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RUBS (Ratio Utility Billing System) is a method for dividing a building's total utility costs among tenants based on predetermined factors like unit size, number of occupants, or a combination of both. It's commonly used in multifamily and commercial properties where individual metering isn't feasible or cost-effective.
The property owner receives the total utility bill, then divides it proportionally. With square footage allocation, a 1,000 sq ft unit in a 10,000 sq ft building pays 10% of each bill. With occupancy-based allocation, a unit with 3 residents in a building with 30 total residents pays 10%. Many landlords use a weighted combination for the fairest distribution.
RUBS legality varies significantly by state, county, and city. Some areas permit it broadly, others restrict it in rent-controlled units, and some require specific disclosure procedures.
⚠️ This calculator provides mathematical estimates only — not legal advice. Landlord-tenant utility billing laws are hyper-local and change frequently. Always verify current requirements with your local housing authority or a qualified attorney before implementing RUBS.
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