Mayor, would you like to proceed? >> Yes, please. >> Good evening. This is the meeting of the Burough of Highlands mayor and regular council regular meeting on Wednesday, December 3rd, 2025. The notice requirements provided for in the open public meetings act have been satisfied. Notice of this meeting was properly
given by transmission to the Aspberry Park Press and the Two River Times and by posting at the Burough Highlands Municipal Building and filing with Burough Clerk all on November 12th, 2025. Items listed on the agenda are subject to change. Please stand for the pledge of allegiance. >> I pledge allegiance to the flag of the
United States of America and to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all. >> I will now do roll call. Council member Svantes >> here. >> Council member Shellac >> here.
>> Councelor Melik >> here. >> Council President Schesky >> here. >> Mayor Bulan >> here. Thank you. First, we have approval of minutes November 5th, 2025 meeting minutes. >> I'll offer them. >> I'll second. >> Council member Santes. >> Council Chilap. >> Yes.
>> Councilor Melnik. >> Yes. >> Council President Shepsky? >> Yes. >> Mayor Ber? >> Yes. >> Motion carries to approve November 5th, 2025 meeting minutes. Next, we have November 5, 2025 executive session minutes. >> I'll second.
>> Council member Svantes. >> Council Chillac. >> Yes. Yes. Councelor Melnick. >> Yes. >> Councilor Jeski. >> Yes. >> Mayor BL. >> Yes. >> Motion carries to approve November 5th, 2025 executive session minutes. Next, we have public hearing on proposed ordinance 02524
approving the application for a long-term tax exemption and authorizing the execution of a financial agreement. If you would like to take that away. >> Sure. Good evening. Fran McManaman McManam Scotland and Bowman. We serve as redevelopment council to the burrow. So this evening for council's consideration
uh for final adoption in second reading is an ordinance approving a long-term tax exemption and authorizing the execution of a financial agreement. So this follows the presentation on the or the meeting that was in the beginning of November where the council adopted a
redevelopment agreement for a project um for the shadow lawn development project where that former um mobile home park was located. The project is for 292 units with a 15% set aside of affordable housing and supportive parking. So that
was uh at the prior meeting the council adopted the redevelopment agreement and now this is the second reading for adoption for the financial agreement. This evening we have Mike Hanley from um NW who is serves as the bureau's financial adviser.
>> Thank you. My name is Mike Hanley. I'm a principal at NW Financial Group. We have worked with the municipality um and their professionals and administration over many months to um
prepare what you have for you today, which is a financial agreement that allows this project to go forward. There's a project that has been worked on by your planners, by your affordable
housing professionals to meet the needs of the town and the goals of the administration. And we're going to go through some of the details as it relates to the financials and um
let you know what the impacts are and why you would want this as a positive financial impact on the municipality if the council were to actually adopt this today. So >> I have to go operate the the operator.
the operator. So that's in the back. And I will >> What's the secret code for change the slide? >> I'm just going to sense it. Exactly. >> You decide to turn off the lights for All right. >> You might want to use the um up um up
and down arrow or right and left arrow to go to the next slide. >> Does that work? >> There we go. >> There you go. >> Yeah. Okay. Okay. So, this is a description of the project and the revenues associated with
the various revenue uh unit types that are involved. You have a 292 unit project of which 248 units are market rate and 44 are affordable units. This is part of
your affordable housing plan. Uh keeping you in compliance with the Mount Laurel rules. Uh there are also 393 parking spaces um that are inside of the project. You can see the market rate units are
averaging about $3.30 a square foot and the affordable units will be across a variety of income levels but will average to about $146 cents a square foot.
Um, it is a $150 million investment in your town. It is an expensive project to build. The site is challenging for a number of reasons. And you can see
$500,000 per unit is a reflection of the challenges associated with the site. And one of the reasons the financial agreement is necessary to cause the project to move forward
um an easier site would likely pres uh result in a unit cost closer to the low 400s. And in looking at any pilot, which you know, municipalities never want to give
or desire unless it's absolutely necessary. Um, but the way we evaluate these things is to determine if a project would be financially feasible without the assistant that's being offered. So,
there are a couple of key metrics that we're looking at here. Um the two most important are net project value and yield on cost. The net project value evaluates what a project is worth versus
what it costs to build. And um it's people don't invest in projects that are less valuable than the money that's being invested. So when you take a look at this, you could see in the
conventional tax column that you have a project value that is about 140 million and it cost 147 million to build. So people don't have wouldn't invest in a project that has a negative net value as
a general rule. Um because it's it's a bad trade, right? You don't want to buy something for more than it is worth. You also yield on cost is a key metric for getting a project financed.
