24 CFR §965.401

1. (a)All utility service shall be individually metered to residents, either through provision of retail service to the residents by the utility supplier or through the use of checkmeters, unless:
   1. (1)Individual metering is impractical, such as in the case of a central heating system in an apartment building;
   2. (2)Change from a mastermetering system to individual meters would not be financially justified based upon a benefit/cost analysis; or
   3. (3)Checkmetering is not permissible under State or local law, or under the policies of the particular utility supplier or public service commission.
2. (b)If checkmetering is not permissible, retail service shall be considered. Where checkmetering is permissible, the type of individual metering offering the most savings to the PHA shall be selected.