Since the implementation of NSPIRE in October of 2023, there has not been any specific guidance from REAC on the process of filing appeals, apart from some limited information contained in the NSPIRE Administrative Notice and final rule.
The previous HUD webpage on UPCS appeals was removed and was replaced with a simple paragraph explaining appeal information could be found in the Admin Notice. So, the new Appeals Guide document for NSPIRE appeals was a necessity. Overall, the Appeals Guide is a step in the right direction from HUD, but it does leave out some important information and includes some potentially misleading information.
Reading the New NSPIRE Appeal Guide
The first page of the document gives an overview of the various types of appeals and some basic examples of potentially acceptable supportive documentation for each, but this should not be viewed as a comprehensive list of all reasons for appeals or what would be considered as acceptable supportive evidence under different scenarios.
The second page of the document gives step by step instructions and explains how to process appeals through the NSPIRE system/portal. This was essential for HUD to provide because the user interface in the NSPIRE system is not necessarily intuitive and without following the correct procedure critical steps could be missed.
If that happens, an appeal may not have been submitted for review by the user before the required appeal deadline. In the past year, US Housing Consultants has worked with countless clients to explain the nuances of submitting appeals in the NSPIRE system, which many found to be cumbersome or confusing. So, the step-by-step instructions from REAC in the Appeals Guide are helpful for those attempting to file appeals without professional guidance.
Here’s where the Appeals Guide falls a bit short
The NSPIRE Admin Notice states that while appeals must be submitted electronically in the NSPIRE system, that Notice also states that appeals should also be sent via email to NSPIRERegulations@hud.gov with a courtesy copy provided to the HUD field office representative for that PHA or POA.
The reference can be found on Page 16 of the NSPIRE Admin Notice. The Appeals Guide document leaves that out completely, and we have seen in the past year that REAC and the local HUD offices do expect that appeals also be sent to them via email as instructed in the Admin Notice.
That said, in order to email the appeal as suggested, a cover letter or some form of outline of what the appealed arguments are, and the basis of each appealed issue needs to be created and attached along with the supportive documentation/evidence. Otherwise, REAC and the HUD office reps can’t know how the appeal sent via email corresponds to the issues and reasons for appeals uploaded to the electronic NSPIRE system.
Another reason that having a document/cover letter outlining the appeal can be essential in most cases is that the NSPIRE system includes character limits in the field where a user must insert the appeal comments or explanation of the basis of each appealed issue, limiting their comments to just a short sentence or two.
Quite often making an effective argument or explanation of the basis of an appeal within the minimal character limit is not feasible, so creating a cover letter or outline of the full appeal allows for further explanation of the appeal comments and justification, along with allowing for better explanations of why certain supportive documentation/evidence is submitted. For these reasons, we always recommend that a cover letter/outline be included. When assisting our clients with preparing appeal submissions, we always include a cover letter with each appealed defect in the NSPIRE system. This also allows clients to easily email the appeal to REAC and the local HUD office after electronic submission in the NSPIRE system.
One potentially misleading element of the appeals guide is on page two where the document shows an example of the pop up in the NSPIRE system where users must enter the appeal comments. This graphic seems to imply that a property ordering a few new extinguishers ahead of an NSPIRE inspection and showing an invoice that they are on order is a common appeal argument based on ongoing Modernization/rehab work in progress.
However, having a few extinguishers for tenants on order as a basis for an appeal would not have qualified as HUD approved major modernization/rehabilitation work in progress in any appeals in the past, and is not in line with the guidance on page one of the document. This graphic was likely included in the Appeals Guide document in error and was intended to just show what the pop-up in the interface looks like, but the text included should not be taken literally as an option for a potential appeal that would possibly be approved.
As it stands, HUD has provided a useful guide, albeit one with a few flaws. If you need help sorting out the appeals process, remember that US Housing Consultants is here to partner with you and back you up when you’re not sure how to proceed. Click here to contact us with questions about your REAC NSPIRE Appeal.
