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STATE OF NEW YORK
DIVISION OF HOUSING AND COMMUNITY RENEWAL
OFFICE OF RENT ADMINISTRATION
GERTZ PLAZA
92-31 UNION HALL STREET
JAMAICA, NEW YORK 11433
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IN THE MATTER OF THE ADMINISTRATIVE : ADMINISTRATIVE REVIEW
APPEALS OF DOCKET NO. BF 110335 RO,
: BF 110313 RO
SUNNY HILL GARDENS ASSOCIATES DRO DOCKET NO.40735,
40952
PETITIONER : TENANTS: OLGA & GABRIEL
------------------------------------X GONZALEZ, DONALD
& VICTORIA CHESLER
ORDER AND OPINION DENYING PETITIONS FOR ADMINISTRATIVE REVIEW
The above-named petitioner-owner filed timely Petitions for
Administrative Review against orders issued on April 29, 1987 and
May 7, 1987, by the Rent Administrator, 10 Columbus Circle, New
York, New York, concerning the housing accommodations known as 39-60
52nd Street, Queens, New York, Apartment No. 5E and 39-55 51st
Street, Queens, New York, Apartment No. 2B, (same apartment
complex), wherein the Rent Administrator determined that the
tenants had been overcharged. Since these petitions involve
common issues of law and fact, they have been consolidated for
processing herein.
The Administrative Appeals are being determined pursuant to
the provisions of Section 2526.1 of the Rent Stabilization Code.
The issue herein is whether the Rent Administrator's orders
were warranted.
The Commissioner has reviewed all of the evidence in the
record and has carefully considered that portion of the record
relevant to the issue raised by the administrative appeals.
These proceedings were originally commenced by the filing of
Tenant's Objection to Rent Forms in which the tenants stated inter
alia that they had been overcharged.
In answer to the objections, the owner submitted rental
histories for the subject apartments from the April 1, 1980 base
date.
In Order Number 40735, the Rent Administrator determined that
there was a rent overcharge of $1.54 for Apartment 5E through
April 30, 1981, and directed the owner to refund such overcharge
to the tenant.
In Order Number 40952, the Rent Administrator determined that
there was a rent overcharge of $29.59 for Apartment 2B through May
31, 1987, and directed the owner to refund such overcharge to the
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tenant.
In these petitions, the owner contends in substance that
there were no rent overcharges in that the Rent Administrator
improperly calculated the rent reductions due to the change from
electrical inclusion to exclusion pursuant to CAB Docket 22,992
(applicable to both subject apartments) and improperly calculated
the major capital improvement rent increase pursuant to CDR Order
Number 6248 (applicable to both subject apartments).
The Commissioner is of the opinion that these petitions
should be denied.
In these cases, the owner has submitted insufficient evidence
to determine if the Rent Administrator in fact incorrectly
calculated the rent reductions due to the electrical exclusion or
incorrectly calculated the major capital improvement rent
increase. Any such calculation errors would have been minor in
nature as evidenced by the amount of the overcharges found.
However, it is noted that the Rent Administrator in his
calculations did not subtract the prior electrical inclusion
allowances made during earlier guideline periods due to
electrical inclusion in the rent as required when the change from
electrical inclusion to exclusion was made. It is further noted
that application of the correct processing procedure (subtracting
the electrical inclusion allowances) would more than negate any
benefit to the owner based on the argument raised by the owner in
its petitions. As such, and in the absence of timely petitions
for administrative review by the tenants, the Commissioner finds
it appropriate to deny these appeals.
THEREFORE, in accordance with the provisions of the Rent
Stabilization Law and Code, it is
ORDERED, that these petitions for administrative review be,
and the same hereby are, denied, and, that the orders of the Rent
Administrator be, and the same hereby are, affirmed.
ISSUED
JOSEPH A. D'AGOSTA
Deputy Commissioner
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