BE 420358 RO
                                  STATE OF NEW YORK
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                              JAMAICA, NEW YORK   11433

          APPEAL OF                               DOCKET NO.:  BE 420358 RO

                  ZADMAR REALTY COMPANY,
                                                  DRO DOCKET NO.: LC 000793 RO



          On May 26,  1987  the  above-named  petitioner  filed  an  appeal
          against  an  order  issued  on  April  23,  1987  by   the   Rent
          Administrator of the Rent Office  located  at  92-31  Union  Hall
          Street, Jamaica, New York concerning the  housing  accommodations
          known as 265-9 East 78th Street,  New  York,  New  York,  Various

          The Administrator's order appealed herein suspended all fuel cost 
          adjustments for the period January 1, 1985 through  December  31,

          This order was based upon a finding that the owner of the subject 
          building had previously obtained allowable fuel cost  adjustments
          and failed to timely serve and file the required report of a fuel 
          cost decrease by reason of a decrease in the price of  #  2  fuel
          oil during the calendar year 1984.

          On appeal, the  owner  contends  that  it  had  requested  to  be
          notified of a decrease and if it was required to file a report of 
          fuel cost decrease but it was informed that  there  had  been  no
          fuel cost price decrease for 1984 and it was  never  notified  of
          the price decrease and the need to file a report.

          After careful consideration, the Commissioner is of  the  opinion
          that this petition should be denied.

          Section 2202.13 of the Rent and Evictions Regulations provides in 
          pertinent part  that  where  an  owner  has  obtained  fuel  cost
          adjustments and there is a finding of fuel price decrease, within 
          60 days of the promulgation of the finding on  fuel  prices,  the
          owner must serve and file a report of fuel price decrease.

          In January 1985, a finding was promulgated that the price of #  2
          fuel oil had declined during 1984.  Therefore, the subject  owner
          was required to file and serve fuel cost decrease reports.

          BE 420358 RO
          In the instant case, it is undisputed that a "Landlord's  Report,
          Certification and Notice of Fuel Cost Adjustment Eligibility" was 
          not served on the tenants  nor  received  by  the  District  Rent
          Office.  The owner's claim that it  was  not  notified  does  not
          excuse the failure to file the required report.   The  owner  has
          not submitted probative evidence that it was misinformed  by  the
          Division of Housing and Community Renewal (DHCR).   Moreover,  it
          is not Division policy to specifically inform  an  owner  of  the
          necessity to file and serve the required report.

          The  Commissioner  is  of  the  opinion  the  Rent  Administrator
          correctly suspended Fuel Cost Adjustments for the  calendar  year

          THEREFORE, in accordance with the applicable  provisions  of  the
          Rent and Eviction Regulations for New  York  City,  Chapter  403,
          Laws of  1983  as  amended  by  Chapter  102,  Laws  of  1984  as
          implemented by Operational Bulletin 84-1, it is

          ORDERED, that this administrative appeal be, and the same  hereby
          is,  denied,  and  that  the   order   of   the   District   Rent
          Administrator be, and the same hereby is, affirmed.

                                                  ELLIOT SANDER
                                                  Deputy Commissioner

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