What Is Ratio Utility Billing?
At Los Angeles Property Management Group (LAPMG), our accounting department utilizes a successful Ratio Utility Billing System (RUBS) through AppFolio that allows owners to gain great benefits and feel a sense of relief when it comes to utility billing. Ratio Utility Billing is a system in which a property’s utility bill for water, sewage, and garbage is distributed directly to the residents based on the number of occupants in each unit, square footage, or a combination of both. RUBS is used when submetering is not an option. Our system meets the needs of both residential and commercial properties and can easily be set up as desired by the property owner(s).
How It Works
- Our accounting supervisor will conduct a property analysis that will evaluate the need and objectives for the proposed RUBS program. This process also includes the common area deduction negotiations in which the property owners will decide what percentage will be allocated from the total charge of the main utility bill.
- Once the analysis is complete, the proposed RUBS program will be presented to the property owner(s).
- Residents are then notified by LAPMG of the new RUBS program and how it works.
- The accounting department enters each resident’s information into the AppFolio billing system.
- Once all residents are notified and aware of the Ratio Utility Billing System, the accounting department will generate individual utility statements that will be included on the tenant’s ledger each month.
- Residents can either access their bill online or receive a copy from their property manager.
- The following payment methods are accepted: Online, ACH, Checks or Moneyorders
Benefits
The implementation of RUBS will convey the following benefits:
- Immediately improves cash flow
- No initial capital investment required
- Quick to implement
- No need to enter residents apartment/office space
- Encourages water conservation
Increases the value of the property
