What are the differences between NSP1, NSP2, and NSP3?

Date Published: February 2013

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NSP1 is the original program that refers to the $3.92 billion authorized under the Housing and Economic Recovery Act (HERA) of 2008. NSP2 was authorized under the American Recovery and Reinvestment Act (the Recovery Act) of 2009 and provided $2 billion in funding. NSP3 was authorized under the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) of 2010 and provided $1 billion in funding. Unlike NSP1 and NSP3 which provided funding on a formula basis to states and local governments, NSP2 provided funding through a competitive application process to governments and nonprofits.  

NSP1 included an 18 month obligation deadline that required grantees to obligate 100% of their funds for expenditure by this deadline. Grantees of NSP2 and NSP3 funding are required to spend 50% of their allocation within two years, and 100% within three years.    

For more information on all three NSP appropriations and the regulations tied to each, go to the NSP Laws and Federal Register Notices page.

Tags: NSP Program Requirements - Eligible Activities/Uses

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