Landlord Waived 1987 Fuel Passalong

The DRA suspended all fuel cost adjustments for the year 1987 in landlord's building because landlord had previously obtained allowable fuel cost adjustments and didn't serve and file the required report of fuel cost decrease on time. Landlord appealed, claiming that in 1987 she waived the fuel cost adjustment and therefore didn't have to file. The DHCR ruled for landlord. In early 1987, it was reported that the price of #2 fuel oil had gone down during 1986. Landlords were required to file and serve a fuel cost decrease report on or before July 31, 1987. But because of the large decreases in fuel costs in 1986, bringing many cumulative fuel cost adjustments (FCAs) to below zero, landlords were given the option of formally waiving the FCA. Landlord took this option. So she wasn't required to file the fuel report.

Fonos: DHCR Adm. Rev. Dckt. No. ED 220082 RO (2/13/95) [2-page document]