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. . . City Council Minutes March 13, 2006 Page 7 Lori Johnson indicated that the city received $10,381.56 of tobacco settlement funds from BlueCross BlueShield (BCBS) of Minnesota. Ms. Johnson explained that the settlement funds have been set aside to fund programs that meet the requirements of the settlement. She stated that many employees have expressed interest in smoking cessation programs and staff recommends that be the first program funded with the money. Ms. Johnson stated that she recommends that these funds be spent on programs that will help control or reduce health insurance costs such as health awareness and screening, healthy eating, and other preventative health programs. Ms. Johnson indicated that the Health Rewards Committee, which is made up of city and utility employees, currently coordinates these programs for employees with a small allotment from the consortium ($1,000 - $1,500 a year). Councilmember Dietz stated that it would make sense for the.Elk River Municipal Utilities to pool their settlement money with the city's so programs can be offered to all employees. He stated that he will discuss this at the next Utilities Commission Meeting. Ms. Johnson stated that she believes another program that could be funded is an Employee Assistance Program (EAP) as BCBS currently does not offer this with the health insurance plan through the consortium. Councilmember Dietz questioned what services an EAP provides. Ms. Johnson explained that an EAP provides confidential services to employees on such things as mental illness, diseases, grief counseling, and legal issues. Councilmember Gumphrey indicated that his place of employment has an EAP and it is very beneficial to the employees. Councilmember Dietz questioned how funding on the EAP would continue once the tobacco funds run out. Ms. Johnson stated that it could be included in the budget or it may become part of the employee's health insurance plan if the city changes plans. Councilmember Motin indicated that he would like to see the EAP included in the budget and have the tobacco settlement money set aside for other programs. 6. Council Updates There were no Council updates. 7. Staff Updates City Administrator Lori Johnson provided an update on the Pinewood Purchase. Ms. Johnson explained that upon review of the lease and purchase agreements, staff found two issues of question. The first has to do with the rental of tee-boxes and this is in the process of being investigated. She stated that the second issue has to do with the protective covenants. She indicated that she spoke to City Attorney Peter Beck and has been informed that there may not be a mechanism in place to remove the protective covenants. Councilmember Motin indicated that he will contact Mr. Beck to discuss the options. Ms. Johnson indicated that Investigator Steve Bockwitz recently retired from the Elk River Police Department after 18 years of service. Ms. Johnson stated that anotller Investigator may also be retiring soon. Discussion took place on whether the positions should be filled with experienced investigators or promoted from within. It was the consensus of the