(a) After January 1, 2003, before an owner of an apartment house, manufactured home rental community, or multiple use facility or a manager of a condominium may implement a program to bill tenants for submetered or allocated water service, the owner or manager must:
(1) meet the standards prescribed by § 372.002, Health and Safety Code, for sink or lavatory faucets, faucet aerators, and showerheads; and
(2) perform a water leak audit of each dwelling unit or rental unit and each common area and repair any leaks found.
(b) Not later than the first anniversary of the date an owner of an apartment house, manufactured home rental community, or multiple use facility or a manager of a condominium begins to bill for submetered or allocated water service under Subsection (a), the owner or manager shall:
(1) remove any toilets that exceed a maximum flow of 3.5 gallons of water per flushing; and
(2) install toilets that meet the standards prescribed by § 372.002, Health and Safety Code.

(c) Subsections (a) and (b) do not apply to a manufactured home rental community owner who does not own the manufactured homes located on the property of the manufactured home rental community.