2. Recommendations

These recommendations are drawn from the discussion in the sections which follow. The factual and legal conclusions underlying them may be found at the end of this decision, as well as in the text, and are not repeated here.

· Amend both Civ. Code § 798.41 and § 2705.5 of the Public Utilities Code to provide the MHP owner/operator with an alternative. If the MHP removes from base rents all imbedded capital and operational costs associated with the submeter water system, the MHP may bill each tenant at the prevailing residential rate of the water corporation (or other water provider) which serves the master meter. If the MHP chooses not to remove those costs from rent, the MHP may only recover volumetric submeter charges plus a pro rata allocation of any other charges billed to the master meter in accordance with the existing terms of Civ. Code § 798.4.

· Prohibit submetering water services at all new MHP and multi-unit apartment construction. Require that all new construction must have individual water meters for all spaces and units and be served directly by the water corporation (or other water provider).

· Study whether alternative economic means exist for submetering water, or for directly metering water, at each unit in existing multi-unit apartments.

· Amend Civ. Code § 798.41 to clarify what sewer charges can lawfully be billed once they are removed from rent -- the prevailing rate or only a pro rata allocation of the charges the MHP actually pays.