Landlord required to pay usage and storm water charges in Philadelphia?

Landlord required to pay usage and storm water charges in Philadelphia?

Lender · Philadelphia, PA · Member since 2012 · 9 posts · 0 votes

Hello BP,

I currently have a tenant who is refusing to pay the service and storm water charges of the water bill in Philadelphia. They believe the city has something stating that tenants are only responsible for the usage portion, not the service and storm water. I own a few rental properties and also manage about 45 other units throughout Philadelphia and have never heard of this. I tried looking this up but haven't found anything and spoke with a few other people in which they never heard of this either. Although my tenants could possible be right, I don't believe this is the case. Anyone out there hear or know more about this in Philadelphia?

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  • Real Estate Investor · Lansdowne, PA · Member since 2013 · 1k+ posts · 656 votes
    12y

    Never heard of it either. Have you asked your tenant to show you the PWD form / paperwork? It must be written somewhere if it does exist. Only thing I know of is that if its an apartment the landlord usually pays the water bill and all else is on the tenant. SFH differ in that the water department asks that the signed lease be shown as proof so that they will send the bill in the tenants name. Is this a SFR or MFR that you are referring to?

    Kudos,

    Mary

  • Lender · Philadelphia, PA · Member since 2012 · 9 posts · 0 votes
    12y

    Mary B. this is a single family home.

  • Bill S.Pro Member
    Moderator
    Rental Property Investor · Denver, CO · Member since 2013 · 4k+ posts · 2k+ votes
    12y

    What does the lease say? I don't really see where the owner can't pass costs along to tenants. Now there are some utilities that are lienable and perhaps the tenant is confused that because the City can lien the property if it's not paid it somehow makes it the landlord's responsibility.

    It might be a hole in the lease where these are "fees" and not technically utilities so if the lease doesn't say the tenant pays these "fees" then the landlord must pay them. Generally anything not spelled out in the lease becomes the responsibility of the drafter of the lease.

  • Real Estate Investor · Lansdowne, PA · Member since 2013 · 1k+ posts · 656 votes
    12y

    @Josh Mermelstein Ok, SFR general calls for the tenant to pay the water bill in full. Yet Bill S. is correct in stating if the lease doesn't clearly state which utilities are paid by the landlord and which are paid by the tenant its on the landlord to pay. If you want to split the water bill with the tenant draw up an addendum to the lease and have them sign off on it. Otherwise let them pay all of it.

    Kudos,

    Mary

  • Lender · Philadelphia, PA · Member since 2012 · 9 posts · 0 votes
    12y

    Thank you for all of the input. I'm looking back at the lease I drew up and it clearly states the tenant is responsible for all water charges. I will let them know unless they can provide me with some documentation they must pay me for the entire water bill.

  • Real Estate Investor · Lansdowne, PA · Member since 2013 · 1k+ posts · 656 votes
    12y

    @Josh Mermelstein Take a copy of the lease down to PWD and have them transfer the bill into the tenant's name. They may require the tenant be present. If so the tenant may not make themself available. In that case you'll have to take additional actions.

    Kudos,
    Mary

  • Real Estate Agent · Philadelphia, PA · Member since 2010 · 166 posts · 23 votes
    12y

    @Josh Mermelstein

    I would reference the language in your lease in a letter sent to your tenant. If your tenant refuses to pay you will be deducting this from security deposit upon eviction or move-out. You will want clear documentation in the event any legal issues arise.

    I have been to the city's law department and spoke to a representative there. Even that worker echoed what your tenant is saying. I was told the owner should be responsible for the stormwater/service and NOT the tenant. I think the logic was that because the property owner is billed stormwater&service charges while the house is vacant, therefore the owner should continue to be charged not the tenant. However it was a verbal statement of this persons opinion, so not sure how accurate it is. I imagine like most things in Philly you could get a different response depending on who you talk to and what mood they are in.

    I would not recommend putting the service into the tenants name. It will enable the tenant to stop paying and just open another account and repeat. You will eventually be stuck with a lien from unknown bills.

    In my opinion with a single family, either keep it in the owners name and send them a copy of the bill each month and deal w/eviction if they don't pay it per the lease; or amend the lease and suck it up to pay the flat fee each month if they are a responsible tenant w/good on-time payment history. Sorry to say either way you will likely end up losing something. Those charges are about $320/yr so I would weigh that against the worst case scenario if the problem persists.

  • Philadelphia, PA · Member since 2017 · 1 post · 0 votes
    9y

    Thanks for the info. because I have had questions about whether I as the landlord pays the stormwater charge or whether the tenant pays the full bill. thanks for your help.

    Sharon

  • Member since 2018 · 2 posts · 0 votes
    7y

    I can tell you I have been on both side of the situation.  I can tell you this. The legal department at the water company requires that only a homeowner pays the service charge. Notice on leases it is optional to check off sewage. That is due to the water usage being common sence to belong to tenant if agreed to pay water. USAGE. If the tenant agrees to pay water. Then they pay usage. If your lease specifies they pay sewage fees. Then they pay the usage and sewage. 

    I have worked at tenant court 3 years. In no case does a renter pay the service charge. 

    I have learned this the hard way. In fact so many landlord just don’t get educated and just assume and they pay ferrous over what??? A leasely service charge of 12-15 a month !!!!   The sewage is on the lease if checked off. Yes the tenant must pay. But tenants are growing stronger and smarter. So word t the wise.  Just be fair and fix things. Get the lead base paint cert.  if you rent your place and you didn’t have the tens t sign it. Going to court only leave some you exposed to many lawyers that WILLLLL try to talk to the renter and see if they can sue you for all the rent paid from day one. Be aware. The service charge of water is the owners. Only 

  • Member since 2018 · 2 posts · 0 votes
    7y

    my friend is the legal rep at the water department. They will give the tenant a renters water bill. And that bill will be only usage charges. Not the service or sewage. Just so your aware. 

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