your guide to the senior citizen rent increase exemption ... · new york city housing authority...

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Your Guide To The Senior Citizen Rent Increase Exemption (SCRIE) Program And The Disability Rent Increase Exemption (DRIE) Program David M. Frankel Commissioner NYC Department of Finance Michael R. Bloomberg Mayor City of New York New York City Department of Finance

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Page 1: Your Guide To The Senior Citizen Rent Increase Exemption ... · New York City Housing Authority (NYCHA). • Units that are partially or fully paid by a Section 8 voucher. • Apartments

Your Guide To The

Senior Citizen Rent Increase Exemption (SCRIE) Program And The

Disability Rent Increase Exemption (DRIE) Program

David M. FrankelCommissionerNYC Department of Finance

Michael R. BloombergMayorCity of New York

New York CityDepartment of Finance

Page 2: Your Guide To The Senior Citizen Rent Increase Exemption ... · New York City Housing Authority (NYCHA). • Units that are partially or fully paid by a Section 8 voucher. • Apartments

Table of ContentsLetter from our Mayor and Commissioner ...................................................................................................5

Section 1 — All About SCRIE for Tenants..................................................................................7What is SCRIE?..........................................................................................................................................................8Am I eligible? .............................................................................................................................................................8

Income information .........................................................................................................................................8Which household members’ income is used to determine income? ..........................................................8Do I include roommate income?...........................................................................................................................8How do I show income if I don’t file taxes?........................................................................................................8How does Finance calculate my income?...........................................................................................................8

Rent information ..............................................................................................................................................8 How does Finance determine if rent is 1/3 of income?...................................................................................9How does Finance determine my frozen rent amount?..................................................................................9Preferential rent.........................................................................................................................................................9What increases are covered under SCRIE?........................................................................................................9When is a Major Capital Improvement (MCI) covered? .............................................................................10When is an MCI not covered?.............................................................................................................................10What increases are not covered under SCRIE?...............................................................................................10

How do I apply?..............................................................................................................................................10Where can I find an application? ........................................................................................................................10Do I need my landlord’s permission?.................................................................................................................10If a household member already has SCRIE/DRIE, can I apply? ..................................................................10

What documents do I need to send to Finance with my application? ......................................................11Where do I send my application and documents?.........................................................................................12

What happens after I apply? ........................................................................................................................12Can I stop paying my rent increases? ................................................................................................................12How will I know if I’m approved or denied? .....................................................................................................12When does my SCRIE benefit begin/end?........................................................................................................12Is there a retroactive credit for my landlord?...................................................................................................12Will I receive a check from Finance? ..................................................................................................................12Can I appeal? ............................................................................................................................................................13Can my landlord refuse to participate in SCRIE? ............................................................................................13Can I be evicted because I receive the SCRIE benefit?..................................................................................13Does SCRIE protect me from eviction?..............................................................................................................13

Renewing your SCRIE benefit........................................................................................................................13Do I have to renew my SCRIE benefit?...............................................................................................................13Will Finance mail me a renewal application?...................................................................................................13Do I need to send anything with my renewal application?...........................................................................13What if I don’t have a renewal lease? ................................................................................................................13Where can I get a renewal application? ............................................................................................................13Will my landlord be paid if I forget to renew? .................................................................................................14Is there a grace period my landlord is required to continue my benefit? .................................................14Can I check the status of my renewal application and benefit? .................................................................14

Changes during my benefit period...............................................................................................................14What happens if I move? ......................................................................................................................................14Major Capital Improvement increases ..............................................................................................................14Do I have to switch my DRIE to SCRIE when I turn 62?................................................................................15What happens to my SCRIE benefit when I die?.............................................................................................15What if a surviving household member is eligible for DRIE not SCRIE?...................................................15

I have questions; who can assist me? ..........................................................................................................15

Page 3: Your Guide To The Senior Citizen Rent Increase Exemption ... · New York City Housing Authority (NYCHA). • Units that are partially or fully paid by a Section 8 voucher. • Apartments

Section 2 — All About DRIE for Tenants.............................................................................................17What is DRIE? ..........................................................................................................................................................18Am I eligible?............................................................................................................................................................18

Income information........................................................................................................................................18Which household members’ income is used to determine income? ........................................................18Do I include roommate income? .........................................................................................................................18How do I show income if I don’t file taxes? ......................................................................................................18How does Finance calculate my income?.........................................................................................................19

Rent information ............................................................................................................................................19 How does Finance determine if rent is 1/3 of income?.................................................................................19How does Finance determine my frozen rent amount? ................................................................................19Preferential Rent ......................................................................................................................................................19What increases are covered under DRIE? .......................................................................................................20When is a Major Capital Improvement (MCI) covered?.............................................................................20When is an MCI not covered? ............................................................................................................................20What increases are not covered under DRIE?................................................................................................20

How do I apply? ..............................................................................................................................................21Where can I find an application?.........................................................................................................................21Do I need my landlord’s permission? .................................................................................................................21If a household member already has SCRIE/DRIE can I apply?....................................................................21

What documents do I need to send to Finance with my application?.....................................................22Where do I send my application and documents? ........................................................................................23

What happens after I apply?........................................................................................................................23Can I stop paying my rent increases?................................................................................................................23How will I know if I’m approved or denied?.....................................................................................................23When does my DRIE benefit begin/end?.........................................................................................................23Is there a retroactive credit for my landlord? ..................................................................................................23Will I receive a check from Finance? .................................................................................................................24Can I appeal? ...........................................................................................................................................................24Can my landlord refuse to participate in DRIE? .............................................................................................24Can I be evicted because I receive the DRIE benefit? ...................................................................................24Does DRIE protect me from eviction?...............................................................................................................24

Renewing your DRIE benefit.........................................................................................................................24Do I have to renew my DRIE benefit?................................................................................................................24Will Finance mail me a renewal application?..................................................................................................24Do I need to send anything with my renewal application?..........................................................................24What if I don’t have a renewal lease? ...............................................................................................................25Where can I get a renewal application? ...........................................................................................................25Will my landlord be paid if I forget to renew?.................................................................................................25Is there a grace period my landlord is required to continue my benefit?.................................................25Can I check the status of my renewal application and benefit?.................................................................25

Changes during my benefit period ..............................................................................................................25What happens if I move?......................................................................................................................................25Major Capital Improvement increases .............................................................................................................26Do I have to switch my DRIE to SCRIE when I turn 62? ...............................................................................26What happens to my DRIE benefit when I die?..............................................................................................26How does a family member apply to receive my DRIE benefits? ..............................................................26

I have questions; who can assist me? .........................................................................................................26

Page 4: Your Guide To The Senior Citizen Rent Increase Exemption ... · New York City Housing Authority (NYCHA). • Units that are partially or fully paid by a Section 8 voucher. • Apartments

Section 3 - DRIE and SCRIE for landlords ...............................................................................27What are DRIE and SCRIE?..................................................................................................................................27Who is eligible?.......................................................................................................................................................27

Landlord’s role in a tenant’s application for DRIE/SCRIE.........................................................................28Does my tenant need my permission to apply?.............................................................................................28Can I refuse to participate in DRIE or SCRIE? .................................................................................................28

Tenant’s frozen rent information .................................................................................................................28 How do these programs work for me?..............................................................................................................28Preferential Rent .....................................................................................................................................................28What increases are covered under DRIE/SCRIE?..........................................................................................29When is a Major Capital Improvement (MCI) covered?.............................................................................29When is an MCI not covered? ............................................................................................................................29What increases are not covered under DRIE/SCRIE? ..................................................................................29

First time applicants......................................................................................................................................29How will I know if a tenant has been approved for DRIE/SCRIE? .............................................................29When does a tenant’s benefit begin/end?.......................................................................................................29Is there a retroactive credit for the landlord? .................................................................................................30What should I do if my tenant is due a retroactive credit? .........................................................................30Can I appeal the approval? ..................................................................................................................................30

Tax Abatement Credit (TAC)........................................................................................................................31How often will I receive DRIE/SCRIE TACs? ....................................................................................................31Are TACs credited in advance of the lease period?........................................................................................31Will I receive retroactive TACs? ..........................................................................................................................31Will I ever have a TAC debited from my account? .........................................................................................31Will I receive TAC notifications? .........................................................................................................................31Casado vs. Markus .................................................................................................................................................32Can I check online? ................................................................................................................................................32Can I apply for a refund?.......................................................................................................................................32

Renewing a DRIE/SCRIE benefit ..................................................................................................................32Do tenants have to renew their benefit? ..........................................................................................................32Will Finance send a renewal application? ........................................................................................................32Can I help my tenant renew?...............................................................................................................................32Is there a grace period requiring landlords to honor a tenant’s DRIE/SCRIE frozen rent? ..................33Can I check the status of a tenant’s renewal application and benefit? ....................................................33

Changes during a tenant’s benefit period...................................................................................................33What happens if my tenant dies/vacates their apartment? .......................................................................33Will I receive a notice if a tenant is revoked? ..................................................................................................33Major Capital Improvement increases..............................................................................................................33What if I think the TAC is incorrect?.................................................................................................................34Can a family member inherit the DRIE/SCRIE benefits? .............................................................................34The building owner/management company has changed...........................................................................34

I have questions; who can assist me? .........................................................................................................34Glossary of Terms..........................................................................................................................................35

Page 5: Your Guide To The Senior Citizen Rent Increase Exemption ... · New York City Housing Authority (NYCHA). • Units that are partially or fully paid by a Section 8 voucher. • Apartments

Dear New Yorkers,

I am pleased to present you with this guide to the SCRIE (Senior Citizen Rent Increase Exemption) and

DRIE (Disability Rent Increase Exemption) programs. Both of these programs provide a valuable housing

benefit to seniors and disabled renters to help keep their rents affordable. With that in mind, Finance has

developed this guide to help you determine if you qualify for SCRIE or DRIE and how the application

process works. Our goal is to make the process transparent and easy to understand so that qualified New

Yorkers receive these vital benefits. All of the information you need about these programs is in this booklet.

Finance is committed to providing you with assistance should you need it. Please feel free to visit our

SCRIE/DRIE office at 66 John Street in Manhattan on the 3rd Floor. Our website, at nyc.gov/finance, is

also a great place to get answers and applications. We have the applications in Spanish, Chinese, Russian

and Korean and are working to get them in more languages. 311 can provide you with applications and

information as well. If you think you are eligible for SCRIE or DRIE, please contact us, visit our website

or come to our SCRIE/DRIE office!

