The SVO Voices Support of the City of San Jose's Continued Use of Ratio Utility Billing Systems

The Silicon Valley Organization

On behalf of The Silicon Valley Organization (The SVO), We are writing to support the continued use of Ratio Utility Billing Systems (RUBS) so that it can continued to be implemented under San Jose’s Apartment Rent Ordinance (ARO). By way of background, we are the Silicon Valley’s premier business advocacy organization representing 1,400+ companies that employ nearly 300,000 workers and we represent our membership as the region’s largest Chamber of Commerce.

RUBS is a common and established industry practice for property owners throughout the nation. When property owners are encouraged to share the cost of utility services accrued by tenants, it further promotes information sharing and utility conservation measures. Many small property owners will find it difficult to install sub-metered systems in ARO units under the burdensome, regulatory framework of a 5% rent control ordinance, which limits revenue options for renovations or other property improvements for tenants. We urge Mayor and council to maintain RUBS as a provision of ARO, so that small business property owners can some measure of predictability in property management.

The SVO urges Mayor Liccardo and Council to maintain RUBS as you deliberate these policy proposals amending and updating ARO.