No DHCR Approval Needed for Metering Conversion

Landlord asked the DHCR for permission to convert its electrical metering system to submetering. The DRA ruled against landlord because landlord didn't submit a Public Service Commission (PSC) order. Landlord appealed, claiming that the PSC order wasn't needed in cooperative housing where tenants were directly metered and 70 percent of the shareholders approved of the conversion to submetering. Landlord also said that, at the time of conversion, two rent-controlled tenants and one rent-stabilized tenant consented to the submetering. The DHCR ruled for landlord. DHCR permission is required to change from master metering to individual metering by which tenants become responsible for electricity costs. But in this case, landlord sought to change from direct metering to submetering. Since tenants already paid for their own electricity, no DHCR approval was needed for this change.

230 West 105th Street: DHCR Adm. Rev. Docket No. UG420045RO (6/5/08) [2-pg. doc.]