All the best,

Mayor, City of New York

Commissioner, Department of Finance

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Page 7: Your Guide To The Senior Citizen Rent Increase Exemption ... · New York City Housing Authority (NYCHA). • Units that are partially or fully paid by a Section 8 voucher. • Apartments

SCRIE for Tenants

In 1970, the City of New York began the Senior Citizen Rent Increase Exemption (or SCRIE) program. TheSCRIE program helps seniors (aged 62 or over) who have limited means remain in affordable housing.The SCRIE program is designed to protect eligible seniors from most rent increases who live in:

• rent controlled; • rent stabilized apartments; or • rent-regulated residential hotel units.

(Please note: If you live in public housing administered by NYCHA or receive Section 8, you are noteligible for SCRIE.)

Building owners (landlords) are credited for the difference between the actual rent and what SCRIEtenants are responsible for paying.

The Department of Finance (Finance) wants to make sure you:

• understand the SCRIE program; and• receive the benefits you are entitled to.

If you are a tenant who is a senior, this guide will you tell you whether you are eligible for SCRIE andassist you through the application process.

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WHAT IS SCRIE?

The Senior Citizen Rent Increase Exemption(SCRIE) program administered by Finance offerseligible seniors an exemption from future rent increases. If you qualify, your rent amount will befrozen and the City of New York will give yourlandlord a property tax credit which is equal tothe amount of your future rent increases.

AM I ELIGIBLE FOR SCRIE?

To qualify for SCRIE, you must:

• Be at least 62 years old; • Rent an apartment that is rent controlled,rent stabilized or hotel stabilized;

• Be named on the lease or the rent order or have been granted succession rights to the apartment;

• Live in your apartment as your primary residence; have a combined income in yourhousehold that is $29,000 or less in the previous calendar year; and

• Spend more than one-third of your monthlyhousehold income on rent.

APARTMENT ELIGIBILITY

What apartments are eligible?

• Apartments regulated by the Division ofHousing and Community Renewal (DHCR):— Rent stabilized units— Rent controlled units— Rent regulated hotel units

Eligible apartments that are administered by HPD(Housing Preservation and Development):

• HDFC Cooperative Shareholder apartments• Mitchell-Lama apartments

If you live in a HDFC as a Cooperative Shareholderor Mitchell-Lama apartment, the SCRIE programis administered by the Department of HousingPreservation & Development (HPD) at 100 Gold Street, Room 9K, New York, NY 10038. For applications and information, call 212-863-8494 or visit nyc.gov/hpd.

What apartments are not eligible?

• Non-rent regulated apartments (such asapartments in private homes and private

cooperative buildings that are not subject torent regulation). • Public housing units administered by theNew York City Housing Authority (NYCHA).

• Units that are partially or fully paid by a Section 8 voucher.

• Apartments that are sublet (even if theapartment is rent-regulated).

INCOME ELIGIBILITY

Which household members’ income is used todetermine SCRIE income?

• You must report the annual income of everyonewho lived in your apartment the year beforeyour application; when combined, thehousehold income must be $29,000 or less.

• For example, if you apply in 2012, pleasesubmit income documentation for calendaryear 2011.

I rent one of my bedrooms to a roommate; do Ihave to include his/her income?

• No, but you must report the amount of rent you get on a monthly basis as part of your income.

I do not file taxes. How can I prove my annual income?

• You are not required to file taxes to qualifyfor SCRIE. Submit any documentation thatshows how you and your household membersreceive income, such as social securitystatements, pension statements, IRA dividendstatements, IRS forms 1099 and/or W2.

• If you receive any financial assistance fromfamily or friends, please submit a letter fromthe individual(s) providing support detailingthe amount and the situation.

My tax return shows that I made less than$29,000 but Finance told me my income is too high. Why?

Below are some reasons why the income we calculatedmay be different than the income on your tax return:

• We do not take line 22 (Total Income) orline 37 (Adjusted Gross Income/AGI) on a1040 tax return as the income for the purposesof SCRIE; Income and AGI may not include,for example, the amount of Social Securityreceived, which we add to your total income.

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• SCRIE records income from all sources, taxable and non-taxable.

• We do not allow for capital or businesslosses as deductions to your reported income.

• We do not allow all deductions that are included in the calculation of AGI.

What deductions are allowed in calculating income for SCRIE purposes?

The following deductions are allowed:

• Federal taxes paid• State taxes paid• Local income taxes paid• Social Security taxes paid• Medicare taxes paid

Are medical expenses allowed?• No, medical expenses are not allowable deductions.

How does Finance determine if my rent is 1/3 of my income?

Here’s an example that explains how we determineif your rent is more than 1/3 of your income.

We first determine your 1/3 monthly income:

• Finance calculates your SCRIE household income as $27,000.

• Your monthly income is $27,000 / 12months = $2,250.

• One-third (1/3) of your monthly income is $2,250 / 3 = $750.

Then we compare your 1/3 monthly income toyour monthly rent:

• If your current rent is greater than $750 permonth, you are eligible for SCRIE.

• If your current rent is less than or equal to$750, you are not eligible for SCRIE.

DETERMINING YOUR FROZEN RENT

How do you determine my frozen rent amount?Will you freeze my rent at my prior lease amount?

• We freeze your rent at either your prior rentamount or your 1/3 monthly income,whichever is greater.

For example:

You are currently paying $700 per month.Your prior rent was $650.

�— If 1/3 of your monthly income is lessthan $650, your frozen rent amountwill be $650.

�— If 1/3 of your monthly income is morethan $650 (for example, $675), yourfrozen rent amount will be $675 becauseit is greater than your prior rent amount.

I pay a rent amount that is less than the legal rent(this is often referred to as preferential rent); willyou freeze my rent at the lower amount?

• No. We do not freeze your rent amount atthe lower rent. We generally freeze at thelegal rent amounts. However, this does notmean you can’t continue to pay the loweramount.

For example:

— Your current legal rent is $1000. Yourprior legal rent was $950.

— Your current preferential rent is $500.Your prior preferential rent was $450.

If you are approved, we will freeze your rent at$950 and your landlord’s monthly credit willbe $50. However, if the landlord has agreed toaccept $500 from you for the term of thelease, you should continue to pay $500 forthe term of the lease.

Because you are paying an amount that is lessthan your legal rent, it is between you and yourlandlord how s/he gives you the monthly credit.

I know some people that are frozen at preferentialrent amounts. Are there exceptions?

• Yes. There are some exceptions. We willfreeze at the lower rent amounts in the following two scenarios:

— When a lease explicitly states thatlower rent will remain for the applicant’s entire tenancy.

— For tenants that live in Low-IncomeHousing Tax Credit (LIHTC) buildings.

What increases are covered under SCRIE? Whatis included in my frozen rent?

The following are examples of what SCRIE covers,and would be included in frozen rent amounts, although there may be some exceptions:

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Page 10: Your Guide To The Senior Citizen Rent Increase Exemption ... · New York City Housing Authority (NYCHA). • Units that are partially or fully paid by a Section 8 voucher. • Apartments

Rent Stabilized Apartments:

• Lease renewal increases• A Major Capital Improvement (MCI) increaseto compensate the owner for the cost ofbuilding-wide renovations such as a newroof or boiler. Please see MCI paragraph belowfor certain exceptions.

• Increases approved to compensate a landlordwho demonstrates that his/her rental incomefails to offset unavoidable expenses (Hardship Orders).

Rent Controlled Apartments:

• A maximum collectible rent (MCR) increase.• A Fuel Cost Adjustment (FCA) to compensatea landlord for fuel increases.

• A Major Capital Improvement (MCI) increaseto compensate the owner for the cost ofbuilding-wide renovations such as a newroof or boiler. Please see MCI paragraph belowfor certain exceptions.

• Increases approved to compensate a landlordwho demonstrates that his/her rental incomefails to offset unavoidable expenses (Hardship Orders).

Rent-Regulated Hotel Units:

• Rent demand renewal increases or lease renewal increases.

• A Major Capital Improvement (MCI) increaseto compensate the owner for the cost ofbuilding-wide renovations such as a newroof or boiler. Please see MCI paragraph belowfor certain exceptions.

• Increases approved to compensate a landlordwho demonstrates that his/her rental incomefails to offset unavoidable expenses (Hardship Orders).

When is an MCI included in the Frozen Rent?

• An MCI must be issued within 90 days ofthe date your application is received in orderto be covered by SCRIE.

When is an MCI not included in the Frozen Rent?

• If an MCI is not issued within 90 days of theapplication receipt date.

• In this scenario, the tenant is responsible forpaying any retroactive MCI amounts, andthe MCI amount will be added on to thefrozen rent amount.

The following charges are not eligible for SCRIEand will not be included in the frozen rent:

• Services such as a doorman, maid or janitor,air conditioning or intercom.

• New equipment, furniture or other furnishingsin your unit, or electrical enhancements.

• Additions, adjustments or other individualapartment improvements. Extra charges foran increase in the number of people in theapartment or additional space.

• Security deposits.• Rental charges for garages and other ancillary facilities.

• Utility costs (gas, electric, cable, etc.).

APPLYING FOR THE FIRST TIME

Where can I get an application for SCRIE?

• Finance’s website at nyc.gov/finance.• Contact 311 to request an application bemailed to you.

• Visit Finance’s SCRIE/DRIE Walk-In Centerat 66 John Street, 3rd Floor, New York, NewYork, from Monday to Friday 8:30 A.M. to 4:30 P.M.

Do I need my Landlord’s permission to apply?

• No. Your eligibility is based upon your application and supporting documents.

If another household member already has SCRIEor DRIE, can another member apply for SCRIE?

• No. The law does not permit a household tohave SCRIE and DRIE at the same time.

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WHAT DOCUMENTS DO I NEED TO SENDTO FINANCE WITH MY APPLICATION?

