New Legislation adding EV-Dedicated Time of Use (“TOU”) Meters
In 2019, the legislature enacted Civil Code Section 4745.1 related to homeowner requests to install EV-dedicated Time of Use (“TOU”) meters. TOU meters allow owners to be separately billed and monitor energy consumption used for charging their vehicle. Tis allows owners to take advantage of more favorable rates offered by utility providers and modify their behavior to obtain cheaper ‘off-peak’ rates to charge their vehicles (typically between late evening and early morning when there is less demand on the power grid). Due to lower ‘off- peak’ rates in the late evenings, at-home charging on a separate meter is often the most cost-efficient means of charging EVs and the law is designed to allow homeowners to benefit from these cost savings.
Te term ‘EV-dedicated TOU meter’ is defined as:
“an electric meter supplied and installed by an electric utility, that is separate from, and in addition to, any other electric meter and is devoted exclusively to the charging of electric vehicles, and that tracks the time of use (TOU) when charging occurs. An ‘EV-dedicated TOU meter’ includes any wiring or conduit neces- sary to connect the electric meter to an electric vehicle charging station, as defined in Section 4745, regardless of whether it is supplied or installed by an electric util- ity.” (Civ. Code §4745.1(d))
Te law related to TOU meters in large part mirrors the law with respect to EV charging stations but gives the association more control over the imposition of reasonable restrictions. With respect to TOU meters, “‘reasonable restrictions’ are restrictions based upon space, aesthetics, structural integrity, and equal access to these services for all homeowners, but an association shall attempt to find a reasonable way to accommodate the installation request, unless the association would need to incur an expense.” (Civ. Code §4745.1(b)(2))
Applications for approval are processed and approved in the same manner as an application for an EV-Charging station. However, there is no insurance requirement for TOU meters and 4745.1 provides that associations shall “attempt to find a reasonable way to accommodate the installation request, unless
the association would need to incur an expense.” (Civ. Code 4745.1(b)(2).
Recommendations – Be Proactive!
In anticipation of significantly more requests to install EV Charging Stations and EV-dedicated TOU meters in the near future, associations should consult with their attorneys to draft rules and guidelines to process these installation applications in compliance with the statutes. Associations should be proactive and consult with professional consultants and contractors about appropriate installation specifications and/or requirements including installation methods, locations, materials, products, etc. to be incorporated into the rules and guidelines. Ensuring the association’s rules are compliant is critically important given the exposure to civil penalties (up to $1,000) in addition to damages and attorney’s fees for violations of Section 4745 or 4745.1.
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J. SPENCER EDGETT was admitted to the State Bar of California in 2002. Mr. Edgett joined Chap- man & Intrieri, LLP in 2004 and since that time has primarily focused his practice on representing community associations both as general counsel and in successfully prosecuting numerous con- struction defect claims resulting in tens of millions of dollars recovered for our clients. He regularly advises and assists community association and con-
dominium board members on all aspects of management and operations in- cluding fiduciary responsibilities, drafting and revising governing documents, vendor contract negotiations, collection matters and enforcement issues. Mr. Edgett is admitted to practice law before all courts of the State of California and in the United States District Court for the Northern District of Califor- nia, plus in the Commonwealth of Massachusetts and in the United States District Court of Massachusetts. He is the managing partner in Chapman & Intrieri, LLP’s east coast office in Salem, Massachusetts. His practice areas in- clude litigation with an emphasis on construction defects, business, real estate, landlord/tenant, personal injury, consumer protection claims under M.G.L. c. 93A and condominium law.
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