(4) effective date of the proposed rent increase; (5) base rent: (6) percentage increase that the current rent represents above the base rent; (7) percentage increase that the proposed rent represents above the base rent; (8) registration number of the accommodation; (9) certification and explanation by the landlord that the unit. is in substantial compliance with the housing regulations and that the increase is in substantial compliance with the housing regulations and that the increase is in compliance with this act. (10) exact method of computation of the increase including itemization of cost figures to which the increase is attributable when such increase is pursuant to sections 205, 206, 208, 209, 210 of this title; (11) statement of the penalties as described in section 215, and (12) location of the registration statement in a public place on the premises in accordance with subsection (d) of section 202. CAPITAL IMPROVEMENTS SEC. 205. (a) In the case of a landlord who has completed capital improvements, the Rent Administrator may permit the costs of such improvements, amortized over the useful life of such improvements and applied on an equal basis to all rental units within the housing accommodations benefiting from such improvement, to be included as an item in the computation of the rate of return to be subtracted from gross income as defined in part (B) of step (3) of subsection (a) of section 204 of this title PROVIDED That, (1) the landlord has made available to the Rent Administrator and to the tenant concerned the plans, contracts, specifications, and building permits relating to the capital improvements; and (2) the Rent Administrator is satisfied that the interests of the tenant are being protected. (b) Where, in the computation of a rate of return, a landlord seeks to deduct a management fee in excess of six percent of the maximum possible rental income, he shall first file with the Rent Administrator à petition to allow such excess to be deducted. If the Rent Administrator determines that such excess or part thereof is reasonable, he may permit to be deducted the same or so much thereof as he determines to be reasonable. The petition shall contain such information as the Rent Administrator may require including but not limited to the name of the payee of the fee and what, if any, identity exists between the landlord and the payee. (c) Where, in the computation of a rate of return, a landlord seeks to deduct depreciation expenses in excess of two percent of the assessed market value of the housing accommodation, he shall first file with the Rent Administrator a petition to allow such excess to be deducted. If the Rent Administrator determines that such excess or part thereof is justified, he may permit to be deducted the same or so much thereof as he determines to be justified. The petition shall contain such information as the Rent Administrator may require including but not limited to what if any depreciation of the housing accommodation has been claimed for tax purposes. (d) Nothing in subsections (b) and (c) of this section shall be construed to prohibit or limit the Rent Administrator in any deter- · mination of the accuracy of any claimed management fee of six percent or less of the maximum possible rental income or any claimed depreciation expense of two percent or less of the assessed market value of the housing accommodation. SERVICES AND FACILITIES SEC. 206. If the Rent Administrator determines that (1) the related services or related facilities supplied by a landlord for a housing accommodation or for any rental unit therein are substantially increased; or (2) the related services or related facilities supplied by a landlord for a housing accommodation or for any rental unit therein are substantially decreased; then the Rent Administrator may increase or decrease the rent ceiling applicable to such rental unit accordingly. SECURITY DEPOSIT SEC. 207. No person shall demand or receive a security deposit for any rental unit where no security deposit was demanded or received for such rental unit upon the effective date of this act. VACANT ACCOMMODATION SEC. 208. (a) When, after the date the initial registration statement is filed under this act, a rental unit becomes vacant, the landlord may adjust the rent ceiling for such rental unit to the rent ceiling applicable to any substantially identical rental unit within the same housing accommodation, provided the tenant has vacated on his own initiative or as a result of notice to vacate for one of the following causes: (1) nonpayment of rent; (2) violation of an obligation of his tenancy, as provided in item (1) of subsection (b) of section 213 of this act; or (3) use of the accommodation for an illegal purpose or purposes, as provided in item (2) of subsection (b) of section 213 of this act. (b) For the purposes of this section, rental units shall be defined to be "substantially identical" where they contain essentially the same square footage, essentially the same floor plan, comparable amenities and equipment, comparable locations with respect to