HUD ML 00-26 Memorandum
Monday, 25 September 2000

HUD issued ML 00-26 which clarifies and amends the provisions of ML 97-31. The essentials of the new provisions are as follows.

Evictions: ML 00-26 requires the performance of an eviction inspection seventy-two (72) hours in advance of a scheduled eviction. This eviction is reimbursable as a subsequent inspection unless the local variations require an inspection every week. If an inspection is to be conducted during the same week during which the inspection is scheduled, that inspection is to be performed within 72 hours prior to the eviction.

ML 00-26 does not make any provisions for the areas where 72 hours notice is not possible such as parts of Illinois and California, where evictions are only scheduled 24 hours in advance.

Further, the evictions department will need as much advance notice of the eviction in order to ensure that the required eviction inspection is performed.

Inspections: In addition to the new eviction inspection requirements, HUD has updated the allowable cost schedule and has changed slightly the 25-35 day requirement for inspections. Essentially, the general requirements require an inspection every month but 25-35 day requirement applies only if the prior inspection found the property vacant or from the last contact with the mortgagor if the mortgage is in default.

In HUD ML 97-31, the guidelines provided in pertinent part that:
Generally, reimbursement will be limited to one inspection for each 30-day cycle. This inspection should not be earlier than 25 days or later than 35 days after the last inspection. (Attachment 2, Page 1).

In HUD ML 00-26, the guidelines provide in pertinent part that:
Subsequent inspections are to be performed 25-35 days following any prior inspection if the property is vacant or following the last contact with the mortgagor if the mortgage is in default.

Debris Removal: The only changes to date are related to allowable costs.

Board Service Requirements: The changes relate to reimbursement issues and the use of nails, which is now prohibited in all jurisdictions.