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STATE OF NEW YORK PUBLIC SERVICE COMMISSIONAt a session of the Public ServiceCommission held in the City of Albany on February 12, 2009COMMISSIONER PRESENT:Garry A. Brown, ChairmanCase 08-E-0838 – Petition of North Town Roosevelt, LLC, to submeter electricity at 510-580 Main Street, Roosevelt Island, NewYork, located in the territory of Consolidated EdisonCompany of New York, Inc., filed in C 26998.ORDER STAYING ORDER GRANTING PERMISSION TO SUBMETER (Issued and Effective February 12, 2009)By untitled order dated November 21, 2008, the Commissiongranted a petition of North Town Roosevelt, LLC (North Town Roosevelt or Owner) requesting permission to submeter electricity to residential tenants at itsRoosevelt Landings apartment complex (formerly known as Eastwood), located at510-580 Main Street, Roosevelt, New York (Roosevelt Landings).
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On February6, 2009, a petition for rehearing was filed on behalf of the residents of RooseveltLandings. The petition for rehearing requests that the Commission withdraw itsapproval allowing the Owner to submeter electricity at Roosevelt Landings.The petition for rehearing asserts that a substantial number of Roosevelt Landings tenants are low income households and that RooseveltLandings is in close proximity to the only public hospital (HHC Coler-Goldwater Hospital) in New York City that specifically addresses the needs of individuals
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Case 08-E-0838, North Town Roosevelt, LLC, to submeter electricity at 510-580Main Street, Roosevelt Island, New York – Submetering, Untitled Order (issued November 21, 2008)(Submetering Order).
 
with chronic diseases. As a result of its proximity to the hospital, the proportionof Roosevelt Landings tenants who are individuals with disabilities and chronicdiseases is asserted to be larger than would be expected, and it is further assertedthat Roosevelt Landings has an unusually high number of tenants who utilize 24-hour life support medical equipment, such as ventilators and oxygen tanks. Theseallegations suggest that the Submetering Plan, as the Owner apparently intends toimplement it, may jeopardize the tenants’ health and safety where unpaid electriccharges could be used to allege the non-payment of rent, and, as a result threatenthe tenant with eviction.The petition for rehearing asserts that the “shadow” electric
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billssupplied to the tenants are two to three times higher than the rent reductionsspecified in the New York State Division of Housing and Community Renewal’s(DHCR) rent reduction formula, with some electric bills in excess of $1000. Inaddition, the petition for rehearing further states that tenants, who rely on electric baseboard heating, do not have the proper means to control their energyconsumption to reduce their electricity bills --tenants cannot control the electricheat in each apartment and some basic energy efficiency measures such as coversfor air conditioning sleeves have not been installed. These concerns are greatlyexacerbated by the apparent attempt to avoid Home Energy Fair Practices Act(HEFPA) protections.
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 The petition for rehearing and the initial review of the rehearing petition by the Department of Public Service Staff (Staff) disclose serious, credibleallegations challenging North Town Roosevelt’s implementation of the
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A shadow electric bill provides a tenant with an indication of his or her electricconsumption; it is not an actual bill due and owing to the landlord. The purposeof the shadow bill is to afford the tenant the opportunity to see and potentiallyalter electric consumption prior to the commencement of billing for submeteredelectric service.
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Public Service Law (PSL) Article 2.
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Submetering Plan approved in the Submetering Order. In light of the allegations,we are concerned about the potential for imminent harm to the tenants of Roosevelt Landings and the potential violation(s) of HEFPA if action is not takenon an emergency basis pursuant to the State Administrative Procedure Act(SAPA) §202(6).
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The Commission was not informed of the tenants concernsregarding the Submetering Plan, the fact that Roosevelt Landings utilized electricheating, and the other concerns regarding the poor energy efficiency of the building prior to its issuance of the Submetering Order. Combined, these concernscould jeopardize the ability of vulnerable tenants to maintain housing in themiddle of winter. Furthermore, while some customer outreach and education mayhave been provided, it appears from the rehearing petition that the tenants may still be confused as to the Submetering Plan and its impacts, which if true, mayindicate a problem with that outreach.Furthermore, the petition for rehearing raises concerns regarding arider to the tenant leases which appears to provide that electric bills will be treatedas rent, subjecting tenants to potential eviction if they fail to pay their electric bills.In the Submetering Order, the Commission notes that the Owner stated in its petition that in no event will electric service be terminated for non-payment of electric charges. However, this language and tenant protections in theSubmetering Order could be vitiated by the lease rider in that, while electricservice might not be disconnected, the tenant could still be subjected to eviction.Further, the Submetering Order specifically states that the Owner will comply withHEFPA, but tenant eviction for non-payment of their electric bill would raiseserious questions regarding the Owner’s compliance with HEFPA. The concern is
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This building is one of four buildings or complexes that were the subject of four separate orders granting permission to submeter electricity. While they aresimilarly situated, stays for each order will be issued separately in Cases 08-E-0836, 08-E-0837, 08-E-0838 and 08-E-0839.
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