In order to get debt and equity to invest in a project, you're looking for a yield on cost that is usually between six and a quarter and 7
and a half% in order to get um financing at a rate that works in order to attract equity. In this case, under the conventional tax scenario, you have a five and a quarter yield on cost, which is below what is feasible
under typical market conditions. And the pilot that being offered here produces 6.3% which is on the very low end of what's acceptable in the marketplace. Okay, this is a little hard to read for
all of us, I'm sure. Um, but the what you see here is a comparison of I'm going to move closer because I can't see it. >> That
Yeah, thank you. You saved me. And this will be on our website. I know it's hard to read uh especially here, but you could refer to this. It'll be on the website uh tomorrow. >> So, for the people that can see it, or for those that can't, you'll have to
believe me what it says. Um the developer came to us you know as I said many months ago they wanted a 5% pilot for 30 years and um we worked for many months to come
to a deal that we thought was in the best interest of the municipality. The 5% pilot would have produced about $33 million in revenue over that time period. Um, the negotiation
ended with a pilot that starts at 7% and increases to 8% in year 6, 8 1/2% in year five, 10% in u or 8 12% in year 11,
10% in year 16, 11 12% in year 21, and then 2 years at 13, and 3 years at 14. I should explain that the way pilots work is that instead of having an
assessed value and paying based on the tax rate, you receive a percentage of the gross revenue that is delivered to the project. So whatever dollars come into the project,
the municipality becomes a partner in those dollars and the revenue is audited by a licensed auditor and received by the municipality 90 days after the end of the fiscal
year. The so if the revenue goes up, the municipality goes does better. If the revenue goes down, they do worse. but you are a partner in that deal. Um, in most ways that's similar to the way
it works in conventional taxes in so far as when a commercial property is conventionally taxed, the owner of that property has the ability to appeal their taxes. And when they're not doing well, the taxes go
down. Um the difference here is when they are doing well the revenue goes up automatically. It doesn't require waiting for a revaluation or a new assessment to generate the benefit of that. So you are
a true partner in the revenue stream of the project and you know the municipality has worked hard at getting a project that I think is going to be successful that is planned correctly for this municipality and will generate as
much revenue as possible in order to benefit the municipality. um you're currently receiving slightly less than $200,000 in taxes
and $94,000 of those dollars represent the municipal share of revenue that's coming out of the property. When the project is built and stabilized, that number should be more in the $800,000
range. and the municipal share of that revenue will be over $800,000. So the benefit initially should be
$700,000 that don't that does not need to be raised from the existing taxpayers of the municipality. So it should either mitigate cost increases at the municipal level or cause taxes to decrease if
there are not costs that are need to be paid as a result. And um the cumulative dollars over time are significant. you're changing a projected revenue stream of $8 million
into a projected revenue stream of over $50 million. And that's, you know, if the council were to choose to um adopt this ordinance and move forward, it it would be and always is
for any council that does this a decision that meets the financial needs of the municipality and is determined to generate more revenue and help the existing taxpayers
um and lower your costs. Um this is the unit mix for the project. So there are ones, twos, and three bedrooms. They are uh you can see there's there's a there's also a split between
market rate and affordable units. you have obligations on their COA and the unit mix on the affordable units are split based on those rules. So you can see there will be eight onebedrooms, 27
twobedrooms, and nine threebedrooms. The market rate units are weighted more towards the smaller units. So you're seeing 99 onebedrooms, 124
twobedrooms, and 25 3bedrooms. Um what we're showing you here is both the number of bodies, projected residents, which would be around 640, and the number of public school children
that can be expected to be generated by the project. Um those numbers come from Ruckers who has studied tens of thousands of units in the state and analyzes units by income type, by
bedroom type. And um so as you can see each bedroom type has a different multiplier and each um uh income level the markets have different multipliers than the
affordable units. So the projection here is that there would be 36 students um public school students produced by the project. the experience in the world is actually less than that.
Rucker's initial study was done many years ago and they have updated it a number of times. Uh most recently in 2018 to reflect the difference in the types
of units that are being built and the number of public school children that are actually being produced in them. I think um also being a shore community you are likely to result in a lower
number rather than a higher number because of the fact that some people will treat it as a seasonal location and not a fullear location. So what we
um try to do is evaluate the costly municipality of taking on new residents and public school children in the context of what each resident costs on a per capita
basis and what each school child costs on a capital B on a per capita basis. I would say, you know, my experience is that this is extraordinarily conservative.
I think that government acts as a toll good and it costs a large amount to open up the doors regardless of the number of bodies that have to be in your doors. It's the largest cost generally of
municipal government is public safety and public works and they are much more highly connected to road miles and being able to respond in time and cover those road miles. So you've already been
providing services to this site for a very long period of time. you are going to end up with a very new building that is um has a high level of security
has is brand new and so is built based on current fire rules and generally new buildings that are producing a lot of revenue are less costly to a municipality than older
projects or abandoned projects. And that's so I don't actually think that these are the costs but we go through this analysis so that we have an understanding that if we were an
actually an incremental cost good this is what it would be. Um, the way we're evaluating the student costs is to take the cost of classroom instruction and the municipal share of that cost and
multiply it by the projected students that would be produced in the property. So, as you can see, there's a projection of um $640,000
in incremental cost associated with the project. Notwithstanding that, I as I said, I believe that's a very conservative number and the impact would be less in my professional opinion.
Um so then we take the revenue stream and compare it to the residential the projected residential and school costs to identify a net benefit to the municipality.
And when we go through that the burough share of the pilot is over $50 million over the 30-year period. The costs are approximately $24 million. And what that leaves is an offset of $26
million. That should exist to lower costs that would otherwise be borne than the by the existing taxpayers of the bureau. So, I can um hang up here for questions
or um whatever the council prefers. >> Um if you can, that would be that would be great. What I did want to add is uh Joanne and I uh well actually Joanne crunched a lot of numbers today for for us and uh from 2020
to um 2025 uh we have 44 less children in our grammar school alone and uh we have nearly 20 less children in the high school uh than we had from this year to
2020. So this the amount of children if it is 36 or anywhere around that number is really not going to impact our schools or our school costs at all because we've lost 56 over 54 rather
over the course of the last six years. So this would just be filling people back in. Um and again that's across both the high school and the grammar school. Um, so 36 children between the ages of
prek to 12 is a a minuscule amount and would not cause for new teachers. It would not cause for new building um because it's really making up for what we've lost in these last six years.
And I would add to that that your non municipal revenue streams are often at the state level and the federal level connected to the number of children you have. So to the extent children are
decreasing, even though your costs never do, I think you probably didn't get any money back while these children have left the system. Your revenue stream can go down because most state and federal
programs are based on the number of heads you have in the schools, not your base cost. Are there any other questions or comments from the table that uh you'd like to ask of either Mike or Francancy
before we open it up to the public and then we will open up the public portion? If you have a question, if you could just get up, go to the microphone and then state your name and address for uh the record. Uh we can get going. Sir,
if you'd like to head start off. >> Don Krueger, One Scenic Drive, Highlands, New Jersey. You need my apartment number. Um, I just had a question. Can you go back to that complicated first chart that you looked at? Um, this one. I was
confused. I don't know. Is anybody else confused by that? Can you just go over it again kind of explain what? >> Sure. So like going column by column um you have the percentage of revenue that was requested by the developer
which is the 5% over the 30 years. You then have the conclusion and that we came to and was ultimately accepted by the developer that increases the percentages over that
period of time. >> So year 17 we're going to get 10% of the revenues revenues. >> Yes, correct. >> Yeah. Then when we get to the other side, you have the current taxes and the
>> this is the current taxes once the building is complete. >> No, no, this is what exists today. >> Oh, okay. What it exists today, >> right? So the you have 200,000 today with >> the municipal budget receiving 94,000
of that. And then if the project were built, the the pilot would be 290,000 with the burrow receiving 280,000 of
those dollars, which produces which results in an additional $188,000 in revenue to the municipal budget by virtue of the project being built. So the current tax on that first 1980 all the way down. That's if nothing
happened. >> Correct. That's if we stay the way we are. >> And if we do it like this, it's going to be 2,659,127. >> Um >> two. >> Yes. Okay. Yeah. Sorry. >> Have we done a present value calculation? If we were to discount that
for the present value% discount. Don, if you could please speak into the microphone because it's going to be impossible for the court to pick up your comments. >> Could could you do a present value calculation to be what this would be? Taking those assumptions and say using a
4% 4 and a.5% discount rate. It would be certainly very positive, but I don't know. >> I mean, we >> Yes, it it can be done. They I'm not sure it would be more instructive, but they
um you know both escalations are running at the same amount. So if they were discounted back, it would it would look very similar. But yes, that that can be done without a problem. >> Okay. Thank you. My name is Robert Monk at 338 Shore
Drive. Um, I have a question on who's going to be paying for the children, no matter how many there are. The pilot money, I assume, is just going to the town and who's paying for the children, whatever it is. And the school may have less children, but I believe the budget is
also still higher every year. I believe that I'm paying right now we're paying 25,000 as the burrow share residents property from property taxes is about 20 over 25,000 per student in the student
now. So if you multiply that out that's going to be quite a bit. My share I figured it out to be if you multiplied it out is going to be $164 more that I'm going to be subsidizing because the pilot money is not going to the board of education is it? It never does.
