Information from your Landlord about Utility Costs in Ontario

The document is a form designed for landlords to inform tenants about changes in utility costs that affect rent, following a specific legal procedure. There must be a landlord-tenant utility agreement to indicate how to split utilities between tenants Ontario; landlord utility bills between tenants are required to be split. It outlines when and how landlords should use the form, details on reporting utility costs, and instructions for potentially adjusting rent. It also includes provisions for tenants to request detailed utility bills and outlines the process for determining rent reduction based on utility cost changes.

To fill out this form start by entering the tenant’s and landlord’s names, followed by the rental unit address. If an Above Guideline Increase (AGI) due to utility costs has been approved, provide details of the adjusted base year and current utility costs. Decide if a rent reduction is applicable based on the comparison of these costs. If so, complete Schedule A to calculate the rent reduction percentage and detail the resulting rent decrease. Ensure all relevant sections are filled accurately and attach any required documentation before signing and dating the form.

Here is a step-by-step guide to assist you:

Section 1: Landlord and Tenant Information

• To: Enter the tenant’s full name as it appears on the lease.
• From: The landlord should provide their full name or the name of the management company.
• Address of the Rental Unit: Fill in the complete address of the rental unit, including unit number if applicable.

Section 2: Circumstances for Use

This section is informational and outlines the conditions under which a landlord must give this form to a tenant. It includes situations like rent increases due to extraordinary utility cost increases. No action is required from you here, but ensure these conditions apply to you.

Utility Costs Section

1. a) Total Adjusted Base Year Utility Costs

• • Base Year Period for Utilities: Input the total utility costs for the base year, which is the year used as a reference for comparison.

1. b) Current Utility Costs
   • 12-Month Period for Current Utility Costs: Enter the total utility costs for the most recent 12-month period.
   • Check one of the following boxes: Based on the comparison of a) and b), tick the appropriate box indicating whether the costs have increased, decreased, or remained the same.

Schedule A – Determining whether a Rent Reduction is Required

This section requires calculations to determine if a rent reduction is warranted.

1. a) Total Adjusted Base Year Utility Costs: Repeat the amount from the Utility Costs section.
2. b) Less: Current Utility Costs: Repeat the amount from the Utility Costs section.
3. c) Amount of Decrease in Utility Costs: Subtract b) from a) to find the decrease.
4. d) Allowance for Utilities: Enter the allowance for utilities from the AGI order.
5. e) Percentage Increase for Utilities: Input the percentage increase for utilities stated in the AGI order.
6. f) Percentage Amount of Rent Reduction: Calculate the percentage amount of rent reduction using the formula provided.

Explanation of the Rent Reduction

Check the box that applies to your calculation in section Schedule A, indicating the situation that applies to the tenant’s rent reduction.

Tenant’s Rent Reduction

Specify the dollar amount of rent reduction, when this reduction will begin, and the duration (e.g., month, week).

Important Information Section

This section provides additional instructions and exceptions for landlords and tenants, including how tenants can request utility bills and what charges apply. Review this carefully to ensure compliance.

Signature Section

• Signature: The landlord or their representative must sign the form.
• Name of Person Signing: Print the name of the individual signing the form.
• Landlord Representative: Indicate if the signer is representing the landlord, and if applicable, provide the LSUC number and company name.
• Mailing Address, Phone Number, etc.: Fill in the contact information for the landlord or representative.