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Supporting Documentation · Feb 13, 2025

2325 COM Cover Letter re Zinnia Health Objection w Exs

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February 3, 2025 VIA HAND DELIVERY AND EMAIL Ms. Diana Chandler Zoning Board of Adjustment Secretary Township of West Orange 66 Main Street West Orange, New Jersey 07052 Re: Zinnia Health LLC –Board of Adjustment Application for 33 Mount Pleasant Avenue, Block 88, Lot 26, Township of West Orange, NJ Dear Ms. Chandler: We represent the Committee of Managers of Llewellyn Park (the “COM”). We are writing you to provide a number of documents the COM would like you to include as part of the record on the above-referenced application which the COM referred to previously and/or intends to further address at the continued hearing on February 13, 2025. Initially, as agreed at the prior January 16, 2025 hearing, we have enclosed herein at “Exhibit 1” a summary report of planning testimony that the COM intends to have its planner, Michael J. Pessolano, P.P. testify to at the continued hearing. We have also enclosed herein at “Exhibit 2” certain legal Complaints that were referred to at the prior hearing involving Zinnia Health LLC (the “Applicant”). We believe these legal Complaints provide context to the type of operation the Applicant runs and contradicts the Applicant’s testimony regarding the benefits of this proposed center operating in the West Orange community. The first Complaint entitled Linda Rodgers-Cromer, LCADC v. Zinnia Health LLC, Daniel Cincotta, Deena Scher, docket number ESX-L-004622-23 (the “Whistleblower Complaint”), was a Complaint filed by Ms. Linda Rodgers-Cromer that contains a number of deeply troubling allegations related the Applicant’s treatment facility located at 206 Bergen Avenue, Kearny, New reply to: Matthew P. Dolan Direct Dial: 973-602-3478 MDolan@meyner.com Meyner and Landis LLP Attorneys At Law One Gateway Center Suite 2500 Newark, New Jersey 07102 www.meyner.com 973-624-2800 Fax: 973-624-0356 New York: 100 Park Avenue 16th Floor New York, New York 10017 (516) 683-0171

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Ms. Diana Chandler, Zoning Board of Adjustment Secretary February 3, 2025 Page 2 Jersey 07032 (the “Kearny Facility”). The Whistleblower Complaint alleges that Ms. Rogers, a 63-year old African American woman and licensed Marriage and Family Therapist/Licensed Clinical Alcohol & Drug Counselor, was illegally terminated from her position as an Outpatient Licensed Clinician after reporting that an operational manager and a “gym buddy” of the Applicant’s management team was engaged in a romantic/sexual relationship with one of Ms. Rogers’ clients at the Kearny Facility. The second legal complaint attached at “Exhibit 2” is a lawsuit filed by Sysco Metro New York LLC entitled Sysco Metro New York, LLC v. Zinnia Health, LLC, et. al, docket number BER- L-000272-24 (the “Non-Payment Complaint”). The Non-Payment Complaint alleges that the Kearny Facility failed to pay the Plaintiff $63,714.07 under a contract with Sysco Metro New York, LLC, presumably for food services. We have also enclosed herein at “Exhibit 3” a November 29, 2016 legal complaint and February 6, 2017 final judgment related to an action brought by the Securities and Exchange Commission (the “SEC”) against Harrison Katzen as a result of a fraudulent investment scheme that defrauded approximately sixty (60) investors located in the United States and abroad of approximately $3.2 million. Pursuant to the Final Judgment, Mr. Katzen was ordered to pay a total of $350,000 in disgorgement, prejudgment interest, and a civil penalty to the SEC. Based on the unique name and a FINRA Brokercheck search that reflects Mr. Katzen’s employment history to include prior employment at Lehmen Brothers (which is also reflected on Mr. Katzen’s public LinkedIn profile), we believe the Applicant’s representative is the same Mr. Katzen who was charged with the aforementioned violation of federal securities laws. The COM remains deeply concerned about the Application proposed by the Applicant herein. The operation of a short-term rehabilitation and “detox” facility with a revolving door of close to 800 separate residents in any given year1 represents a drastic change from the long-term nursing home that the facility was previously used for. Numerous safety and security concerns come to mind with this volume of troubled transient individuals living adjacent to a residential area and approximately one mile from an elementary

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usly used for. Numerous safety and security concerns come to mind with this volume of troubled transient individuals living adjacent to a residential area and approximately one mile from an elementary school. Further troubling are the serious allegations related to patient care and the manner in which employees have allegedly been treated at the Kearny Facility. Ms. Rogers’ allegations of threats to jeopardize her clinical license for bringing to light serious ethical violations on the part of a manager who was allegedly a “gym buddy” of the Applicant’s management team is disturbing to say the least. 1 We calculated this based on the Applicant’s testimony that they expect to have up to 80 residents at any given time with an average stay of 30-45 days. If the average stay is 37.5 days this means that there will be approximately 9.7 turns of each bed in any given year. 80 times 9.7 equals 776. Even at 85% occupancy though (68 residents), this still equates to approximately 660 residents coming and going from the facility in any one year.