>> Okay. So, why am I subsidizing? >> Robert, let me finish. It doesn't do it now without a pilot. What happens is the superintendent and the business administrator of the school figure out what it's going to cost for the next
year. Then they present that to the board of education. And then the board of education then votes on it. And if it's approved, the business administrator goes to our CFO and tells our CFO how much money they need to operate the school in the next school
year. Then our CFO, as he does with our burrow uh need with the Mammoth County, with the open space, figures out the percentages from those dollar amounts given to him by the school, what the
percentage of the bill is. So, it's not that it's automatically a certain percent. He has to make the percent from the dollar amount asked that is given to him by the school board. >> So, to that, Caroline, >> go ahead. >> We don't pay per kid. Enrollment is not
a factor, >> but it's still an average that we're paying $25,000 per student. Actually, it's more when you get the money's from the state aid and all the other money revenue, but the the 25 over 25,000 is from property taxes that goes to board
of ed. So, it would make logical sense even if it is lower. Uh if if if they are going to get money and it's not going to come from me, I don't really care. But it seems that it's going to be coming from me and all the other property taxes that we're subsidizing a
billionaire that's going to be building buildings up there. There is no subsidy like as I explained. It is just like how it is right now. No monies ever go directly to the school. The bureau collects the money and then writes a check to the school.
We write a check to the county. We write a check for Mammoth County open space and we give ourselves our own open space. So the bureau controls the tax that the tax comes in, but then we write out like in our payment of bills. If
you're going to see uh if you look at our payment of bills, we we're giving the um cuz they didn't get it in fast enough last month. We're paying two months because we pay once a month to the school board uh so that they can be
funded. So, it's just the mechanism in which it's the accounting in which it happens in that we collect all of the tax and then we write the checks out to all of the other individuals. >> Yeah. But they tell you how much they need though. >> Exactly. when they set their their own budget though, don't they?
>> They do set their own budget. We just collect the tax and then we give them the money, >> right? So, if they're if they're not getting the money from there. So, you're going to take this pilot money if they want more money than what they should instead of it the tax rate going up.
>> I think I understand what you're saying. Yes. So, so it is going to come from the taxpayers. This is going to stay constant. This this pilot payment. >> These these are estimates being going to to to the board of education. I don't
understand that. >> It's the same way your tax dollars do right now >> because they it's it's not because the the board of ed sets their rate of their budget. So, it's not coming. Michael, maybe you could maybe you could maybe you could explain it better than I can.
>> Yeah. So, I think the easiest way to think about it, and I'm sorry if I didn't explain it well, is the cost of new students will be much less than this revenue stream. >> I understand that. But where is the money coming from? That's what
>> the money is coming from this revenue stream. >> So, that's going to So, the pile of money is going to go towards students. Well, it the pilot money is coming to the taxpayer. It's one pot of money, right? The the board of education does a
budget. They send a bill to the town, right? The town pays that bill >> and I pay it. >> Correct. >> I pay it. I pay my taxes. It says school tax this amount, burrow tax this amount,
county tax this amount. >> I I agree with that. So, building up there is not going to get a tax bill saying that. >> No, that that's true. This building is going to get to pay an annual service charge. It's going to pay a pilot.
They're going to write a a check to the municipality. That check to the municipality would be greater than the costs that result from having this. >> Mike, can you go to that last slide where you show how to raise the cost? you have all the expenses and you net it
out. So even additional expense the total out of pocket from the taxpayers. >> Yeah. So the this is the cumulative revenue stream is the left column and then the residential cost and the school costs are the
following two columns. So, by having this building, we believe we're going to generate $50 million and the cost will be approximately half of that, $24 million.
So, the additional $26 million lower your taxes from what they would otherwise be after accounting for the costs. So, you should be better off and
the council would only be willing to vote on this in a positive way if you were going to be better off financially because everyone on the council is also a taxpayer, right? Like the the interests of everyone are aligned here
and you have a certain number of needs. You have a project that is unproductive. You have a a piece of property that is not producing significant revenue. You have affordable housing obligations. This project >> we >> Yes. >> Yes.
>> How many are they? >> There's what? 24. >> 24. Our obligation >> in this is 44. >> No, no, no. There's 44 here, but our obligation is 24. >> No, it's a lot more than that. It's in the hundreds. >> I thought we were at zero. We already had
>> no we had we had already met and we are at zero for right now but there's going to be another round and I believe 2030 so we're fine for now but by then and having this on the books will take care of our future obligation
>> that's all state >> I just I just feel that it's going to be costing me money and the taxpayers money for subsidizing building >> there is no subsidizing >> yeah I not subsidiz ing when if if I wouldn't come to if I was building my
house, I didn't come to you and say, "Hey, give me a tax break." >> I I agree and understand with the way you're stating that. >> I didn't do that. >> No, no, I you you didn't. Okay. But
>> nobody else in here did that either. >> That is a beautiful piece of property up there. >> That is absolutely correct. But you have a number of needs and meeting those needs in this fashion
will make your financial future better. The you are going to have revenue that you would not otherwise have that will offset costs that will occur in the future. So the idea here is and the
reason your council is willing to consider this and perhaps adopt it tonight is that they hope to bring your taxes down. That is the goal of this. It is to produce a property that will
generate more dollars that don't have to be raised by the existing taxpayer. Does anyone else have a question or a comment? >> It's Joan Bruno um one scenic drive. What happens after 30 years?
