Hey all,
I’m hoping someone might have some knowledge in regard to utility billing laws in Washington. I’ve done a little research but am having a tough time finding information I’m confident in - when submetering a park in Washington, can I charge admin/service fees on water and electric? Thanks in advance!
Utility Billing Fee:
Typically (almost all of US), a “Water Re-seller” (sub-metered water) can pass through a reasonable billing fee.
Caveat, some states limit or specify the amount of the pass through. Most importantly the billing fee pass through is the charge from an arms length third party billing service. As a Water Re-seller, there can be no profit motive to the owner of the MHP. Basically, as owner you can not charge a billing fee directly to your residents, Same sort of logic as paying yourself to do your own maintenance.
Alternatively , a "Utility Provider", (same as a municipal utility provider) may be beneficial if you own the source (as in well and septic). Rates are based on cost to provide water service among other expenses. However the increased regulatory requirements can make this option economically not feasible for smaller or mid-size MHPs.
Every MHP’s circumstances are different and there are some gray areas for billing water and or sewer.