Dear OHCS property managers, management agents, property owners, and compliance consultants,
As most of you are aware, the U.S. Department of Housing and Urban Development (HUD) published the final National Standards for the Physical Inspection of Real Estate (NSPIRE) on June 22, 2023, thereby replacing the Uniform Physical Condition Standards (UPCS) protocol. Initially, HUD expected state housing finance agencies to implement NSPIRE protocol no later than October 1, 2023. However, due to several updates needed, HUD announced a postponed full NSPIRE implementation to October 31, 2024.
As Oregon's housing finance agency, Oregon Housing and Community Services (OHCS) intends to replace our current UPCS inspection protocol with that of NSPIRE and apply it to all monitored programs. Full implementation is projected to be on or after April 1, 2024. Until then, OHCS is currently undergoing the following planning activities to better prepare staff for their implementation and use of the NSPIRE inspection protocol:
- In-depth NSPIRE inspection standards training for OHCS staff
- Testing multiple inspection software options to determine optimal functionality
- Updating electronic equipment
- Acquiring necessary tools to assist with conducting inspections
OHCS does not currently foresee creating additional (state-specific) inspectable areas to existing NSPIRE protocol, but that could change depending on any subsequent updates HUD might provide going forward. That said, OHCS inspectors will be instructed to include additional findings outside of NSPIRE protocol if they feel life, health, and safety concerns are present.
Although we will be adopting HUD’s NSPIRE inspection protocol to perform onsite inspections, we will not be using NSPIRE’s Score Calculator. Instead, we will continue using the OHCS Regulatory Inspection Ratings.
Owners and management agents are encouraged to enroll their staff in various NSPIRE trainings being offered within the affordable multifamily rental industry. HUD has an NSPIRE training website that can help get you started. Although many great trainers are available, OHCS does not endorse any one over another.
Again, we hope to begin scheduling NSPIRE inspections by April 1, 2024. Owners and management agents will be notified at least 15 days in advance of an upcoming NSPIRE inspection.
Please send questions related to this advisory to ARH.Portfolio@hcs.oregon.gov.
