HUD Verifies Allowing the Use of HQS for an Additional Year

On September 5, HUD sent an email to Executive Directors discussing the National Standards for the Physical Inspection of Real Estate for the Housing Choice Voucher program (NSPIRE-V). The new NSPIRE-V protocol is currently scheduled to be implemented for the voucher program beginning on October 1, 2023. These standards will be applicable to all PHAs with voucher programs, including Moving to Work (MTW) agencies.

The email discusses several key points about NSPIRE-V implementation. First, HUD still intends to publish an administrative notice to implement NSPIRE-V. The Department is still aiming to publish that notice before October 1, 2023. Second, the email states that the new notice will “announce additional time for PHAs to retain the Housing Quality Standards (HQS) as their inspection standard until October 1, 2024.” This is the first time that HUD has confirmed in writing that PHAs will have the option to retain the use of HQS for an additional year. Third, agencies with “approvals for acceptability criteria variations will need [those] approvals reviewed by HUD.” These criteria variations allow for the use of local standards in certain areas depending on geographic conditions, but only if they are more stringent than the NSPIRE-V standard. Finally, the email states that HUD has developed technical assistance materials, which can be accessed on HUD’s NSPIRE website.

The full email can be read here.

HUD Publishes NSPIRE Administrative Procedures Notice

On July 3, HUD published a notice titled “Implementation of National Standards for the Physical Inspection of Real Estate (NSPIRE) Administrative Procedures” (PIH 2023-16 / H 2023-07). The notice details the process and operational requirements for public housing and multifamily housing assistance programs. It discusses procedures for inspections; submitting evidence for deficiency correction; submitting technical reviews; administrative review; and certain other administrative requirements associated with the implementation of the NSPIRE inspection protocol.

The notice states that the NSPIRE final rule will be implemented in phases. The Department will begin inspections under the new protocol for public housing properties after July 1, 2023. It will prioritize properties that have not been inspected since normal operations resumed after the pandemic in June 2021; PHAs with a fiscal year end of March 30; and troubled PHAs. For housing choice voucher programs (including project-based voucher properties), the NSPIRE final rule will be effective Oct. 1, 2023. For multifamily housing programs, HUD will begin inspections under the new protocol on July 1, 2023 for those who participated in the NSPIRE demonstration, while those who did not will begin on Oct. 1, 2023.

NAHRO will provide our members with additional information about the contents of the notice in the coming days.

The full notice can be found here.

HUD Restarts Inspections in June

On April 23, HUD announced that the department plans to begin inspections for public housing and project-based rental assistance (PBRA) properties starting June 1. HUD Secretary Marcia Fudge noted that HUD “must take steps to ensure the whole health and well-being of the households we serve—including the conditions and quality of housing. We look forward to working with residents to ensure safe and successful inspections.”.

HUD will focus on properties that are considered “high priority” – those that have not been inspected for a significant amount of time or those that have failed their last inspection. Most of the PHA properties on HUD’s high priority inspection list have inspection scores below 60. HUD will also begin inspecting agencies participating in the National Standards for the Physical Inspection of Real Estate (NSPIRE) Demonstration. HUD will inform PHAs if any of their properties fall on the list of targeted inspections for 2021 on Monday, April 26. HUD will further provide notice to PHAs and owners 28 days before any inspection takes place at a property. HUD inspections will include enhanced safety protocols as established by the Centers for Disease Control (CDC), and HUD has entered a Memorandum of Understanding (MOU) to allow contracted inspectors to access COVID-19 vaccinations through the Department of Veteran’s Affairs, if they inspector so chooses.

If a resident does not feel comfortable with an inspector entering their unit, the resident may opt out from the inspection. In those instances, another unit will be selected for an inspection.

HUD will not be issuing inspection scores to PHAs in 2021 unless the agency specifically asks for one. Rather, inspectors will only be looking for life threatening deficiencies on the property. Life threatening deficiencies must be fixed within 24 hours of the inspection. HUD will be relying on NSPIRE standards to determine what constitutes a life-threatening deficiency. HUD recently posted an NSPIRE Life-Threatening Deficiencies fact sheet here. Multifamily properties will be inspected using UPCS and the inspections will be scored.

HUD will no longer be using the heat-map created last fall to determine which coronavirus hot-spots in the country to avoid. Rather, HUD will be inspecting units in all parts of the country, although attention will be paid to places that are seeing upticks in their COVID-19 case numbers.

HUD’s announcement can be found here.