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Proof of Age – Send in a copy of one of these • Birth certificate• U.S. Passport• Driver’s License• Non-Driver’s Identification• Other federal, state or local document withdate of birth on it

Proof of Income – Send in a copy of all that apply • Federal and State tax return• W2 forms• 1099-SSA• SSI Letter• 1099-R• Bank or brokerage account year end statement • Public assistance benefit letter

Rent Stabilized Apartment – Send in a copy of all that apply

• Leases – The prior and current leases signed by you and your landlord

• Preferential rent rider (if applicable)• Low Income Housing Tax Credit (LIHTC) or80/20 or 60/40 rider (if applicable)

Rent Controlled Apartment – Send in a copy of each of these

• Notice of Maximum Collectible Rent (form RN-26) for prior year and current year andOwner’s report and Certification of Fuel Cost Adjustment (form RA33.10) for prior and current year

Rent-Regulated Hotel Units – Send in a copy of one of these

• DHCR annual apartment registration for prior and current year and signed letter fromthe Management or Owner indicating currentand prior rent; OR

• DHCR Rent History

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Where do I submit my application and all the required documents?

• You can mail them to the New York City Department of Finance, SCRIE Unit, 59Maiden Lane, 22nd Floor, New York, New York 10038.

• You can drop it off in person at Finance’sSCRIE/DRIE Walk-In Center at 66 JohnStreet, 3rd Floor, New York, New York, fromMonday to Friday 8:30 A.M. to 4:30 P.M.

What happens after I apply?

• We will review your application to determineif you are eligible.

• Within 45 days you will receive a letter statingyou have either been approved, you havebeen denied, or that your application is incomplete and we need further documents.

Once I have submitted my application, can I stoppaying my rent increases?

• No. Until Finance notifies you that you’vebeen approved for SCRIE, you must continueto pay your rent and any increases you receive.

How will I know if I have been approved?

• When we have completed processing yourapplication, you will receive a letter statingwhether your application was approved or denied.

• If your application was approved, you willreceive an approval letter with the amountof your “frozen rent,” the amount Financewill be crediting your landlord (Tax AbatementCredit, commonly referred to as a TAC) and when your SCRIE benefit period beginsand ends. Your landlord will also receive an approval letter.

How will I know if I have been denied?

• You will receive a denial letter which will statethe reason you are not eligible for SCRIE.

If I am approved, when does my SCRIE benefit begin?

• The SCRIE benefit program will begin thefirst day of the month after the date we receive your application. For example, if wereceive your application on May 15, 2012and you are approved for SCRIE your benefitperiod will start on June 1, 2012.

If I am approved, when does my SCRIE benefit end?

• If you live in a rent stabilized unit, your benefitwill expire on the expiration date of yourcurrent lease. For example, if you apply onMay 15, 2012 and your current lease expiresMay 31, 2013, your SCRIE benefit will alsoexpire May 31, 2013.

• If you live in a hotel unit, your benefit will expire on the expiration date of your demand/increase notice or lease. For example,if you apply on May 15, 2012 and your currentrent demand increase notice or lease expiresMay 31, 2013, your SCRIE benefit will alsoexpire May 31, 2013.

• If you live in a rent controlled unit, your benefit expires on of December 31 of thenext odd-numbered year. For example, if you apply on May 15, 2012, your benefit will expire on December 31, 2013.

If it takes a few months for the SCRIE unit to approve my SCRIE application, will my landlordreceive a retroactive SCRIE credit?

• Yes. If we receive your application on May 15, 2012, but we do not approve yourapplication until August 15, 2012, yourSCRIE benefit starts on June 1, 2012.

• Your SCRIE approval letter will tell you thebenefit start date.

If my landlord is issued a retroactive credit, can Iask for it to be given to me in a cash payout?

• The landlord is required to credit you for therent payments you have made. However, itis between you and your landlord how s/heissues you this retroactive credit. Usually, alandlord credits the amount owed to tenantsby issuing credits against the rent.

Will I receive a check from Finance if I am approved for SCRIE?

• No. Finance does not make direct paymentsof any kind to SCRIE tenants. SCRIE provideslandlords with a property tax credit equal to the difference between the frozen rentamount and the rent increase amount theywould have received from you if you werenot on the SCRIE program.

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If I am denied, can I appeal?

• Yes. You may obtain the appeal form fromFinance’s website at nyc.gov/finance, at theSCRIE/DRIE Walk-In Center at 66 JohnStreet, 3rd Floor, New York, New York fromMonday to Friday 8:30 A.M. to 4:30 P.M orby contacting 311.

• You must mail the appeal form and all supporting documents to the New York CityDepartment of Finance, SCRIE Appeals, 59Maiden Lane, 22nd Floor, New York, NewYork 10038.

• The appeal form must be postmarked nolater than 60 days from the date of the denial letter.

Can my landlord refuse to participate in theSCRIE program?

• No. If you are eligible, you are legally entitledto SCRIE benefits. Landlords cannot preventa tenant from participating in the SCRIE program.

If I have SCRIE, can my landlord evict me if he or she does not want to have a tenant paying alower rent than other tenants?

• No. You cannot be evicted because of SCRIE.

Does the SCRIE benefit protect me from being evicted?

• There are a number of reasons why tenantscan be evicted from their apartments includingnot paying rent on time. Having the SCRIEbenefit does not provide blanket protectionfrom eviction.

Can I apply for SCRIE even though I didn’t receive a rent increase and/or it is my first leasein my apartment?

• Yes. Even if you did not receive an increaseon your most recent lease, SCRIE will freezeyour rent and you will not pay any future increases, should they occur. In this caseyour landlord will not receive a tax credit(TAC), since you are paying your full rent.Their SCRIE letter will show a TAC of $0.

RENEWING YOUR BENEFIT

Do I have to renew my SCRIE benefit?

• Yes. When you receive your initial SCRIEbenefit approval letter, it will include yourSCRIE benefit expiration date. Go to the previous section for more information onyour benefit expiration date.

Will you mail me a renewal application?

• Yes. We will mail you a renewal applicationapproximately 60 days before your SCRIEbenefit expires. However, if for any reasonyou do not receive the renewal application,you must still submit a renewal applicationor your benefit will expire.

• You can also download a blank renewal application at nyc.gov/finance or contact 311to request a form be mailed to you.

Do I need to send anything with my renewal application?

• Yes. You must include updated income information with your completely filled outand signed renewal application. In addition:

Rent Stabilized Apartments:

• Send your new renewal lease signed by youand your landlord.

Rent-Regulated Hotel Units:

• Send the rent increase letter from your landlord.

Rent Controlled Apartments:

• The expiration of a rent controlled benefitdoes not always coincide with the issuanceof a new MBR or Fuel Cost Adjustment, soonly include these if you have them on hand.Do not delay in sending us your renewal application and include all your income documents; our goal is to ensure a timely renewal with no break in benefit.

I am a Rent Stabilized tenant. What happens ifmy landlord refuses to give me a renewal lease?

• Please make every effort to get a renewallease or a rent increase letter.

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• This form is available at nyc.gov/finance, at the SCRIE/DRIE Walk-In Center or bycontacting 311.

• Please submit this form AND your renewalapplication, along with rent statements/receipts indicating rent amounts.

• If your benefit is renewed, your frozen rentamount will stay the same but the landlord’sTAC will be based on the legal rent amountfrom your most recent lease until a copy of asigned renewal lease is provided to Finance.

I never received my renewal application. What do I do?

• You are responsible for renewing your SCRIEbenefit. Finance will mail you a renewal application as a courtesy, but your SCRIEbenefit will expire on the expiration datestated in your approval letter.

• Renewal forms are available at nyc.gov/finance.

Will my landlord be paid if I forget to renew on time?

• No. Your landlord stops receiving SCRIEcredits if your benefit expires and yourSCRIE benefit is not renewed.

• We encourage you to renew as early as possible with all of the required documents.

Is there a grace period that my landlord mustcontinue to honor my SCRIE frozen rent?

• Yes. Your landlord is legally required to continue your SCRIE benefit for 6 monthsafter your SCRIE benefit expires, even if you are not yet renewed.

• For example, if your benefit expires on May31, 2012, your landlord must continue to accept your SCRIE frozen rent amount forJune 1, 2012 – November 30, 2012.

What if I do not renew my benefit but continueto pay my SCRIE frozen rent amount during thesix month grace period?

• You will be responsible for paying yourlandlord back for the difference betweenyour SCRIE frozen rent amount and your legalrent amount for the six month grace period.

Can I check the status of my renewal applicationand my benefit?

• Yes. Finance publishes a tenant status reporton its website that is updated approximatelyevery 1-2 weeks. There is a report for eachborough and it is sorted by docket number.Your docket number is listed on your approvalletter and is included on every document wemail you about your SCRIE benefit.

• This report can be found on the SCRIE Infor-mation for Tenants page at nyc.gov/finance.

• You may also email [email protected] contact 311.

CHANGES DURING MY BENEFIT PERIOD

What happens if I move?

• If you move to another rent regulated apart-ment, you must file a Portability Applicationwithin 30 days before or after your move.

• Portability Applications are available atnyc.gov/finance, at the SCRIE/DRIE Walk-InCenter or by contacting 311.

If I am eligible to transfer my SCRIE benefit fromone apartment to the other, will my frozen rentamount change?

• If you are still eligible for SCRIE at your newaddress, your frozen rent amount maychange. The amount of tax abatement creditwill not change.

• The portion you must pay for rent will be adjusted upward depending on the legal rentof your new apartment.

For example:

— Your rent is frozen at $550. The legalregulated rent is $650. The tax abatement credit is $100.

— The legal regulated rent in the newapartment is $750.

— Your frozen rent in the new apartmentwill be $650, which is the new rent of$750 minus the SCRIE tax abatementcredit in the old apartment of $100($750-$100) = $650.

— Your frozen rent will increase by $100.

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What happens if my rent is increased due to aMajor Capital Improvement (MCI) during mybenefit period?

• If you have received an MCI Order from yourlandlord or DHCR, it is your responsibility tosubmit it to SCRIE along with an Adjustmentto Abatement form.

• Adjustment to Abatement forms are availableat nyc.gov/finance, at the SCRIE/DRIEWalk-In Center or by contacting 311.

I am currently receiving DRIE and I turned 62. Do I have to transfer to SCRIE?

• There is nothing in the law that requiressomeone who has DRIE to apply for SCRIEat age 62.

• If you believe you are eligible and would liketo apply to transfer from DRIE to SCRIE, youmust submit a SCRIE <–––––>DRIE Transfer Application.

• SCRIE <–––––>DRIE Transfer Applications are available at nyc.gov/finance, at the SCRIE/DRIE Walk-In Center or by contacting 311.

