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City limits. The Personnel Policy requires the same and also requires they reside within a five- <br />minute radius of the Fire Hall. The Fire Department is requesting a change to allow residents to <br />live outside the City but within a six -minute radius. Staff recommends Council approve changes <br />to the Personnel Policy and an ordinance amendment to only require members of the department <br />to live within a six -minute radius of the Fire Hall. <br />G.17 Approve Contributions to Insured Employees Health Savings Accounts <br />At the December 5, 2016, budget and tax levy public hearing the Council was advised that <br />HealthPartners had once again increased the deductibles for the city's health insurance plan. The <br />annual out-of-pocket costs increased $250 to $2,500 for single coverage and $500 to $4,500 for <br />family coverage. To defray these increases, staff is recommending Council approve contributing <br />an amount equal to the increase to each insured employee's Health Savings Account. <br />Contributions would be limited to those employees who are renewing coverage or are beginning <br />employment with the city. The total cost of $7,250 has been included in the 2017 operating <br />budget. <br />G.18 Approve Hiring of Neal Nelson as Public Works Apprentice <br />In 2007, the City Council created an apprenticeship program for the Public Works Department <br />with the intent to create an opportunity to hire and train talented individuals. This also allows the <br />City to hire individuals at a reduced rate while they learn. Neal Nelson has worked as a seasonal <br />employee for the past two summers and is interested in the apprentice position. The 2017 <br />Budget includes funding for this position. Public Works Director Scott Anderson recommends <br />Council approve the hiring of Neal Nelson as a Public Works Apprentice effective January 3, <br />2016. <br />G.19 Approve Replacement of Roadside Mowing Attachment <br />In 2006, Council approved the purchase of a John Deere 6420 Tractor equipped with Diamond <br />Co. mower decks. This piece of equipment is used for roadside ditch mowing and and continues <br />to be a very serviceable piece of equipment. Therefore, staff's recommendation is to keep the <br />current tractor in service and delay its replacement. Also purchased in 2006, along with this <br />tractor, were mower decks specifically used for roadside ditch mowing. These decks are now 10 <br />years old and in need of replacing. Staff has put forth considerable effort in researching a <br />replacement mower deck and feels confident in making a recommendation based on cost, <br />performance and reliability. The equipment listed on the quote from Diamond Mowers has been <br />reviewed with Finance Director, Ron Otkin, and he is in agreement with the Public Works staff <br />recommendation to delay the replacement of the John Deere 6420 tractor and replace the mower <br />attachment only. If approved by the City Council, this piece of equipment would be purchased <br />using a Mn/DOT contract through the Cooperative Purchasing Venture (CPV) assuring the City <br />of Hugo will receive the best price available while providing us with necessary options to choose <br />from. Staff recommends the City Council authorize the purchase of a 21' side fold boom mower <br />attachment and controls as outlined in the quote from Diamond Mowers dated November 17, <br />2016. <br />