DHCR Needn't Verify Tenant's Income Each Year

In 2000, landlord applied for high-rent/high-income deregulation of tenant's apartment. The rent was over $2,000 per month, and landlord requested verification of whether tenant's annual household income was over $175,000 in 1998 and 1999. Tenant answered the application, stating that the income was below the threshold in both years. The DRA ruled against landlord without verifying tenant's income with the state's Department of Taxation and Finance. Landlord appealed. The DHCR ruled against landlord. Landlord had filed a prior deregulation application in 1999. In response to the 1999 application, the DHCR had verified that tenant's income was below the threshold for 1997 and 1998. Since the DHCR had already verified that tenant's 1998 income was below the threshold, there was no reason to do so again. And since it was verified that tenant's income was below the threshold for at least one of the years in question, tenant's apartment couldn't be deregulated. Contrary to landlord's claim, the DHCR wasn't required to conduct a new verification process every year.

Langham Mansions Co.: DHCR Adm. Rev. Dckt. No. OJ410156RO (3/9/01) [2-pg. doc.]