Date Published: October 2012
No. Grantees may not commit or expend resources, either public or private, prior to receiving environmental clearance. Therefore, grantees cannot use other funds to acquire property prior to receiving environmental clearance. However, HUD has issued a policy statement allowing NSP grantees to enter into an "option agreement" or a "conditional contract" and still be able to obligate funds before the environmental review is completed. For details, refer to the NSP Policy Alert: Environmental Review, Options and Conditional Contracts.