San Diego Municipal Code Div. 12 Residential Tenant Utility Fees

(“Residential Tenant Utility Fees” added 7-18-2025 by O–21987 N.S.; effective 8-17-2025.)

The purpose and intent of this Division is to promote fairness, equity, and transparency regarding how landlords charge utility fees to residential tenants. This Division protects tenant rights by limiting how much landlords can charge tenants for utility fees the landlord pays for utility services. This Division provides transparency by requiring landlords, upon a tenant’s written request, to provide copies of utility bills or tax roll billing reports that show actual utility fees the landlord paid for utility services, and calculations for the amount charged to the tenant. The rights conferred by this Division are in addition to any existing rights provided to tenants by state or federal law. (“Purpose and Intent” added 7-18-2025 by O–21987 N.S.; effective 8-17-2025.)

All defined terms in this Division appear in italics. For the purposes of this Division, the following definitions apply:

City has the same meaning as in San Diego Municipal Code section 11.0210, as may
be amended.

Landlord has the same meaning as in San Diego Municipal Code section 98.0702, as
may be amended.

Lease has the same meaning as in San Diego Municipal Code section 98.0702, as
may be amended.

Identified parcel means a parcel of real property that the City has identified as having
a special benefit conferred upon it and upon which a property-related fee has been
imposed.

Sensitive personal information includes confidential financial data, bank account
numbers, credit card or debit card numbers, account log-in information, intellectual
property, and identification numbers such as social security number, passport
number, driver’s license number, and individual or business taxpayer identification
numbers.

Residential rental property has the same meaning as in San Diego Municipal Code
section 98.0702, as may be amended.

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Tax roll billing report means a report published pursuant to California Health and Safety Code section 5473 that contains a description of identified parcels of real property receiving services billed on the tax roll and the amount of the charge for each identified parcel for the year.

Tenant has the same meaning as in San Diego Municipal Code section 98.0702, as may be amended.

Utility fee means the amount the City charges for utility services.

Utility services means City-provided water, sewer, stormwater, or solid waste

management services.

(“Definitions” added 7-18-2025 by O–21987 N.S.; effective 8-17-2025.)

(a) A landlord may charge a tenant the cost of a utility fee the landlord pays for utility services the tenant consumes. The utility fee the landlord charges the tenant shall be no greater than the amount the landlord pays for the tenant’s utility services. Nothing in this Ordinance shall be interpreted to prohibit the landlord from charging the tenant an otherwise lawful late fee for unpaid utility fees.

(b) Notwithstanding any other provision of this Division, a landlord that utilizes
submeters pursuant to Chapter 2.5 of Title 5 of Part 4 of Division 3 of the
California Civil Code is not subject to this Division with respect to utility fees
for utility services covered under that Chapter. Nothing in this section should
be interpreted to exempt landlords from any other provision of the Division,
including charges for any other utility services regulated by this Division.
(“Tenant Utility Fees” added 7-18-2025 by O–21987 N.S.; effective 8-17-2025.)

(a) To charge utility fees to a tenant as authorized by section 98.1203, the landlord shall either:

(1) Provide the tenant written notice in the lease that the tenant will be
charged a utility fee for utility services the tenant consumes; or

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(2) Provide written notice, by delivering a copy to the tenant personally or
by serving a copy by mail under the procedures prescribed in
section 1162(a) of the Code of Civil Procedure, to all tenants residing
at the residential rental property that will be charged a utility fee for
utility services the tenant consumes. Landlords providing written
notice under subsection 98.1204(a)(2) shall do so at least 30 calendar
days in advance of charging the tenant a utility fee.

(b) If a landlord began charging tenants for utility fees prior to the effective date
of this Division, written notice required under section 98.1204(c) shall be
provided no later than 90 calendar days after this Division is in effect.

(c) All written notices provided under section 98.1204 shall inform tenants of the
landlord’s obligations under sections 98.1204 and 98.1205. The notice shall
include the following language:

Equitable Fees and Right to Notice: The City of San Diego allows landlords
to charge you a utility fee for water, sewer, stormwater, and trash and
recycling services if (i) the utility fee is not greater than the amount the
landlord pays for your utility services, (ii) you are provided written notice that
a utility fee for utility services will be charged, and (iii) upon request, the
landlord provides you with a copy of the utility or tax bill and the calculations
used to determine the amount of the utility fee you are charged, if that applies.
(“Written Notice” added 7-18-2025 by O–21987 N.S.; effective 8-17-2025.)

(a) Within 10 calendar days of a tenant’s written request, a landlord that charges a tenant a utility fee under this Division shall provide the tenant with a copy of the landlord’s utility or tax bill that sets forth the utility fee the landlord paid or shall provide a copy or link to the tax roll billing report if the utility fees are collected on the County tax rolls. A landlord may redact confidential or sensitive personal information from the utility or tax bill provided to the tenant.

(b) If a tenant provides a written request under section 98.1205(a), and the
landlord receives a single utility bill from the City for utility services provided
to multiple tenants, the landlord shall provide the utility or tax bill and the
calculations used to determine allocation of the utility fees to the individual
tenants within 10 calendar days of the request.

(“Documentation and Computations” added 7-18-2025 by O–21987 N.S.; effective
8-17-2025.)

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If a third-party service provider manages, bills, or collects utility fees from the tenant on behalf of the landlord, and the costs for the third-party service provider to provide this service are passed through to the tenant, the specific amount for this service that is charged to the tenant shall be separately identified and included in the calculations provided to the tenant under section 98.1205. The tenant shall be provided invoices, receipts, or other verifiable documentation to support the third-party service provider’s billing fees charged to the landlord and passed through to the tenant.

(“Third-Party Billing Service” added 7-18-2025 by O–21987 N.S.; effective 8-17-2025.)

(a) A tenant claiming a violation of this Division may file an action against a landlord in a court of competent jurisdiction.

(b) A tenant may seek injunctive relief, equitable relief, and monetary damages,
including punitive damages, in a civil action against a landlord for a violation
of this Division.

(c) The provisions of Chapter 1, Article 2 of the San Diego Municipal Code,
including the enforcement of judicial and administrative remedies, shall apply
to this Ordinance.

(d) The remedies under this section are cumulative and may be used in addition to
any other remedies in this Division or at law, statute, or ordinance.

(“Enforcement and Remedies” added 7-18-2025 by O–21987 N.S.; effective
8-17-2025.)

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