Ratio Utility Billing Systems

Summary

The bill amends state law to let landlords allocate utility costs to tenants through a ratio billing method, as long as the total charged does not exceed the utility provider’s bill, no extra fees are added, common‑area costs are excluded, and the allocation method is clearly disclosed in the lease. It applies to all residential rental agreements and adds a future requirement that new constructions after July 1, 2027 have utilities metered directly by the provider or by sub‑meters. The goal is to increase transparency and prevent overcharging for utilities.

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