DHCR Issues New Schedule of Rent Reductions for Electrical Conversions

(Decision submitted by Edward Josephson, Director of Litigation of South Brooklyn Legal Services, attorneys for the tenants.)

Landlord asked the DHCR for permission to convert from electrical inclusion to direct metering of tenants' electricity by a utility provider so that tenants would no longer pay landlord for providing electricity. The DHCR ruled for landlord and ordered permanent rent reductions in accordance with the schedule listed in Operational Bulletin 2003-1, which was revised in 2008. Tenants appealed, claiming that the DHCR hadn't updated its rent reduction schedule properly and that the listed rent reduction amounts were insufficient. The court ruled for tenants and sent the case back to the DHCR. The DHCR then updated the rent reduction schedule for direct metering conversions in December 2010 and issued a new order. For a one-room apartment the permanent reduction is now $55 instead of $40. For a six-room apartment the permanent reduction is now $80 instead of $75. Similar changes apply to other-sized apartments.

Various Tenants/Vanderveer Estates aka Flatbush Gardens: DHCR Adm. Rev. Docket No. YL210010RP (4/1/11) [4-pg. doc.]