ORS § 90 § 90.562
Utility and service charges; limits.
Operative Text
(1) Subject to the policies of the utility or service provider and ORS 90.560 to 90.584, a landlord may provide for utilities or services to tenants by one or more of the following billing methods: (a) Direct billing; (b) Rent-included billing; (c) Pro rata billing; (d) Submeter billing; and (e) Park specific billing. (2) A landlord may not use pro rata billing for garbage collection and disposal, unless the pro rata apportionment is based upon the number and size of the garbage receptacles used by the tenant. (3) To assess a tenant for a utility or service charge for any billing period using pro rata billing, submeter billing or park specific billing, the landlord shall give the tenant a written notice, including notice by electronic means if allowed in the rental agreement’s description of the billing method, stating the amount of the utility or service charge that the tenant is to pay the landlord and the due date for making the payment. The due date may not be before the date of service of the notice. The amount of the charge is determined as described in ORS 90.568, 90.572 or 90.584. If the landlord includes in the notice a statement of the rent due, the landlord shall separately and clearly state the amount of the rent and the amount of the utility or service charge. Any public service charge included in the utility or service charge under ORS 90.570 must be itemized separately. (4) A utility or service charge is not rent or a fee. Nonpayment of a utility or service charge is not grounds for termination of a rental agreement for nonpayment of rent under ORS 90.394, but is grounds for termination of a rental agreement for cause under ORS 90.630. A landlord may not give a notice of termination of a rental agreement under ORS 90.630 for nonpayment of a utility or service charge sooner than the eighth day, including the first day the utility or service charge is due, after the landlord gives the tenant the written notice stating the amount of the utility or service charge. (5) The landlord is responsible for maintaining the utility or service system, including any submeter. After any installation or maintenance of the system or submeter on a tenant’s space, the landlord shall restore the space to a condition that is substantially the same as or better than the condition of the space before the installation or maintenance. (6) A landlord may not assess a utility or service charge for water unless the water is provided to the landlord by a: (a) Public utility as defined in ORS 757.005; (b) Municipal utility operating under ORS chapter 225; (c) People’s utility district organized under ORS chapter 261; (d) Cooperative organized under ORS chapter 62; (e) Domestic water supply district organized under ORS chapter 264; or (f) Water improvement district organized under ORS chapter 552. (7) A landlord that provides utilities or services only to tenants of the landlord in compliance with ORS 90.560 to 90.584 is not a public utility for purposes of ORS chapter 757. (8) The authority of a utility or service provider to apply policy regarding the billing methods does not authorize the utility or service provider to dictate either the amount billed to tenants or the rate at which tenants are billed under ORS 90.560 to 90.584.
Oregon Revised Statutes § 90.562 establishes the permissible methods by which landlords may bill tenants for utilities and services, including direct billing, rent-included billing, pro rata billing, submeter billing, and park-specific billing. The rule sets procedural requirements for written notice when certain billing methods are used, distinguishes utility and service charges from rent, and restricts which water providers qualify a landlord to assess water charges. Importantly, nonpayment of a utility or service charge is treated differently from nonpayment of rent under Oregon law, with its own separate termination process and timeline.
Plain English — not legal advice.
Under ORS § 90.562, compliant operators select from the enumerated billing methods and ensure that any pro rata, submeter, or park-specific charges are accompanied by a written notice that clearly states the charge amount and due date separately from any rent amount. Landlords must wait until at least the eighth day from when the utility or service charge is due before issuing a termination notice for nonpayment of that charge under ORS 90.630. Water charges may only be assessed when water is supplied by a qualifying provider type listed in ORS § 90.562(6), and landlords are responsible for maintaining the utility system and restoring any tenant space after installation or maintenance work.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
ORS § 90.562 establishes that utility and service charges are legally distinct from rent, meaning a landlord cannot use nonpayment of a utility charge as grounds for a standard nonpayment-of-rent termination under ORS 90.394. Tenants receiving pro rata, submeter, or park-specific billing are entitled to a written notice stating the charge and due date before any payment is owed, and the due date cannot precede the date that notice is served. Tenants who believe a billing method or charge does not comply with ORS § 90.562 may consider consulting a tenant-rights organization, reviewing the Oregon Residential Landlord and Tenant Act, or raising the violation as a defense in any related proceeding.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 7, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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