BILL NUMBER: SB 750 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY AUGUST 8, 2013
AMENDED IN ASSEMBLY AUGUST 6, 2013
AMENDED IN SENATE MAY 24, 2013
AMENDED IN SENATE MAY 14, 2013
AMENDED IN SENATE APRIL 29, 2013
INTRODUCED BY Senator Wolk
(Coauthor: Assembly Member Fong)
FEBRUARY 22, 2013
An act to add Chapter 2.5 (commencing with Section 1954.201) to
Title 5 of Part 4 of Division 3 of , the Civil Code, and
to add Chapter 8.5 Section 517 to, and
Article 5 (commencing with Section 537) to Chapter 8 of
Division 1 of , the Water Code, relating to water.
LEGISLATIVE COUNSEL'S DIGEST
SB 750, as amended, Wolk. Building standards: water meters:
multiunit structures.
(1) The Water Measurement Law requires every water purveyor to
require, as a condition of new water service on and after January 1,
1992, the installation of a water meter to measure water service.
That law also requires urban water suppliers to install water meters
on specified service connections, and to charge water users based on
the actual volume of deliveries as measured by those water meters in
accordance with a certain timetable.
This bill would require a water purveyor that provides water
service to a newly constructed multiunit residential structure or
newly constructed mixed-use residential and commercial structure that
submits an application for a water connection after January 1,
2014 2015 , to require the
installation of either a water meter, as defined, or a submeter, as
defined, to measure water supplied measurement of the
quantity of water supplied to each individual dwelling unit
and to permit the measurement to be by individual water meters
or submeters, as defined . The bill would require the owner of
the structure to ensure that a water submeter installed for these
purposes complies with laws and regulations governing
installation, approval of meter type
submeter types or the installation , maintenance, reading,
billing, and testing of water submeters,
including, but not limited to, the California Plumbing Code. The bill
would exempt certain buildings structures
from these requirements. The bill would prohibit a water
purveyor from imposing an additional capacity or connection fee or
charge for a submeter that is installed by the owner, or his or her
agent. The bill would provide that these provisions shall become
operative on Janu ary 1, 2015.
(2) Existing law generally regulates the hiring of dwelling units
and, among other things, imposes certain requirements on landlords
and tenants. Among these requirements, existing law requires
landlords to provide tenants with certain notices or disclosures
pertaining to, among other things, pest control and gas meters.
This bill would, if a water purveyor requires the installation of
a meter or submeter, as specified, or a submeter has been installed,
impose further requirements on landlords, relating to submetered
water service to individual dwelling units. The bill would
prohibit a landlord from charging tenants separately for water
service in a property with submeters unless the submetering system is
installed, operated, and maintained require a
landlord to install and operate submeters in prescribed dwelling
units, as specified. The bill would require a landlord to make
certain disclosures to the tenant prior to the execution of the
rental agreement, including, among other things, that the
tenant will be billed for water separately from the rent and that the
tenant will also be billed for a portion of any recurring fixed
charge billed to the property by the water purveyor, as specified
if the landlord intends to charge a tenant separately
from rent for water service in a property with submeters . The
bill would specify that as part of the monthly bill for water
service a landlord may only bill a tenant for volumetric water
usage, as specified, and a portion of any
recurring fixed charge billed to the property by the water purveyor,
as specified , a billing, administrative, or other fee, as
prescribed, and a late charge . The bill would specify that
the landlord's billing cycle for water service must match
that of the water purveyor payments are required to be
due at the same point in each billing cycle, as prescribed,
and that each bill must include and separately set forth
certain information. The bill would prohibit a landlord from charging
certain additional fees related to water
service, except as provided . The bill would require a
landlord to maintain and make available installation,
maintenance, and testing records in writing the date
the submeter was last inspected, tested, and verified and the data
used to calculate the tenant's bill to a tenant upon the
tenant's written or electronic request, as specified. The bill
would require a landlord to make certain repairs on the
water system in a dwelling investigate, and if
warranted, rectify, a condition that indicates that water is being
distributed to the tenant not at his or her direction , as
specified. The bill would permit a landlord to enter a unit for
specified purposes relating to a submeter or water fixture provided
that certain requirements are met. The bill would permit the
assessment of administrative fees and late fees,
as specified. The bill would provide that these provisions shall
become operative on January 1, 2015.
