September 15, 2022 Regular Meeting

MINUTES TOWNSHIP OF WEST ORANGE ZONING BOARD OF ADJUSTMENT REGULAR MEETING September 15, 2022 8:00 P.M. The West Orange Zoning Board of Adjustment held a regular meeting on September 15, 2022 commencing 8:00PM utilizing the virtual Zoom platform. Chairperson Phillip D. Neuer called the meeting to order at approximately 8:00 PM. It was announced that notification of this meeting was given to the Township Clerk, the West Orange Chronicle and the Star Ledger and posted on the Township Bulletin Board in accordance with the “Senator Byron M. Baer Open Public Meetings Act.” Chairperson Neuer asked everyone to please rise for the Pledge of Allegiance. Alice Beirne, Esq., Board Attorney read the opening statement. Present: Jerome Eben, Philip D. Neuer, Jonathan Redwine, Irv Schwarzbaum, Dr. Michael Straker, Alice Weiss, Absent: Peter Ricci (excused absence), Mark Sussman (excused absence) Also Present: Paul Grygiel, Acting Planning Director for Township Alice Beirne, Esq. Board Attorney Jamilet Baquerizo Vite (proxy for Diana L. Chandler), Board Secretary John Hess, Consulting Engineer for the Township Sarabraj S. Thapar, Public Advocate (arrival 8:14PM); ANNOUNCEMENTS © Future Meetings: October 6, 2022 (Special) October 20, 2022 (regular) November 17, 2022 (regular) December 15, 2022 (regular) © Chairperson Neuer announced that a Special Meeting for ZB- 21-21 Daughters of Israel Inc. (1155 Pleasant Valley Way) is being scheduled for October 6, 2022 via Zoom platform. SWEARING IN e Township Professionals, Mr. Paul Grygiel, Township Planner and Mr. John Hess, Consulting Engineer for the Township were sworn under oath.

RESOLUTIONS e ZB-22-06 Weinberg — 17 Cleveland Terrace (Approved 8/18/2022) Block: 175.14; Lot: 10; Zone: R-5 17 Cleveland Terrace Motion: Chairperson Neuer Second: J. Redwine Eben: Y Straker:(Alt. 4) - Redwine: Y Sussman: Y Ricci: - Weiss: Y Schwarzbaum: - Chairperson Neuer: Y Yes: ; No: Notes: Application secking “C” variances for new driveway and related improvements was approved with conditions at the 8/18/2022 Regular Meeting. Resolution was adopted at the 9/15/2022 Regular Meeting. Revised plans with Landscaping Planning Director Post Approval Compliance Memo e ZB-22-05 — Trademark Sign, LLC/ Burlington (Denied without prejudice) 8/18/2022) Block: 155.21; Lot: 40; Zone: P-C 495 Prospect Avenue Motion: Chairperson Neuer Second: A. Weiss Eben: Y Straker:(Alt. 4) - Redwine: Y Sussman: > Ricci: - Weiss: Y Schwarzbaum: - Chairperson Neuer: y Yes: ; No: Notes: Application seeking “c” variance for new monument sign was denied without prejudice at the 8/18/2022 Regular Meeting. Resolution was adopted at the 9/15/2022 Regular Meeting.

APPLICATIONS 1) ZB 22-01 Siju/ 20 Lorelei Road (Carried from 7/21/2022) Block:172.03; Lot:23; Zone: R-5 Seeking “C” Variance for expansion of existing house. PRESENTATION e Mr. Christopher Dougherty, Architect, entered on the record on behalf of the applicant and was sworn under oath. Mr. Dougherty said that the zoning drawings have been submitted that show the change footprint as built by the contractor. Also, the require notification has been satisfied. No changes will be made to the building until the approval process is complete. Mr. Dougherty’s plan is to map out everything that they need to do, regarding the interior alterations, so that the Siju family will be able to occupy the residence. BOARD QUESTIONS © Chairperson Neuer asked about the status of the permits, since the constructions is not complete. Mr. Dougherty said that the permits are going to be revised and changed over to the new contractor’s name. He stated that the revised drawings will have to be submitted to the Township for review. e Mr. I. Schwarzbaum asked if the contractor walked the project and, based on his knowledge, knows what needs to be done at the property. He said that he has walked through the project and that the property needs framing, rectified and add beams and partitions need to be put in the right place. e Mrs. A. Weiss asked if the applicant has hired a structural engineer, to which the contractor answered he is not sure yet. e Mr. Eben asked if there are any trees being removed. Applicant answered in the negative but filling out the application was a requirement. e Chairperson Neuer if Mr. Dougherty will be performing regular inspections, to make sure that the construction is in accordance to the plans and permits. Mr. Dougherty answered in the affirmative. NO PUBLIC ADVOCATE QUESTIONS NO PROFESSIONALS QUESTIONS NO PUBLIC QUESTION NO PUBLIC COMMENT. CONDITIONS ° The applicant shall retain the services of a structural engineer, the structural engineer will submit a report or plans to the Zoning Board Engineer Mr. John Hess, indicating the findings in regards to the structure. ° All permits need to be reviewed and under the new contractor. ° Mr. Dougherty shall perform periodic and regular supervisions and inspections of the construction.