• If you are approved, in most cases the SCRIEfrozen rent will not change and will be thesame as your DRIE frozen rent.

What happens to my SCRIE benefit when I die?

• In the event of your death, Finance must benotified by your landlord within 30 days.

• SCRIE benefits are revoked effective the firstday of the month following the date of death.

• For example, if a date of death is May 15, 2012,the SCRIE benefit will end on May 31, 2012.

Can my family inherit my SCRIE benefits?

• No. There are no automatic successionrights to SCRIE benefits. However, a survivinghousehold member may qualify for a transferof your SCRIE benefits. This can happen onlyif you previously listed the person's name andsource of income on your SCRIE applicationor renewal forms. The surviving individualmust also qualify for the program.

How does a family member apply to receive mySCRIE benefits?

• A surviving household member who is eligiblefor a transfer of your SCRIE benefits should

submit a SCRIE Application for BenefitTakeover which can be obtained atnyc.gov/finance, at the SCRIE/DRIE Walk-InCenter or by contacting 311.

• The eligibility requirements and documentsneeded for a benefit takeover are listed onthe benefit takeover application.

• Often a death in the household means asignificant loss of income for the survivinghousehold member(s). If this occurs, thesurviving SCRIE beneficiary may be eligiblefor a redetermination of the SCRIE benefit.To be eligible for a redetermination theremust be a permanent decrease of 20% ormore of the combined income of all house-hold members which was affirmed in thelast approved SCRIE application. The surviving tenant should inform Finance inwriting to request a redetermination.

What if a surviving household member is eligiblefor DRIE and not SCRIE?

• If a surviving household member is eligiblefor DRIE and not SCRIE, s/he should submita SCRIE <–––––>DRIE Transfer Application,which can be obtained at nyc.gov/finance, at the SCRIE/DRIE Walk-In Center or bycontacting 311.

• The eligibility requirements, and documentsneeded for a SCRIE to DRIE benefit takeoverare listed on the SCRIE <–––––>DRIE TransferApplication.

QUESTIONS AND ASSISTANCE

I have a question or need help with an application.Who can assist me?

• Contact 311.• Email us at [email protected].• Visit our SCRIE/DRIE Walk-In Center at 66John Street, 3rd Floor, Monday through Friday from 8:30am – 4:30pm.

• Visit the local office of your elected official –Council Member, Assembly Member orState Senator.

• Visit your local senior center. Contact 311 tofind the center most convenient to you.

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DRIE for Tenants

In 2005, the City of New York began the Disability Rent Increase Exemption or DRIE program. TheDRIE program helps disabled tenants who have limited means remain in affordable housing. The DRIEprogram is designed to protect eligible disabled tenants from most rent increases who live in:

• rent controlled;• rent stabilized apartments; or• rent-regulated residential hotel units; or• Mitchell-Lama apartments; or• HDFC Cooperatives; or• Apartments located in a building where the mortgage is federally insured under Section 213 ofthe National Housing Act.

(Please note: If you live in public housing administered by NYCHA or receive Section 8, you are not eligible for DRIE.)

Building owners (landlords) are credited for the difference between the actual rent and what DRIE tenants are responsible for paying.

The Department of Finance (Finance) wants to make sure you:

• understand the DRIE program;• receive the benefits you are entitled to; and• make the process as easy as possible.

If you are a tenant who is disabled, this guide will you tell you whether you are eligible for DRIE and assist you through the application process.

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WHAT IS DRIE?

The Disability Rent Increase Exemption (DRIE)program administered by Finance offers qualifying tenants with disabilities an exemption from futurerent increases. If you qualify, your rent amountwill be frozen and the City of New York will giveyour landlord a property tax credit, which is equalto the amount of your future rent increases.

AM I ELIGIBLE FOR DRIE?

To qualify for DRIE, you must:

• Be at least 18 years old;• Rent an apartment defined as eligible under the law;

• Be named on the lease or rent order or have been granted succession rights tothe apartment;

• For single member households, have an income that is $20,148 or less in the previouscalendar year; For households of two or moremembers, have a combined income in yourhousehold that is $29,100 or less in the previous calendar year;

• Spend more than one-third of your monthlyhousehold income on rent; and

• Receive eligible state or federal disability-related assistance.

You must receive one of the following:

• Federal Supplemental Security Income (SSI);• Federal Social Security Disability Insurance(SSDI);

• U.S. Department of Veterans Affairs disability pension or compensation; or

• Disability-related Medicaid if the applicanthas received either SSI or SSDI in the past.

APARTMENT ELIGIBILITY

What apartments are eligible?

• Apartments regulated by the Division ofHousing and Community Renewal (DHCR):— Rent stabilized units— Rent controlled units— Rent regulated hotel units

• Apartments owned by a Mitchell-Lama development, Limited Dividend housingcompany, Redevelopment company orHousing Development Fund Corporation(HDFC) incorporated under New YorkState’s Private Housing Finance Law; or

• Apartments located in a building where the mortgage was federally insured underSection 213 of the National Housing Act.

What apartments are not eligible?

• Non-rent regulated apartments (such asapartments in private homes and private cooperative buildings that are not subject to rent regulation).

• Public housing units administered by theNew York City Housing Authority (NYCHA).

• Units that are partially or fully paid by aSection 8 voucher.

• Apartments that are sublet (even if theapartment is rent-regulated).

INCOME ELIGIBILITY

Which household members’ income is used todetermine DRIE income?

• You must report the annual income of everyone who lived in your apartment theyear before your application.

• For example, if you apply in 2012, pleasesubmit income documentation for calendaryear 2011.

I rent one of my bedrooms to a roommate. Do I have to include his/her income?

• No, but you must report the amount of rent you get on a monthly basis as part of your income.

I do not file taxes. How can I prove my annual income?

• You are not required to file taxes to qualifyfor DRIE. Submit any documentation thatshows how you and your household membersreceive income, such as social securitystatements, pension statements, IRA dividendstatements, IRS forms 1099 and/or W2.

• If you receive any financial assistance fromfamily or friends, please submit a letter from the individual(s) providing support detailing the amount and the situation.

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My tax return shows that I made less than theDRIE income limit, but Finance told me my income is too high. Why?

Below are some reasons why the income we calculated may be different than the income on your tax return:

• We do not take line 22 (Total Income) orLine 37 (Adjusted Gross Income/AGI) on a 1040 tax return as the income for the purposes of DRIE; Income and AGI may notinclude, for example, the amount of SocialSecurity received, which we add to yourtotal income.

• DRIE records income from all sources,taxable and non-taxable. We do not allowfor capital or business losses as deductionsto your reported income. We do not allow all deductions that are included in the calculation of AGI.

What deductions are allowed in calculating income for DRIE purposes?

The following deductions are allowed:

• Federal taxes paid• State taxes paid• Local income taxes paid• Social Security taxes paid• Medicare taxes paid

Please refer to the worksheet on the DRIE appli-cation for more detailed instructions.

Are medical expenses allowed?

• No, medical expenses are not allowable deductions. For those applicants who haveearned income, DRIE allows for a limited deduction for impairment related work expenses and blind work expenses.

ONE-THIRD (1/3) MONTHLY INCOME:RENT RATIO ELIGIBILITY

Here’s an example that explains how we determineif your rent to income ratio meets the criteria toqualify for DRIE.

We first determine your 1/3 monthly income:

• Finance calculates your DRIE household income as $18,000.

• Your monthly income is $18,000/12 months= $1,500.

• One-third (1/3) of your monthly income is$1,500/3 = $500.

Then we compare your 1/3 monthly income toyour monthly rent:

• If your current rent is greater than $500 permonth, you are eligible for DRIE.

• If your current rent is less than or equal to$500, you are not eligible for DRIE.

DETERMINING YOUR FROZEN RENT

How do you determine my frozen rent amount?Will you freeze my rent at my prior lease amount?

• It depends. We freeze your rent at thegreater of your prior rent amount or your 1/3 monthly income amount.

For example:

You are currently paying $700 per month.Your prior rent was $650.

— If 1/3 of your monthly income is lessthan $650, your frozen rent amountwill be $650.

— If 1/3 of your monthly income is morethan $650 (for example, $675), yourfrozen rent amount will be $675 because it is greater than your priorrent amount.

• Special note for Mitchell-Lama, Limited Dividend, Redevelopment, Section 213 cooperative, and HDFC cooperative apartments: The rent/carrying charge isfrozen at the level in effect before your most recent rent increase.

I pay a rent amount that is less than the legal rent(this is often referred to as preferential rent); willyou freeze my rent at the lower amount?

• No. We do not freeze your rent amount at thelower rent. We generally freeze at the legalrent amounts. However, this does not meanyou can’t continue to pay the lower amount.

For example:

— Your current legal rent is $1000. Yourprior legal rent was $950.

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— Your current preferential rent is $500.Your prior preferential rent was $450.

If you are approved, we will freeze your rent at$950 and your landlord’s monthly credit willbe $50. However, as the landlord has agreedto accept $500 from you for the term of thelease, you should continue to pay $500 forthe term of the lease.

Because you are paying an amount that is less than your legal rent, it is between you and your landlord how s/he gives you themonthly credit.

I know some people that are frozen at preferentialrent amounts. Are there exceptions?

• Yes. There are some exceptions. We willfreeze at the lower rent amounts in the following two scenarios:

— When a lease explicitly states that lower rent will remain for the applicant’s entire tenancy.

— For tenants that live in Low-IncomeHousing Tax Credit (LIHTC) buildings.

What increases are covered under DRIE? Whatis included in my frozen rent?

The following are examples of what DRIE covers,and would be included in frozen rent amounts, although there may be some exceptions:

Rent Stabilized Apartments:

• Lease renewal increases.• A Major Capital Improvement (MCI) increaseto compensate the owner for the cost ofbuilding-wide renovations such as a newroof or boiler. Please see MCI paragraph belowfor certain exceptions.

• Increases approved to compensate a land-lord who demonstrates that his/her rentalincome fails to offset unavoidable expenses(Hardship Orders).

Rent Controlled Apartments:

• A maximum collectible rent (MCR) increase.• A Fuel Cost Adjustment (FCA) to compensatea landlord for fuel increases.