In addition to actual damages, this bill would permit a tenant to
recover from the landlord certain damages, costs, and fees for a
violation of these provisions. The bill would authorize a city,
county, city and county, or district to enforce these provisions.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Chapter 2.5 (commencing with Section 1954.201) is added
to Title 5 of Part 4 of Division 3 of the Civil Code, to read:
CHAPTER 2.5. WATER SERVICE
1954.201. It is the intent of the Legislature in enacting this
chapter to do both of the following:
(a) To encourage the conservation of water in multifamily
residential rental buildings through means either within the landlord'
s or the tenant's control.
(b) To ensure that the practices involving the submetering of
dwelling units for water service are just and reasonable, and include
appropriate safeguards for both tenants and landlords.
1954.202. As used in this chapter:
(a) "Billing agent" means a person or entity who contracts to
provide submetering services to a landlord, including billing.
(b) "Landlord" includes all agents of the landlord, billing
agents, and successors in interest to the real property interests of
the landlord. "Landlord" does not include a tenant who rents all or a
portion of a dwelling unit to subtenants. "Landlord" does not
include a common interest development, as defined in Section 4100 of
the Civil Code.
(c) "Property" means real property containing two or more dwelling
units that is served by a single meter.
(d) "Rental agreement" includes a fixed-term lease.
(e) "Renting" includes leasing, whether on a periodic or
fixed-term basis.
(f) "Submeter" means a device that measures water consumption of
an individual rental unit within a multiunit residential structure or
mixed-use residential and commercial structure, and which is owned
and operated by the landlord. "Submeter" includes submeters,
if more than one submeter is being used to measure water usage in a
particular dwelling unit.
(g) "Water service" includes any charges for other services,
including sewage or storm water services, that are based in whole or
in part on the volume of water usage recorded by a water meter
or submeter .
(h) "Water purveyor" means a water purveyor as defined in Section
512 of the Water Code.
1954.203. (a) A landlord shall not charge tenants
separately for water service in a property with submeters unless the
submetering system is installed, operated, and maintained
subject to this chapter shall install and operate submeters
as follows:
(1) The submeter is certified inspected,
tested, and verified for commercial purposes pursuant to law,
including, but not limited to, Section 12500.5 of the Business and
Professions Code.
(2) The installation conforms to all laws, including, but not
limited to, regulations established pursuant to Section 12107 of the
Business and Professions Code. However, the installation need
not comply with a requirement that an outside faucet be under the
exclusive use of the tenant, provided that the tenant is notified
upon commencement of the tenancy that water dispensed from the faucet
shall be charged to the tenant. The landlord shall establish
reasonable rules to prohibit the use of the faucet by any person
other than the tenant.
(3) The installation was performed by a registered service agency
as defined in Section 12531 of the Business and Professions Code.
(4) The submeter is operated in compliance with regulations
established pursuant to Section 12107 of the Business and Professions
Code.
(5)
(3) The submeter for a dwelling unit measures only
water that is supplied for the exclusive use of the particular
dwelling unit and only to an area within the exclusive possession and
control of the tenant of the dwelling unit. However, the
installation need not comply with a requirement that an outside
faucet be under the exclusive use of the tenant, provided that the
tenant is notified upon commencement of the tenancy that water
dispensed from the faucet shall be charged to the tenant. The
landlord shall establish reasonable rules to prohibit the use of the
faucet by any person other than the tenant.
(6)
(4) The primary submeter indicator or remote reader may
be easily accessed and read by the tenant of the dwelling unit, and
read by the owner landlord without entering the dwelling unit.
(7)
(5) Each submeter is reinspected and recalibrated
within the time limits specified in law or regulation.
(8)
(6) All plumbing fixtures and fittings within each
dwelling unit conform to all laws regarding habitability of dwellings
and water conservation.
(b) This section does not require a water purveyor to assume
responsibility for ensuring compliance with any law or regulation
governing installation, certification, maintenance, and testing of
submeters and associated onsite plumbing.
1954.204. Prior to executing a rental agreement, a landlord that
intends to charge a tenant separately from rent for water
service in a property with submeters shall clearly
disclose the following information to the tenant, in writing, in at
least 10-point type, which may be incorporated into the rental
agreement:
(a) That the tenant will be billed for water service separately
from the rent.
(b) The average bill for water service for units at the property
over the most recent calendar year or, if the building is less than
one year old, a portion of that calendar year.
(b) An estimate of the monthly bill for water service for units at
the property, which may be expressed as a range with up to a 25
percent difference in average or median usage, determined by either
of the following:
(1) The average bill for water service for comparative units at
the property over three of the past six months.
