                                 CODE OF VIRGINIA

FEES AND CHARGES FOR WATER AND SEWER SERVICES PROVIDED TO A TENANT OR LESSEE OF
THE PROPERTY OWNER (§ 15.2-2119.4)

A. Notwithstanding any provision of law, general or special, the provisions of
this section apply to any locality or authority, as such term is defined in
&#xA7; 15.2-5101.

B. A locality or authority providing water or sewer services to a lessee or
tenant of the property owner shall do so directly to the tenant after (i)
obtaining from the property owner a written or electronic authorization to
obtain water and sewer services in the name of such lessee or tenant and (ii) if
the locality or authority decides to use the lien rights afforded under
subsection G of &#xA7; 15.2-2119, collecting a security deposit from the lessee
or tenant as reasonably determined by the locality to be sufficient to
collateralize the locality or authority for not less than three and no more than
five months of water and sewer charges. When the property owner has provided the
lessee or tenant with written authorization from the property owner to obtain
water and sewer services in the name of such lessee or tenant, nothing herein
shall be construed to authorize the locality or authority to require (a) the
property owner to put water and sewer services in the name of such property
owner, except in the case where a single meter serves multiple tenant units, or
(b) a security deposit or a guarantee of payment from such property owner. The
property owner, lessee, or tenant may provide a copy of the lease or rental
agreement to the locality or authority in lieu of the written authorization.

C. For purposes of this section, a written or electronic authorization from the
property owner to obtain water and sewer services in the name of such lessee or
tenant substantially in the form as follows, or a copy of the lease or rental
agreement, shall be sufficient compliance with this section:
			DATE
			[INSERT NAME OF WATER AND SEWER SERVICES PROVIDER AND ADDRESS]
			RE: [INSERT FULL TENANT NAME AND ADDRESS]
			To Whom It May Concern:
			[INSERT TENANT NAME] has entered into a lease for the property located at
[INSERT ADDRESS] and is authorized to obtain services at this address as a
tenant of [INSERT PROPERTY OWNER NAME].
			Signed:
			PROPERTY OWNER

D. If the fees and charges charged for water service or the use and services of
the sewage disposal system by or in connection with any real estate are not paid
when due, a penalty and interest shall be owed, as provided for by general law,
by the lessee or tenant. If such lessee or tenant does not pay the full amount
of charges, penalty, and interest for water provided or cease such disposal
within 30 days thereafter, the locality or authority supplying water or sewage
disposal services for the use of such real estate shall notify such lessee or
tenant of the delinquency. If such lessee or tenant does not pay the full amount
of charges, penalty, and interest for water provided or cease such disposal
within 60 days after the delinquent fees and charges charged for water or sewage
disposal services are due, the locality or authority supplying water or sewage
disposal services for the use of such real estate may cease supplying water and
sewage disposal services thereto unless the health officers certify that
shutting off the water will endanger the health of the occupants of the premises
or the health of others. At least 10 business days prior to ceasing the supply
of water or sewage disposal services, the locality or authority supplying such
services shall provide the lessee or tenant with written notice of such
cessation, with a copy to the property owner.

E. If the lessee or tenant does not pay the full amount of charges, penalty, and
interest for water or the use and services of the sewage disposal system in a
timely manner as set out herein, in addition to cessation of such service, the
locality or authority shall employ reasonable collection efforts and practices
to collect amounts due from the lessee or tenant prior to sending written notice
to, or taking any collection or legal action against, the property owner
regarding the delinquency of payment of such lessee or tenant. For the purposes
of this section, &#8220;reasonable collection efforts and practices&#8221;
include (i) applying the security deposit paid by the lessee or tenant held by
the locality or authority to the payment of the outstanding balance; and (ii)
either filing for the Setoff Debt Collection Program (&#xA7; 58.1-520 et seq.)
or placing the account with a debt collection service.

F. Only after the locality or service authority has taken the reasonable
collection efforts set forth in subsection E of &#xA7; 15.2-2119 and practices
to collect such fees and charges from the lessee or tenant may the locality or
service authority proceed to notify the property owner of such outstanding lien
obligation of such lessee or tenant and thereafter to record a lien against the
property owner by using the lien recordation and release of lien processes as
set out in &#xA7; 15.2-2119 and only after notice to the property owner as
required in &#xA7; 15.2-2119. Such a lien, up to three months of delinquent
water and sewer charges, shall constitute a lien against the property ranking on
a parity with liens for unpaid taxes.

G. If a lien is recorded against the property owner and the property owner pays
any of the delinquent obligations of such former lessee or tenant, upon payment
of the outstanding balance, or any portion thereof, or of any amounts of such
fees and charges owed by the former tenant, the property owner shall be entitled
to receive any refunds and shall be subrogated against the former tenant in
place of the locality or authority in the amount paid by the property owner. The
locality or authority shall execute all documents necessary to perfect such
subrogation in favor of the property owner.

H. Unless a lien has been recorded against the property owner, the locality or
authority shall not deny service to a new tenant who is requesting service at a
particular property address based upon the fact that a former tenant has not
paid any outstanding fees and charges charged for the use and services in the
name of the former previous tenant. In addition, the locality or authority shall
provide information relative to a former tenant or current tenant to the
property owner upon request of the property owner. If the property owner
provides the locality or authority a request to be notified of a tenant&#8217;s
delinquent water or sewer bill and provides an email address, the locality or
authority shall send the property owner notice when a tenant&#8217;s water or
sewer bill has become 15 days delinquent.

I. When a locality or authority does not require a lessee or tenant to pay a
security deposit to the locality or authority as a condition precedent to
turning on water or sewer services in the name of the lessee or tenant, such
locality or authority shall waive its lien rights against the property owner.
All other provisions of this section shall apply.

J. The locality or authority shall not require a security deposit from the
lessee or tenant to obtain water and sewer services in the name of such lessee
or tenant if such lessee or tenant presents to the locality or authority a
landlord authorization letter that has attached documentation showing that such
lessee or tenant receives need-based local, state, or federal rental assistance,
and the absence of a security deposit shall not prevent a locality from
exercising its lien rights as authorized under this section. All other
provisions of this section shall apply.

HISTORY: 2017, c. 736.