>> After 30 years, the project becomes a conventional taxpayer. >> A pilot is a payment in lie of tax. It's alternatively called an annual service charge. Um, but it is not receiving a
traditional tax bill. It is receiving a bill based on the revenue that comes into the project which makes it financable. >> Um, sir, I saw that you had your hand up. David Standig, one Scenic Drive
in Highlands. I have a couple of questions. The financials look fine, but part of me is wondering in terms of the redevelopment plan, we have some things from the East Point perspective that we need to understand. So my first question
is when is the redevelopment plan going to be presented so that we can review it and determine if we have any concerns before it's approved? >> The redevelopment plan was approved years ago. >> I'm talking about specifically for this
project. >> Are you talking about um let me be specific. I think you're you're talking about the things that are going to come up when the uh developer goes to the land use board. >> Well, let me be specific. I am concerned about a structural evaluation of East
Point before, during, and after this construction. I'm concerned about a geolog geological survey so that we can understand the impact of what's going to happen to our property while this is being built. I'm concerned about the traffic plan. I'd like to know what
that's going to be because adding 292 units. Obviously, more roads will be needed. I'd like to know where those are planned to be. I'd like to know that there is going to be a bond in place. And I think these have all been raised before, but I
didn't see anything today that says what the plan is to address these. So, I would like to know when we're going to see the plan as far as that goes. not the 2018 redevelopment plan in general, but specifics for this project. The numbers are fine. I don't have an issue
with the numbers. I do think having larger numbers in the out years, per Don suggestion, if we did discounted cash flows, the numbers are smaller, but it's still an increase over what's being collected today. I get the financials. My concern is that it does not impact
the building I'm living in. I don't want to see the building come crashing down. I think it would be nice if we know for a fact that the right work will be done and that it's written into the document that the developers have to do it. >> Sure. >> Francie, would you like to take over?
>> Absolutely. Great. >> So, mayor, as you referenced, the redevelopment plan for the site was already adopted by council. The redevelopment agreement for this project was already adopted and approved by council and executed. That was approved in the beginning of November. It's, I
believe, on the bureau's website. I think the issues you're specifically raising are part of going to be the preliminary and final site plan approval that will be presented before the planning board. So when this project um I assume it will take several months uh
between 6 months and a year before it ends up before the planning board. But these are issues that will be raised before the planning board and part of the preliminary and final site plan approval. Will they be presented to us before there is a vote so that we may have an opportunity to review it and if
necessary request changes be made? >> The plans it will be the hearing will be noticed like like any public hearing for the planning board and there will be plans that'll be available in connection with a public hearing before the planning board. >> Okay. The way I've seen it work right now is you have a meeting. You announce
there's a public meeting. Nothing's presented beforehand. Then it's voted on and it's posted the next day. I want to know if we're going to see things before they're voted on so that we can make sure that we understand what's happening and if necessary make our comments before the vote occurs. I'm not
specifically familiar with how the planning board works in this municipality. I'm not the planning board attorney, but generally plans are available in connection with the public hearing before the planning board. The council action is complete regarding the redevelopment agreement and the
financial agreement following this evening should it be adopted. The project would then the next um review of the project by a by a municipal body would be the planning board, not this governing, not this council. And that would be a public hearing with the site
plans available as public documents and uh open for public comment and concerns in connection with any planning board approval. >> And all of that information will be available before a vote is taking place. >> Yes or no?
>> It will be. >> I'll chime in as well. By law, the plans have to be made publicly available. If you want to go in and inspect any plans that are subject to a planning board application, that's your right as a member of the public to do so. >> Okay. So, it will have to be made public
prior to any voting. >> Yes. >> Good. So, it'll have the opportunity to say the following things need to be in there. My concern is apparently in the past this happened and there wasn't there were not interjections that said
the developer had to do these things. The deal fell apart. But I think it's important to note that we're at the top of this hill and if they're busy building something at the bottom it's going to disrupt our foundation. This is a major concern. There are 166 units. We
do generate a lot of taxes for the town. The building's in pretty good shape and we've been there for 50 years plus, but I think it would be nice if we could, you know, make sure that it would still be standing, >> of course. And the the other uh plans
that had happened prior to this were not done through this process of an area in need of redevelopment. There are many checks and balances that happened. There was never a developers agreement in all of those uh prior applications for this property. Uh, so we wanted to do things
in a completely transparent way. Good >> that has lots of public comment. We've gotten a lot of public comment throughout this process, throughout all of these years, and we welcome it. >> Good. >> So, I hope to see you at the uh land use board when this application comes up. >> I'll be there.
>> Thank you. >> And I'm going to need you Susan Ellis, One Scenic Driveless. Okay, I I'm an accountant. I'm a CPA. So, this is why I'm asking these questions. Um, so this chart assumes
that you that there will be revenue on year two. >> Yeah. Yes. >> Is that what the plan is from the developer that they're going to have they're going to have the property open on year two >> and be fully occupied on year two? Uh so
the no it it it assumes it's year one has some revenue and then you're almost stabilized in year two and fully stabilized in year three >> and that's the developer plan.
>> That's customary like you know you you lease a certain amount of units you know it will probably take two and a half to three years to get fully leased up. Okay. So, >> so does this chart take that into account? Is that how it was done?
>> Yes. >> And so, is there any worst case scenario analysis on this that if they didn't get started for another year? >> This what happen? >> This this is from year one after you have a CO. Okay. So,
>> starts at a CO. It will take two and a half to three years to complete the process. >> Okay. All right. So, >> yeah. No, nothing. You're not going to be impacted in a positive or a negative. >> Okay. Who's paying uh who's paying the
taxes on the property then? If the pilot is the pilot program in place on day one? >> No. >> Okay. When does the pilot take place >> at at uh substantial completion? >> Okay. And so if it takes three years to complete, who's paying
>> for the tax? >> Going to pay conventional land taxes. >> Okay. >> During that time period. Okay. All right. I think that's my question. Thank you. >> They're getting a regular old. Yeah, correct.