° No removal of any trees. Motion: Chairperson Neuer Second: A. Weiss Eben: N Straker:(Alt. 4) Y Redwine: Y Sussman: - Ricci: - Weiss: Y Schwarzbaum: Y Chairperson Neuer: Y Yes: 5; No:1 Notes: Application seeking “C” Variance for expansion of existing house was approved with conditions at the 9/15/2022 Regular Meeting 2.) ZB- 21-21 Daughters of Israel Inc. (1155 Pleasant Valley Way) (Carried from 8/18/2022) Block:171; Lot:12; Zone: R-2 1155 Pleasant Valley Way Seeking C1, C2, and D Variances with preliminary and final site plan approval to redevelop the campus into a continuum of care community offering independent living, assisted living and skilled nursing components. PRESENTATION e Mr. Howard Geneslaw Esq. entered on the record. Mr. Geneslaw gave a brief description of Daughters of Israel and the services that they have offered since their opening in 1962, they are a nursing facility thatare licensed for 303 beds. This application seeks approval to redevelop the existing facility into a Continuing Life Community also known as CCRC, which offers independent living, assisted living and skilled nursing components. The site consists of approximately 18 acres located in the R-2 zone district, which does not permit the proposed use and does not permit the existing use. The approvals that the applicant is seeking are preliminary and final major site plan approval, “D” variance approval for a use not permitted in the zone, use variance, height variance & “C” variances. During the technical reviews for this application there were two other items brought in the planner’s report dated June 17, 2022 indicating that variances were required for steep slopes in the 20% to 24.99% category and in the 25% category. Additionally in the engineer’s report dated June, 20, 2022, item 44, requires a design standard exception which concerns the inability to use great infrastructure. The applicant is requesting that any approval by the board have an extension of 10 years to allow time for construction. e Mr. Jason Halper, President of Daughters of Israel Inc. entered on the record, was sworn under oath and his credentials were accepted by the Board.

Mr. Halper offered testimony in regards to the services and mission of Daughters of Israel Inc to provide care-giving services to the Jewish elderly. Mr. Halper stated that Daughters of Israel is a non-profit organization, whose mission is to provide health and social related services to the Jewish elderly and others in need regardless of their ability to pay. Daughters of Israel is considered a Jewish entity, which means that they celebrate Jewish holidays, serve Kosher food, etc., but anyone is welcome into the facility. Currently half of the residents are Jewish and the other half are not affiliated in the Jewish religion. Daughters of Israel is basically a skilled nursing home and are licensed by the State of New Jersey. They provide long term skilled nursing care and are licensed for 303 beds but, as of now, they currently have 150 residents. Besides the long-term care, Daughters of Israel also provide rehabilitation services, hospice care and recreational programs for the residents. In addition to operating the home, Daughters of Israel is in partnership with the Jewish community foundation that covers the Essex County and other counties. They also operate a non-profit program called Metro Transport that provides rides for senior citizens and adults with special needs to doctor appointments, the JCC in West Orange and other destinations in the county. This programs currently provides 6,000 rides per year. Mr. Halper explained that the recently low demand in skilled nursing homes is because there has been an increase in in-home care and there are other types of senior facilities including independent assisted living and skilled nursing homes that have become the last resort for seniors. So, the reasons why Daughters of Israel is doing this project in their facility is because the demand on the market has changed and the buildings current size, layout and functionality no longer matches the number of residents they are serving. The second reason is basic economics, since 70 to 75 percent of the residents pay through Medicaid, so the cost exceeds the amount they get paid from the Medicaid program. To be able to cover their losses, Daughter of Israel do fundraisers, have government grants and have support from the Jewish federation, but they know this is not a sustainable long-term model. In 2018, Daughters of Israel had studies in market done by a company

isers, have government grants and have support from the Jewish federation, but they know this is not a sustainable long-term model. In 2018, Daughters of Israel had studies in market done by a company called PMD Advisory Services, where they recommended that Daughters of Israel needed to substantially reduce its skilled nursing footprint and, if Daughters of Israel wants to still be a viable entity going forward, they need to get into the independent living and assisted living business and provide these cares and services to the residents. Daughters of Israel were also told that if they do nothing that they will probably be out of business within the next 10 to 15 years. Mr. Halper mentioned that the consultant came up with three options. One was to build a smaller facility at a different location, the second option was to sell the facility to a for-profit organization and the last option was to stay and build new buildings at the current location, which included a smaller skilled nursing building and build an independent living and assisted living facility. The consultants recommended the third option based on the current location of the building. The plan for this application is to build 182 independent living units, 64 assisted living units and