• A Major Capital Improvement (MCI) increaseto compensate the owner for the cost ofbuilding-wide renovations such as a newroof or boiler. Please see MCI paragraph belowfor certain exceptions.

• Increases approved to compensate a landlordwho demonstrates that his/her rental incomefails to offset unavoidable expenses (Hardship Orders).

Hotel Units:

• Rent demand renewal increases or lease renewal increases

• A Major Capital Improvement (MCI) increaseto compensate the owner for the cost ofbuilding-wide renovations such as a newroof or boiler. Please see MCI paragraph belowfor certain exceptions.

• Increases approved to compensate a landlordwho demonstrates that his/her rental income fails to offset unavoidable expenses(Hardship Orders).

Mitchell-Lama:

• Increases in base rent/carrying charges• Temporary utility/fuel surcharge

When is an MCI included in the Frozen Rent?

• An MCI must be issued within 90 days ofthe date your application is received in orderto be covered by DRIE.

When is an MCI not included in the Frozen Rent?

• If an MCI is not issued within 90 days of theapplication receipt date.

• In this scenario, the tenant is responsible forpaying any retroactive MCI amounts, andthe MCI amount will be added on to thefrozen rent amount.

The following charges are not eligible for DRIEand will not be included in the frozen rent:

• Services such as a doorman, maid or janitor,air conditioning or intercom.

• New equipment, furniture or other furnishingsin your unit, or electrical enhancements.

• Additions, adjustments or other individualapartment improvements.

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• Extra charges for an increase in the number ofpeople in the apartment or additional space.

• Security deposits.• Rental charges for garages and other ancillary facilities.

• Utility costs (gas, electric, cable, etc.).

APPLYING FOR THE FIRST TIME

Where can I get an application for DRIE?

• Finance’s website at nyc.gov/finance.• Contact 311 to request an application bemailed to you.

• Visit the Finance SCRIE/DRIE Walk-In Center at 66 John Street, 3rd Floor, NewYork, New York, open Monday to Friday 8:30 A.M. to 4:30 P.M.

Do I need my Landlord’s permission to apply?

• No. Your eligibility is based upon your application and supporting documents.

If another household member already has SCRIEor DRIE, can I apply for DRIE?

• No. The law does not permit a household tohave SCRIE and DRIE at the same time.

Can I apply for DRIE even though I didn’t receivea rent increase and /or it is my first lease in myapartment?

• Yes. Even if you did not receive an increaseon you most recent lease, DRIE will freezeyour rent and you will not pay any future increases, should they occur. In this caseyour landlord will not receive a tax credit(TAC), since you are paying your full rent.Their DRIE letter will show a TAC of $0.

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WHAT DOCUMENTS DO I NEED TO SENDTO FINANCE WITH MY APPLICATION?

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Proof of Income – Send in a copy of all that apply • Federal and State tax return• W2 forms• 1099-SSA• SSI Letter• 1099-R• Bank or brokerage account year end statement• Public assistance benefit letter

Proof of Disability – Send a copy of the award letter for at least one of the following

• Federal Supplementary Security Income (SSI)• Federal Social Security Disability Insurance (SSDI)• US Department of Veterans Affairs disabilitypension or compensation or

• Printout from the VA or Social Security Administration showing the amount and typeof benefit received

Rent Stabilized Apartment – Send in a copyof all that apply

• Leases – The prior and current leases signed by you and your landlord

• Preferential rent rider (if applicable)• Low Income Housing Tax Credit (LIHTC) or80/20 or 60/40 rider (if applicable)

Rent Controlled Apartment – Send in a copyof each of these

• Notice of Maximum Collectible Rent (form RN-26) for prior year and current year andOwner’s report and Certification of Fuel Cost Adjustment (form RA33.10) for prior and current year

Mitchell-Lama, Limited Dividend, Redevelopment – Send in a copy of each of these

• Housing Preservations & Development (HPD)or Division of Housing & Community Renewal(DHCR) Commissioner’s Order

• Rent History detail for the month prior to themost recent base charge/rent increase to present

• Affidavit of Household Income for the prior year

Housing Development Fund Company (HDFC) – Send in a copy of all that apply

• A Notice of Rent/Carrying Charge Increasesigned by the HDFC Management; OR

• Signed renewal lease (if applicable)

Rent-Regulated Hotel Units – Send in a copy of one of these

• DHCR annual apartment registration for prior and current year and signed letter fromthe Management or Owner indicating currentand prior rent; OR

• DHCR Rent History

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Where do I submit my application and all the required documents?

• You can mail them to the New York City Department of Finance, DRIE Unit, 59Maiden Lane, 22nd Floor, New York, New York 10038.

• You can drop them off in person at the FinanceSCRIE/DRIE Walk-In Center at 66 JohnStreet, 3rd Floor, New York, New York, openMonday to Friday 8:30 A.M. to 4:30 P.M.

What happens after I apply?

• We will review your application to determine if you are eligible.

• Within 45 days you will receive a letter statingyou have either been approved, you havebeen denied, or that your application is incomplete and we need further documents.

Once I have submitted my application, can I stoppaying my rent increases?

• No. Until Finance notifies you that you’ve been approved for DRIE, you must continue to pay your rent and any increases you receive.

How will I know if I have been approved?

• When we have completed processing your application, you will receive a letterstating whether your application was approved or denied.

• If your application was approved, you will receive an approval letter with the amount of your “frozen rent,” the amount Finance will be crediting your landlord (Tax Abatement Credit, commonly referred to as a TAC) and when your DRIE benefitperiod begins and ends. Your landlord willalso receive an approval letter.

How will I know if I have been denied?

• You will receive a denial letter, which willstate the reason you are not eligible for DRIE.

If I am approved, when does my DRIE benefit begin?

• In most cases, the DRIE benefit program willbegin the first day of the month after thedate we receive your application. For example,if we receive your application on May 15,2012 and you are approved for DRIE yourbenefit period will start on June 1, 2012.

• If you live in a Mitchell-Lama, Limited Dividend, Redevelopment, Section 213 cooperative, and HDFC cooperative apartment, DRIE benefits will take effect on the date of the rent increase if the DRIEapplication was filed within 120 days of that increase. Otherwise, DRIE benefits will take effect the first day of the month following the month after the date we receive your application.

If I am approved, when does my DRIE benefit end?

• If you live in a rent stabilized unit, your benefitwill expire on the expiration date of yourcurrent lease. For example, if you apply onMay 15, 2012 and your current lease expiresMay 31, 2013, your DRIE benefit will also expire May 31, 2013.

• If you live in a hotel unit, your benefit will expire on the expiration date of your demand/increase notice or lease. For example, if youapply on May 15, 2012 and your current rentdemand increase notice or lease expiresMay 31, 2013, your DRIE benefit will also expire May 31, 2013.

• If you live in a rent controlled unit, your benefit expires on December 31 in the nextodd-numbered year. For example, if youapply on May 15, 2012, your benefit will expire on December 31, 2013.

• If you live in Mitchell-Lama, Limited Dividend, Redevelopment, Section 213 cooperative, or HDFC cooperative apartments, your benefit expires one year after your DRIE effective date. For instance, if your DRIE effective dateis May 1, 2012, the expiration date will be April 30, 2013.

If it takes a few months for the DRIE unit to approve my DRIE application, will my landlord receive a retroactive DRIE credit?

• Yes. If we receive your application on May15, 2012, but we do not approve your application until August 15, 2012, your DRIE benefit starts on June 1, 2012. YourDRIE approval letter will tell you the benefit start date.

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If my landlord is issued a retroactive credit, can Iask for it to be given to me in a cash payout?

• The landlord is required to credit you for therent payments you have made. However, itis between you and your landlord how s/heissues you this retroactive credit. Usually, alandlord credits the amount owed to tenantsby issuing credits against the rent.

Will I receive a check from Finance if I am approved for DRIE?

• No. Finance does not make direct paymentsof any kind to DRIE tenants. DRIE provideslandlords with a property tax credit equal tothe difference between the frozen rent amountand the rent increase amount they wouldhave received from you if you were not inthe DRIE program. Finance does not makedirect payments of any kind to DRIE tenants.

If I am denied, can I appeal?

• Yes. You may obtain the appeal form fromFinance’s website at nyc.gov/finance, at theSCRIE/DRIE Walk-In Center at 66 JohnStreet, 3rd Floor, New York, New York fromMonday to Friday 8:30 A.M. to 4:30 P.M orby contacting 311.

• You must mail the appeal form and all supporting documents to the New York CityDepartment of Finance, DRIE Appeals, 59Maiden Lane, 22nd Floor, New York, NewYork 10038.

• The appeal form must be postmarked nolater than 60 days from the date of the denial letter.

Can my landlord refuse to participate in the DRIE program?

• No. If you are eligible, you are legally entitled to DRIE benefits. Landlords cannotprevent a tenant from participating in theDRIE program.

If I have DRIE, can my landlord evict me if he orshe does not want to have a tenant paying alower rent than other tenants?

• No. You cannot be evicted because of DRIE.

Does the DRIE benefit protect me from being evicted?

• There are a number of reasons why tenantscan be evicted from their apartments includingnot paying rent on time. Having the DRIEbenefit does not provide blanket protectionfrom eviction.

RENEWING YOUR BENEFIT

Do I have to renew my DRIE benefit?

• Yes. When you receive your initial DRIE benefit approval letter, it will include yourDRIE benefit expiration date. Go to the previous section for more information onyour benefit expiration date.

Will Finance mail me a renewal application?

• Yes. We will mail you a renewal applicationapproximately 60 days before your DRIEbenefit expires. However, if for any reasonyou do not receive the renewal application,you still must submit a renewal application,or your benefit will expire.

• You can also download a blank renewal application at nyc.gov/finance or contact 311 to request a form be mailed to you.

Do I need to send anything with my renewal application?

• Yes. You must include updated income information with your completely filled outand signed renewal application. In addition:

Rent Stabilized Apartments:

• Send your new renewal lease signed by youand your landlord.

Hotel Units:

• Send the rent increase letter from your landlord.

Rent Controlled Apartments:

• The expiration of a rent controlled benefitdoes not always coincide with the issuanceof a new MBR or Fuel Cost Adjustment, soonly include these if you have them on hand.Do not delay in sending us your renewal application and include all your income documents; our goal is to ensure a timely renewal with no break in benefit.

