(2) The schedule provides a maximum of costs that can be granted for eligible MCIs. All costs granted for a temporary MCI rent increase must be actual, reasonable, verifiable, and meet all other regulatory requirements.
(g) Waiver of application of reasonable cost schedule.
Owners may apply for a waiver of application of the reasonable cost schedule. Pursuant to the requirements specified below, such application must demonstrate that:
(1) The claimed costs underlying the temporary MCI rent increase either:
(i) are not identified in the reasonable cost schedule, or are necessarily and appropriately priced higher than those costs listed in the reasonable cost schedule, and such costs are accurate and reasonable under the circumstances; or
(ii) that use of the reasonable cost schedule will cause an undue hardship and the use of alternative procedures are appropriate to the interests of the owner, the tenants, and the public, and the costs of such improvement are reasonable and accurate under the circumstances. Owners must request a waiver of the use of the reasonable cost schedule in writing and accompany the application with the information and documentation as specified in subparagraph (i) of this paragraph.
(h) Categories of waiver.
At the time of initial application for an MCI, an owner may apply for, and the DHCR may grant, a waiver of application of the reasonable cost schedule where the owner meets any of the following criteria:
(1) Non-landmarked buildings (buildings not designated by the Landmark Commission):
(i) A licensed engineer or architect must certify that:
(a) the MCI costs for which owner seeks a temporary MCI rent increase are accurate and reasonable under the circumstances;