No Overcharge Where SCRIE Benefits Paid FCA Eliminated by HSTPA

Rent-controlled tenant complained of rent overcharge in 2020. She claimed that landlord hadn't removed a 2019 Fuel Cost Adjustment (FCA) from her rent bill as required by HSTPA effective June 14, 2019. Tenant claimed that, starting July 1, 2019, her monthly rent should be $1,304 and not the $1,416 she was actually paying. Landlord claimed that: (a) tenant had received SCRIE benefits since 2015; (b) tenant had paid $1,416 since 2015; (c) tenant's rent payment never included a FCA because SCRIE paid the FCA and other annual increases; and (d) tenant's SCRIE benefits were adjusted after HSTPA eliminated the FCA while tenant's monthly rent payment remained $1,416.

The DRA ruled against tenant, who appealed and lost. SCRIE records confirmed landlord's explanation of tenant's rent. In July 2019, landlord mistakenly subtracted the FCA from tenant's portion of the rent for that one month and billed tenant $1,304, before realizing that the FCA had already been subtracted from its SCRIE tax abatement. 

Delgado: DHCR Adm. Rev. Docket No. IW420027RT (4/29/21) [3-pg. doc.]