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Updated almost 5 years ago on . Most recent reply
![Cary Hawkins's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/1094276/1621508783-avatar-charlesh155.jpg?twic=v1/output=image/crop=384x384@261x64/cover=128x128&v=2)
Water submeter fourplex Imperial Beach
I am looking for water submetering options for my fourplex in IB. Many of the companies seem to only service larger properties. Additionally, the option to monitor myself is appealing as opposed to paying the vendor. Does anyone have any recommendations for companies? I saw that the submeters need to be in accordance with Sections 12500.5 and 12107 of the Business and Professions Code (California Apartment Association), are there any other pertinent regulations I need to be aware of? Thanks in advance!
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![Joshua Piper-Mock's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/1521703/1652118557-avatar-joshuap202.jpg?twic=v1/output=image/crop=1979x1979@336x1103/cover=128x128&v=2)
Hello Charles,
All the replies you have received so far are on point. Options for billing back to the tenants are Submetering or RUBS (Ratio Utility Billing System). As mentioned in other replies if want to do Submetering you will need to confirm you have individual shutoffs for each unit. You can buy submeters online. Neptune is a pretty well known brand but there are quite a few others. In regards to regulations you will need to get the meters tested at California Weights and Measures before they are installed at your property. Then you will need to add an addendum to your lease agreements as well as 60 day notice to the tenants notifying them of the change. Most billing companies don't work with smaller properties so you might have to do the meter reading and billing yourself. If you don't want to check the meters yourself then maybe you can find someone to check them for you each month (maybe your gardener if you have one). If you install the meters then all you have to do is read them each month and then just calculate the amount of gallons each unit used for the month and multiple that times the city rate that can be found on the master bill. For a 4 plex you should be able to do it all on an excel sheet and then be able to share that with your tenants if they want to see it.
If you are going to bill using RUBS it is a little more complicated. RUBS if usually a percentage based on square footage and occupancy. The larger the unit and the more people in the unit the larger percentage the master bill they will pay. You also have to make sure you are not charging the residents for any common area water such as sprinkler systems or laundry. With RUBS you will need to notify the residents with a 60 day notice and a lease addendum. Its usually also good to include a copy of how you are calculating the bills in their lease agreement so they can reference it with any questions. There is quite a bit of info on calculating RUBS online now so that should help if you want to do the billing on your own. The main thing is just being upfront with your tenants so they are aware. If it makes it easier you can also wait till a new tenant moves in before adding it to the lease that way you aren't worried about upsetting your current residents.
Good luck with everything.
Josh