Sub-Metering and Master Meter Rights for New Mexico Renters

If you're renting a home or apartment in New Mexico, how your utilities are measured and billed—through sub-metering or a master meter—can make a significant difference in your monthly expenses and your renters' rights. This guide explains the basics of these utility systems, your rights as a renter, and what to do if you have concerns about utility billing in New Mexico.

Understanding Sub-Metering and Master Metering in New Mexico

Utilities like electricity, gas, and water must be paid—either by you directly or passed on by the landlord. New Mexico landlords use one of two common utility billing methods:

• Master Metering: The landlord receives one main utility bill from the provider for the entire building or property. The landlord pays this bill, then either includes it in your rent or charges tenants a share.
• Sub-Metering: Each rental unit is fitted with its own meter. Tenants are billed based on their actual individual usage, either directly by the provider or, in some cases, by the landlord based on sub-meter readings.

Your lease agreement should specify which method is in place. If you're unsure, ask your landlord or check your lease for details regarding utility billing.

Tenant Rights Under Sub-Metering and Master Metering Systems

Key Protections for New Mexico Renters

New Mexico law provides several protections for tenants regarding utility billing, found in the New Mexico Owner-Resident Relations Act. Whether utilities are sub-metered or master-metered, landlords must:

• Disclose all utility arrangements and charges up front in your written lease
• Bill utility costs only as agreed in the lease; landlords cannot charge more than the actual utility costs incurred
• Not disconnect or threaten to disconnect essential utilities as a form of retaliation or to force you out
• Maintain utilities in a safe and functioning condition as part of their maintenance duties

If your landlord charges for utilities using a method not listed in your lease, you may have grounds to dispute those charges.

Common Billing Methods and Requirements

• Sub-Meter: Landlords must use actual meter readings for each unit and share with you how your charges are calculated. Tenants have a right to see the meter readings and bills upon request.
• Master Meter: Utility charges can be included in rent or itemized separately, but must reflect actual usage or a reasonable allocation (such as by unit size or number of occupants), as set out in your lease.

If you believe you are overcharged or if utility billing seems unfair, you may have a right to dispute under the New Mexico Statutes Chapter 47, Article 8 governing Residential Owner-Resident Relations.^[1]

What to Do If You Have a Utility Billing Dispute

Disputes can arise if the landlord changes the billing method or adds charges without proper notice in your lease agreement. Here are general steps to resolve these conflicts:

• Request an explanation of your charges in writing. Ask to see meter readings, utility bills, or the calculation method.
• Review your lease for any language about utility responsibilities and billing methods.
• Document your communications with your landlord about utility issues.
• If the landlord threatens to disconnect utilities or shuts them off in violation of your rights, you may file a complaint.

Filing a Complaint or Starting Legal Proceedings

• New Mexico Magistrate Courts are the official tribunal for landlord-tenant disputes in the state.
• The most common form renters may need is the Petition by Resident for Relief (no formal number), used when a landlord violates the lease or state law, such as by unlawfully shutting off utilities.
  • Download the Petition by Resident for Relief form
  • When and how to use: Complete this form if your landlord turns off utilities in violation of your lease or state law. Take the completed form to your local magistrate court, where a judge can then order your utilities restored and address any damages.

FAQ: Utility Billing for New Mexico Renters

1. Can my landlord charge me more for utilities than what the provider bills?
   No. Your landlord can only recover actual utility costs as allowed by your lease. Overcharging or inflating bills is not permitted under New Mexico law.
2. How do I know if my apartment is sub-metered?
   Look for individual meters for each unit or check your lease agreement. If you're unsure, ask your landlord to clarify billing arrangements and provide documentation.
3. What should I do if my landlord threatens to shut off my utilities?
   Utility shutoffs as retaliation or to force a move-out are illegal. If this occurs, contact your local magistrate court and consider filing a Petition by Resident for Relief.
4. Am I responsible for utilities if the lease doesn't mention them?
   If your lease is silent on utilities, the landlord is generally responsible. Always review your lease terms and communicate with your landlord for clarification.

Need Help? Resources for Renters

• New Mexico Magistrate Courts – Handles official landlord-tenant disputes and complaints.
• New Mexico Mortgage Finance Authority – Renter Resources – Offers information for tenants on rights, utility help, and rental assistance.
• Owner-Resident Relations Act (Official Legislation) – Read the current laws on rental rights and utility obligations.
• State Bar of New Mexico – Legal Resources – Find tenant legal aid and low-cost consultation options.

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1. New Mexico Statutes Chapter 47, Article 8 – Owner-Resident Relations Act

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