UPDATE: NJ Assembly + Sub-Metering Bill
By way of update on an earlier post, it appears that the NJ Legislature failed to reach Bill A-1628 on 1/11/10 and the 2009 legislative session closed w/o the act becoming law. However, Senator Joseph F. Vitale has moved quickly to post Bill S-819, which is substantially similar to A-1628, although not identical, including some new definitions among other things. A copy of A-1628 can be found here and a copy of S-819 can be found here for comparison purposes.
Here are some of the highlights from S-819:
- It specifically includes condominium and cooperatives as covered under the Bill.
- It requires installation of a "water conservation device" before an occupant can be billed separately for water or sewage. It defines what constitutes a "water conservation device" for shower-heads, faucets and toilets.
- The landlord/condominium/cooperative is responsible for reading the sub-meter and billing the occupant.
- The occupants are to be billed on same billing cycle as the provider bills the landlord, etc.
- The sub-meter must only measure consumption for the unit in question. In other words, the sub-meter can't measure any "common area" or like consumption.
- Landlords, etc. still can't charge an administrative fee for costs in billing. Moreover, installation and set-up costs for the sub-meter also can't be charged to the occupant.
- An occupant who fails to pay the sub-metered bill w/in the specified payment period -- which can be no less than 28 days -- can be assessed a late fee up to $25.00. (This is new.)
- Water and sewerage charges subject to sub-metering are exempt from local rent control ordinances governing allowable increases.
- As in A-1628, a landlord has to respond to an occupant's report of a leak w/in 24 hours. However, in a big change from A-1628, S-819 requires the landlord to repair the leak w/in 36 hours of notice. Further, this provision could be read to mean that if the landlord fails to meet either of those deadlines -- 24 hours for response/36 hours for repair -- the occupant shall be entitled to a credit as spelled out in this provision. (A-1628 gave the landlord up to a week to "substantially repair" the leak.)
- The "billing dispute resolution" provisions found in A-1628 are not included.
- On receipt of a sub-metered bill and w/in time for payment of same, an occupant may request that a person w/ expertise in installation and operation of sub-meters, and w/ no financial relationship to landlord, etc., test the sub-meter in question for accuracy. If the testing indicates that the sub-meter is inaccurate on the high side, the landlord shall pay for installation of a new sub-meter, pay for the cost of the test, and provide the occupant w/ a bill reduction and/or credit for the current and prior billing periods for the amounts overcharged. If the test of the sub-meter shows that it is accurate, the occupant must pay for the test and the landlord can charge him/her is occupant fails to pay for it.
- Contrary, to A-1628, there is no restriction on when sub-metered billing on units not subject to rent control can be implemented, other than notice to the occupant, installation of the sub-meter and water conservation device and adoption of applicable rules by DCA. (A-1628 forced a landlord to wait until lease renewal.) The restrictions from A-1628 concerning units subject to rent control are included in S-819.
We'll keep you up to speed on all developments concerning S-819.