out of those 64 units, 20 units will be memory care beds which are additional services within the assisted living unit, and a new skilled nursing building with 80 units. Along with the new buildings, there will be new common areas, first class amenities, it will also include an auditorium, movie theater, pool, salon, dining options and a lot of outdoor spaces. This project will be built in three different phases. The goal as an organization is to become the premier CCRC (Continuity Care Retirement Community) in northern New Jersey. This project will have a potential cost of $200,000,000, which will be primarily financed through debt financing. The members of the organization will also donate and the rest of the money will come from fundraisers. Daughters of Israel held a meeting in their facility in August of 2021 with their surrounding neighbors, where they presented the project and invited comments from the residents. Daughters of Israel also met with the Site Plan Advisory Board and as a result of these meetings the only concerns was to reduce the height of the buildings, since in the original plans one of the buildings was going to be 5 story and now is going to be 4 story high. They have also included sustainability measure such as green roofs and solar panels. BOARD QUESTIONS Mrs. A. Weiss asked if the upcoming new facilities for the same use such as the project previously approved by the board in the old Atrium coming into town was taking into consideration in their calculations. Mr. Halper said that they were aware on what other facilities are doing in the area and the reports included West Orange and other surrounding communities, but Mr. Halper is not sure if that specific facility was included in the report. Mr. Schwarzbaum asked if the assisted living will be market rate. Mr. Halper said that both independent living and assisted living will be market rate. Mr. Schwarzbaum also asked why would the for-profit organizations, that were willing to buy Daughters of Israel, make the business work. Mr. Halper said that those for-profit organizations will not accept 70% to 75% Medicaid paying residents. Chairperson Neuer asked how was it determined that a 43,000 square feet community centers was needed for this facility. Mr. Halper said that based on other facilities, amenities are what attracts new residents and 43,000 square feet is the appropriate

a 43,000 square feet community centers was needed for this facility. Mr. Halper said that based on other facilities, amenities are what attracts new residents and 43,000 square feet is the appropriate size to get all of the first-class amenities that will be necessary to make this project successful. Mr. Neuer asked if the Pub, that will be part of the amenities, will serve alcohol. Mr. Halper said that it will potentially serve alcohol and it will also include dining room. PUBLIC ADVOCATE QUESTIONS Mr. Thapar asked since the organization is currently serving approximately 90 to 100 residents with Medicaid and with the new project only having space for approximately 80 residents, what will happen to the remaining residents. Mr. Halper answered by saying that, based on their calculations, they expect that the

demand on skilled nursing will decline and they believe that is the right number of spaces they need for this specific care. If it gets to the point that they need more space for skilled nursing, they will use the assisted living units. Mr. Thapar also asked out of the 182 independent living units plus the 64 assisted living units, what percentage will be Medicaid. Mr. Halper said that the independent living will be market based and assisted living most will be market based and there will be certain percentage that will qualify for Medicaid. Lastly, Mr. Thapar asked what percentage of the skilled nursing care will be Medicaid. Mr. Halper said that he doesn’t have an exact percentage, but it will be a significant number of residents with Medicaid. NO PROFESSIONALS QUESTIONS PUBLIC QUESTION Kevin Malanga at 57 Ridge Road asked how many independent facilities, assisted living and skilled nursing beds are currently available in West Orange. Mr. Halper said that he is not sure of the exact amount. Mr. Malanga also asked what are the losses that Daughters of Israel face per year. Mr. Halper said that approximately $1,000,000 in operating losses. Mr. Malanga asked what are the cash projections for the propose facility. Mr. Halper said that they are hopeful that starting in the next 5 years, the facility will have a balance for each year going forward. Mr. Darren Tobia at Columbia Street asked why Daughters of Israel didn’t decide to build a new facility in West Orange. Mr. Halper said he is not sure if properties are available and the idea is to stay in their current location. Ms. Joyce Rudin at Woodland Avenue asked if Daughters of Israel have considered using the current skilled nursing units for assisted living units. Mr. Halper said that it was considered a long time ago, but the problem is that the building is outdated and it will not have a good flow. Mr. Majekodummi at Parson Drive asked if there are any future meetings with the surrounding neighbors regarding the project. Mr. Halper said that he is not aware of any additional meetings schedule, but they will have the neighbors and the residents in town up to date, he also added that all the plans and changes are made public and if the residents have questions, they can reach out to the executive director. Mr. Milky Faibis at 24 Skyline Drive asked how many residents from Daughters of Israel were

changes are made public and if the residents have questions, they can reach out to the executive director. Mr. Milky Faibis at 24 Skyline Drive asked how many residents from Daughters of Israel were under Medicaid 30 years ago. Mr. Halper response was that he is not sure. Mr. Faibis also asked if Daughters of Israel were non-profitable 30 years ago versus today. Mr. Halper said that Daughters of Israel is a non-profit organization, which they don’t have shareholders, they have revenue and expenses. Lastly, Mr. Faibis asked if Daughters of Israel is considering reducing the number of Medicaid residents and increase paying residents, so they wouldn’t have to expand the building. Mr. Halper said that the general. goal is to take the