Okla. Stat. tit. 63, § 63-1066: Tax exemption and payments in lieu of taxes

The property and funds of a housing authority are declared to be

used for charitable purposes and to be public property used for

essential public and governmental purposes, and such property and

the authority are exempt from all taxes, including sales and use

taxes and special assessments of the state or any state or local

public body. In lieu of taxes on its property an authority shall

agree to make such payments to the state or any state or local

public body as the governing body of the city or county finds

consistent with the maintenance of the low-rent character of housing

projects and the achievement of the purposes of this act, provided

that not less than one-half (1/2) of the annual amount of such

payment in lieu of taxes shall be paid to the school district within

which the property of the housing authority is located. The amount

of money collected under the provisions of this act shall not be

considered as chargeable income to the district receiving such

funds. The tax exemption provided by this section does not apply to

any portion of a project used by a profit-making enterprise, but in

taxing such portions appropriate allowance shall be made for any

expenditure by an authority for utilities or other public services

which it provides to serve the property.