exposure and height (if exposure and height have previously been factors in the amount of rent charged), and are in comparable physical condition. HARDSHIP PETITION SEC. 209. (a) In those cases where, after any increase which may be permitted by Part (A) of step 3 of subsection (a) of section 204, the landlord can show a negative cash flow after consideration of debt service, the Rent Administrator, upon petition of the landlord, may allow such additional increases in rent as will generate a positive cash flow, Provided, That, in the consideration of such petitions, the Rent Administrator shall consider the degree of hardship which the re quested increase will place upon the tenants of the housing accommodation. (b) In those cases where the rent increase permitted by Part (A) of step 3 of subsection (a) of section 204 is insufficient to generate a rate of return of eight percent computed according to the formula provided in Part (B) of said step, the Rent Administrator, upon petition of the landlord and after audit of the figures and computations in the most current registration statement, may allow such additional increases in rent as will generate a rate of return of eight percent. The Rent Administrator shall approve or disapprove such petition or any part thereof but shall not permit an increase which will generate a rate of return in excess of eight percent as of the time of the filing of the most current registration statement. SUBSTANTIAL REHABILITATION SEC. 210. (a) If the Rent Administrator determines that: (1) a rental unit is to be substantially rehabilitated, (2) such rehabilitation is in the interest of the tenants of such unit and the housing accommodation in which the unit is located, then the Rent Administrator may approve, contingent upon completion of such substantial rehabilitation, an increase in the rent ceiling for such rental unit, Provided That such rent increase is no greater than the equivalent of 125 percent of the rent ceiling applicable to such rental unit prior to substantial rehabilitation. (b) In determining whether a housing unit is to be substantially rehabilitated, the Rent Administrator shall examine the plans, specifications and projected costs for such rehabilitation, which shall be made available to the Administrator by the landlord of the unit or accommodation to be rehabilitated. (e) In determining whether substantial rehabilitation of a housing accommodation is in keeping with the interest of the tenants, the Rent Administrator shall consider, among other relevant factors: (1) the impact of such rehabilitation on the tenants of the unit or housing accommodation and (2) the existing condition of the unit or housing accommodation and the degree to which any violations of the housing regulations in such unit or housing accommodation constitute an impairment of the health, welfare and safety of the tenants. (d) This section shall apply to the following: (1) any rental unit with respect to which a landlord has notified the tenant, after effective date of this act, of intent to substantially rehabilitate; (2) any rental unit with respect to which, prior to the effective date of this act: (i) the landlord has notified the tenant of the intended substantial rehabilitation; and (ii) all the tenants have left. TRANSITIONAL PROVISION SEC. 211. In the case of rental units, the rents of which have been etermined by the Housing Rent Commission or a court of competent urisdiction, the landlord of such units shall not use steps 1 and 2 of ubsection (a) of section 204 of this act in computing the allowable Ent ceiling for such units, but shall use the rents so allowed in lieu of said steps. ADJUSTMENT PROCEDURE SEC. 212. (a) The Rent Administrator shall consider an adjustment allowed by Sections 205, 206, 209 or 210 of this act in the rent ceiling applicable to any rental unit upon a petition filed with him by the landlord of such rental unit. Such petition shall be filed with the Rent Administrator on a form provided by him containing such information as he may require including an itemization of the actual income and operating expenses for the housing accommodation of which that rental unit is a part for a two-year period ending not more than four months before the date such petition was filed or initiated. A tenant may file a petition for adjustinent of rent pursuant to section 204 (e) or resulting from a reduction of services or facilities pursuant to section 206 of this act. The Rent Administrator shall approve or deny, in whole or in part, each such petition whether filed by landlord or tenant within 60 days after such petition is filed with him, unless an extension of time is approved, in writing, by both the landlord and tenant of such rental unit or by the Commission. (b) Upon receipt of such petition, the Rent Administrator shall notify the landlord if the tenant filed the petition, or the tenants concerned if the landlord filed the petition by certified mail or any other form of service which assures delivery, of the receipt of such petition and of the right of either party to request (in