                                 CODE OF VIRGINIA

HOUSING PROJECTS NOT TO BE OPERATED FOR PROFIT (§ 36-21)

It is hereby declared to be the policy of this Commonwealth that each housing
authority shall manage and operate its housing projects in an efficient manner
so as to enable it to fix the rentals for dwelling accommodations at the lowest
possible rates consistent with such authority providing decent, safe and
sanitary dwelling accommodations, and that no housing authority shall construct
or operate any such project for profit, or as a source of revenue to the city or
the county. To this end an authority shall fix the rentals 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 of the authority from whatever sources derived) will be
sufficient (a) to meet the cost of, and to provide for, maintaining and
operating the projects (including the cost of any insurance) and the
administrative expenses of the authority; (b) to pay, as the same become due,
the principal and interest on the bonds of the authority; (c) to provide a
margin of safety for making such payments of principal and interest; and (d) to
create and maintain a reserve sufficient to ensure the authority can pay the
principal of and the interest on the bonds of the authority as the same shall
come due.

HISTORY: 1938, p. 452; Michie Code 1942, § 3145(9); 1975, c. 78.