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Mitchell-Lama, Limited Dividend, Redevelopment,Section 213 cooperative, and HDFC cooperativeapartments:

• If your apartment has had a rent/carryingcharge increase since your last DRIE approval letter, please send an updated rent history printout or rent increase letterfrom your HDFC board. The documentsshould show the effective date of the increase, as well as the rent amount beforeand after the date of the increase.

I am a Rent Stabilized tenant. What happens ifmy landlord refuses to give me a renewal lease?

• Please make every effort to get a renewallease or a rent increase letter.

• However, if your landlord will not give you a renewal lease even though you have asked for it, you must complete a Certificationby DRIE Renewal Applicant without a Renewal lease.

• This form is available at nyc.gov/finance, at the SCRIE/DRIE Walk-In Center or bycontacting 311.

• Please submit this form AND your renewalapplication, along with rent statements/receipts indicating rent amounts.

• If your benefit is renewed, your frozen rentamount will stay the same but the landlord’sTAC will be based on the legal rent amountfrom your most recent lease until a copy of asigned renewal lease is provided to Finance.

I never received my renewal application; what do I do?

• You are responsible for renewing your DRIEbenefit. Finance will mail you a renewal application as a courtesy, but your DRIEbenefit will expire on the expiration datestated in your approval letter.

• Renewal forms are available at nyc.gov/finance.

Will my landlord be paid if I forget to renew on time?

• No. Your landlord stops receiving DRIE credits if your benefit expires and your DRIEbenefit is not renewed.

• We encourage you to renew as early as possible with all of the required documents.

Is there a grace period that my landlord mustcontinue to honor my DRIE frozen rent?

• Yes. Your landlord is legally required to continue your DRIE benefit for 6 monthsafter your DRIE benefit expires, even if youare not yet renewed.

• For example, if your benefit expires on May31, 2012, your landlord must continue tocharge you your DRIE frozen rent amountfor June 1, 2012 – November 30, 2012.

What if I do not renew my benefit but continueto pay my DRIE frozen rent amount during thesix month grace period?

• You will be responsible for paying your landlord back for the difference betweenyour DRIE frozen rent amount and your legalrent amount for the six month grace period.

Can I check the status of my renewal applicationand my benefit?

• Yes, you may email [email protected],visit our SCRIE/DRIE Walk-In office or contact 311.

CHANGES DURING MY BENEFIT PERIOD

What happens if I move?

• If you move to another qualifying rent regulated apartment , you must file a Portability Application within 30 days before or after your move.

• Portability Applications are available atnyc.gov/finance, at the SCRIE/DRIE Walk-InCenter or by contacting 311.

If I am eligible to transfer my DRIE benefit fromone apartment to the other, will my frozen rentamount change?

• If you are still eligible for DRIE at your newaddress, your frozen rent amount maychange. The amount of tax abatement creditwill not change.

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• The portion you must pay for rent will be adjusted upward depending on the legal rentof your new apartment.

For example:

— Your rent is frozen at $550. The legalregulated rent is $650. The tax abatement credit is $100.

— The legal regulated rent in the newapartment is $750.

— Your frozen rent in the new apartmentwill be $650, which is the new rent of$750 minus the DRIE tax abatementcredit in the old apartment of $100($750-$100) = $650.

— Your frozen rent will increase by $100.

What happens if my rent is increased due to aMajor Capital Improvement (MCI) during mybenefit period?

• If you have received an MCI Order from yourlandlord or DHCR, it is your responsibility tosubmit it to DRIE along with an Adjustmentto Abatement form.

• Adjustment to Abatement forms are availableat nyc.gov/finance, at the SCRIE/DRIEWalk-In Center or by contacting 311.

I am currently receiving DRIE, and I turned 62.Do I have to transfer to SCRIE?

• There is nothing in the law that requiressomeone who has DRIE to apply for SCRIEat age 62.

• If you believe you are eligible and would liketo apply to transfer from DRIE to SCRIE, youmust submit a SCRIE <–––––>DRIE Transfer Application.

• SCRIE <–––––>DRIE Transfer Applications are available at nyc.gov/finance, at theSCRIE/DRIE Walk-In Center or by contacting 311.

• If you are approved, in most cases the SCRIEfrozen rent will not change and will be thesame as your DRIE frozen rent.

What happens to my DRIE benefit when I die?

• In the event of your death, Finance must benotified by your landlord within 30 days.

• DRIE benefits are revoked effective the first day of the month following the date of death.

• For example, if a date of death is May 15, 2012, the DRIE benefit will end on May 31, 2012.

Can my family inherit my DRIE benefits?

• No. There are no automatic successionrights to DRIE benefits. However, a survivinghousehold member may qualify for a transferof your DRIE benefits. This can happen onlyif you previously listed the person’s nameand source of income on your DRIE applicationor renewal forms. The surviving individualmust also qualify for the program.

How does a family member apply to receive myDRIE benefits?

• A surviving household member who is eligible for a transfer of your DRIE benefitsshould submit a DRIE Application for Benefit Takeover, which can be obtained atnyc.gov/finance, at the SCRIE/DRIE Walk-InCenter or by contacting 311.

• The eligibility requirements and documentsneeded for a benefit takeover are listed onthe benefit takeover application.

• Often a death in the household means a significant loss of income for the survivinghousehold member(s). If this happens, thesurviving DRIE beneficiary may be eligiblefor a readjustment of the exemptionamount. If there has been a permanent lossof 20 percent or more of income, the survivingtenant should inform Finance in writing torequest a redetermination.

QUESTIONS AND ASSISTANCE

I have a question or need help with an application.Who can assist me?

• Contact 311.• Email us at [email protected].• Visit our SCRIE/DRIE Walk-In Center at 66 John Street, 3rd Floor, Monday throughFriday from 8:30am – 4:30pm.

• Visit the local office of your elected official –Council Member, Assembly Member orState Senator.

• Visit your local senior center. Contact 311 tofind the center most convenient to you.

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DRIE and SCRIEInformation for Landlords

What are DRIE and SCRIE?

The Disability Rent Increase Exemption (DRIE) program and the Senior Citizen Rent Increase Exemption(SCRIE) program offer eligible tenants an exemption from future rent increases. If a tenant qualifies,their rent amount will be frozen and the City of New York will give you, their landlord, a property taxcredit that is equal to the tenant’s future rent increases.

To qualify for DRIE, a tenant must:

• Be at least 18 years old;• Rent an apartment defined as eligible under the law;• Be named on the lease or rent order or have been granted succession rights to the apartment;• Live in their apartment as their primary residence;• For single member households, have an income that is $20,148 or less in the previous calendar year;• For households of two or more members, have a combined income in their household that is$29,100 or less in the previous calendar year;

• Spend more than one-third of their monthly household income on rent; and• Receive a qualifying federal disability benefit.

To qualify for SCRIE, a tenant must:

• Be at least 62 years old;• Rent an apartment defined as eligible under the law;• Be named on the lease or the rent order or have been granted succession rights to the apartment;• Live in their apartment as their primary residence;• Have a combined income in their household that is $29,000 or less in the previous calendar year; and• Spend more than one-third of their monthly household income on rent.

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APARTMENT ELIGIBILITY

What apartments are eligible?

• Apartments regulated by the Division ofHousing and Community Renewal (DHCR):— Rent stabilized units— Rent controlled units— Rent regulated hotel units

• Apartments owned by a Mitchell-Lama development, Limited Dividend HousingCompany, Redevelopment Company orHousing Development Fund Corporation(HDFC) incorporated under New York State’sPrivate Housing Finance Law*; or for DRIEonly, apartments located in a building wherethe mortgage was federally insured underSection 213 of the National Housing Act.

* Note the SCRIE program for Mitchell-Lama developments and HDFC apartments are administered by the Department of HousingDevelopment and Preservation (HPD) at 100Gold Street, Room 9K, New York, NY 10038. For information, call 212-863-8494 or visitnyc.gov/hpd.

What apartments are not eligible?

• Non-rent regulated apartments (such asapartments in private homes and private cooperative buildings that are not subject to rent regulation).

• Public housing units administered by theNew York City Housing Authority (NYCHA).

• Units that are partially or fully paid by a Section 8 voucher.

• Apartments that are sublet (even if theapartment is rent-regulated).

A LANDLORD’S ROLE IN A TENANT’S APPLICATION TO DRIE/SCRIE

Does my tenant need my permission to apply?

• No. A tenant‘s eligibility is based upon theirapplication and supporting documents.

Can I refuse to participate in the DRIE or SCRIEprograms?

• No. Eligible tenants are legally entitled toDRIE/SCRIE benefits. Landlords cannot prevent a tenant from participating in theDRIE/SCRIE program.

TENANT’S FROZEN RENT

I am a landlord, how do these programs work for me?

• If a tenant is accepted into either DRIE orSCRIE, their rent will be “frozen.” This is usually the rent they were paying prior totheir application. The City of New York willthen give you a property tax abatementcredit between their “frozen rent” amountand their current legal rent.

• The tax abatement credit is commonly referred to as a “TAC.”

For example:

— Their monthly rent is frozen at $700.Their current monthly rent is $750.

— You will receive a monthly TAC that is $50.

My tenant pays a rent amount that is less than the legal rent (this is often referred to aspreferential rent). Will you freeze the rent at the lower amount?

• No. We do not freeze the rent amount at thelower rent. We generally freeze at the legalrent amounts. However, this does not meanyou may begin to charge the higher amount.

For example:

— The current legal rent is $1000. Theprior legal rent was $950.

— The current preferential rent is $500.The prior preferential rent was $450.

If a tenant is approved, we will freeze the rentat $950 and the landlord’s monthly credit will be $50. However, as you have agreed toaccept $500 from the tenant for the term ofthe lease, you should continue to charge$500 for the term of the lease.

Because a tenant is paying an amount that is less than the legal rent, it is between you and your tenant how you disperse themonthly credit.

I know some people that are frozen at preferentialrent amounts. Are there exceptions?

• Yes. There are some exceptions. We willfreeze at the lower rent amounts in the following two scenarios:

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— When a lease explicitly states thatlower rent will remain for the applicant’sentire tenancy.

— For tenants that live in Low-IncomeHousing Tax Credit (LIHTC) buildings.

What increases are covered under DRIE/SCRIE?What is included in the frozen rent?