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Ms. Diana Chandler, Zoning Board of Adjustment Secretary February 3, 2025 Page 3 The checkered history on the part of the Applicant’s co-founder as a result of the Final Judgment for fraud calls into question the veracity of his prior testimony and creates substantial concerns with the ability of this Applicant to operate the proposed facility without incident. The COM believes the operation of a short-term mental health and detox facility similar to the Kearny Facility by a co-founder charged with securities fraud will have a substantial detrimental impact on the public welfare within this community. Very truly yours, MEYNER AND LANDIS LLP /s/ Matthew P. Dolan Matthew P. Dolan cc: Alexander Fisher, Esq. (via email) William C. Sullivan, Jr., Esq. (via email) Committee of Managers of Llewellyn Park

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Exhibit 1 MJP Planning Memorandum re Zinnia Health, West Orange_Progress

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1 Planning Memorandum To: Llewlyn Park Committee of Managers From: Michael J. Pessolano, PP/AICP Re: Zinnia Health - Application to establish a mental health and substance abuse treatment center at 33 Mount Pleasant Ave, West Orange, NJ Date: February 3, 2025 I. INTRODUCTION Applicant Zinnia Health requests the following action of the West Orange Zoning Board of Adjustment (ZBA): A. Appeal/Interpretation that its use is a hospital, which, if unsuccessful for Zinnia, will be followed by item 2 below. B. A finding that the proposed use is a Conditional Use (nursing home or long- term residential care facility) in the B-2 Zone, in which case, a D3 Conditional Use variance would be required due to all criteria for such use not being met. C. If the Conditional use route fails, then a D1 Variance is sought. At this writing, the application has been partially presented in two meetings. The third meeting, scheduled for February 13, 2025, is expected to focus on planning testimony and cross-examination. This memo is an initial response to the application, as presented to date and the Applicant’s planning report. This memo is not intended to be comprehensive in its scope but rather to set forth initial responses to the issues and concerns regarding what is proposed, in order to assist the Board in evaluating this proposal. The content herein will be further expanded upon in testimony by the author following testimony by the Applicant’s Professional Planner. MJP LAND USE PLANNING LLC Michael J. Pessolano, P.P., AICP, Principal 140 Elmwood Ave., Flr 2., Bogota, NJ 07603 cell: 201.290.9460 pazz@meganet.net

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2 II. SITE AND AREA: A. Single “L-shaped” tax lot, most recently occupied by Canterbury Assisted Living Facility. [Note: the application rider and planning report assert that the former use was a nursing home. On-line information associated with the site identifies the Canterbury facility as an assisted living facility and provide interior photos of an upscale residential setting and not that of a nursing home]. Building is now vacant; lot contains 2.181 acres (95,010 sq. ft.). Lot traversed by open stream at rear. B. Site is improved with a one-story principal structure, presumably still fitted for use as an assisted living facility. Site also has a narrow paved driveway to a drop-off entrance and 26-space paved parking area. Untrimmed vegetation is evident at multiple sections of the site perimeter. III. USE TERMS: The following uses mentioned below in items III.1 to III.6 are uses that are permitted in the OB-2 Zone District of West Orange. “Hospital” and “Office Building” are principal permitted uses, while the other 4 uses are permitted as principal conditional uses. They are each discussed as to their relationship to the proposed use in the subject application. 1. HOSPITAL – Proposed use is not a hospital. a. While the Chapter 25 West Orange Development Regulations do not specifically define “hospital,” the description of the proposed use given by the applicant would offer 2 principal services for its patrons – mental health treatment and substance abuse treatment for resident patrons. Hospitals commonly contain much more facilities and services for patients, such as diagnostics, surgical services, emergency services, lab services. Furthermore, hospitals typically welcome visitor interactions with inpatients, whereas the patrons of the proposed facility will not have visitors. The word “patient” is emphasized to distinguish them from being considered residents. b. Caution is urged in relying on definitions crafted by the State of New Jersey or its agencies. Definitions for medical facilities regulated or overseen by the State of New Jersey do not necessarily have a