>> Anyone else? Oh, sure. Go ahead. >> David David Mener, one Scenic Drive, also the East Point Condominium. Seems like a few of us here tonight. Uh, I don't recall reading in the thing you voted on the development agreement from November, but does this assume that this
stays a rental property for the next 30 years or do they have the ability to do what many do, which is a condominium conversion, and then sell these for millions of dollars, which would flip your pilot deal? Is this stay is it in the agreement that it stays a rental
property? >> Yes, it is. for the duration for the duration of the pilot. >> 30 years >> after the pilot is over. >> Yeah. I'm just I won't be here. 30 years. >> Come on now, David. >> I know it. So, for the 30 years, it's a
rental property. >> Correct. >> Okay. And just one other point, I I've lived in East Point for just about 38 years now. So, I've been through a lot and I spent nine years on the Highland zoning board, so I've seen a lot of applications come through. Uh, and to
David's question, which is all of our concern, >> the last time there was a serious application, we were told that we were too late to bring to the table that we wanted the developer to have a bond to protect our property. I just I know it's
not going to be I just learned that it's not going to be up to you folks. It's going to go to the planning board. So, how did you as our council ensure his the answer to his questions? We don't we you know we're going to say again that you you Mr. Ball you just said that the
plans will be available for review. When exactly do we get the opportunity to look at it? Where is the road? What happens to our drive coming up? We'd like a little more than a short little amount of window there. This is a very critical situation. We're going to need
an engineering analysis of our structure prior to the be the start of construction or how will we know that a crack in the foundation occurred from the construction or was there previously. Make sense? So someone has to come and
do a structural we did a limited structural analysis of the building uh following the collapse of that building in Miami that disaster. So we wanted some comfort level in the building that we were in good shape but it did not excavate. There's different types of as
your engineer can shaking his head. Yes. As he can tell you there's many different types of analysis. We need something very seriously done so that we have a beginning point before they start. I mean I don't even know where the garages are going for these these massive structures. They're going I
assume excavation. >> Correct. So, we need to be protected and you as our council, I would hope, would want to protect our property and pass this on prior to the announcement of a date that we all have to then hopefully show up for and look at the plans two
days before. >> Absolutely. There's a >> guarantee us that you'll at least make that effort with the planning board. >> It's going to happen way before the planning board. There's a tremendous amount of geotechnical that needs to be done before a shovel hits the ground. >> Thank you. and we have made the
developer aware of all of the concerns, our concerns, the residents concerns that um D geotechnical, there's so many things that need to be that hap need to happen literally before a shovel hits the
ground. So that's why we've allotted them that three to six year period from the second we go go to the second that the building gets a seal. >> And Caroline, isn't that paid for by the
>> That's all paid by the developer, >> right? >> So part of that $150 million price tag is full-blown geotechnical, you know, doing every ounce of the process. a D is not easy to get through.
So, they know that um as Michael had said, it is a challenging uh plot of land. Absolutely it is. Uh but there has they've got to go through a lot of hoops before they can even get before the board because they're going to need a ton of approvals.
Um >> next sure, go ahead. Don Krueger again on Scenic Drive East Point. Just a point, Tom Arnon, who's the county commissioner, used to manage our property and he arranged for the county. We're not allowed to touch much
much of the land behind us is county property. The slope is county property and we were once fined for actually trying to cut some trees down there by the county because we were not allowed to touch it. and he sent a team over to look at our property, cut a few trees down carefully, but they kept telling
us, "Don't poke the bear." They said, "The land is very unstable. Don't poke the bear." And so, I would ask our engineer to talk to the county engineers about the slope and the fragility of that slope because we don't want to poke the bear and have it come tumbling down,
especially on the houses below us as well as us. >> Sure. And if you uh have seen the rendering uh as it is, it's just a rendering of what they're planning to uh what they're proposing to build, you will notice that
it is outside of the highest of the steep slope lines and it's set back in the middle of the property so that it's not touching any of the steep slope areas. >> Mike, I have a question. What uh what's the total amount of money
that the developer is going to spend on this project? >> I think it's around 150 million. It's should be on the >> um Yeah. Go. Oh, you pass it. Go to one more. >> So you you can see there's over $2
million in ground improvements alone. That's in So there's significant work here. And I can tell you uh this particular developer has done a ton of work in the metallance which is
an extremely challenging ground improvement program. You have very sophisticated developer here who knows >> point I wanted to make was simply that spending that much money on the developer part I would assume as a business person I'm a business person we
own our own business that he's going to take all that into consideration that he's going to have his geology people 90 yards there >> there's ridiculous for him not to do it. There's no question that would be a terrible error to deploy that amount of
dollars without understanding the geotech. And as I said, there are not more difficult um kind of ground improvement places to work than the Meadowlands. It's a extremely challenging place and that's
where many of his work has occurred. He's he's a very sophisticated developer. Be that as it may, >> retain walls to cost a lot more. >> Hang on. >> We we like I said, there's only been a
rendering and a concept. >> There are not full-blown architectural plans yet. So, it's we're really in a in the cart horse some of the questions that you're asking. But I've spent the last two and a half years in
negotiations with this developer to make him aware of all of the site conditions that we have on this property and all of the things he's going to need to do. There is no way he's going to put $26 million into soft cost, which is
engineering and all of those other things that needs to happen. So, we made sure that he understands exactly what needs to be done in order for this to be a successful project for everyone. >> I saw Dale. I think I saw you had your
hand up. Hello, I'm Dale Bath. I'm going to represent the other side of town. I'm not from One Scenic Drive. I'm from 200 Portland Road. And my concern is now this is 292 units in all probability
each one has one to two cars probably all commuting. Now, how is it going to work when everybody comes home from work and tries to make that jug handle turn by Lynon to turn into this um complex?
And are they going to spill over and go down to Portland Road, which is already in gridlock in the summer? And Highway 36 is in gridlock in the summer. >> A full traffic study is part of those soft costs that they have to complete.
