Recently, HUD issued its final notice regarding physical condition scoring and deficiency definitions for REAC inspections. The rule alters the physical condition scoring system to be consistent with the internal HUD regulations. The rule does not change the deficiency definition. However, it does provide more detail in terms of conditions that may be the result of the structural deficiency.
Updated HUD REAC Scoring
HUD applied an updated standard to its scoring and inspection definitions for REAC inspections. The new definitions which were published in the Federal Register were intended to make the process of inspecting and scoring REACs more uniform and consistent and thereby reduce variations in housing conditions and deficiencies across inspection districts.
Over the past few years, HUD has expanded the scope of its physical condition scoring system (PCS) for the purposes of identifying and prioritizing physical condition deficiencies for REACT inspections. In 2011, HUD expanded the scope of its PCS to include all federally assisted multifamily housing.
The highlights of the final REAC notice are;
- a point loss cap
- a change in the inspection software that is deemed to leave less concern to the inspector
- several changes to the deficiency definitions
HUD’s Uniform Physical Condition Standards (UPCS) were promulgated as regulations in 24 CFR by HUD in 1999 in order to establish physical condition standards for public housing and for certain housing assisted or insured by HUD, including project-based Section 8 properties, FHA-insured properties, and Section 202 and Section 811 properties. The UPCS is the basis for the HUD Physical Condition Assessment (PCA) and Physical Condition Assessment (PCA) Scores that are used to determine eligibility and grant amounts for HUD programs and programs under contract with HUD and grantees.
REAC oversees nearly 40,000 physical inspections every year at a cost of around $400 per inspection.
To know more about REAC Scoring and updated rules, attend the Compliance Prime webinar.