4204 ADJUSTMENTS IN RENT CEILINGS GENERALLY

4204.1 The rent ceiling for a rental unit established by §§ 4201, 4202 or 4203 may be adjusted from time to time pursuant to the provisions of the Rent Stabilization Program.4204.2 The rent ceiling may be adjusted by the housing provider without the prior approval of the Rent Administrator as follows:- (a) By adjustment of general applicability authorized by § 206(b) of the Act and implemented pursuant to § 4206; or

- (b) By vacancy adjustment authorized by § 213 of the Act and implemented pursuant to § 4207.4204.3 The rent ceiling may be adjusted by order of the Rent Administrator upon petition filed by the housing provider as to any of the following:- (a) For capital improvement adjustments authorized by § 210 of the Act and petitioned for pursuant to § 4210.

- (b) For adjustments of related services and facilities authorized by § 211 of the Act and petitioned for pursuant to § 4211.

- (c) For hardship adjustments authorized by §§ 206(c) and 212 of the Act and petitioned for pursuant to § 4209.

- (d) For substantial rehabilitation adjustments authorized by § 214 of the Act and petitioned for pursuant to § 4212.4204.4 The rent ceiling may be adjusted pursuant to a seventy percent (70%) Voluntary Agreement authorized by § 215 of the Act, and approved by the Rent Administrator, and filed pursuant to § 4213.4204.5 The rent ceiling may be adjusted by order of the Rent Administrator, upon petition filed by one (1) or more tenants under § 216 of the Act, for any of the following reasons:- (a) To challenge or contest any base rent or rent ceiling established pursuant to §§ 4201, 4202 or 4203;

- (b) To challenge or contest any discretionary rent ceiling adjustment implemented by a housing provider pursuant to § 4204.2;

- (c) To challenge or contest any voluntary rent ceiling adjustment sought or

implemented pursuant to § 4204.4; or

(d) To seek relief from or compensation for any unlawful or unapproved substantial reduction in related services of facilities, including a substantial reduction for which the housing provider has offered inadequate or no compensatory rent ceiling decrease.

4204.6 The rent ceiling may be adjusted by order of the Commission, pursuant to § 202(a)(2) of the Act.

4204.7 The rent ceiling may be adjusted by or pursuant to an order of any court of competent jurisdiction.

4204.8 In calculating a rent ceiling adjustment, any fraction of a dollar of forty-nine cents (49¢) or less shall be rounded down to the nearest dollar, and any fraction of fifty cents (50¢) or more shall be rounded up to the nearest dollar.

4204.9 Except as provided in § 4204.10, any rent ceiling adjustment authorized by the Act and this chapter shall be taken and perfected within the time provided in this chapter, and shall be considered taken and perfected only if the housing provider has filed with the Rent Administrator a properly executed amended Registration/Claim of Exemption Form as required by § 4103.1, and met the notice requirements of § 4101.6.

4204.10 Notwithstanding § 4204.9, a housing provider shall take and perfect a rent ceiling increase authorized by § 206(b) of the Act (an adjustment of general applicability) by filing with the Rent Administrator and serving on the affected tenant or tenants in the manner prescribed in § 4101.6 a Certificate of Election of Adjustment of General Applicability, which shall:

1. (a) Identify each rental unit to which the election applies;
2. (b) Set forth the amount of the adjustment elected to be taken, and the prior and new rent ceiling for each unit; and
3. (c) Be filed and served within thirty (30) days following the date when the housing provider is first eligible to take the adjustment.

4204.11 A housing provider may take and perfect an upward rent ceiling adjustment pursuant to §§ 4204.9 and 4204.10 without simultaneously implementing a rent increase to the new rent ceiling, and the election not to implement a rent increase to the new ceiling shall not constitute a waiver or forfeiture of the housing provider's right to implement the full rent increase at a later time.

4204.12 Where a housing provider is required to take and perfect a downward rent ceiling adjustment, the housing provider shall simultaneously implement a rent reduction to an amount equal to,

or less than, the new ceiling.

SOURCE: Notice of Final Rulemaking published at 33 DCR 1336, 1386-88 (March 7, 1986); as amended by Notice of Final Rulemaking published at 33 DCR 2656, 2664 (May 2, 1986).