I don't think NM-B has ever been allowed in damp locations.
I always believed it was because of the kraft paper packing that will wick up water.
The only question for the AHJ is how damp is that location?
Location, Damp. Locations protected from weather and not subject to saturation with water or other liquids but subject to moderate degrees of moisture. Examples of such locations include partially protected locations under canopies, marquees, roofed open porches, and like locations...
