                                 CODE OF VIRGINIA

ENERGY SUBMETERING, ENERGY ALLOCATION EQUIPMENT, SEWER AND WATER SUBMETERING
EQUIPMENT, RATIO UTILITY BILLINGS SYSTEMS; LOCAL GOVERNMENT FEES (§ 55.1-1404)

A. As used in this section:
			&#8220;Building&#8221; means all of the individual units served through the
same utility-owned meter within a building that is used as a nonresidential
tenancy, including a building used as an office building or shopping center as
those terms are defined in &#xA7; 56-245.2.
			&#8220;Campground&#8221; means the same as that term is defined in &#xA7;
35.1-1.
			&#8220;Campsite&#8221; means the same as that term is defined in &#xA7;
35.1-1.
			&#8220;Energy allocation equipment&#8221; means the same as that term is
defined in &#xA7; 56-245.2.
			&#8220;Energy submetering equipment&#8221; has the same meaning ascribed to
&#8220;submetering equipment&#8221; in &#xA7; 56-245.2.
			&#8220;Local government fees&#8221; means any local government charges or
fees assessed against a building or campground, including stormwater, recycling,
trash collection, elevator testing, or fire or life safety testing.
			&#8220;Ratio utility billing system&#8221; means a program that utilizes a
mathematical formula for allocating, among the tenants in a building or
campground, the actual or anticipated water, sewer, electrical, oil, or natural
gas billings billed to the building or campground owner from a third-party
provider of the utility service. Permitted allocation methods may include
formulas based on square footage, occupancy, number of bedrooms, or some other
specific method agreed to by the building or campground owner and the tenant in
the rental agreement or lease.
			&#8220;Water and sewer submetering equipment&#8221; means equipment used to
measure actual water or sewer usage in any nonresidential rental unit, as
defined in &#xA7; 56-245.2, when such equipment is not owned or controlled by
the utility or other provider of water or sewer service that provides service to
the building in which the nonresidential rental unit is located or campground
where the campsite is located.

B. Energy submetering equipment, energy allocation equipment, water and sewer
submetering equipment, or a ratio utility billing system may be used in a
building or campground if clearly stated in the rental agreement or lease for
the leased premises. All energy submetering equipment and energy allocation
equipment shall meet the requirements and standards established and enforced by
the State Corporation Commission pursuant to &#xA7; 56-245.3.

C. If energy submetering equipment, water and sewer submetering equipment, or
energy allocation equipment is used in any building or campground, the owner,
manager, or operator of the building or campground shall bill the tenant for
electricity, oil, natural gas, or water and sewer for the same billing period as
the utility serving the building or campground, unless the rental agreement or
lease expressly provides otherwise. The owner, manager, or operator of the
building or campground may charge and collect from the tenant additional service
charges, including monthly billing fees, account set-up fees, or account
move-out fees, to cover the actual costs of administrative expenses and billing
charged to the building or campground owner, manager, or operator by a
third-party provider of such services, provided that such charges are agreed to
by the building or campground owner and the tenant in the rental agreement or
lease. The building or campground owner may require the tenant to pay a late
charge of up to $5 if the tenant fails to make payment when due, which shall not
be less than 15 days following the date of mailing or delivery of the bill sent
pursuant to this section.

D. If a ratio utility billing system is used in any building or campground, in
lieu of increasing the rent, the owner, manager, or operator of the building or
campground may employ such a program that utilizes a mathematical formula for
allocating, among the tenants in a building or campground, the actual or
anticipated water, sewer, electrical, oil, or natural gas billings billed to the
building or campground owner from a third-party provider of the utility service.
The owner, manager, or operator of the building or campground may charge and
collect from the tenant additional service charges, including monthly billing
fees, account set-up fees, or account move-out fees, to cover the actual costs
of administrative expenses and billings charged to the building or campground
owner, manager, or operator by a third-party provider of such services, provided
that such charges are agreed to by the building or campground owner and the
tenant in the rental agreement or lease. The building or campground owner may
require the tenant to pay a late charge of up to $5 if the tenant fails to make
payment when due, which shall not be less than 15 days following the date of
mailing or delivery of the bill sent pursuant to this section.

E. Energy allocation equipment shall be tested periodically by the owner,
manager, or operator of the building or campground. Upon the request by a
tenant, the owner shall test the energy allocation equipment without charge. The
test conducted without charge to the tenant shall not be conducted more
frequently than once in a 24-month period for the same tenant. The tenant or his
designated representative may be present during the testing of the energy
allocation equipment. A written report of the results of the test shall be made
to the tenant within 10 working days after the completion of the test.

F. The owner of any building or campground shall maintain adequate records
regarding energy submetering equipment, water and sewer submetering equipment,
energy allocation equipment, or a ratio utility billing system. A tenant may
inspect and copy the records for the leased premises during reasonable business
hours at a convenient location within the building or campground. The owner of
the building or campground may impose and collect a reasonable charge for
copying documents, reflecting the actual costs of materials and labor for
copying, prior to providing copies of the records to the tenant.

G. Notwithstanding any enforcement action undertaken by the State Corporation
Commission pursuant to its authority under &#xA7; 56-245.3, tenants and owners
shall retain any private right of action resulting from any breach of the rental
agreement or lease terms required by this section or &#xA7; 56-245.3, if
applicable, to the same extent as such actions may be maintained for breach of
other terms of the rental agreement or lease under this chapter, if applicable.
The use of energy submetering equipment, water and sewer submetering equipment,
energy allocation equipment, or a ratio utility billing system is not within the
jurisdiction of the Department of Agriculture and Consumer Services under
Chapter 56 (&#xA7; 3.2-5600 et seq.) of Title 3.2.

H. In lieu of increasing the rent, the owner, manager, or operator of a building
or campground may employ a program that utilizes a mathematical formula for
allocating the actual or anticipated local government fees billed to the
building or campground owner among the tenants in such building or campground if
clearly stated in the rental agreement or lease for the leased premises.
Permitted allocation methods may include formulas based upon square footage,
occupancy, number of bedrooms, or some other specific method agreed to by the
building or campground owner and the tenant in the rental agreement or lease.
Such owner, manager, or operator of a building or campground may also charge and
collect from each tenant additional service charges, including monthly billing
fees, account set-up fees, or account move-out fees, to cover the actual costs
of administrative expenses for administration of such a program.

I. Nothing in this section shall be construed to prohibit an owner, manager, or
operator of a building or campground from including water, sewer, electrical,
natural gas, oil, or other utilities in the amount of rent as specified in the
rental agreement or lease.

HISTORY: 1992, c. 766, § 55-226.2; 2003, c. 355; 2005, c. 278; 2010, c. 550;
2012, c. 338; 2014, c. 501; 2015, c. 596; 2017, c. 730; 2019, c. 712.