered by visiting the Wisconsin Department of Administration’s Division of Enterprise Operations website.   Those seeking to engage a minority and/or woman business enterprise, may also utilize their site to search for registered businesses.  

City of Racine - Microenterprise Assistance Program

The  Wisconsin Women's Business Initiative Corporation (WWBIC) manages the City’s Microenterprise Assistance Program, and is available to everyone regardless of gender or ethnicity.  A “microenterprise” is a commercial enterprise that has five or fewer employees, one or more of whom owns the enterprise, or someone seeking to start one. 

Microenterprises’ are the smallest, least visible portion of the business world but are one of the major job generators in our economy. They range in type and capacity and include a range of service providers and retail businesses. Some examples of microenterprises are the home-based daycare provider, the roving automobile mechanic, or the hairdresser who serves the neighborhood. Some microenterprise businesses are operated part-time, by owners who use the extra income to supplement wage and salary employment.

WWBIC has provided quality business and financial education coupled with access to fair capital and financial products for more than 25 years. WWBIC’s impact is seen through the many entrepreneurs, business owners and individual whom they assist. Their work and support put your business dreams to work. Contact them today to learn how their business loans, classes, coaching and money management tools can be of benefit to you.

City of Racine Primary Contact:

Heather Lux
Project Director, Southeast
262-925-2840
Heather.Lux@wwbic.com
https://www.wwbic.com/

Ten partnering community organizations developed this resource for City of Racine entrepreneurs, inventors and business owners. 

Launch Box is a business development resource that helps entrepreneurs and small businesses reach the next stage of their professional journey.  We believe supporting small business is the best way to help Racine sustain a robust business environment and a vigorous economy.

Their website provides business planning resources for entrepreneurs who want to start a business within the City of Racine and ongoing assistance for emerging and established businesses.

Launch Box has numerous resources for business plan assistance, licenses and permits, financing your business, business education, business training, workforce development and staffing, and more to start and grow a business within the city limits of Racine, Wisconsin. 

Launch Box also offers a wonder Co-Working space that  is a neat, modern, open space located in Downtown Racine, 141 Main Street, Suite 2 (right next to Jimmy Johns!). With a great view of Main Street, trendy furniture and unique whiteboards, the space gives off a youthful, hip vibe that makes it the ideal co-working space for start-up entrepreneurs, freelancers, students and professionals. 

Other Small Business Resources:

We encourage all businesses to review the U.S. Small Business Administration’s Resource Guide for Small Business – Wisconsin for a comprehensive list of resources available throughout Wisconsin and to contact the Racine County Economic Development Corporation for local business data and resources.