Docket No. DD220189RO
                                 STATE OF NEW YORK 
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                              JAMAICA, NEW YORK  11433

          APPEAL OF                               DOCKET NO.: DD220189RO

                                                  DISTRICT RENT
          454-456 Bedford Co.                     ADMINISTRATOR'S DOCKET
                                                  NO.: AK220120FR


          On April 18, 1989 the above named petitioner-landlord filed an 
          appeal in accordance with the applicable provisions of the City 
          Rent Law and Regulations against an order issued on March 21, 1989 
          by the Rent Administrator of the Gertz Plaza, Jamaica, New York 
          Rent Office, concerning the housing accommodation known as 454-456 
          Bedford Avenue, Various Apartments, Brooklyn, New York.

          The issue in this proceeding is whether the Fuel Cost Adjustments 
          should have been suspended for the calendar year 1986.

          The Rent Administrator's order appealed herein suspended all fuel 
          cost adjustments for the period January 1, 1986 through December 
          31, 1986.

          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 fuel 
          cost decrease by reason of a decrease in the price of Brooklyn 
          Union "Non-Interruptible" Gas during the calendar year 1985.

          On appeal, the landlord states, in substance, that in 1986 it 
          originally filed for an increase, but soon after the DHCR issued 
          new forms changing the status to a decrease.  It filed new forms 
          for a decrease which was implemented.  The increase filed for 
          originally was not implemented.  The landlord also states that 
          although the suspension order herein under appeal indicated that 
          the building used Brooklyn Union "Non-Interruptible" Gas, in fact 
          the gas used is Brooklyn Union "Interruptible" Gas.

          After a careful consideration of the entire evidence of record the 
          Commissioner is of the opinion that the administrative appeal 

          Docket No. DD220189RO

          should be granted.

          The Commissioner notes the fact that in 1986 a Special Notice-1986 
          Fuel Cost Pass-Along was mailed to the Owners explaining that six 
          types of heating fuel used in 1985 were previously incorrectly 
          stated.  The Special Notice quoted the correct fuel cost changes.  
          The Brooklyn Union "Interruptible" Gas was changed from an increase 
          in gas to a decrease in gas.

          The Commissioner further notes that the Special Notice stated that 
          if Owners who used Interruptible Brooklyn Union Gas (whose price 
          had originally been stated to have increased in 1985, but in fact 
          had decreased) did not file the fuel cost report with DHCR by May 
          14, 1986, the Owners must now file for a decrease pass-along, by 
          September 3, 1986.

          The subject landlord was required to file the fuel cost report on 
          or before May 14, 1986.  In reviewing the record it reveals the 
          originally filed 1986 fuel report was not received by the Division 
          until July 17, 1986, and the refiled fuel cost report was not 
          received by the Division until September 25, 1986.  Therefore, the 
          owner's filing of the report of decrease in fuel cost was 
          technically untimely.  However, because of the confusion caused by 
          the need to correct the findings regarding fuel prices, the DHCR 
          extended the September 3, 1986 deadline stated on the Special 
          Notice to October 3, 1986.  Therefore, the landlord's September 25, 
          1986 filing should have been deemed timely.

          Finally, the Commissioner notes that the owner is correct that the 
          order incorrectly described the gas used by the owner as "Non- 
          Interruptible".  However, the record shows that the Administrator's 
          computations were correctly based on the decrease in Interruptible 
          Brooklyn Union Gas.

          THEREFORE, in accordance with the applicable provisions of the Rent 
          and Eviction Regulations for New York City, it is

          ORDERED, that the landlord's appeal be, and the same hereby is, 
          granted; that the Rent Administrator's order be, and the same 
          hereby is, revoked; and that the monthly cumulative fuel cost 
          adjusmtent for the subject building as of January 1, 1986 is 
          reinstated in the amount of $4.11 per room, per month, and it is 
          further ordered that the tenants may pay any arrears in rent 
          arising as a result of this order in twelve (12) equal monthly 


                                             Joseph A. D'Agosta
                                             Deputy Commissioner

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