Weatherly Borough Council on Monday approved a tax break for developers of the Schwab School housing project.

Council approved an ordinance allowing for a 10-year tax abatement for blighted areas in the borough under the Local Economic Revitalization Tax Assistance Program.

Council previously designated Spring Street in the area of the former C.M. Schwab School as blighted under the program.

The massive brick structure, a focal point in town, has stood dormant for three decades since closing as a school that served the community.

Earlier this year, local and state officials announced a $11.3 million affordable housing project that will transform the old school into 30 apartments.

The project will receive $858,232 in PennHOMES funds from the Pennsylvania Housing Finance Agency and also a Reservation of Tax Credits of $1,128,346, also from the state finance agency.

Another $250,000 in state demolition funds from Carbon and Schuylkill counties were awarded to the project, being undertaken by the Alliance for Building Communities.

The nonprofit ABC will fund the remaining $9.1 million to complete the project through donations and private investments.

ABC, which has been in existence since 1975 and serves six counties in northeastern Pennsylvania, sought the LERTA designation as it moved on the housing project, which is expected to begin next year.

ABC has properties in Bethlehem, Slatington and Tamaqua, including the Tamaqua Hi-Rise, Liberty Place and the Hazle Street Apartments.

Chestnut Alley

Council also discussed making Chestnut Alley behind the Schwab School a one-way from Spring Street to East Main Street, but did not act on the change.

“Actually two cars can’t pass if they come together, so that was the reason behind it,” Mayor Paul Hadzick said. “I think one of the residents made a request and it does make sense to me, but I don’t know if makes any sense to the rest of council.”

Councilman Norman Richie questioned the process of changing the street, and if a survey detailing the number of accidents, injuries and property damage would be needed to be done.

Solicitor James Nanovic said there are some rules that require an engineering study, but often a study can be done by the police, who would inspect the area and review accident reports.

Police Chief Brian Markovchick said that he wasn’t aware of any crashes or issues regarding the street, and councilmen also said they weren’t aware of problems.

A resident asked if changing the street to a one-way would affect the plans for the school project parking lot, and Hadzick said that he believed they would be using Spring Street.

“Making it a one-way may actually make it easier if they do exit from the back,” he said. “I don’t know what they’re going do. I really don’t.”

Council did not take any action on changing the street to a one-way, but hopes to get input from residents before their next meeting.

Other

In other business, council:

• Approved an ordinance that would prohibit camping on public property. Other communities have taken similar measures recently to prevent homeless encampments, Nanovic said.

• Approved the minimum municipal obligation toward the non-uniform and police pension plans. Borough Manager Harold Pudliner said the state assistance the borough received covered this amount for the borough, and they will be looking at their plans moving forward.

• Heard from Richie reporting that his committee reached out to Packer Township to begin talks, but has not received any response. The last attempt was on Sept. 11.