The following are examples of what DRIE/SCRIEcovers and would be included in frozen rentamounts, although there may be some exceptions:

Rent Stabilized Apartments:

• Lease renewal increases.• A Major Capital Improvement (MCI) increaseto compensate the owner for the cost ofbuilding-wide renovations such as a newroof or boiler. Please see MCI paragraph belowfor certain exceptions.

• Increases approved to compensate a landlordwho demonstrates that his/her rental income fails to offset unavoidable expenses(Hardship Orders).

Rent Controlled Apartments:

• A maximum collectible rent (MCR) increase.• A Fuel Cost Adjustment (FCA) to compensatea landlord for fuel increases.

• A Major Capital Improvement (MCI) increaseto compensate the owner for the cost ofbuilding-wide renovations such as a newroof or boiler. Please see MCI paragraph belowfor certain exceptions.

• Increases approved to compensate a landlordwho demonstrates that his/her rental income fails to offset unavoidable expenses(Hardship Orders).

Hotel Units:

• Rent demand renewal increases or lease renewal increases.

• A Major Capital Improvement (MCI) increaseto compensate the owner for the cost ofbuilding-wide renovations such as a newroof or boiler. Please see MCI paragraph belowfor certain exceptions.

• Increases approved to compensate a landlordwho demonstrates that his/her rental income fails to offset unavoidable expenses(Hardship Orders).

Mitchell-Lama (for DRIE only):

• Increase in base rent/carrying charges.• Temporary utility/fuel surcharges.

When is an MCI included in the Frozen Rent?

• An MCI must be issued within 90 days ofthe date the application is received in orderto be covered by DRIE/SCRIE.

When is an MCI not included in the Frozen Rent?

• If an MCI is not issued within 90 days of theapplication receipt date.

• In this scenario, the tenant is responsible forpaying any retroactive MCI amounts, andthe MCI amount will be added on to thefrozen rent amount.

The following charges are not eligible for DRIE/SCRIE and will not be included in the frozen rent:

• Services such as a doorman, maid or janitor,air conditioning or intercom.

• New equipment, furniture or other furnishingsin the unit, or electrical enhancements.

• Additions, adjustments or other individualapartment improvements.

• Extra charges for an increase in the number of people in the apartment oradditional space.

• Security deposits.• Rental charges for garages and other ancillary facilities.

• Utility costs (gas, electric, cable, etc.).

INITIAL DRIE/SCRIE APPLICANTS

How will I know if a tenant has been approvedfor DRIE or SCRIE for the first time?

• If a tenant’s application is approved, theywill receive an approval letter, which will tellthem the amount of their “frozen rent,” theamount Finance will be crediting you andwhen their DRIE or SCRIE benefit period begins and ends.

• You will receive a similar approval letter.

If approved, when does a tenant’s benefit begin?

• In most cases, the benefit will begin the firstday of the month after the date we receivean application. Therefore, if we receive anapplication on May 15, 2012 and the tenantis approved, the benefit starts on June 1, 2012.

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• For DRIE tenants in a Mitchell-Lama, LimitedDividend, Redevelopment, Section 213 cooperative, and HDFC cooperative apartment, benefits will take effect on thedate of the rent increase if the applicationwas filed within 120 days of that increase.Otherwise, benefits will take effect the firstday of the month following the month inwhich the tenant’s application was received.

If approved, when does a tenant’s benefit end?

• Tenants that live in rent stabilized units willhave a benefit expiration date that is thesame as the date their current lease expires.For example, if they apply on May 15, 2012and their current lease expires May 31, 2013,their DRIE/SCRIE benefit will also expireMay 31, 2013.

• Tenants that live in hotel units will have a benefit expiration date that is the same as the expiration date on their demand/increase notice or lease. For example, if theyapply on May 15, 2012 and their current rentdemand increase notice or lease expires onMay 31, 2013, their DRIE/SCRIE benefit willalso expire on May 31, 2013.

• Tenants that live in rent controlled units willhave their benefits expire on December 31 of the next odd-numbered year. For example,if they apply on May 15, 2012, their DRIE/SCRIE benefit will expire on December 31, 2013.

• DRIE Tenants residing in Mitchell-Lama,Limited Dividend, Redevelopment, Section213 cooperative, or HDFC cooperative apartments will have a benefit expirationdate that is one year after their DRIE effective date. For instance, if their DRIE effective date is May 1, 2012, the expirationdate will be April 30, 2013.

Once accepted, is a tenant awarded aDRIE/SCRIE account number?

• Yes. If accepted into the program, a SCRIEtenant is given a docket number and a DRIEtenant is given a DRIE ID number.

• Please make sure to note these importantnumbers, as they are the best way to identify a tenant on Finance DRIE/SCRIEdocuments.

Can a tenant apply for DRIE/SCRIE even thoughthere was no rent increase on the renewal lease?

• Yes. Your tenant may apply and be approvedfor DRIE/SCRIE even if there is no increasein rent on their lease. In cases like this, therewill be no TAC; therefore all letters will showa TAC of $0.

If it takes a few months for a DRIE/SCRIE initialapplication to be approved, will I receive retroactivecredits to be applied to my property tax bill?

• Yes. If we receive an initial application onMay 15, 2012, but we do not approve the application until August 15, 2012, the tenant’s DRIE/SCRIE benefit period will start on June 1, 2012.

• When we issue an approval letter to you and the tenant, the benefit start date will beclearly indicated on the letter.

If I am issued retroactive credits for a higher rentmy tenant has already paid, what do I do?

• You are required to credit the tenant for therent payments made. However, the mannerin which the retroactive credit is handled is between you and the tenant. Usually, a landlord credits the amount owed to tenants by issuing credits against the rent.

Can I appeal the approval of the DRIE/SCRIEbenefit?

• Yes. If you think your tenant is receivingbenefits to which they are not entitled,please contact Finance as soon as possible,explaining why you believe the tenant doesnot qualify for DRIE or SCRIE.

• You can submit an appeal form or a letterexplaining your concerns. Your inquiry willremain anonymous.

• You may obtain this form from Finance’swebsite at nyc.gov/finance.

• You must mail the appeal form/letter and allsupporting documents to the New York City Department of Finance

— DRIE Appeals, 59 Maiden Lane, 22ndFloor, New York, New York 10038.

— SCRIE Appeals, 59 Maiden Lane, 22ndFloor, New York, New York 10038.

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Note: If you believe there is a discrepancy with the rent amounts, please do not submit an appeal. Please print and submit the SCRIE (orDRIE) Adjustment to Abatement form. The form can be found at www.nyc.gov/finance.

TAX ABATEMENT CREDIT (TAC)

How often will I receive DRIE/SCRIE TACs?

• If you are the property owner, you will seeDRIE/SCRIE credits on the Finance PropertyTax Bill or Statement of Account (SOA) thatyou receive either semi-annually or quarterly.The credit for a year of the property tax credit(TAC) will be equally divided among theproperty tax bills that you receive each year.

For example:

A DRIE/SCRIE tenant’s rent is frozen so thatyou receive a monthly TAC of $50. Therefore,if the benefit period is for the entire calendaryear, you are entitled to $600 for the calendaryear ($50 x 12 months = $600).

— If you receive your property tax billsquarterly, you will receive a $150 TAC per bill.

— If you receive your property tax billssemi-annually, you will receive a $300TAC per bill.

Are TACs credited in advance of the lease period?

• Yes. For active tenants, and tenants that arerenewed timely, Finance will issue the TACsin advance of the lease period.

For example:

A tenant’s current lease is covered by SCRIE;the benefit period is July 1, 2010 – June 30,2012. The owner’s building receives a semi-annual property tax bill. In late May and lateNovember, six months of TAC will be postedto the owner’s bill.

— Late May 2010: 6 months of TAC willbe posted to the July 2010 bill to cover7/1/10 – 12/31/10.

— Late November 2010: 6 months of TACwill be posted to the January 2011 billto cover 1/1/11 – 6/30/11.

— Late May 2011: 6 months of TAC will beposted to the July 2011 bill to cover7/1/11 – 12/31/11.

— Late November 2011: 6 months of TACwill be posted to the January 2012 billto cover 1/1/12 – 6/30/12.

Will I ever receive retroactive TACs?

• Yes. There are several scenarios that mayentitle you to receive retroactive TACs.

• When these TACs are approved, they will beposted to the next property tax bill, but thecredits must be applied to the retroactiveperiod for which they were approved.

Will I ever have a TAC debited from my account?

• Yes. There are several scenarios that may require that Finance to debit DRIE/SCRIETACs that were already posted.

For example:

— If a tenant moves during their benefitperiod, but the building had alreadybeen credited with future TAC.

— If a tenant passes away during theirbenefit period, but the building had already been credited with future TAC.

Will I receive notification of how muchDRIE/SCRIE TAC was posted to my quarterly or semi-annual property tax bill?

• Yes. Finance issues two notices whenever aDRIE/SCRIE TAC is posted to a building’sproperty tax account.

— Notice #1: The DRIE or SCRIE Statementof Account (SOA), which lists the totalcredits and debits posted to the building.

— Notice #2: A DRIE or SCRIE Landlordletter, which breaks down the creditsand debits referenced in the DRIE orSCRIE SOA, by apartment number,benefit period and TAC amount.

Don’t forget to keep and refer to the approval letters to help with the proper distribution of theDRIE and SCRIE credits.

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I do not believe the TAC amount is correct; what do I do?

If you can provide proof there is a discrepancyand the TAC amount must be adjusted, print and submit the SCRIE (or DRIE) Adjustment toAbatement form. The form can be found atwww.nyc.gov/finance.

Casado vs. Markus

The Casado v. Markus decision upheld the originalNYC Rent Guidelines Board orders regardingleases of rent stabilized apartments ending onSeptember 30, 2009 and September 30, 2010. If you need to request TAC adjustments becauseyour SCRIE tenants received revised leases due tothis legal finding, please submit the Adjustmentto Abatement form at nyc.gov/finance.

Is there anywhere online where I can check if aTAC was issued, or confirm the amount?

• Yes. This is currently available for SCRIE.Please visit nyc.gov/finance and you can findTAC reports that are updated monthly onour SCRIE landlord page.

• There is a report for the current calendaryear, and there are also archived TAC reports for the past few calendar years.

My building was issued TACs, but my property istax-exempt or has a zero property tax balance.Can I apply for a refund?