(2) Using the national average of 3,600 gallons of water used per
unit per month as a basis for the bill and including any charges
pursuant to paragraphs (2) and (3) of subdivision (a) of Section
1954.205.
(c) The frequency of submeter readings.
(d)
(c) The due dates and payment procedures for bills for
water service.
(e)
(d) If a billing agent is used, the agent's
name, address, email address, normal hours of operation, and
toll-free telephone number of a toll-free telephone
number or a local number for the tenant to call the agent
, and the days and hours the agent is available by phone at either
number for the tenant to contact the agent regarding billing
questions .
(e) That the monthly bill for water service may only include four
charges:
(1) Payment due for the amount of usage as measured by the
submeter, charged at the exact same rate or rates as the water
purveyor.
(2) Payment of a portion of the fixed fee charged by the water
purveyor for water service divided equally among all the units in the
property.
(3) A fee for the landlord's or billing agent's costs, up to four
dollars ($4) per month or 40 percent of the amount billed for the
actual amount of water used, whichever is less.
(4) A late fee, with the amounts and times assessed, in compliance
with Section 1954.213.
(f) The date the submeter was last tested and calibrated
inspected, tested, and verified , and
the date by which it must be retested and recalibrated
under law reinspected, tested, and verified under law,
if available. If this information is not available, the landlord
shall disclose that the information is not available .
(g) A statement in substantially the following form:
The landlord (or name of landlord) shall charge you (or name of
tenant, or term used in the rental agreement for the tenant) for
water use at the same rate that the (water purveyor) bills its
customers for residential use. To find out what the rate charged by
(water purveyor) is, contact (water purveyor) at (address),
(telephone number).
(h) A statement that the tenant shall be charged for water service
at the exact rate or rates charged by the water purveyor serving the
property.
(i) A statement that the tenant shall also be charged for a
portion of any recurring fixed charge billed to the property by the
water purveyor and that the tenant's portion of the recurring fixed
charge shall be proportional to the amount of water the tenant uses
in relation to the usage for the entire property.
(j) The current amount of the recurring fixed charge referred to
in subdivision (i).
(k) A statement that no other connection, disconnection, billing,
or other periodic fee or charge, except for an administrative fee, a
late fee, or a submeter testing fee, may be assessed. If the landlord
reserves the right to charge an administrative fee or a late fee,
the amount and terms of the administrative fee or the late fee shall
also be disclosed.
(l)
(g) The location of the submeter, and
directions on how to read the submeter.
(h) A statement that if the tenant believes that the submeter
reading is inaccurate or the submeter is malfunctioning, the tenant
may contact the local county sealer and request that the submeter be
tested. Contact information for the county sealer shall be included
in the disclosure to the tenant.
(i) A statement that this disclosure is only a summary of
information that a landlord must provide to a tenant if the landlord
intends to charge a tenant separately from rent for water service in
a property with submeters.
1954.205. (a) As part of a water service bill
the monthly bill for water service , a landlord shall only
bill a tenant for volumetric the following:
(1) Volumetric usage of water
service pursuant to subdivision (b) and for a portion of any
(b).
(2) Any recurring fixed charge
for water service billed to the property by the water purveyor
pursuant to subdivision (f). The landlord shall not impose
any periodic, connection, termination, or other fee, however
denominated, except for administrative fees, late fees, or testing
fees as provided in this chapter. that, at the
landlord's discretion, shall be calculated by either of the
following:
(A) The proportion of the tenant's volumetric water use, as shown
on the submeter, in relation to the water use of the entire property,
as shown on the property's water meter.
(B) Dividing the total fixed charge equally among the total number
of residential units and non-residential units served by a single
meter operated by a water purveyor.
(3) A billing, administrative, or other fee for the landlord's and
billing agent's costs, not to exceed 40 percent of the amount billed
under paragraph (1) or four dollars ($4), whichever is less.
Beginning January 1, 2018, the fee imposed pursuant to this paragraph
may be adjusted annually by the landlord commensurate with an
increase in the Consumer Price Index.
(4) A late charge as assessed pursuant to Section 1954.213.
(b) The amount of the volumetric portion of the bill shall be
calculated by multiplying the volume of water used, as determined by
the submeter for the billing period in question, by the rate or rates
for volumetric usage established by the water purveyor
of for water service for
residential use the property .
(c) If the rate or rates established by the water
purveyor change, the bill shall be prorated to reflect the time each
rate was in effect. The landlord may assess charges for the entire
billing period based on the lower rate.
