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Guide New York (NY)

New York utility billing and RUBS: what landlords should know

By MeterEase · Updated

New York regulates electric submetering closely and limits shared meters. The Public Service Commission must approve residential electric submetering (16 NYCRR Part 96), Public Service Law § 52 deals with gas, electric and steam meters shared with other areas, and rent-regulated units have their own rules. We did not find a statewide rule on splitting water by formula, so check your lease and local rules.

What the New York sources say

  • Residential electric submetering requires a petition to and authorization from the Public Service Commission, and existing direct-metered buildings generally may not switch to master metering (16 NYCRR § 96.2).
  • Public Service Law § 52 covers gas, electric and steam meters that serve a tenant’s unit and other areas.
  • Real Property Law § 235-a lets a tenant deduct from rent water payments made when the landlord failed to pay a water bill they were responsible for.
  • Rent-stabilized and rent-controlled apartments have separate rules on what can be charged; check with NYS Homes and Community Renewal for those units.

Each point links to its source at the bottom of this page. Rules change, and cities, counties and utilities can add their own. Read the source before you rely on it.

Where the sources are thin

New York sources are detailed for electricity but thin for water RUBS. We did not find a state statute that addresses splitting a master water bill by formula. Check your lease and local rules, and talk to a New York attorney first.

Common lease and disclosure practices

  • State in the lease which utilities the tenant pays and how.
  • For electricity, use the utility’s direct meters or a PSC-authorized submetering plan.
  • For water, check your lease and local rules before billing by formula, especially in rent-regulated buildings.

Electricity and gas

Electric submetering needs PSC approval under 16 NYCRR Part 96. Do not allocate electricity by formula without checking with the Department of Public Service.

How to split it fairly

Where a formula split is allowed, pick one method, put it in the lease, and use it every month. Water tends to follow the number of people, so occupants or a blend of occupants and square footage is common. Trash is usually split equally per unit. Take common-area use out first if your rules call for it, and never bill tenants more in total than the master bill plus any fee your rules allow.

Not legal advice. This page summarizes public sources in plain English as of the date above. It is not legal advice and does not mean any billing method complies with the law for your property. Check your lease and local rules, and talk to a New York attorney if you are unsure.

Other states

Run this split every month without the spreadsheet

MeterEase reads the master bill PDF, applies your method and vacancy rule, and emails each tenant their share with the source bill attached, after you check the numbers. Plans start at $14/month.

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Questions

Can New York landlords submeter electricity?

Only with Public Service Commission authorization under 16 NYCRR Part 96, and existing direct-metered buildings generally cannot switch to master metering. This is general information, not legal advice.

Can New York landlords bill tenants for water by formula?

We did not find a statewide rule that addresses it. Rent-regulated units have extra limits. Check your lease and local rules before billing.

What is a shared meter in New York?

Under Public Service Law § 52, a gas, electric or steam meter that measures service to a tenant’s home and also to areas outside it, where the tenant pays for that outside service.

Related guides

Sources

Example numbers on this page are made up to show the math. This guide is general information, not legal advice; rules differ by state, city and utility.