Landlord Gave Tenant Rent Credit for Fuel Cost Adjustment Overpayment

Rent-controlled tenant complained that landlord improperly calculated her 2018-19 maximum base rent (MBR) and imposed fuel overcharges between May 2008 and June 2018. The DRA ruled against tenant after tenant didn't respond to landlord's answer to the complaint. Tenant appealed and lost. Tenant argued that there was no reason for her to reply to landlord's answer. DHCR records showed that her Fuel Cost Adjustment (FCA) was a negative amount from 1980 to 2017, and that landlord therefore violated FCA orders by charging a FCA to tenant in addition to the maximum collectible rent (MCR). The DHCR noted that from Jan. 1, 2014, through Jan. 1, 2018, the cumulative FCA per room, per month for tenant's apartment was a negative amount. After the DHCR issued a Dec. 28, 2017, order, landlord adjusted tenant's FCA as shown in tenant's rental history from Jan. 1, 2018 to the present. Landlord also showed that it signed a housing court stipulation with tenant that fully settled any excess FCA payment by giving tenant a rent credit. 

Toulson: DHCR Adm. Rev. Docket No. GX620043RT (3/19/19) [3-pg. doc.]