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Minutes for Midyear Budget Review on September 15, 2025 <br />Page 3 of 5 <br /> <br /> <br /> <br />Reclamite <br /> <br />Public Works Director Scott Anderson provided an update on new public works technology that <br />was being considered as a replacement for traditional seal coating noting that it was also less <br />expensive. He explained that while traditional seal coating had worked well for many years, <br />changes in bituminous pavement design led to issues. Specifically, moisture became trapped <br />beneath the surface, causing premature failure. As a result, the City discontinued seal coating in <br />2017. The new method, which uses a maltene-based emulsion, penetrates the surface rather than <br />sealing the top layer. A thin layer of limestone dust is then applied to complete the treatment. <br />This process replenishes lost maltenes, keeping the asphalt more pliable and flexible. <br /> <br />Anderson noted that an eight-year study showed the method was most effective on new <br />pavement, extending pavement life by an additional five to seven years. He shared comparisons <br />of treated versus untreated asphalt, which showed significant difference after two years. The <br />process was already used in other communities and gaining popularity across the Twin Cities, <br />and he had observed its effectiveness elsewhere. He stated that if Council was interested, he <br />would like to identify a project for next year. Bear confirmed that a project had been included in <br />the budget. <br /> <br />Strub raised questions about the dependence of the treatment on changes in pavement design and <br />if there would be other changes in the future that would affect the way roads were treated. Bear <br />explained that the City relies on professional associations to stay informed about any changes. <br /> <br />Anderson clarified that the treatment could help maintain good roads in good condition but will <br />not improve roads that are already failing. <br /> <br />Strub asked whether the Public Works Department would apply the product themselves. <br />Anderson explained that it would be put out for competitive bid and limited to roads that are <br />between one and seven years old, with preference for treating one-year-old pavement. Initially, <br />the City would need to catch up on eligible roads. <br /> <br />Petryk asked if traditional seal coating could still be used on older roads, but Anderson stated it <br />was not advisable. He added that crews performed skim overlays on some older roads and had <br />observed positive results. <br /> <br />Personnel Policy <br /> <br />City Administrator Bryan Bear explained that staff was working on updates to the personnel <br />policy due to multiple state law changes and evolving administrative practices. Items to be <br />addressed in the updated policy included Paid Family Medical Leave, cannabis use, dress code, <br />termination of temporary and seasonal workers, Council out-of-state travel, and many new types <br />of mandated leave. In addition, staff conducted an in-house comparison with other cities on <br />benefits, focusing on those that offered personal leave. Staff found that overall Hugo offered a <br />very competitive benefits package, but personal leave benefits were below average. Some cities