(d) If a submeter reading for the beginning or end of a billing
period is, in good faith, not available, the landlord may
shall bill the tenant 75 percent of the
amount originally disclosed to the tenant pursuant to subdivision
(b) of Section 1954.204 according to Section 1954.210
.
(e) No charges shall be imposed under this chapter if readings
have been unavailable for more than three months.
(f) The amount of the recurring fixed charge for water service
billed to the property by the water purveyor to be charged to the
tenant shall be based on the proportion of the tenant's volumetric
water use, as shown on the submeter, in relation to the water use of
the entire property, as shown on the property's water meter.
(e) This section shall apply to leases first entered into or
renewed on or after January 1, 2014. For leases first entered into or
renewed prior to January 1, 2014, this section shall apply but the
landlord may additionally bill the tenant for other charges as
provided in the lease, including, but not limited to, beginning and
ending water service.
1954.206. (a) The billing cycle for a water service bill pursuant
to this chapter shall match that of the water purveyor.
(b)
1954.206. (a) Submeters shall be read
within three days of the same point in each billing cycle.
(c) Bills
(b) Payments shall be due at the
same point in each billing cycle. However, bills
payments shall be due no earlier than 10 days after
mailing, if mailed, or 5 five days
after personal delivery. A tenant may agree in writing to
receive a bill electronically, in which case payments are due five
days after electronic delivery. A tenant may rescind authorization
for electronic delivery of bills at any time. A tenant shall not be
required to pay bills electronically.
(d)
(c) Bills shall include and separately set forth
the following information:
(1) The submeter readings for the beginning and end
date and ending date of the billing cycle, the
dates read, and the indicated consumption as determined by
subtracting the amount of the beginning date submeter reading from
the amount of the ending date submeter reading .
(2) The unit of measure for the readings and usage
amounts billed pursuant to paragraphs (1) to (4),
inclusive, of subdivision (a) of Section 1954.205 .
(3) The rate or rates charged for the volumetric charge
per unit of measure.
(4) The amount of the current charges for volumetric use.
(5) The amount of any recurring fixed charge for water service
billed to the property by the water purveyor.
(6) The total water consumption for the property, as indicated by
the property's water meter.
(7) The percentage of the total water consumption of the property
that was consumed by the tenant.
(8) The amount of current charges assessed to the tenant for the
tenant's share of any recurring fixed charges for water service
billed to the property by the water purveyor.
(9) A separate entry showing past due amounts, if any.
(10) A separate entry showing any previously imposed late charges.
(4) The amount, if any, still owing from the previous month's
bill.
(5) The amount, if any, still owing from bills prior to the
previous month's bill.
(6) The late fee, if any, imposed on amounts specified in
paragraph (4) or (5).
(11)
(7) The total amount due.
(12)
(8) The due date for the bill
payment .
(13)
(9) A statement of the amount of any new late
charges, if any, and when the late charges
fees would apply. Late charges shall be
imposed pursuant to Section 1954.212.
(14)
(10) The name, mailing address,
email address, telephone number, and the regular business
hours of the person or persons telephone hours during
which the tenant may call with contact
the billing agent with questions or concerns regarding the
bill, and who is authorized to bill. The
landlord or billing agent shall have in place procedures to
make any necessary adjustments to the bill upon contact by the
tenant . If a billing agent is used, the name of the entity
shall also be disclosed and the telephone number of the billing agent
shall be either a toll free or a local number for
the tenant to contact the billing agent .
(11) A statement that the biller is not the water purveyor that
includes the name of the local water purveyor providing the water
service to the master meter.
1954.207. A submeter shall be read within three days of the
beginning or end of a tenancy to determine the amount of the first or
last bill for water service. Tenancies that begin or end within
three days of a normal reading may be billed as usual.
1954.207. (a) At the beginning of a tenancy, a submeter shall be
read after the tenant takes possession. If a regular monthly reading
occurs less than five days prior to the tenant taking possession,
that reading may be substituted to establish usage.
(b) For a water-service bill at the end of a tenancy, the submeter
shall be read within five days, if possible. If the submeter cannot
be read within five days at the end of a tenancy, the bill amount for
the final month shall be based on the bill amount for the previous
month. Tenancies that end within five days of a regular monthly
reading may be billed according to that reading. At the end of a
tenancy, payment shall be due no earlier than 10 days after mailing
of the bill, if mailed, or five days after personal delivery, or five
days after electronic delivery.
