The City of Utica and the union representing Utica firefighters have reached an agreement on a new contract.

The 5-year agreement, which is retroactive to 2013, consists of salary increases which average about 2-and-a-half percent a year over the life of the contract.

The contract also mandates an increase in health insurance contributions for those hired after April 1st of next year.

All individuals hired after April 2018 will contribute 20% toward their total health insurance premium.

Mayor Robert Palmieri says the city has been able to settle three union contracts in the past year, all of which call for 20% health insurance contributions for future hires.

Palmieri says the agreement also reduces the daily manning from 24 to 23.

He says that will save the city about $225,000 a year.