Okay. But I just looking at the size of the turn, I just don't know how 300 cars are going to go around there. >> Um, also in uh in our negotiations with the developer, he made mention of um
of running their own jitney or shuttle, if you will, uh to bring commuters back and forth from Sea Streak up there. So it's one big bus instead of 20 cars. saying everybody's going on sea street. A lot of people are going Redbank to the
train and sure >> on the Parkway again full-blown traffic study and that's when we can bring these, you know, bring these together. These are things that we just spoke about um during our negotiations of things that
have to happen. We've mentioned about summer traffic. We've mentioned about, you know, having everybody waiting at that light. Mhm. >> Um that seems to have a lot of accidents at that light. Um especially coming the other way up Butter Buttermilk Valley.
Um and they have to have full-blown discussions with uh both the county and the state because Route 36 as it touches us is both a county road and it's also a state highway. So they also have to get approvals from them and getting past
Mammoth County planning is no easy task. Um, so again, that's part of all of why we're giving them so much time from when we say go until completing a building is because they have an enormous amount of work to do.
>> Okay. Thank you. And by the way, that jug handle is Middletown property. My friend had an accident there and Middletown police had to come. So Middletown's going to know that they're getting more traffic, too. >> Yeah, believe me, they know. Anyone
else? Please. >> Hi, my name is Noel Dempsey. I'm from 6 South Peach Street. Um, I just wanted to know a little bit more about you're talking about 292 units coming to the town and a lot of new moving people and
for like historically this town's been very small and very quiet and a lot of people that have lived here have lived here for a lot of their lives and I was just wondering what will this do to be like the town itself? Like how will we as residents benefit from this? like
will can you be assured that the investment will go back into the town like or will this just be like in Garfield or North Jersey where they have the rental units where they just come they sleep here and then they go back to New York and spend their money there like how can you be assured
that renters are truly invested in the town when the cost of living here is constantly rising and you said it yourself people are leaving the town and there's less students, so there's less investment in families, you know, making
roots here. So, I'm just concerned that this is just going to be more of a throughway for people and less of like a destination home for us. So, if you can just speak a little bit more to that. >> Okay. Um, first off, I never said that people were leaving. I said the number
of children in our public school has been lessening. The number of children is not lessening at all. um just by rights of having a store on Bay Avenue, I can tell you the biggest growing demographic in a Highlands is young
married with little kids. Uh little kids ranging from uh newborns to maybe four years old because I see every day everyone's going for a walk up and down Bay Avenue. And that's the best thing that I could probably tell you is that
if we're attracting that demographic, that is what is going to hold Highlands together. Um, in our last census, we were about I want to say 4600 uh people in Highlands. If you look back
to the 1980 and the 1970, 80,90 census, we had over a thousand more people than we have right now. >> So, it's not that it's going to overt tax us in my opinion. It's just that people are, you know, the people are moving around.
>> Yes, I understand. I don't think I'm speaking to less people. like I've lived here all my life and I've definitely seen more people here. But you also look at like the cost of living has gone up actually like exponentially. Um and it's
just concerning that like the I think the roots and investment integrity of Highlands is like kind of changing a little bit and so to have people more in motion and then um rental units. So I think it just defeats like the small
town purpose to then bring in so many more people and then instead of fostering like that what you noted is that there's more people coming but how many people who've been lifelong residents have like moved out because they're no longer able to afford highlands like that doesn't account for
like the loss or like the generational you know aggravation to it. I think it's it's a complicated question what I'm asking. I do understand >> and I don't know if I can answer it because I I can't guarantee that people are going to uh you know shop it in the
garden. I can't guarantee that people are going to uh you know walk their child to school. I can't even guarantee that someone that moves in is going to send their a child to our school. They might send their child to Holy Cross or Trinity or Redbank Catholic. I I they
could send them anywhere. Mhm. >> Um that's why I'm saying it just just because and and now after postco a three-bedroom apartment doesn't necessarily mean you're bringing kids to to the equation. It could be you know his and hers
uh studies and you know one bedroom for the the couple >> as I've seen that happens a lot. It's, you know, our draw has always been the water and our connection to the water. And people see that that don't have that
connection and they want it >> and that's what I think is driving a lot of people to come here and settle here. >> Okay. Thank you. >> I would throw in also that that problem is a big problem in New Jersey and the
state has done something for and people of my vintage hopefully hopefully You've heard about staying New Jersey because the the state of New Jersey is giving us back half of our taxes to try and help us stay here.
>> So New Jersey, I'll go back to the town I grew up in. You know, I don't know if I could live there now. >> It happened all over because we're so close to everything. >> We're just a high density >> place.
>> We're trying. >> Yeah, >> we're trying. I understand. I'm just >> There's so many great things in Highlands now. I love looking on Facebook the little groups that are all great stuff they're doing >> and I'm hoping I love to hike. I'm hoping the people who live there want to
come across and and go up into Highland has a lot of good whether you're renting or or you'reing >> and no, I'm not trying to like puppy guard the space or anything. I think it's just it's a lot to shove into like one area,
you know, like we're only so big and so instead of trying to lift everyone up, it's more of a let's see how many we can shove in a space. So, I just wanted to voice my concern. Thank you. Thank you. >> Thank you for saving me.
>> Does anyone else have anything else that they want to say? comment question. Okay, then I'll close the public comment. >> Do we have an offer? >> I'll second.
>> Council member Svantes. Yes. >> Council member Chalak. >> Yes. Council >> Melman. >> Yes. >> Council President Shepsky. >> Yes. >> Mayor Bulan. >> Yes. >> Motion carries. O24. Pass on second and final reading. Next we have introduction of proposed ordinance 02525.
Capital capital ordinance providing for construction costs for the South Peep drainage improvements project and appropriating 125,000. Therefore authorized in and by the borrowed highlands in the county of Mammoth, New Jersey. Okay, this actually
>> Joe, would you like to speak to this please? >> Is this working? >> Uh, this is a ordinance for >> Thank you for coming in everyone. >> Go ahead. Feel free to say >> take
>> uh this ordinance is for a ongoing issue uh basically by Twin Lights terrace where we have an openended pipe that comes down the hill and uh is impacting some uh residents. So, we're going to be connecting that open-ended pipe and connecting it underneath a failed
retaining wall at South Peak Street. So, basically, this bond will go into effect uh after the next meeting if this moves forward and then it would allow us to award this project to a contractor that has bid on it. >> Okay. Do we have an offer? I'll offer.
