The HOA Board Quarterly Spring 2014 Issue #9 | Page 4

The Benefits of Water Sub-Metering by Moquey Marquross S ub-Metering is the practice of installing a separate meter for each individual residential unit, where there is currently no separate meter. There are several important benefits to sub-metering: it promotes conservation; increases property values; saves money; promotes homeowner awareness; facilitates leak detection and as a side benefit, allows accurate tracking of common-area water consumption. Most new construction condos and townhomes are built with water sub-meters in place: In the City of San Diego, sub-metering has been mandated for all new construction since 2010. Older associations can also benefit from sub-metering by installing individual meters as a retrofit project. According to multiple studies, when an association implements sub-metering, the reduction in water consumption is around 20-25% or more. This is primarily due to increased awareness and leak detection. Homeowner accountability drives conservation: Residents who do not pay for their individual water usage lack accountability for their consumption and are not fiscally aware of what those costs are; these residents simply use more than ‘average’. In some extreme cases, residents in HOAs have been found to be taking advantage of ‘free water’ by running laundry services, breweries and commercial hydroponic growing operations! These are all true scenarios that were found after individual water sub-meters were installed. Associations with sub-meters show increased property values: This is because assessments are counted as a ‘hard cost’ in the mortgage approval process, and utility bills are not, allowing more people to qualify for a larger mortgage on a sub-metered home than a nonsub-metered home with higher assessments, thereby increasing demand in sub-metered communities. Sub-metering is equitable: We all know that on average a single person uses much less water than a family of four. With sub-meters, each resident pays for exactly what they use, not an amortized amount based on what the community as a whole uses annually. In addition, because metering provides real and accurate feedback to the resident, this in turn leads to wiser individual decisions, from taking shorter showers and turning off faucets all the way, to installing more efficient fixtures and appliances during remodels. All of these little choices add up to a whole lot of long-term savings. This also eliminates conflicts between residents over water usage, car washing, etcetera, because if ‘Jim’ wants to use more water than his neighbor ‘Bob,’ that is OK; ‘Jim’ will just have a larger bill. Best of all, the association is no longer directly responsible for something the Board has no control over: a resident’s water usage and the rates charged by the water districts. 4 | The HOA Board Quarterly | Issue #9 | Spring 2014 Sub-meters help identify and eliminate leaks: The data provided by sub-meters helps identify, diagnose and confirm slab, toilet or other leaks that are otherwise unseen, often occurring for months or even years without being corrected. These silent culprits, such as a running toilet, can wast