(1) Subject to the policies of the utility or service provider and ORS § 90.560 to 90.584, a landlord may provide for utilities or services to tenants by one or more of the following billing methods:

Need help with a review of a residential lease?
Have it reviewed by a lawyer, get answers to your questions and move forward with confidence.
Connect with a lawyer now

Terms Used In Oregon Statutes 90.562

  • Fee: means a nonrefundable payment of money. See Oregon Statutes 90.100
  • Landlord: includes a person who is authorized by the owner, lessor or sublessor to manage the premises or to enter into a rental agreement. See Oregon Statutes 90.100
  • Rent: means any payment to be made to the landlord under the rental agreement, periodic or otherwise, in exchange for the right of a tenant and any permitted pet to occupy a dwelling unit to the exclusion of others and to use the premises. See Oregon Statutes 90.100
  • Rental agreement: includes a lease. See Oregon Statutes 90.100

(a) Direct billing;

(b) Rent-included billing;

(c) Pro rata billing;

(d) Submeter billing; and

(e) Park specific billing.

(2) A landlord may not use pro rata billing for garbage collection and disposal, unless the pro rata apportionment is based upon the number and size of the garbage receptacles used by the tenant.

(3) To assess a tenant for a utility or service charge for any billing period using pro rata billing, submeter billing or park specific billing, the landlord shall give the tenant a written notice, including notice by electronic means if allowed in the rental agreement‘s description of the billing method, stating the amount of the utility or service charge that the tenant is to pay the landlord and the due date for making the payment. The due date may not be before the date of service of the notice. The amount of the charge is determined as described in ORS § 90.568, 90.572 or 90.584. If the landlord includes in the notice a statement of the rent due, the landlord shall separately and clearly state the amount of the rent and the amount of the utility or service charge. Any public service charge included in the utility or service charge under ORS § 90.570 must be itemized separately.

(4) A utility or service charge is not rent or a fee. Nonpayment of a utility or service charge is not grounds for termination of a rental agreement for nonpayment of rent under ORS § 90.394, but is grounds for termination of a rental agreement for cause under ORS § 90.630. A landlord may not give a notice of termination of a rental agreement under ORS § 90.630 for nonpayment of a utility or service charge sooner than the eighth day, including the first day the utility or service charge is due, after the landlord gives the tenant the written notice stating the amount of the utility or service charge.

(5) The landlord is responsible for maintaining the utility or service system, including any submeter. After any installation or maintenance of the system or submeter on a tenant’s space, the landlord shall restore the space to a condition that is substantially the same as or better than the condition of the space before the installation or maintenance.

(6) A landlord may not assess a utility or service charge for water unless the water is provided to the landlord by a:

(a) Public utility as defined in ORS § 757.005;

(b) Municipal utility operating under ORS Chapter 225;

(c) People’s utility district organized under ORS Chapter 261;

(d) Cooperative organized under ORS Chapter 62;

(e) Domestic water supply district organized under ORS Chapter 264; or

(f) Water improvement district organized under ORS Chapter 552.

(7) A landlord that provides utilities or services only to tenants of the landlord in compliance with ORS § 90.560 to 90.584 is not a public utility for purposes of ORS Chapter 757.

(8) The authority of a utility or service provider to apply policy regarding the billing methods does not authorize the utility or service provider to dictate either the amount billed to tenants or the rate at which tenants are billed under ORS § 90.560 to 90.584. [Formerly 90.532]