Pass Through

Phil Querin Q&A - Multiple Question on Water Sub Metering

Questions. My question is in regards to sewer and water pass throughs:

1. Is it still true, that you can pass through utilities?

2. If so, what is a reasonable time for notice?

3. The newer MHCO space rental agreements do have a provision for pass through, however what if a tenant has been in the park for years & there is no provision for pass through on a rental agreement that they signed?

4. I do know of a MHP that does pass through and they send a bifurcated bill- one for utilities and one for space rent. However, most tenants pay with one check or money order. I have a MHP in Southern Oregon and the sewer is a fixed amount, so it would be easy to divide that amount up between the tenants, obviously with a proviso that if the sewer bill increases or decreases we would make an adjustment to the bill.

A MHP that does pass through water and sewer told me that their bill decreased by about 30% because the tenants knew they were now paying for the water and tried to conserve. They knew their bill would be reduced if they used less water. In my Southern Oregon MHP, the sewer is a fixed amount so that incentive would not be there unless the sewer district decreased their bill to the park and I had not intended to pass through water at this time. NOTE: If I metered the park it would be very expensive & I would have to take each tenant to small claims if they didn't pay. Even though it's the same with pass through, the tenants don't get bill separately each month, so it looks different.




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