1954.208. (a) A landlord shall not charge or recover, or allow to
be charged or recovered, any of the following:
(1) Any additional servicing, establishment, maintenance, meter
reading, meter testing, billing, or submetering fees, or any other
fee, including those charged by a billing agent, except as provided
in Section 1954.210.
(2) Any
recovered fees billed to the landlord by the water
purveyor, billing agent, or any other person for any deposit,
disconnection, reconnection, late payment, or any other
water service related purpose. penalty.
(b) This section does not prohibit a landlord from recovering any
costs listed in subdivision (a) that are incorporated into the rent
for a dwelling unit, if the rent is a fixed amount per rental period,
the charges are not listed separately, and the rental charges are
otherwise lawful.
1954.209. The landlord shall maintain and make available in
writing, at the tenant's written or electronic request,
within seven days after the request, the following:
(a) All installation and maintenance records of the submeter in
the tenant's dwelling unit, including the name, license number, and
contact information of the registered service agency that installed
or serviced the submeter.
(b) The most recent test results of the submeter in the tenant's
dwelling unit.
(c) The method and sources used to determine the rate at which the
tenant is charged for water.
(a) The date the submeter was last inspected, tested, and verified
for use, to the extent this information is available.
(b) The data used to calculate the tenant's bill, as follows:
(1) The most recent water bill for the property's master water
meter showing the recurring fixed charge for water service billed to
the property by the water purveyor, and the usage charges for the
property, including any tiered amounts.
(2) Any other bills for water service, as defined in subdivision
(g) of Section 1954.202, for the property.
(3) The number of units in the property.
(4) If not shown on the bill for the property, the per unit
charges for volumetric water usage, including any tiered amounts.
(5) The formula used to calculate the charge for the tenant's
volumetric water usage.
1954.210. (a) If the water system in a dwelling unit does not
function properly, including leaks, fixtures allowing unnecessary
water consumption, or a malfunctioning submeter, the tenant may
request that the landlord repair the problem. The landlord shall make
the repairs within seven days.
(b) A tenant may request that a landlord have a submeter tested
for accuracy. The landlord shall respond to the request within seven
days, and the test shall be carried out as soon as reasonably
practicable. The test shall be performed by a registered service
agency or other person authorized by law to perform the test. If the
test shows that the submeter is inaccurate beyond the tolerances
established by law, the landlord shall repair or replace the
submeter. If the test shows the submeter was indicating more usage
than the actual amount used and beyond established tolerances, the
landlord shall refund the estimated overcharge to the tenant within
30 days of receipt of the results.
(c) The landlord shall pay for the cost of the test if either:
(1) The tenant requests the test because the submeter has
indicated that water usage has increased more than 25 percent for two
consecutive billing periods over the previous three billing periods.
(2) The submeter is found to be inaccurate beyond the tolerances
established by law.
(d) The tenant shall pay for the test in all other cases, up to a
maximum of seventy-five dollars ($75).
(e) The landlord is not required to test a submeter under
subdivision (b) if the submeter was tested and found accurate within
two years prior to the tenant's request and the landlord provides the
written results of that test to the tenant. However, the landlord
shall have the submeter tested if the tenant pays in advance for the
entire cost of the test.
1954.211. (a) A landlord may charge an administrative fee for the
actual costs of reading submeters and providing billing services, up
to a maximum of four dollars ($4) per submetered tenant per month
for water service bills totaling ten dollars ($10) or more. If a
water service bill totals nine dollars and ninety-nine cents ($9.99)
or under, a landlord may charge an administrative fee for the actual
costs of reading submeters and providing billing services up to 40
percent of the water service bill per submetered tenant per month.
(b) Beginning January 1, 2017, an administrative fee imposed
pursuant to this section may be adjusted annually by the landlord
commensurate with an increase in the Consumer Price Index.
1954.212. (a) A landlord may impose a late fee of up to 5 percent
for any water service bill not paid within 20 days of its due date.
If the 20th day falls on a Saturday, Sunday, or holiday, the late fee
shall not be imposed until the day after the first business day
following the 20th day.
(b) (1) Notwithstanding Section 1950.5, if a water service bill
remains unpaid after the time described in subdivision (a) expires,
the landlord may, in lieu of a late fee, deduct the amount due from
the tenant's security deposit. The landlord may require an additional
deposit of security following a deduction, if the deposit would be
otherwise lawful under Sections 827 and 1950.5.
