BILL ANALYSIS
Senate Appropriations Committee Fiscal Summary
Senator Christine Kehoe, Chair
1975 (Fong)
Hearing Date: 08/09/2010 Amended: 08/02/2010
Consultant: Brendan McCarthy Policy Vote: NR&W 6-3
AB 1975 (Fong), Page 2
_________________________________________________________________
____
BILL SUMMARY: AB 1975 requires the Department of Housing and
Community Development to adopt building standards requiring the
installation of individual water meters or submeters in newly
constructed multi-unit residential buildings. The bill requires
the Department to convene a stakeholder group to make
recommendations regarding procedures for billing occupants of
rental housing units for water use by building owners. The bill
requires water suppliers to determine whether the installation
of individual water meters or submeters is required for new
connections to multi-unit residential buildings.
_________________________________________________________________
____
Fiscal Impact (in thousands)
Major Provisions 2010-11 2011-12 2012-13 Fund
Development of standards $300 $320 General
_________________________________________________________________
____
STAFF COMMENTS: This bill meets the criteria for referral to the
Suspense File.
Current law requires all new water service connections to be
metered. In addition, by 2025, all existing water connections
must be metered. Individual units in multi-unit residential
buildings do not have to be individually metered or submetered.
AB 1975 requires the Department of Housing and Community
Development to update the California building standards code to
require the installation of water meters or submeters for each
unit in new multi-unit residential buildings. This required
update would be included in the next regular update of the
building standards code. The bill authorizes the Department to
allow for exemptions from this requirement and directs the
Department to consider authorizing exemptions for specific types
of residential buildings (such as low-income housing or student
dormitories).
The bill requires the Department to convene a stakeholder group
to develop recommendations for future legislation to establish
procedures and standards under which landlords could bill rental
tenants for water and sewage use.
AB 1975 (Fong), Page 2
The bill requires local water suppliers to either develop a
general policy about when individual meters or submeters will be
required for new water connections to multi-unit residential
buildings or make case-by-case determinations.
The bill prohibits water suppliers from charging additional fees
to owners of residential buildings due to the installation of
submeters.
The bill prohibits building owners from charging tenants any
fees or other charges based on water use measured with a
submeter.
The Department indicates that the costs to develop and adopt the
regulations and support the stakeholder process to be about
$300,000 per year for two years.