The New York State Division of Housing and Community Renewal has issued its twenty-forth annual update of permissible charges for the use and/or initial installation of an air conditioner for both rent controlled and rent stabilized apartments in New York City. As a result of decreased electrical costs, the air conditioner surcharge has been decreased from $31.19 per month to $27.69 per month or $332.24 per year, effective October 1, 2009 where electricity costs are included in the rent.
The increase reflects an 11.24% decrease in the price of electricity for electrical inclusion buildings as contained in the 2009 Price Index of Operating Costs prepared by the New York City Rent Guidelines Board. For air conditioners installed between October 1, 1985, and September 30, 2009, in rent stabilized apartments in buildings providing electricity, the monthly charge will be decreased effective October 1, 2009.
Where a new air conditioner is purchased and installed by the building owner with the written consent of the rent controlled or rent stabilized tenant, 1/40th of the cost of the unit, including any cost of installation but excluding and finance charges may be included in the base rent. The increase for rent stabilized apartments becomes effective on the first rent payment date following the installation of the air conditioner.
Where the rent controlled or rent stabilized tenant pays for their own electricity, and the tenant installs the air conditioner(s) between October 1, 2009 and September 30, 2010, a $5 per month per air conditioner charge will be payable to the owner only if the air conditioner(s) protrude beyond the window line.
Except for the 1/40th charge for the owner –purchased and installed air conditioner(s), charges for these appliances do not become part of the base rent for the purpose of computing any guidelines or other increases under the Rent Stabilization Law or Code.
To obtain the charge for rent controlled tenants, owners must apply to the DHCR by submitting “Owner’s Notice of a Rent Increase Based on Increased Services/New Furnishings/Equipment/Painting; and Tenant’s Statement of Consent – Owner’s Application for Air Conditioner Charges,” form RA – 79B. The charge is not collectible until an order is issued by DHCR.
For both rent stabilized and rent controlled apartments, the permissible charge for air conditioners initially installed prior to October 1, 1985, is dependent upon the lawful practice then in effect. The full text of the DHCR Air Conditioner Bulletin can be downloaded from the RSA website under the “Resources” section.
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