(2) The landlord may also deduct an unpaid water service bill from
the security deposit upon the ending of a tenancy, provided that the
last water service bill showing the amount due is attached to the
documentation required by Section 1950.5, and all the other
requirements of that section are met.
(c) If a water service bill remains unpaid for 30 days after its
due date, the nonpayment shall constitute a curable breach of a
material lease obligation. The landlord may commence an action to
remedy the breach, as provided by law.
(d) Water service charges under this chapter shall not constitute
rent.
(e) A landlord shall not shut off the water or otherwise interfere
with the provision of water service to a dwelling unit for any
reason, including nonpayment of a bill assessed pursuant to this
chapter.
1954.210. (a) If a tenant notifies the landlord, or the landlord
otherwise becomes aware, of a condition that indicates that water is
being distributed to the tenant not at his or her direction,
including, but not limited to, a leak, a drip, a running toilet, or a
submeter reading indicating constant or abnormal water usage, the
landlord shall investigate, and if warranted, rectify the condition.
(b) If the condition is rectified more than 10 days after the
initial investigation, the tenant's volumetric usage for any month or
months that include the period between 10 days after the initial
investigation and the repair shall be deemed to be fifteen dollars
($15) or actual usage, whichever is less. At the landlord's option,
if submeter readings are
available to determine the usage at a point prior to investigation
and a point following repair, usage shall be deemed to be fifty cents
($0.50) per day for those days between the two submeter readings or
actual usage, whichever is less.
(c) If the condition remains unrectified for six months after
investigation, no further volumetric usage charges may be imposed
until the condition is repaired.
1954.211. (a) The landlord may enter the unit for the purpose of
installing, repairing, testing, and maintaining a submeter or for the
purpose of repairing or testing any water fixture suspected by the
landlord or reported by the tenant to be in need of repair, provided
the requirements of Section 1954 are met.
(b) The landlord may also enter a unit to read a submeter,
provided the requirements of this chapter and Section 1954 are met.
1954.212. (a) If a monthly submeter reading necessary to measure
volumetric usage is unavailable, the landlord may bill the tenant 75
percent of the average amount billed for volumetric usage for the
last three months for which complete billing information is
available. The landlord shall disclose the adjustment on the bill.
(b) If no complete billing information is available for the prior
three months, the volumetric usage charge shall be deemed to be 50
cents ($0.50) per day that the data is not available.
(c) If monthly submeter readings remain unavailable for more than
six months, the volumetric usage charge shall be deemed to be zero
for any subsequent month that the data is not available.
1954.213. (a) A landlord may impose a late fee for any water
service bill not paid within 20 days of its due date. If the 20th day
falls on a Saturday, Sunday, or holiday, the late fee shall not be
imposed until the day after the first business day following the 20th
day.
(b) A late fee of up to seven dollars ($7) may be imposed if any
amount of a bill remains unpaid after the time described in
subdivision (a). A late fee of up to ten dollars ($10) may be imposed
if any amount remains unpaid after 50 days, as calculated in the
same manner as described in subdivision (a). If any partial payments
are made, they shall be credited against the bill that has been
outstanding the longest.
(c) (1) Notwithstanding Section 1950.5, if a water service bill
remains unpaid after the time described in subdivision (a) expires,
the landlord may, in lieu of a late fee, deduct the amount due from
the tenant's security deposit. The landlord may require an additional
deposit of security following a deduction, if the deposit would be
otherwise lawful under Sections 827 and 1950.5.
(2) The landlord may also deduct an unpaid water service bill from
the security deposit upon the ending of a tenancy, provided that the
last water service bill showing the amount due is attached to the
documentation required by Section 1950.5, and all the other
requirements of that section are met.
(d) If a water service bill remains unpaid for 30 days after its
due date, the nonpayment shall constitute a curable breach of a
material lease obligation. The landlord may commence an action to
remedy the breach, as provided by law.
(e) Water service charges under this chapter shall not constitute
rent.
(f) A landlord shall not shut off the water or otherwise interfere
with the provision of water service to a dwelling unit for any
reason, including nonpayment of a bill assessed pursuant to this
chapter.
1954.213. 1954.214. In addition to
actual damages sustained by a tenant for a violation of this chapter,
the tenant may recover from the landlord three times the amount of
actual damages, reasonable attorney's fees, and costs. The landlord
may also be liable for a civil penalty of up to one month's rent,
unless the landlord shows that the violation was made in good faith
and not part of a pattern and practice of violations of this chapter.