>> Hang on one second. I >> I can hardly hear you. I'm sorry. I have a volume >> because people were talking right behind me. >> No problem. Is this better? >> Okay. >> Yeah. Uh, up at Twin Lights, there's an open-ended pipe that's between a few houses. So, basically, when we have a heavy rain like we had on Tuesday, comes
out to an open-ended pipe similar to what you have over here in the bulkheads, and it's just basically going out and spilling down the hill onto South Peak Street. So, there's a drainage system on South Peak and a failed retaining wall. So, this project uh should have moved forward would
basically connect the open-ended pipe to that drainage system and then repair the retaining wall that failed a few months ago. >> I'll offer >> I'll second council >> member Sant. >> Yes. >> You know, because I live on South Peak.
I live on South Peak on the turn in the road. So, are you talking about a pipe at the beginning of the road close to Highland Avenue? >> That's correct. >> Okay. So, what do you plan on doing about all the water that comes down from the hill >> and
>> that converges at Twin Lights and Grand Tour South Peak? >> So, we just finished Portland Road and we have two years worth of local aid grants for Grand Tour. It's going to be a phase project. Uh there's a proposal into the into the borrow for
consideration. Uh basically we that's part of the next phases. So that's on the list. That's the next priority. >> There is a list to deal with all that water that converges in that intersection. >> Yes. >> Cuz our part-time job is shoveling >> and shoveling leaves from sewer grates.
>> Okay. >> And every >> Okay, hang hang on. We there's a there's a section for public portion and this isn't it. >> Oh, sorry. >> So um that comes at the end and we were in the middle of a vote. So Nancy, if you would like to continue. >> Council member Svantes,
>> yes. >> Council Chalap, >> yes. >> Councelor Melnik, >> yes. >> Council President. >> Mayor Bulan, >> yes. >> Motion carries. O2525 pass on first reading with a public hearing to be held on December 17, 2025.
Next, we have resolutions R25209 opposing the closure or relocation of Mammoth Medical Center Hospital in Long Branch. Um, I asked that this be put on because I
feel that this would not be a a good move and it would not serve the people of Highlands. Um, and so I will offer that myself. >> I'll second. >> Council member Svantes? Yes. >> Council Schlack? >> Yes. >> Councelor Melnick, yes. >> Council Presky, >> yes. >> Mayor Bulan,
>> yes. >> Motion carries to adopt resolution R25209. Next we have R25210 providing for the transfer of surplus funds. >> Um this was from um on recommendation of our CFO. It's the end of the year.
Sometimes we uh we get a little tight with the budget so we move things from one account to another account um in order to make sure that we don't go over on anything. So uh that's why the CFO asked for this uh resolution and I will offer it.
>> I'll second. Council member Svantes, >> yes. >> Council Chilac, yes. Councelor Melnik, yes. Council President Ovesky, yes. Mayor Bulan, >> yes. >> Motion carries to adopt resolution R25210. Next, we have consent agenda. Mayor, would you like me to read the resolutions by title? >> Yes, please.
>> R25211, approving request for a waiver of alcohol ban for community center rental. R 25212, authorizing refund of tax over payments. R 25213, authorizing the renewal of membership in the Mammoth Municipal Joint Insurance Fund. R25214
authorizing reimbursement of solid waste collection and disposal disposal services to Winmore at the Highlands Community Condominium Association. R25215 authorizing the award of a contract to 4Runner for its software platform. R216
authorizing payment of bills. >> Do I have an offer? >> I'll second. >> Council members Cvantes. Yes. >> Council Chalac. >> Yes. >> Councelor Melnik. >> Yes. >> Council President Chesky. Yes. >> Mayor Bulan. >> Yes. >> Motion carries to adopt resolutions
R25211 through R25216. Next we have mayor's report. I don't have it open. >> Okay. And I will send this to everyone at the end of the meeting. I was waiting for some late comers to give me their
numbers, but uh this is my report for the month of November. Um as we've just talked about, uh we signed the agreement with the developer for um Shadow Lawn, which I'm going to
start having to call Scenic Highlands, which is a much more pleasant um in my opinion uh name for it. And that happened on um November 5th. And uh as we discussed uh some of the highlights
is a five-story building, 292 units, 44 of which are affordable. Um there will be a public scenic overlook um for the public to use and there will be uh curbs and sidewalks installed in that walkway
from uh the corner of Lynen and 36 all the way up Scenic Drive. So no more people having to walk in the mud. Um and that's all part of our devel sorry developers agreement. Uh moving over to
Captain's Cove area of redevelopment. The prospective developer has has expressed some interest but they have not yet um submitted any plans. There's still negotiation with the current current owner of that property.
um for the Bay Avenue area in need of redevelopment. the developer at uh 289 Bay. Um he has been named uh as the developer of that property and he
um is he has already been approved by the land use board, but now because the county had issues with how he wanted to build, he's considering changing his plans and going back to the land use board for approvals. Um, and the reason that the county is involved is because
Bay Avenue is a county road as many of you know and uh they didn't like his plan and so they're asking him to change it up a bit. So stay tuned on that one. It's going to be coming back to the land use board. Um regionalization to include Sebrite uh
with our schools. Uh the New Jersey Supreme Court heard arguments on October 21st and we are just waiting for them to come back with a ruling and the court case is about if Sebrite has standing to leave Shore Regional in Oceanport and
come into our schools. So we're just waiting for them to make a determination on that so that we can finally after I don't know 40 60 years if we can get sebr right into our school system. um
emergency services incidents. Uh first aid squad had 25, fire 17, and our police department had 728. Um for code enforcement, we had six summons, seven warnings, 20 reports, 25
inspections, 10 permits, and 16 OPER requests answered. for the building department. We had um 68 inspections where 57 passed, 11 failed, and zero were not ready, and 14 permits were issued.
