(a) Applicability. This section shall not apply to any mobile home park, apartment house, or apartment unit within a municipality that has a municipal ordinance, charter, franchise agreement, or service rule in substantial compliance with the provisions of this section. Such ordinance, charter, franchise agreement, or service rule shall be subject to review by the Commission upon written complaint by an owner, operator, manager, or mobile home park resident, or resident of an apartment house or unit, that it does not substantially comply with the provisions of this section.
(b) Delivery of gas. An owner, operator, or manager of a mobile home park, apartment house, or apartment unit may purchase natural gas through a master meter and deliver that gas through a submeter to an individual mobile home or homes in the park or to apartment units within the apartment house for domestic use by residents or occupants for the purpose of fairly allocating the cost of each unit's gas consumption. The natural gas shall not be delivered, sold, or resold to resident or occupant at a profit. An owner, operator, or manager of a mobile home park, apartment house, or apartment unit may not allocate or charge a resident for common areas, such as laundry or recreational areas, unless the resident's or occupant's unit rate is calculated based on amount of total gas through the master meter.
(c) Charges. Any sale or resale made by such owner, operator, or manager shall be based solely on the monthly average cost of gas on a volumetric basis to the owner, operator, or manager and on the amount of usage by the mobile home park resident, or apartment house or apartment unit occupant, plus a submeter fee or surcharge for each bill rendered of not to exceed $3.00 per month. The computation of the average cost of gas shall not include any penalties charged to the owner, operator, or manager for late payment. No other charges shall be made to the mobile home resident, apartment house, or apartment unit occupant in connection with the delivery of natural gas to a submeter. The owner, operator, or manager shall prepare and deliver or send a bill to each mobile home resident, apartment house, or apartment unit occupant. The owner, operator, or manager, by contractual agreement only, may collect reasonable deposits for gas service, returned check fees, and late charges from its tenants. Any change in the initial deposit, fees, or charges shall be approved by the Commission.
(d) Recordkeeping. The owner, operator, or manager shall keep adequate records in connection with sales or resales of natural gas to mobile home residents, apartment house, or apartment unit residents. The owner, operator, or manager shall make these records available to the mobile home park, apartment house, or apartment unit during regular business hours. Such records shall include the following:
  (1) the billings from the supplier of the gas to the owner, operator, or manager of the mobile home park for the current month and the 12 preceding months;
  (2) the computation of the average cost of gas per month to the owner, operator, or manager for the current month and the 12 preceding months; and
  (3) all submeter readings and mobile home park residents, apartment house residents, or apartment units residents billings for the current month and the 12 preceding months.
(e) Billings. The mobile home park resident's, apartment house resident's, or apartment unit resident's bill shall show all of the following information:
  (1) the date of submeter reading and the reading on the resident's submeter at the beginning and at the end of the period for which the bill is rendered;
  (2) the number and kind of units billed;
  (3) the computer rate per unit billed;
  (4) the total amount due for gas used;
  (5) any surcharge, clearly identified;
  (6) the name and address of the resident to whom the bill is applicable; and
  (7) the date by which the resident must pay the bill.
(f) Enforcement. The records specified in this section shall be subject to inspection and audit by the Railroad Commission of Texas or its agents. Violations shall be subject to enforcement pursuant to Texas Utilities Code, Title 3.

Source Note: The provisions of this §7.450 adopted to be effective July 29, 2002, 27 TexReg 6687