Submetering vs. RUBS – The Battle for Fair Billing

Owning, living, or managing a multi-unit building can be a great way to save money and enjoy a sense of community. But when it comes to utility bills, things can get a little murky and fast.  Especially when it comes to water usage.  Who’s using the most?  Who’s being responsible? Normally, it would be up to the property manager to make these assumptions and allocate accordingly. This is where water submetering and Ratio Utility Billing Systems (RUBS) come into play.  Let’s discuss the pros and cons of each system to help you decide which one is right for your property.

Water Submetering: 

Water submetering involves installing individual water meters for each unit or tenant within a property, allowing for precise measurement of water usage. Tenants are then billed based on their actual consumption. 

Ratio Utility Billing Systems (RUBS):

RUBS is a billing system that allocates the total water bill for a property among residents based on predetermined factors such as the number of occupants, square footage, or a combination of factors such as 

• Unit size (square footage)

• Number of occupants

• Number of bedrooms and bathrooms

• Appliance inventory (washing machines, dishwashers)

Now that we’ve discussed the basics, let’s dive into the pros and cons of each.

Water Submetering Pros:

1. Tenant Fairness & Accountability: Residents only pay for the water they use, promoting conservation and a sense of responsibility.
2. Leak Detection: Submeters can help identify leaks in individual units, allowing for faster repairs and reduced water waste.
3. Data-Driven Decisions: Submetering provides valuable data on water usage patterns, which can be used to identify areas for improvement and optimize building efficiency.
4. Accuracy: Submetering offers precise measurement of water usage for each tenant, promoting accurate and transparent billing.
5. Legal Compliance: In many jurisdictions, water submetering is required by law for new multifamily properties or renovations, ensuring compliance with regulatory standards.

Water Submetering Cons:

1. Cost: Installing and maintaining submeters can be expensive, especially in older buildings.
2. Installation Challenges: Some plumbing configurations might make submeter installation difficult or even impossible.
3. Regulations: Some states or municipalities may have regulations around submetering, so be sure to check local laws before implementing

RUBS Pros:

1. Cost-Effective: RUBS requires no additional meter installation, making it a more affordable option.
2. Simple Setup: Implementing RUBS is relatively quick and straightforward.
3. Flexibility: RUBS can be used to allocate costs for various utilities, not just water.

RUBS Cons:

1. Accuracy: RUBS is an estimation system, meaning it might not perfectly reflect individual water usage. This can lead to frustration for residents who conserve water but pay the same as those who don’t.
2. Limited Accountability: Tenants are not directly billed for exact water usage, lessening the incentives for them to conserve water or report leaks timely.
3. Regulatory Considerations: Some jurisdictions have restrictions or regulations regarding the use of RUBS for water billing, and it may not be permitted in certain areas.

When making the decision between water submetering and RUBS, several factors should be taken into account.  In general, water submetering offers greater accuracy, transparency, and accountability, making it the preferred choice for many property owners seeking to recover water costs fairly and efficiently. 

But here here are some factors to consider:

• Budget: If upfront costs are a concern, RUBS might be a better option.

• Building Age and Configuration: Older buildings or those with complex plumbing systems might not be suitable for submetering.

• Local Regulations: Check your local laws to ensure either system is compliant.

• Water Conservation: If encouraging responsible water use is a priority, submetering might be the way to go.

• Property Demographics:  The size and layout of the property can affect submetering costs

• Tenant Demographics: Incomes, family structure, and interest in conservation efforts make good candidates for submetering. 

Ultimately, the best way to decide between submetering and RUBS is to consult with a professional property management company or a water conservation expert.  They can assess your specific needs and recommend the system that will be most effective and cost-efficient for your property.

Let’s Talk!

Whether you’re considering water submetering or RUBS for your property, it’s essential to weigh the pros and cons of each approach carefully. At WaterSystems Inc, our professional technicians will provide expert guidance and assistance in implementing the most suitable water billing solution for your property. Contact us today to discuss your options and ensure optimal management of water utilities for your property.