1954.214. 1954.215. (a) A city,
county, city and county, or district may enforce this chapter.
(b) This chapter does not preclude or preempt an ordinance that
regulates the approval of submeter types or the installation,
maintenance, reading, billing, or testing of submeters and associated
onsite plumbing if the ordinance meets either of the
following requirements:
(1) Is
ordinance was adopted prior to January 1, 2013.
(2) Meets or exceeds the minimum requirements provided by this
chapter.
1954.215. 1954.216. The rights or
obligations established under this chapter shall not be waived. Any
purported waiver is void.
1954.216. This chapter applies only to property where submeters
have been installed or where a meter and submeters are installed
pursuant to Chapter 8.5 (commencing with Section 537) of Division 1
of the Water Code.
1954.217. (a) This chapter shall apply to both of the following:
(1) All dwelling units offered for rent or rented in a building
where submeters were installed pursuant to Article 5 (commencing with
Section 537) of Chapter 8 of Division 1 of the Water Code.
(2) All other dwelling units where a landlord has previously
installed and uses or voluntarily installs and uses a submeter to
charge a tenant separately for water service.
(b) Nothing in this chapter shall do the following:
(1) Apply to any building without submeters installed and in use.
(2) Be construed to enlarge or diminish the rights or obligations
with respect to charges or allocation methods to determine water
service costs to tenants in a building without submeters installed
and in use.
1954.218. A submeter system that measures only a portion of a
dwelling unit's water usage, including, but not limited to, a system
that measures only hot water usage, shall not be subject to this
chapter, if the system is first put in service before January 1,
2014.
1954.219. This chapter shall become operative on January 1, 2015.
SEC. 2. Chapter 8.5 (commencing with Section
537) is added to Division 1 of the Water Code, to read:
CHAPTER 8.5. MULTIUNIT STRUCTURES
537. (a) The following definitions govern the construction of
this chapter:
(1) "Meter" has the same meaning as "water meter" in Section 516.
(2) "Submeter" means a device that measures water consumption of
an individual unit within a multiunit residential structure or
mixed-use residential and commercial structure, and is read by the
owner of the structure or the owner's agent.
(b) Structures in all of the following categories shall be exempt
from this chapter:
(1) Low-income housing. For purposes of this paragraph,
"low-income housing" means a residential building financed with
low-income housing tax credits, tax-exempt mortgage revenue bonds,
general obligation bonds, or local, state, or federal loans or
grants, for which the rents of the occupants in lower income
households, as defined in Section 50079.5 of the Health and Safety
Code, do not exceed rents prescribed by deed restrictions or
regulatory agreements pursuant to the terms of the financing or
financial assistance, and for which not less than 25 percent of the
dwelling units within the building are designated for occupancy by
lower income households, as defined in Section 50079.5 of the Health
and Safety Code.
(2) Student dormitories.
(3) Long-term health care facilities, as defined in Section 1418
of the Health and Safety Code.
(4) Time-share property, as defined in subdivision (aa) of Section
11212 of the Business and Professions Code.
(5) Residential care facilities, as defined in subdivision (k) of
Section 1569.2 of the Health and Safety Code.
(c) A submeter used to measure water supplied to an individual
residential unit that is required to be installed by a water purveyor
pursuant to this chapter, shall be of a type approved pursuant to
Section 12500.5 of the Business and Professions Code, and shall be
installed and operated in compliance with regulations established
pursuant to Section 12107 of the Business and Professions Code.
538. (a) Each water purveyor that sells, leases, rents,
furnishes, or delivers water service to a newly constructed multiunit
residential structure or newly constructed mixed-use residential and
commercial structure for which an application for a water
connection, or more than one connection, is submitted after January
1, 2014, shall require the installation of a water meter or submeter
to measure the water supplied to each individual dwelling unit as a
condition of new water service.
(b) (1) If the water purveyor requires installation of submeters
pursuant to subdivision (a), the owner of the structure shall ensure
that each submeter installed complies with all laws and regulations
governing the approval of submeter types or the installation,
maintenance, reading, billing, and testing of submeters, including,
but not limited to, the California Plumbing Code.
(2) This subdivision does not require a water purveyor to fund or
assume responsibility for ensuring compliance with any law or
regulation governing the approval of submeter types or the
installation, maintenance, reading, billing, and testing of submeters
and associated onsite plumbing.
