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
APPEAL OF DOCKET NO.:DD 410158-RT
:
RENT ADMINISTRATOR'S
RICHARD AND JANICE PATTERSON, DOCKET NO.:AI 410204-OM
PETITIONERS :
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ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
On April 21, 1989 the above-named petitioners filed an Administrative
Appeal against an order issued on March 23, 1989 by the District Rent
Administrator, 92-31 Union Hall Street, Jamaica, New York concerning the
housing accommodations known as 308 West 89th Street, New York, N.Y.,
Apartments 4A, wherein the Rent Administrator granted major capital
improvement (MCI) rent increases of $20.94 per room per month, effective
as of June 1, 1988, plus a retroactive increase of $209.40 per room for
the stabilized apartments in the subject premises based on the finding
that various installations, with certain exceptions, constituted major
capital improvements.
In this Administrative Appeal, the petitioner-tenants do not question the
installation but contend, in substance, that the proposed monthly
increase of $41.88 for the subject accommodation's two rooms, as well as
the ten month retroactive charge of $418.80 exceed the 6% limit allowed
under the Rent Stabilization Law.
In response to the tenant's petition, the owner filed an answer stating,
in substance, that it thought an order for an MCI increase would not
exceed any lawful limitations on the amount of the increase. However on
receiving the petition, the owner has checked with DHCR to confirm that a
6% maximum increase on each the prospective increase and retroactive
payment is in fact the legal yearly limit for an MCI increase and that any
overcharge will be straightened out with the tenant.
After a careful consideration of the entire evidence of record the
Commissioner is of the opinion that the Administrative Appeal should be
denied.
The record indicates that the owner correctly complied with the applicable
procedures for a major capital improvement rent increase and the
Administrator properly computed such increase predicated on substantiated
costs. The 6% statutory restriction on the collection of increases of the
type involved herein is understood. The owner is cautioned that violation
of the 6% restriction on collectibility of the instant increase or when
combined with other MCI orders may give rise to a complaint of rent
overcharge.
DOCKET NUMBER: DD 410158-RT
The determination herein is without prejudice to the right to the tenant
herein to file an appropriate complaint of rent overcharge with the
Division, if the facts so warrant.
On the basis of the entire evidence of record, it is found that the
Administrator's order is correct and should be affirmed.
THEREFORE, in accordance with the applicable provisions of the Rent
Stabilization Law and Code, and Operational Bulletin 84-1, it is
ORDERED, that the Administrative Appeal be, and the same hereby is denied;
and that the Administrator's order be, and the same hereby is affirmed.
ISSUED:
JOSEPH A. D'AGOSTA
Acting Deputy Commissioner
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