Um the 2025 merit awards for Mammoth County, we were lucky enough to win two of those. Uh the first uh was uh we were recognized for our foresight and innovation in creating the central business district flood plane design
guidelines to highlight all of the D changes in construction. Uh and secondly, we had the New Jersey asset activation plan which explored revitalizing the JT White uh clam depiration plant um and including the
possibility of a maritime museum with an educational component. Both awards are made possible by construction official Steve Winters and CRS coordinator Kathy Shaw. Um the county's throwing a shindig at their
next uh planning board meeting. So, if you've got nothing to do on, uh, Monday the 15th in the morning, uh, they're going to give us some nice awards. Um, current projects, um,
Marine Place is nearly there. Uh this is on the sea drift side where we put the elevated platform and put that concrete wall there to um to re uh stabilize uh the
very old and ratty looking um bulkhead there. Uh so we are just waiting for two pieces of the uh the railings to be uh put in and then we're done. Um, so we're just waiting for those to come from the
manufacturer so we can get those installed. Um, then there's uh Frank Hall Park and Overlook Park that's uh been kind of limping along uh due to weather, but we're hoping to have all the hardscape work done uh by uh late December. So
hopefully if the weather permits, we'll be able to get that into a a good spot and then close down for the winter time and then be able to come back in the spring and plant shrubs and all of the other good stuff that we're looking to plant. I'm sorry, I'm freezing.
Um Cove's valves. Uh we are uh looking to install some uh get rid of those terrible duck bill valves that don't work anyway and uh put in some new valves on all three of the outfalls there. Uh and we are just waiting which we now well kind of had until the rains
came but we were looking for some favorable low tides to do measurements so that we'll take the duck well we won't but >> the contractor will uh we'll take off the existing duck bills measure both the outside and the inside of each one of the outfalls. put the duck bills back
and then we can order the proper properly measured valves to replace those uh those old duck bills valves. So hopefully we can get those all measured in the next couple of weeks and then we can get uh put it make an order for them
and then they should be installed soon thereafter after they come back in. And uh where's u their local localish the tide dial company? Uh, well, they're US made. >> Yes. >> Yeah. >> I'm saying we're not gonna have to wait for something to come from overseas.
>> No. No. Rochester. >> Right. Okay. >> Um, everything else has sort of been on hold. So, there's no real new news coming on there. So, that's my report for the month of November.
And I'll get that to you and everybody else after the meeting. Does anyone else have anything they'd like to share? No. All good. >> Okay. So then now is the public portion period.
>> Individuals wishing to address the council shall be recognized by the presiding officer and shall give their name, address, and the group, if any, they represent. Although the council encourages public participation, it reserves the right through its presiding officer to terminate remarks to and or by any individual not in keeping with
the conduct of a proper and efficient meeting. If any individual refuses to conduct themselves in a proper manner, they will be removed from the meeting. The council will not during the public portion of this meeting discuss matters involving employment, appointments, termination of employment, negotiations,
terms and conditions of employment, evaluation of the performance of promotion or discipline of any specific or prospective or current employee. There's a threeminut time limit for your comments. If you'd like to continue, if you could just go to the microphone and have your
name and address for the record. >> My name is Captain Bane. Can you hear me? Is it on? >> Is there a little green light on the base? >> No. If you just press that button in front of the volume then >> there you go. >> Hello.
>> Yes. >> Nine South Peak Street. Kathy Eubain. So I'm right on the turn in the road and I guess you answered some of the questions is that you are going to address the issue of that water coming down the hill. >> Yes. >> You know cuz that is a huge problem now.
creates a big big lake in that area and you know I guess it needs major work in order to fund it fix that problem you know but in the meantime I think having people come up and try to rake it out and clean it out on a regular basis
when it's when it's raining would be really helpful. >> Okay, thanks. >> Thank you. I'll put that on DPSW's list of things to do. break out. Anyone else have uh a question, comment?
Sure, sir. Go ahead. >> Robert Monk, 338 Shore Drive. Um, I just have to compliment you on the uh the sidewalks on Shore Drive. They look great and they were really functional uh this summer. That was really good job. Um I also have one other comment. I
know that you guys took care of parking um that the engineer I don't know what they came up with on Matthews. It was supposed to be for Matthews. Now there's no parking on uh Locust which is behind my house on shore. And then there was
another sign uh on concrete uh no parking that was at the beginning at the our property, the town's property that 6 foot wide section that's supposed to be part of the property that we own. and there was a no parking thing there. And
now that parking spa that parking sign is moved to the middle of the property. So now there's like I wanted to go there and show my friends like oh this is this is going to be like the beach there and there was a box truck blocking which was
supposed to be for access for the residents. So, I don't know why the sign got moved, what happened to it, and I'm not sure why it is, but I don't want it I don't want it to like become like why we had to go through taking care of the properties over there because they were
overbuilt and then somebody just taking over this space as well. >> I I'm not sure where you're talking about that. the end of at the end of uh Matthews is our property that we uh sub that made
with the subdivision that we did three lots I believe it was or four lots >> and our our main lot is uh borders the sea street parking lot and then there's a a flag uh part that was used to be the
whole road but it wasn't a road it was uh >> like a paper paper road >> it was no it was property it was just the the road ended at Locust and so half of that section there went was sold off
to the the the owners at Locust there and then that other piece there was our piece to get access to our property, the town property. >> I will get with the chief of police and ask him uh what he's doing with that. >> Okay. And I'm not really sure why the uh
the I know they he he said that he was doing no parking on on Matthews, but then Locust became a no parking signs. >> Locust has always been a no parking >> put up. I don't know why they were put up without
>> I will check with the ordinance, but if you'd like me to leave me your number, I can call you back once I have an answer for you. >> Thank you. >> You got it. Anyone else a question or comment?
No. Okay, then I will end the public portion. Executive session. Executive session will be held following the regular council meeting. Prior to each executive session, the burough council will convene in open session at which time a resolution will be adopted in accordance
with NJSA 104-13. No formal action will be taken during exe executive session. Resolution to enter executive session. Be it resolved that the following portion of this meeting shall not be open to the public. Be it further resolved that private consideration is deemed required and is
permitted because of the following not exceptions set forth in the act. Litigation and UFCW contract negotiations. Be it further resolved that is anticipated that the matters to be considered in private may be disclosed to the public at a later date when the need for privacy no longer
exists. Thank you all for coming. >> Yes, I'll make that motion. No, >> just I don't know if the lady left her. >> No, that's fine. >> Thank you though. >> May I have a second?
>> All in favor? >> Thank you. >> 8:22. >> Okay. >> Motion to uh adjourn the public meeting. Second. All in favor? >> I.
>> Thank you. Meeting adjourned at 8:42.