Okla. Stat. tit. 63, §§ 1054, 1062, 1063, 1065 § 1062
Operation of Housing Not for Profit
Operative Text
It is hereby declared to be the policy of this state to accomplish the charitable and public purposes of this act that each authority 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 authority shall construct or operate any housing project for profit, or as a source of revenue to the city or county. To this end an authority 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 monies, revenues, income and receipts of the authority from whatever sources derived, including Federal financial assistance necessary to maintain the low-rent character of the project, will be sufficient: (a) to pay, as the same become due, the principal and interest on the bonds of the authority; (b) to create and maintain such reserves as may be required to assure the payment of principal and interest as it becomes due on its 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 the administrative expenses of the authority; 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 nondwelling facilities. All such income, together with other income and revenue, shall be used in the operation of the projects to aid in accomplishing the charitable and public purposes of this act.
Under 63 O.S. §§ 1054, 1062, 1063, and 1065, Oklahoma housing authorities are required to operate their housing projects as nonprofit, public-benefit enterprises rather than as revenue-generating ventures for cities or counties. Rents charged to residents must be set only as high as necessary to cover essential costs—such as bond obligations, reserves, maintenance, insurance, and administration—while keeping units affordable for low-income households. 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 all income generated must be reinvested into project operations.
Plain English — not legal advice.
Housing authorities operating under 63 O.S. §§ 1054, 1062, 1063, and 1065 are expected to set dwelling rents at the minimum level required to meet defined financial obligations, including debt service on bonds, reserve requirements, operating and maintenance costs, and payments in lieu of taxes. Compliant operators document that rental rates are calculated to cover only these enumerated costs and do not generate surplus revenue for the city, county, or authority itself. Charges for nondwelling facilities are not subject to the same rate-ceiling framework, but all income—from whatever source—must be directed toward the charitable and public purposes the statute establishes.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Residents of Oklahoma public housing projects benefit from the protections in 63 O.S. §§ 1054, 1062, 1063, and 1065, which prohibit housing authorities from setting rents above what is necessary to cover legitimate operating costs and financial obligations. If rents appear to exceed what the statute permits—or if an authority seems to be generating profit rather than serving low-income residents—tenants may raise these concerns with the housing authority's governing board, contact the Oklahoma Housing Finance Agency, or reach out to a local tenant-rights organization for guidance. Federal financial assistance tied to a project is also required to be limited to amounts genuinely needed to maintain its low-rent character, which can be a relevant point when evaluating whether a project is being administered consistently with this provision.
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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