(c) A water purveyor shall not impose an additional capacity or
connection fee or charge for a submeter that is installed by the
owner, or his or her agent.
538.5. (a) This chapter does not restrict the authority of a
water purveyor, city, county, city and county, or other local agency
to adopt and implement a program to promote water conservation that
includes the installation of water meters and submeters, as required
pursuant to subdivision (a) of Section 538, if the program is at
least as stringent as the requirements of this chapter.
(b) This chapter does not preclude or preempt an ordinance that
regulates the approval of submeter types or the installation,
maintenance, reading, billing, or testing of submeters and associated
onsite plumbing if the ordinance meets either of the following
requirements:
(1) Is adopted prior to January 1, 2013.
(2) Meets or exceeds the minimum requirements provided by this
chapter.
539. It is the intent of the Legislature that this chapter should
not be construed to impose costs on any local government agency,
except to the extent that the local government agency is a water
purveyor.
SEC. 2. Section 517 is added to the
Water Code , to read:
517. "Submeter" means a device that measures water consumption of
an individual unit within a multiunit residential structure or
mixed-use residential and commercial structure, and is read by the
owner of the structure or the owner's agent.
SEC. 3. Article 5 (commencing with Section 537) is
added to Chapter 8 of Division 1 of the Water Code
, to read:
Article 5. Multiunit Structures
537. (a) Structures in all of the following categories shall be
exempt from this chapter:
(1) Low-income housing. For purposes of this paragraph,
"low-income housing" means a residential building financed with
low-income housing tax credits, tax-exempt mortgage revenue bonds,
general obligation bonds, or local, state, or federal loans or
grants, for which the rents of the occupants in lower income
households, as defined in Section 50079.5 of the Health and Safety
Code, do not exceed rents prescribed by deed restrictions or
regulatory agreements pursuant to the terms of the financing or
financial assistance, and for which not less than 25 percent of the
dwelling units within the building are designated for occupancy by
lower income households, as defined in Section 50079.5 of the Health
and Safety Code.
(2) Student dormitories.
(3) Long-term health care facilities, as defined in Section 1418
of the Health and Safety Code.
(4) Time-share property, as defined in subdivision (aa) of Section
11212 of the Business and Professions Code.
(5) Residential care facilities, as defined in subdivision (k) of
Section 1569.2 of the Health and Safety Code.
(b) A submeter used to measure water supplied to an individual
residential unit that is required to be installed by a water purveyor
pursuant to this chapter shall be of a type approved pursuant to
Section 12500.5 of the Business and Professions Code and shall be
installed and operated in compliance with regulations established
pursuant to Section 12107 of the Business and Professions Code.
538. (a) Each water purveyor that sells, leases, rents,
furnishes, or delivers water service to a newly constructed multiunit
residential structure or newly constructed mixed-use residential and
commercial structure for which an application for a water
connection, or more than one connection, is submitted after January
1, 2015, shall require a measurement of the quantity of water
supplied to each individual dwelling unit as a condition of new water
service. The measurement may be by individual water meters or
submeters. Applicants shall provide appropriate documentation to the
water purveyor that identifies the location of the water meters or
submeters.
(b) (1) If the water purveyor requires installation of submeters
pursuant to subdivision (a), the owner of the structure shall ensure
that each submeter installed complies with all laws and regulations
governing the approval of submeter types or the installation,
maintenance, reading, billing, and testing of submeters, including,
but not limited to, the California Plumbing Code.
(2) This subdivision does not require a water purveyor to fund or
assume responsibility for ensuring compliance with any law or
regulation governing the approval of submeter types or the
installation, maintenance, reading, billing, and testing of submeters
and associated onsite plumbing.
(c) A water purveyor shall not impose an additional capacity or
connection fee or charge for a submeter that is installed by the
owner, or his or her agent.
538.5. (a) This article does not preclude or preempt an ordinance
that regulates the approval of submeter types or the installation,
maintenance, reading, billing, or testing of submeters and associated
onsite plumbing if the ordinance was adopted prior to January 1,
2013.
(b) This article does not restrict the authority of a water
purveyor, city, county, city and county, or other local agency to
adopt and implement a program to promote water conservation that
includes the installation of water meters and submeters, as required
pursuant to subdivision (a) of Section 538 if the program is at least
as stringent as the requirements of this article.
539. It is the intent of the Legislature that this article should
not be construed to impose costs on any local government agency,
except to the extent that the local government agency is a water
purveyor.
539.5. This article shall become operative on January 1, 2015.