Hard Costs of Rehabilitation means:
   (1) Costs to correct substandard conditions or to meet applicable local rehabilitation standards;
   (2) Costs to make essential improvements, including energy-related repairs, and those necessary to permit use by persons with disabilities; and costs to repair or replace major housing systems in danger of failure; and
   (3) Costs of non-essential improvements, including additions and alterations to an existing structure; but
   (4) Hard costs do not include administrative costs (e.g., overhead for administering a rehabilitation program, processing fees, etc.).

For purposes of implementing the HUD lead-paint regulation as it affects rehabilitation, hard costs of rehabilitation do not include the costs of lead-based paint hazard evaluation and reduction.

Read the Joint EPA-HUD Letter about Rehabilitation and Abatement

Interpretive Guidance
Calculation of Average Federal Assistance and Average Rehabilitation Costs
Calculating Average Rehabilitation Hard Costs for Single-Family Properties
Change Orders
Subtraction of Lead Hazard Reduction Costs
Roof Repair and Lead Hazard Control Costs