Fact
Sheet #14 - Rent Reductions Due to Decreased Services
Tenant Rights when an Owner is not Maintaining Services
A tenant who experiences a decreased service in an individual apartment
or in the building needs to first contact the owner in writing, as detailed
in the next paragraph. If that does not resolve the problem, the tenant may
file a complaint with the Division of Housing and Community Renewal (DHCR).
For an individual complaint a tenant may use an "Individual Tenant Statement
of Complaint of Decrease in Services" (DHCR
Form RA-81) form for complaints
about conditions in the apartment. For complaints involving a decrease in
building-wide services, a tenant or tenant representative may file a "Statement
of Complaint of a Decrease in Building-Wide Services" (DHCR
Form RA-84).
A tenant must use the correct form for their complaint and attach a copy
of their letter to the owner or agent with proof of mailing or delivery (for
example: certificate of mailing, certified mail receipt or signed receipt
from owner or agent acknowledging personal delivery). Complaints must be
filed with DHCR not less than 10 days nor more than 60 days from the date
the letter was written to the owner.
However, for some emergency conditions, prior written notice to the owner
is not required before filing a complaint with DHCR. Examples of these conditions
are vacate orders from municipal authorities, cascading water, no electricity,
no water, and no cooking gas or a gas leak.
Procedures when a Complaint of Decrease in Services is Filed
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The DHCR screens and dockets these applications and sends the tenant(s)
an acknowledgement with the complaint/docket number.
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A copy of the tenant's application/complaint is sent to the owner and
the owner has 45 days in which to respond (5 days for emergency conditions).
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The DHCR will send the tenant a copy of the owner's answer to the tenant's
complaint.
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If the owner's answer is relevant to the determination, the tenant has
21 days from receiving the owner's answer to respond to the DHCR.
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The DHCR may conduct an inspection as on-site evidence may need to be
gathered.
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If the evidence indicates that the owner failed to maintain required
services, the DHCR can issue a written order that directs the owner to
restore services and reduces the rent for the apartment. The order will
stay in effect until the owner applies to DHCR and receives a Rent Restoration
Order that finds that services have been restored. DHCR may not issue an
order concerning items which were not contained in the tenant's letter
to the owner.
Tenant Rights when an Owner does not Comply with a DHCR Service Reduction
Order
If an owner has failed to restore services and/or correct the conditions
specified within 30 days after the issuance date of the order, the tenant
may file a "Tenant Affirmation of Non-Compliance" (DHCR
Form RA-22.1),
to request that a compliance proceeding be initiated. The tenant is also
authorized to reduce their rent in accordance with the order.
Procedures if the Owner Cannot Obtain Access to the Apartment to make Repairs
If an owner has attempted, but been unable to obtain access to the subject
housing accommodation to correct the service or equipment deficiency, the
owner should state this in the response. Upon receipt, the DHCR may direct
an inspector to accompany the owner or the owner's agent to the housing accommodation
to determine whether such access is being provided. In order for the DHCR
to coordinate the inspection, the owner should indicate that access has been
denied in the response submitted to the DHCR and should include copies of
two letters to the tenant attempting to arrange for access. Each of the letters
must have been mailed at least eight days prior to the date proposed for
access, and must have been mailed by certified mail, return receipt requested.
Exceptions to such requirements for inspection may be permitted under emergency
conditions, where special circumstances exist, or pursuant to court order.
Effects of the DHCR Rent Reduction Order for Rent Stabilized and Rent Controlled
Tenants
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The effective date for rent stabilized tenants is retroactive back to
the first day of the month following DHCR's service of the complaint on
the owner. For rent controlled tenants, the effective date is the first
day of the month after the order is issued.
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The amount of the rent reduction for rent stabilized tenants is generally
the most recently charged renewal lease guideline increase (See Example
#1 below). For rent controlled tenants, the amount is a dollar amount set
by DHCR (See Example #2 below).
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The order generally bars further rent increases for rent
stabilized tenants until DHCR issues a rent restoration order. For rent
controlled tenants, the order will generally not bar increases to the
Maximum Collectible Rent (MCI) and Fuel increases. These increases may
only be barred if the order found that an essential service was reduced.
These are defined as heat during the part of the year when required by
law, hot water, cold water, superintendent services, maintenance of front
or entrance door security (including, but not limited to, lock and buzzer),
garbage collection, elevator service, gas electricity and other utility
services, to both public and required private areas and "such other
services when failure to provide and/or maintain such would constitute
a danger to the life or safety of, or would be detrimental to the health
of the tenant or tenants."
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For rent stabilized tenants, a rent restoration order will not be issued
until all services listed in the rent reduction order are corrected.
For rent controlled apartments, partial rent restoration orders can be
issued.
Examples
Example #1
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Ms. Williams, a rent stabilized tenant, receives a rent reduction order
for a broken window on February 15, 2008. It has an effective date of
December 1, 2007.
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She has a two year renewal lease in effect which commenced on November
1, 2007 at a rent of $951.75 ($900 + 51.75 (5.75%)). Prior to that renewal
lease guideline increase, her rent had been $900.
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On March 1, 2008, Ms. William's rent will be reduced to $900, effective
December 1, 2007. If the owner does not file a Petition for Administrative
Review (PAR), he or she will also owe Ms. Williams a $51.75 refund for
each of the three months of December, January and February; totaling $155.25.
Said refund for these three months is not immediately collectible if
the owner files a PAR, however, the rent remains reduced to $900.
Example #2
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Ms. Cohen, a rent controlled tenant receives a rent reduction order for
a broken window on March 15, 2008. Her Maximum Collectible Rent (MCR)
is $724.
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The order states the rent reduction is for $8.
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On April 1, 2008, Ms. Cohen's rent will be reduced to $716 ($724 - $8).
There is no retroactivity and she is in not owed a refund for previous
months.
Owners or Tenants can Submit Affidavits by a Licensed Architect or Engineer
to Support their Complaint, Answer or Application
See Policy
Statement 96-1: "Third Party Certification" for a complete
discussion. Essentially, an owner supplied affidavit that conditions have
been corrected can be rebutted by the tenants by the submission of a statement
by at least 51% of the complaining tenants that the conditions still exist
or by a tenant submitted counter affidavit by a licensed architect or engineer
Sources:
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New York City Rent Stabilization Code, Section 2523.4
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Tenant Protection Regulations, Section 2503.4
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New York
City Rent and Eviction Regulations, Section 2202.16
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New York State
Rent and Eviction Regulations, Section 2102.4
Related Materials:
For
more information or assistance, call the DHCR Rent InfoLine (718-739-6400)
or visit your Borough or County Rent Office.
DHCR
Version 6/5/08
RGB Page Updated 7/30/08
