The Ohio House approved a bill, sponsored by state Rep. David Thomas, to give the Public Utilities Commission of Ohio the ability to oversee submetering — a practice that results in multi-unit tenants sometimes paying high rates for utilities.

The House approved the bill 74-23 Wednesday. A companion bill in the state Senate was introduced Feb. 18, 2025, and received a single committee hearing.

A business — such as an apartment complex, office building, shopping center or industrial park — has the option to contract with a submetering company to track utility consumption for its tenants. In some cases, it has resulted in high bills for tenants.

Thomas, R-Jefferson, who represents portions of Trumbull County, said his legislation ensures transparency and fairness for tenants while retaining the rights of property owners.

Thomas said, “This legislation is equal parts clarity and consumer protection. No longer will renters be voiceless with their concerns over their electricity bills. Submetering has been a practice for decades. However in recent years growing challenges and questions about its use have now required legislation to protect property rights and consumers by giving clear definitions and safeguards.”

The bill reinforces legal precedents that submetered utilities are not public utilities. But it grants the PUCO the authority to oversee submetering practices and hear complaints from tenants.

The bill also caps the amount landlords can charge residential tenants for electricity, ensuring that residents will not pay more than they would if they were a direct customer of their local utility provider.

Thomas said: “This bill is the needed reform Ohioans have wanted for nearly two decades to protect consumers and the free market. After years of frustration and the inability for our renters to get the protections needed, the House has acted.”

During his May 7 testimony in front of the Ohio House Energy Committee, Thomas said, “I have had nearly as much outreach by Ohioans following introduction of this bill, who have had negative experiences with submetering, as I have on tax policy. It is clear the practice when done correctly is good, but consumer protection is needed also.”