• Yes; this is often referred to as excess DRIE or SCRIE.

• If you have a tax exempt property with azero tax balance, you must file a refund request. You can find the Property RefundRequest form at nyc.gov/finance.

• Credits will be used to pay any past due taxes.

• If approved, a refund will be issued to the building owner, either by direct deposit or check.

RENEWING A DRIE/SCRIE BENEFIT

Do tenants have to renew their DRIE/SCRIE benefit?

• Yes. When you receive your tenant’s initialapproval letter, it will include their DRIE/SCRIE benefit expiration date. Go to the previous section for more information onbenefit expiration dates.

Will the tenant be sent a renewal application?

• Yes. Finance will mail a renewal applicationapproximately 60 days before theDRIE/SCRIE benefit expiration date.

• However, if for any reason the tenant doesnot receive the renewal application, theymust still submit a renewal application ortheir benefit will expire.

• Blank renewal forms can also be downloadedon our website at nyc.gov/finance or can berequested by contacting 311 to have theform mailed.

Can I help my tenant renew?

• It is the tenant’s responsibility to submittheir renewal application and required documents, but you can help them in a variety of ways, by:— Serving your tenants in a timely manner

with rental documents such as renewalleases for rent stabilized tenants andDHCR-issued orders for rent controlledtenants.

— Registering your rent stabilized apart-ments with DHCR every year in Apriland filing appropriate building andrental information. Owners of rent controlled apartments can apply forMaximum Base Rent (MBR) adjustmentsevery two years.

— Ensuring that Major Capital Improvement(MCI) orders are served to tenantstimely. MCI worksheets should not besubstituted for the actual MCI order.

Can I send the tenant’s renewal lease/orders toFinance at the same time I send them to the tenant?

• We appreciate your willingness to help the tenant renew, but this will not always expedite the renewal process.

• If you send us the tenant’s renewallease/order, and we have yet to receive thetenant’s renewal application, we cannot doanything with the renewal lease/order.

• It would be most helpful if you could remindyour tenant to renew, and ensure you getthem their renewal lease/order as quickly aspossible. Important Note: The renewal leasemust be signed by the tenants and the land-lord for us to renew DRIE/SCRIE.

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• If you choose to send the renewal lease/order directly to us, please remember to clearly print the tenant’s docket number/ID on the documents.

Is there a grace period requiring landlords tohonor a tenant’s DRIE/ SCRIE frozen rent?

• Yes. You are legally required to continue atenant’s DRIE/SCRIE benefits for 6 monthsafter the DRIE/SCRIE benefit expires, even if a tenant has not yet been renewed. For example, if a tenant’s benefit expires on May31, 2012, you must continue to charge yourtenant their DRIE/SCRIE frozen rent amountfor June 1, 2012 – November 30, 2012.

Can I check the status of a tenant’s renewal application and their benefit amount?

• Yes.

For SCRIE:

— Finance publishes a tenant status report on its website that is updatedapproximately every 1-2 weeks. Thereis a report for each borough and it issorted by Borough-Block-Lot (BBL).This report can be found on the SCRIEInformation for Landlords page atnyc.gov/finance.

— You may also [email protected] or contact 311.

For DRIE:

— You may email [email protected] contact 311.

CHANGES DURING A TENANT’S BENEFIT PERIOD

What happens if my tenant dies/vacates their apartment or begins receiving another rent benefit?

• You are legally required to notify Financewithin 30 days if your tenant receivingDRIE/SCRIE dies, vacates their apartment orbegins receiving another rent benefit.

• Please submit the Landlord/ManagingAgent Notification of Tenant's Ineligibilityfor the DRIE Program or SCRIE Program.

• This form is available on our website atnyc.gov/finance.

Once I notify Finance, what happens to their benefit?

• The tenant’s DRIE/SCRIE benefit will be revoked the first day of the month followingthe tenant’s death, departure from theapartment, or receipt of another rent benefit.

• This may result in a debit TAC on a futureproperty tax bill if you have already beencredited for months that they are no longerin the program.

Will I receive a notice if a tenant is revoked fromthe DRIE/SCRIE program?

• Yes. You and the tenant will receive a revocationnotice if a tenant is revoked from the programin the middle of their benefit period.

Can I appeal my tenant’s DRIE/SCRIE benefit?

• Yes. If you think your tenant is receivingbenefits to which they are not entitled,please contact Finance as soon as possible,explaining why you believe the tenant doesnot qualify for DRIE or SCRIE.

• You can submit an appeal form. You mayobtain this form from Finance’s website atnyc.gov/finance. You must mail the appealform/letter and all supporting documents tothe New York City Department of Finance.

— DRIE Appeals, 59 Maiden Lane, 22ndFloor, New York, New York 10038.

— SCRIE Appeals, 59 Maiden Lane, 22ndFloor, New York, New York 10038.

Will I receive a notice if a tenant is revoked fromthe DRIE/SCRIE program?

• Your tenant’s TAC may be adjusted for anMCI that is issued in the middle of the benefit period.

• Retroactive and prospective amounts will be paid through the DRIE/SCRIE benefit only if the MCI Order is submitted to Financewithin 90 days of issuance. After 90 days,only the prospective amounts will be paidthrough the DRIE/SCRIE Program.

• Either you or your tenant may submit an Adjustment to Abatement form to Finance.

• You may obtain an Adjustment to Abatementform from Finance’s website at nyc.gov/finance.

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• If you submit this form, please do so forevery tenant in your building. Please indicatethe tenant(s) to receive these increases withtheir docket numbers/IDs clearly listed.

I received the DRIE/SCRIE approval letter, but Ido not think the DRIE/SCRIE TAC is correct. What do I do?

• If you think there is a discrepancy with thetenant’s frozen rent on your TAC, you maylet us know by submitting a written requestfor review of the TAC calculation.

• Please do not forget to submit the tenant’sdocket number/ID with any inquiry.

• Please submit any documentation thatwould help explain the rent discrepancy,such as copies of current leases/orders or MCIs.

Will I receive notice if the TAC is adjusted in themiddle of their benefit period?

• Yes. If an adjustment is made to aDRIE/SCRIE benefit in the middle of theirbenefit period, you and the tenant will receive a notice.

• The notice will indicate the change in TACand the new TAC’s start date.

Can a tenant’s family member inherit their DRIEor SCRIE benefits?

• No. There are no automatic successionrights to DRIE/SCRIE benefits. However, asurviving household member may qualify fora transfer of DRIE/SCRIE benefits. This canhappen only if the tenant previously listedthe person's name and source of income ontheir DRIE/SCRIE application or renewalforms. The surviving individual must alsoqualify for the program.

The Building Owner or Managing Agent of abuilding that receives DRIE/SCRIE has changed.How do I notify Finance?

• In order to keep your building informationup-to-date and ensure the timely receipt ofall DRIE/SCRIE correspondence, please notify Finance as soon as any change occursby filling out and submitting the ‘PropertyChange Form for Managing Agent or BuildingOwner Information’ which is available atnyc.gov/finance.

QUESTIONS AND ASSISTANCE

I have a question about DRIE/SCRIE. Who can assist me?

• Contact 311.• Email us at [email protected] or [email protected].

• Visit our SCRIE/DRIE Walk-In Center at 66 John Street, 3rd Floor, Monday through Friday from 8:30am – 4:30pm.

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GLOSSARY OF TERMS

• Approval or Denial Order – the notice received from Finance telling their application has been approved, denied or revoked.

• DHCR – New York State Division of Housingand Community Renewal, the agency responsible for administering the rent regulatory laws of New York State.

• Docket Number – the identification numberassigned to each SCRIE tenant. The most effective way to reference an individual casewhen calling or writing for information.

• DRIE (Disability Rent Increase Exemption) –similar to SCRIE, DRIE provides the same increase exemption for those with disabilitiesthat meet the eligibility requirements.

• Exemptible Rent Increase – a rent increaseauthorized by the Rent Guidelines Board orDHRC to be exempted under DRIE andSCRIE. Examples: Major Capital Improvement,Fuel Cost Adjustment, or Maximum BaseRent increases.

• Exemption Period – the beginning to enddates of your DRIE/SCRIE rent exemptionperiod.

• Finance – New York City Department of Finance. The agency that administers theSCRIE and DRIE programs.

• Frozen Rent – the amount at which rent increase will stop and your DRIE/SCRIE benefit will take effect.

• Fuel Cost Adjustment Increase – an increase to cover and unexpected rise in the price of heating fuel during the previousyear. Must be verified by DHCR.

• Hotel Stabilized – a hotel unit that is rent stabilized.

• Household Income – the income of everyperson who lives in a household. A boarder’sincome is not household income, but any rentthat the boarder pays is considered income.

• Legal Rent – the maximum rent that a landlord can charge a tenant for a rent regulated unit. The landlord must annuallyregister that legal rent with DHCR.

• MCI – Major Capital Improvement. An increase authorized by DHCR to compensatea landlord for the cost of building-wide renovations, such as a new roof or boiler.

• Maximum Base Rent Increase – the highestamount a landlord can raise the rent as authorized by DHCR for rent controlledapartments.

• MCR – Maximum Collectible Rent. The highest amount a landlord can charge rent controlled tenants.

• Preferential Rent – rent charged by anowner to a tenant that is less than the established legal rent.

• Rent Controlled – residential units with limits in the amount a landlord can charge atenant for rent. To qualify for rent control, atenant must have been living continuously inan apartment since July 1, 1971.

• Rent Demand Renewal – rent increases forregulated hotel units as determined by NYCRent Guidelines Board.

• Rent Regulated Apartment or Unit – anapartment or housing unit that is either rentcontrolled or rent stabilized.

• Rent Stabilized – residential units regulatedby law so that rent increases may not exceeda specified amount. In NYC it is regulated bythe Rent Guidelines Board.

• SCRIE (Senior Citizen Rent Increase Exemption) – is a program for seniors age 62 and over that protects them from futurerent increases if they qualify for the program.

• TAC – Tax Abatement Credit. The amountthat will be deducted from a landlord’s realestate property tax bill to reimburse for therent not collected from DRIE/SCRIE tenants.This is a dollar-for-dollar reimbursement.

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Page 36: Your Guide To The Senior Citizen Rent Increase Exemption ... · New York City Housing Authority (NYCHA). • Units that are partially or fully paid by a Section 8 voucher. • Apartments