No Rewiring Required for Approval of Conversion to Electrical Submetering

Landlord asked the DHCR for permission to convert building from master metering of electricity to submetering. The DRA ruled for landlord and reduced tenants' rents in accordance with the schedule set forth in Operational Bulletin 2003-1. Tenants appealed, claiming that landlord didn't provide an adequate plan to rewire the building, so the DHCR should have denied landlord's application. The DHCR ruled against tenants. Rewiring is required if landlord wants to convert from master metering to direct metering. Under the submetering option, tenants will pay landlord for electricity, and no rewiring is required. Landlord had agreed to limit the cost of electricity to tenants to the rates set forth in the DHCR's Operational Bulletin. And landlord had submitted an engineer's affidavit stating that the current wiring was adequate. This was all that was required.

1500 Noble Avenue: DHCR Adm. Rev. Docket No. VA610029RT (5/2/07) [3-pg. doc.]