Are luxury items eligible for reimbursement with NSP funds?

Date Published: October 2012

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Luxury items are not eligible for reimbursement with NSP funds. NSP references both the CDBG and HOME standards for determining appropriate rehabilitation improvements. Generally speaking, basic amenities in NSP-assisted housing should be comparable to basic amenities in the area's unassisted housing, recognizing that NSP homes must compete in the market. Thus, they may have upgraded amenities (e.g. granite countertops) if this is typical in the market and necessary to compete. The grantee jurisdiction's rehabilitation standards for NSP (specified in the Substantial Amendment) should also provide guidance on appropriate rehabilitation improvements for each target census tract and specify the type and level of improvement.    

Further, under NSP, program funds may be used to repair a pool located on the NSP property to a level that is decent, safe, and habitable. However, NSP funds cannot be used for the new construction, operation, or maintenance of a pool.

Tags: NSP Program Requirements - Eligible Costs