The State of Texas allows landlords to bill tenants for water and wastewater service without the tenant's bill being based on the tenant's measured, metered use, instead basing the bill on all tenants in an apartment complex being billed for their share of the collective water consumption, based on TCEQ approved formulas, which seem fraught with the opportunity for fraud.
TCEQ has established specific rules regarding water allocation billing. However, judging by all the complaints about water allocation billing, apparently, with the TCEQ, rules are made to be broken.
You can read all of the TCEQ Tenant Guide to Allocated Water on Wastewater Service, relevant parts of which are below....
Is this practice legal?
Yes, Texas law allows owners or allocated service providers to bill tenants for water and wastewater service. Under this law, the TCEQ has adopted rules designed to provide safeguards for you, the tenant. The rules require the property owner to provide you with specific information about your bills and to include disclosures about their billing practices in your rental agreement. It is important for you to be familiar with these requirements, because any billing disputes that arise must be resolved by you and the property owner, usually by working with the on-site manager. What should my rental agreement include concerning allocated water or wastewater service?
Your rental agreement, lease, or a lease addendum, should disclose the following information:
• Disputes about the calculation of your bill are between you and the property owner.
• You will be billed on an allocated basis.
• You will be billed for water and/or wastewater.
• You have the right to receive information from the owner to verify your utility bill.
• A clear description of the allocation method the property owner will use to calculate your bill.
• The average monthly water/wastewater bill for all dwelling units in the previous calendar year, and the highest and the lowest bill in that year.
• The date bills are usually issued.
• The date bill payments are usually due.
• The number of days it will take to repair a leak in your dwelling unit, after you have reported it in writing.
• The number of days it will take to repair a leak
What utility charges can be passed through to tenants?
Allocated bills for water and wastewater may only include utility charges for water, wastewater, and surcharges directly related to those services. Tenants may not be charged for fees the utility has billed the owner for a deposit, disconnect, reconnect, late payment, or other similar fee. Texas law does not allow property owners to profit from allocated billing by adding extra fees or hidden charges to water and wastewater bills.
What records must be made available to me concerning allocated service?
The TCEQ rules require property owners to make the following billing records available to you for inspection at the manager’s office during normal business hours. The owner or manager may ask you to submit a written request to view this information. Records routinely kept at the on-site manager’s office should be made available within three days. Records routinely kept elsewhere must be made available within 15 days of receiving your written request. If there is no on-site manager’s office, the owner must make copies of requested information available at your dwelling unit, at a time agreed to by you, within 30 days of receiving your written request.
Information that must be made available to you includes:
• the statute that allows owners to bill tenants for water and wastewater service (Texas Water Code, Chapter 13, Subchapter M),
• TCEQ rules that regulate this practice (Title 30, Texas Administrative Code, Chapter 291, Subchapter H),
• rates charged to the property by the utility,
• bills from the utility to the property,
• data on occupancy and square footage used to calculate allocated bills,
• calculations showing deductions for common areas (if applicable),
• total amount billed to tenants each month for water/wastewater,
• total amount collected from tenants each month for water/wastewater,
• any other information you may need to calculate and verify your water/wastewater bill, and
• conservation tips.
Can the owner or allocated service provider change the way I am billed? No, not unless:
• the owner has given you notice of the proposed change at least 35 days prior to implementing the new method;
• your existing lease has expired, or you are willing to sign a new lease before the current lease expires; and
• you have agreed to the change by signing a lease or other written agreement.
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