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3 zoning and land use regulation context but are crafted to support implementation of State policies regarding administration aspects. c. West Orange Master Plan Re-examination Reports, prepared in 2010 and 2019, note that an overhaul of development regulations, including definitions, has not been conducted for at least 45 years, as of 2025. 45 years ago or earlier, it may have been unnecessary for the Governing Body of the Township to define a hospital because it was such an obvious and rare facility. Since that time, medical care and treatment facilities have evolved such that certain medical services normally associated with hospitals have appeared as stand-alone uses, such as surgery centers, physical therapy/rehabilitation centers, centers for sleep medicine, etc.. d. There is no valid basis for considering the proposed use a hospital nor for relying on State definitions that have nothing to do with the municipal zoning function or purposes. 2. Congregate Care Facility – The proposed use is not a congregate care Facility, which is a type of housing facility and not principally a treatment facility. This use is defined in Chapter 25, as follows: “CONGREGATE CARE — Shall mean housing which is specially designed multi- unit housing for independent to semi-independent people including community social and dining facilities. Individual living units include at a minimum, a living room/bedroom, bathroom, and kitchenette. These facilities must offer at least one hot meal per day to each occupant and some housekeeping services within each unit.” 3. Nursing Home – Proposed use is not a nursing home. a. Nursing homes provide a niche of services for aged and infirm persons, typically providing nursing care and allowing visits by family and friends of inpatients. In sharp contrast, the proposed use intends, as its principal purpose, to provide very specific therapies and treatments to those who have significant mental health disorders or addiction to substances and residents will not

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4 have visitors. See the Chapter 25 definition of Nursing Home/Long- term Care Residential Health Care Facility , below under item 5. 4. Assisted Living Facility – Proposed use is not an assisted living facility. a. Assisted living facilities are a type of housing that are typically occupied by those who want a place to live as independently as possible but have ready access to assistance with day-to-day activities and routines, as needed and may receive visitors. They may or may not have the ability/facilities to cook their own meals. Residents of assisted living facilities are not there to principally receive mental health or substance abuse treatments for a prescribed short time frame of 30-60 days. Rather, they may live at such a facility indefinitely, until another level of care in a different facility is required or death. Chapter 25 of the Township Code includes the following definition of “Assisted Living,” which clearly does not describe the proposed use in any way:” “ASSISTED LIVING — Shall mean a facility which is licensed by the State of New Jersey, as an Assisted Living Facility, to provide apartment style housing and congregate dining and to assure that assisted living services are available when needed, for four or more adult persons unrelated to the proprietor. Apartment units offer at a minimum, one furnished room, a private bathroom, a kitchenette without a stove, and a lockable door on the unit entrance.” 5. Long-Term Care Residential Care Facility – Proposed use is not a long-term care facility. Chapter 25 contains the following two definitions covering long-term care uses: “NURSING HOME AND/OR LONG-TERM CARE RESIDENTIAL HEALTHCARE FACILITY — Shall mean a facility, licensed by the Department of Health of the State of New Jersey as a facility, to provide health care under medical supervision and continuous nursing supervision and nursing home level care for 24 or more consecutive hours to two or more residents who are not related to the governing authority by marriage, blood, or adoption.

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5 The residents require continuous nursing care and services above the level of room and board because of their physical condition. NURSING HOME-LEVEL CARE — Shall mean care provided to individuals who have chronic medical condition(s) required by the New Jersey Department of Health for the operation of a long-term health care facility.” a. While the proposed use purports to be residential and provide care, it is not designed to retain its patrons for a long-term period of time. Instead, the use, as described by the Operator, would typically involve stays of limited duration – 30-60 days. The proposed use allows no visitors, whereas visitors to residents of long-term care facilities are encouraged. Finally, the residents of the proposed use would not necessarily require continuous nursing care as they are said to be able to check themselves out at any time. 6. The OB-2 Zone allows “Office Building” as principal permitted use. The proposed use is not an office building but rather a short-term residential facility for treatment of mental health disorders and substance addictions. The surrounding medical uses in the neighborhood are true office buildings, as they have no residential component and limited hours of operation, making them significantly different in nature, rather than similar, to the proposed use. 7. The application by Zinnia Health seeks to appear like other uses in order to provide a “hook” or rationale for a claim that it is somehow permitted by the Township Code. The attempted association with the above uses must fail because the proposed use is uniquely and substantially different in nature than any of the above uses discussed in items 1-6 above. IV. PLANNING JUSTIFICATIONS - by the Applicant’s Planning Report: 1. REQUEST FOR AN INTERPRETATION THAT THE PROPOSED USE IS A HOSPITAL AND THEREFORE A PERMITTED USE IN THE OB-2 ZONE.

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