writing) a hearing within fifteen days after the receipt of such notice. If a hearing is timely requested by either party, notice of the time and place of the hearing shall be furnished the parties by certified mail or any other form of service which assures delivery at least fifteen days before the commencement of such hearing. Such notice shall inform each of the parties of his right to retain legal counsel to represent him at the hear ing. (c) Each landlord of any rental unit with respect to which a petition is filed or initiated under this section shall submit to the Rent Administrator, within 15 days after demand therefor is made, an information statement, on a form approved by the Rent Administrator, containing the information the Rent Administrator may request or the Commission may require. (d) The Rent Administrator may consolidate petitions and hearings relating to rental units in the same housing accommodation. (e) The Rent Administrator may, without holding a hearing, refuse to adjust the rent ceiling for any rental unit, and may dismiss any petition for adjustment, if a final decision has been made on a petition filed under sections 206, 209, or 210 of this act or under District of Columbia Regulation 74-20 on another petition for adjustment as to the same rental units within the six months immediately before the filing of the immediate petition. (f) All petitions filed under this section, all hearings held relating thereto, and all appeals taken from decision of the Rent Administrator, shall be considered and held according to the provisions of this section and the District of Columbia Administrative Procedure Act (D.C. Code, sec. 1-1501 et seq.). In the case of any direct, irreconcilable conflict between the provisions of this section and the District of Columbia Administrative Procedure Act, the District of Columbia Administrative Procedure Act shall apply. (g) Decisions of the Rent Administrator shall be made on the record relating to any petition filed with him. An appeal from any decision of the Rent Administrator may be taken by the aggrieved party to the Commission within ten days after the decision of the Rent Administrator, or the Commission may initiate a review of a decision of the Rent Administrator on its own initiative. The Commission may reverse, in whole or in part, any decision which it finds to be arbitrary, capricious, an abuse of discretion, or otherwise not in accordance with the provisions of this act, or unsupported by the substantial evidence in the record of the proceedings before the Rent Administrator; or it may affirm, in whole or in part, the Rent Administrator's decision. The Commission shall issue a decision with respect to an appeal within 30 days after such an appeal was filed. An appeal from a decision by the Rent Administrator respecting any rent adjustment shall not stay the effectiveness of the decision. (h) No increase in rent allowed under this act shall be implemented unless the tenant concerned has been given written notice, at least 30 days before the intended date of implementation, of such increase. (i) A copy of any decision made by the Rent Administrator or by the Commission under this section shall be mailed to the parties to such decision. EVICTION SEC. 213. (a) Notwithstanding any other provision of law, no tenant shall be evicted from a rental unit unless he has been served with a written noice to vacate, specifying the reasons for such eviction, and a copy of such notice has been filed with the Rent Administrator. (b) Notwithstanding any other provision of law, no tenant shall be evicted from a rental unit, notwithstanding the expiration of his lease or rental agreement, so long as such tenant continues to pay the rent to which the landlord is entitled for such rental unit, unless (1) the tenant is violating an obligation of his tenancy and fails to correct such violation within 30 days after receiving notice thereof from the landlord; (2) a court of competent jurisdiction has determined that the tenant has performed an illegal act within such rental unit or housing accommodation; (3) the landlord seeks in good faith to recover possession of such rental unit for his immediate and personal use and occupancy; (4) the landlord has in good faith contracted in writing to sell the rental unit, or the housing accommodation in which such rental unit is located, for the immediate and personal use and occupancy by another person, so long as at the time he offers the rental unit or housing accommodation for sale the landlord has so notified the tenant in writing; (5) the landlord seeks in good faith to recover possession of the rental unit for the immediate purpose of making alterations or renovations of the rental unit which cannot safely or reasonably be accomplished while the rental unit is occupied or for the immediate purpose of demolishing the housing accommodation in which such rental unit is located and replacing it with a new construction, so long as the plans for such alteration or new construction have been filed with and approved by the Rent Administrator; or |