§ 36-7-18-24 — Establishment of rental rates

(a) A housing authority shall manage and
operate its housing projects in an efficient manner so that it may fix the
rentals for dwelling accommodations at the lowest possible rates while
providing decent, safe, and sanitary dwelling accommodations. The
authority may not construct or operate a project for profit or as a source
of revenue to the municipality or county.
(b) A housing authority may not fix the rentals for dwellings in its
projects at higher rates than it finds necessary to produce revenues that,
together with all other available money, revenues, income, and receipts
of the authority, will be sufficient:
(1) to pay, as they become due, the principal and interest on the
bonds, notes, or warrants of the authority;
(2) to meet the cost of, and to provide for, maintaining and
operating the projects, including the cost of insurance and the
administrative expenses of the authority;
(3) to create, during a period of not less than six (6) years
immediately after its issuance of any bonds, notes, or warrants, a
reserve sufficient to meet the largest principal and interest
payments due on them in any one (1) year after that, and to
maintain that reserve; and
(4) to accumulate reasonable reserves to cover the making of
necessary repairs.
(c) This section does not limit the power of an authority to vest
rights in an obligee under section 33 of this chapter free from all the
restrictions imposed by this section.
[Pre-Local Government Recodification Citations: 18-7-11-9
part; 18-7-11-10 part.]
As added by Acts 1981, P.L.309, SEC.37.