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06/15/90 1841 COLUMBIA ROAD TENANTS ASSOCIATION v.

June 15, 1990

1841 COLUMBIA ROAD TENANTS ASSOCIATION, PETITIONER
v.
DISTRICT OF COLUMBIA RENTAL HOUSING COMMISSION, RESPONDENT, 1841 COLUMBIA ROAD LIMITED PARTNERSHIP, INTERVENOR



Petition for Review of a Decision of the District of Columbia Rental Housing Commission.

Rogers, Chief Judge, Schwelb and Farrell, Associate Judges.

The opinion of the court was delivered by: Schwelb

I

On May 10, 1989, the District of Columbia Rental Housing Commission affirmed a decision of the Rent Administrator granting intervenor-landlord's capital improvement petition, which had been filed pursuant to D.C. Code § 45-2520 (1986). The landlord had proposed, among other things, to convert a freight elevator to passenger use. The landlord sought in its petition to allocate the cost of the repairs equally to the one hundred residential apartments and the fifteen commercial units in the building, and requested that the rent ceiling for each residential unit be adjusted accordingly and increased by $23.00.

The tenants opposed this method of allocation, contending that the commercial units were responsible for a disproportionate amount of traffic into the elevators and that they should be required to absorb a greater portion of the cost. The tenants proffered a one-day survey which they had made during working hours and which showed that many of the users of the elevator travelled to the floor where the commercial units were located, and that there was comparatively less traffic to the other floors. Noting that the landlord acknowledged that its method of allocation did not reflect actual usage, the tenants claimed that this required the Commission to disapprove the petition.

The landlord countered that the tenant study did not include evenings and weekends, when the offices were closed and the traffic was almost entirely residential. The landlord also contended that, under the terms of the statute, relative use was irrelevant.

Observing that the tenants had conceded that their survey was not scientific or complete, the hearing examiner ruled that the landlord's method of allocation was consistent with the statute and more practical than the tenants' approach. The Commission affirmed the examiner's decision, stating in pertinent part that

the tenants themselves admitted their survey was limited in time and depth. The hearing examiner was entitled to give it the limited weight that he did and to accept the housing provider's method of allocation . . . .

II

District of Columbia Code § 45-2520 (c) (1986) provides in pertinent part:

Any decision of the Rent Administrator under this section shall determine the adjustment of the rent ceiling

(1) In the case of a building-wide major capital improvement, by dividing the cost [of the improvement] over a 72-month period of amortization and by dividing the result by the number of rental units in the housing accommodation. No increase under this paragraph may exceed 20% above the current rent ceiling.

(emphasis added). As the foregoing language readily reveals, the legislative plan treats all rental units alike. Although the statute does not explicitly say so, the evident import of its words is that all of the units are to be assessed equally, subject to the 20% limitation. There is nothing in the statute requiring allocation of the costs of a capital improvement to particular units on the basis of the resident's actual utilization of that improvement.

In the present case, the Commission approved a plan which, in accordance with the statutory command, treated every unit -- residential or commercial -- alike. *fn1 Our review of agency action is deferential, and we can overrule the Commission's interpretation of the Rental Housing Act only if it is plainly wrong or inconsistent with the legislative purpose. Winchester Van Buren Tenants Ass'n v. District of Columbia Rental Hous. Comm'n, 550 A.2d 51, 52 ...


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