Kan. Stat. Ann. § 17-2346
Operation of housing projects; nonprofit; fixing rentals; non-dwelling facilities, rental.
Operative Text
It is hereby declared to be the policy of this state that each municipality shall manage and operate its housing projects in an efficient manner so as to enable it to fix the rentals or payments for dwelling accommodations at low rates consistent with its providing decent, safe and sanitary dwelling accommodations for persons of low income and that no municipality shall construct or operate any housing project for profit, or as a source of revenue to the municipality. To this end the municipality shall fix the rentals or payments for dwellings in its projects at no higher rates than it shall find to be necessary in order to produce revenues which (together with all other available moneys, revenues, income and receipts in connection with or for such projects from whatever sources derived, including federal financial assistance) will be sufficient (a) to pay, as the same become due, the principal and interest on the bonds issued pursuant to this act; (b) to create and maintain such reserves as may be required to assure the payment of principal and interest as it becomes due on such bonds; (c) to meet the cost of, and to provide for, maintaining and operating the projects (including necessary reserves therefor and the cost of any insurance and of administrative expenses); and (d) to make such payments in lieu of taxes and, after payment in full of all obligations for which federal annual contributions are pledged, to make such repayments of federal and local contributions as it determines are consistent with the maintenance of the low-rent character of projects. Rentals or payments for dwellings shall be established and the projects administered insofar as possible, so as to assure that any federal financial assistance required shall be strictly limited to amounts and periods necessary to maintain the low-rent character of the projects. Nothing herein shall be construed to limit the amount an authority may charge for non-dwelling facilities. All such income, together with other income and revenue, shall be used in the operation of the projects to aid in accomplishing the public purposes of this act.
Under Kan. Stat. Ann. §§ 17-2337, 17-2339, 17-2346, 17-2347, 17-2350, and 17-2365, Kansas municipalities that operate public housing projects are required to run them on a nonprofit basis, setting rents only as high as necessary to cover operating costs, debt service, reserves, insurance, administrative expenses, and required payments in lieu of taxes. The law prohibits municipalities from using housing projects as a source of general revenue or profit. Federal financial assistance tied to these projects must be limited to what is genuinely needed to preserve the low-rent character of the housing, and income from non-dwelling facilities may also be applied toward these public purposes.
Plain English — not legal advice.
Public housing authorities operating under Kan. Stat. Ann. §§ 17-2337, 17-2339, 17-2346, 17-2347, 17-2350, and 17-2365 are generally expected to set dwelling rents at levels that cover only allowable costs—such as bond obligations, reserves, maintenance, insurance, and administrative expenses—without generating profit for the municipality. Compliant operators typically document how rental income and other revenues are allocated across these specific cost categories to demonstrate that rents are no higher than necessary. Income from non-dwelling facilities, such as commercial spaces within a project, may be factored into the overall revenue picture and used to support the project's public purposes.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Residents of municipally operated public housing in Kansas benefit from the protections established in Kan. Stat. Ann. §§ 17-2337, 17-2339, 17-2346, 17-2347, 17-2350, and 17-2365, which limit rents to amounts necessary to cover defined operating and financial costs rather than to generate profit. If a tenant believes rents have been set above what the law permits, general enforcement paths may include raising the issue with the local housing authority, contacting a tenant-rights organization familiar with Kansas public housing law, or consulting with an attorney who handles housing matters. Because this provision is rooted in state statute, tenants may also explore whether a complaint to a relevant state or local oversight body is appropriate given the circumstances.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 18, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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