In a major win for property rights and the rule of law, Oklahoma Gov. Kevin Stitt has signed legislation that holds local governments financially accountable when officials allow homelessness to grow unchecked and harm neighborhoods.
House Bill 3985, championed by state Rep. Trey Caldwell and Senate Majority Leader Julie Daniels, empowers property owners to seek compensation when local governments have a policy, pattern or practice of failing to enforce laws related to homelessness and allowing public nuisances to persist unabated.
Specifically, the legislation allows property owners in cities with populations over 130,000 to file claims when their property values decrease or when they incur reasonable mitigation expenses due to the local government’s failure to enforce laws related to issues associated with illegal camping, panhandling, loitering, drug activity, and public intoxication.
HB 3985 stands for the simple premise that when government fails to perform its most basic duties, citizens should not be left holding the bag. This legislation does not attempt to solve homelessness directly. Instead, it allows property owners to recover reasonable costs associated with the government’s failure to protect public safety and abate nuisances. Fundamentally, this bill is about establishing proper incentives and recentering property owners and safe neighborhoods in the debate over homelessness.
Oklahoma’s HB 3985 echoes the spirit of Arizona’s Proposition 312, a groundbreaking measure championed by the Goldwater Institute and approved by voters in 2024. Prop 312 similarly ensures that property owners can obtain relief when cities fail to enforce laws and allow homelessness related nuisances to take root. HB 3985 brings that same model to Oklahoma, signaling that policymakers are serious about protecting communities instead of making excuses.
Allowing individuals to live in dangerous encampments, often without access to sanitation, treatment, or services, is not compassionate. Rather, it’s neglect and dereliction of duty from local governments. Meanwhile, surrounding communities suffer from increased crime, serious health hazards, and economic decline.
HB 3985 does not criminalize homelessness. Instead, it ensures that governments cannot ignore illegal activity and its consequences on private property owners. It reinforces the idea that laws must be applied evenly, and that public officials are accountable to the people they serve. Most importantly, the new law gives property owners actual financial recourse when local governments fail to provide basic public safety.
The Goldwater Institute appreciates Sen. Daniels and Rep. Caldwell for their tireless work to protect property rights and public safety and applauds Gov. Stitt for signing this crucial reform.
Brian Norman is the Director of State Affairs at the Goldwater Institute.
