Appeals court upholds rejection of $183 water-bill credit

An appeals panel has upheld a lower court’s rejection of a one-time $183 water-bill credit to some homeowners and a corresponding rate increase of 2.1 percent to landlords that would likely have affected renters.

In June, a trial-level court found that the New York City rate increase was an “abuse of discretion.”

The appeals court decision Thursday upheld that finding.

“The one-time credit adopted for some, but not all, water customers at the same time the Water Board needed to increase overall water rates to fund a projected budget shortfall for that particular year, has no rational basis,” the court said in ruling on an issue that dates from 2016.

Mayor Bill de Blasio said in a statement: “Wealthy landlords and high-priced lobbyists have spared nothing to line their own pockets at the expense of hardworking New Yorkers.”

By Matthew Chayes

matthew.chayes@newsday.comchayesmatthew

Matthew Chayes, a Newsday reporter since 2007, covers New York City.