Under Contract for a duplex Should I always pick up the cost of the water, sewage, and garbage or is it common to hand off some of these costs to the tenant?

And don't even consider that nonsense of 'cash for keys' garbage.

And you have to notify HUD at the same time you notify the tenant.I wonder how much their lawyers got paid to write such a garbage contract?  

Utility payment breakdown is below, but as you know Sewer and Water and Garbage are billed every 1.5 months.Sewer is $66. every 1.5 monthsWater…You already pay Garbage is $57 every 1.5 monthsPUD is $48. per month on the budget plan.

For instance, this place already has new kitchen cabinets, granite counters, new windows, new porcelain tile floors, washer and dryer hookup, LED lighting, garbage disposal.

Rent includes water/sewer/garbage (and electricity, in your case),a value of $130/month.

And more garbage and more water being used...

Then, I got to explain that it wasn't me.He also hauled away the garbage on Saturdays when he came to the building to do weekly maintenance.  

The basement full of garbage has not been touched.  

Had you hired someone to do the clean up I would say deduct the cost from the deposit, such as in the $65 garbage fee, but since you did the clean up yourself and are not out of pocket you do not have a justification to withhold.