MarylandHB 02202026 Regular SessionHouseWALLET

Environment - Water - Individual Submeters

Sponsored By: Lorig Charkoudian (Democratic)

Signed by Governor

EnvironmentReal PropertyApartmentsCommittees and CommissionsComplaintsCondominiumsConsumer ProtectionCounties -see also- Chartered Counties; Code Counties; etc.DisclosureEnvironment, Department of theEnvironmental Matters -see also- Conserv; Nat Resrce; PollutEquipment -see also- Charging; Med. Equip.; MV Equip; etc.Fees -see also- Attys' Fees; Devt Fees & TaxesHousing and Community Development, Department ofHousing -see also- Apartments; Condos; Mobile & Manuf HomesLandlords and TenantsLeases and RentMobile and Manufactured HomesNoticesPrices -see also- Consumer Price IndexPublic Works, Board ofRecords -see also- Land Records; Vital RecordsResidential Property -see also- Apartments; CondominiumsTimeUtilities -see also- Recycl; Refuse; Sewage; Teleph; WaterWashington Suburban Sanitary DistrictWater -see also- Coastal Bays; Riv,Str,Lks; Wastewater; etc.Weights and Measures

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Analyzed Economic Effects

4 provisions identified: 3 benefits, 0 costs, 1 mixed.

Occupants can check and challenge water bills

Beginning October 1, 2026, apartment and mobile home park owners, operators, managers, and contractors must keep submeter billing records. Records must include provider charges from the preceding two years, plus monthly unit charges and collected revenue for the current and prior calendar years. They must explain the billing formula, obtain additional records needed to verify bills, and allow inspection during reasonable business hours. Occupants can file complaints where the property is located with a local landlord-tenant commission or consumer protection agency. If local agencies lack jurisdiction, complaints can go to the Maryland Attorney General’s Consumer Protection Division. Occupants also retain the right to sue for violations.

Limits protect occupants from water overcharges

Beginning October 1, 2026, submetered water and sewer charges must reflect actual provider costs, shared among units by measured use. Bills cannot pass along costs from owner-responsible maintenance problems or leaks, common areas, or nonresidential use. Any added billing and administration fee is capped at $1 per unit per month. When an apartment submeter gives inadequate or inaccurate data, temporary bills can use the average cost of the last three months’ actual use. If those records are unavailable, bills can use the last three months’ estimated use, based on similarly sized units with comparable numbers of occupants. After two consecutive billing cycles without repair or replacement, the unit cannot be billed until the meter is fixed or replaced.

Renters get advance water billing disclosures

Beginning October 1, 2026, landlords requiring third-party payments for submetered water or sewer service must explain that duty in a written lease. Tenants must receive a copy of each bill at least 20 days before payment is due. Before the initial lease, landlords must disclose the unit’s total billed water and sewer costs for the preceding two years. If no occupants of that unit were billed during that period, landlords must disclose costs for a comparably sized unit. Landlords who fail to meet the law’s submeter requirements cannot require tenants to make these third-party payments.

Individual water meters with accuracy safeguards

Beginning October 1, 2026, Maryland property owners, operators, managers, and contractors can install submeters in apartments and mobile home parks not directly metered. These meters measure each unit’s water use, allowing separate usage-based bills instead of pooled charges. Covered apartment buildings have more than two units occupied for at least a week, including rented or owner-occupied condominiums and cooperatives. Local housing authorities need approval from the state housing department and Board of Public Works or equivalent local authority. Submeters must meet state environment department standards, developed with the housing department, for accuracy, testing, and recordkeeping. Those standards must be at least as strict as water service providers’ meter standards.

Sponsors & Cosponsors

Sponsor

Lorig Charkoudian
Democratic • House

Cosponsors

Michele Guyton
Democratic • House

Roll Call Votes

All Roll Calls

Yes: 126 • No: 45

Senate vote • 4/9/2026

Third Reading Passed

Yes: 31 • No: 11 • Other: 2

House vote • 2/20/2026