NAHMA HUD Update: HUD Publishes Proposed Rule for NSPIRE Implementation

January 15, 2021

Dear NAHMA Members,

This week, HUD published a proposed rule to revise the way HUD-assisted housing is inspected and evaluated using the National Standards for the Physical Inspection of Real Estate (NSPIRE). NSPIRE seeks to reduce regulatory burden and improve HUD oversight through alignment and consolidation of inspection regulations used to evaluate HUD housing across multiple programs, creating a unified assessment of housing quality.

The proposed rule would establish the implementation method for specific NSPIRE standards, scoring, and processes through Federal Register notices. The proposed rule also would apply a “safe, habitable dwellings” standard; reduce from five to three the categories of current inspectable areas for physical condition standards for covered housing programs; implement a new annual self-inspection and reporting requirement for certain HUD housing; establish an administrative process for the treatment of health and safety deficiencies; and incorporate provisions of the Economic Growth and Recovery, Regulatory Relief, and Consumer Protection Act that will reduce the administrative burden on small rural public housing agencies.

Please note that if you would like NAHMA to submit comments on the proposed rule to HUD, members should provide NAHMA staff comments by March 8, 2021.

The Economic Growth Regulatory Relief and Consumer Protection Act: Implementation of National Standards for the Physical Inspection of Real Estate (NSPIRE) Proposed Rule is attached and available here.