Cherwill, I had the same problem when I was in Law Enforcement. I wanted to buy a house but it was outside the city limits. I tried to get them to vary the thing but they wouldn't. In my situation staying someplace on work days would not catch it. You had to
live within the district. That way you could respond if you were needed. They want you close and available regardless if it is your day off or not. It stinks. Some jurisdictions say it is so you live where you pay taxes, some jurisdictions say it is for response. Who really knows why they put these requirements in place.
Then after many years out of law enforcement and working at the Nuke Plant, when I changed jobs there and was considered essential personnel, I was required to move within a closer distance. That is exactly why I ended up buying this place. I was going to be forced to move anyway so I decided to go for what I wanted. Now I am retired from there but have a nuclear plant nearly in my back yard!!
I'm sorry you are forced to make this decision. It's tough.
The thing that makes no sense to me is that, as an active firefighter, he can live 5 miles from the station, which means 2-3 miles out of town. If he applies for the new position, which is mostly teaching and administrative, he can't live any amount of distance out of town. It's all in the same department. How is that logical?! A separate place wouldn't work because whenever he's not at work, he's on call half of the time. When he's not on call, he's still on call for a big enough problem, so we have to let the department know any time we go out of town. I get a little bitter sometimes by how much our lives are run by his job when he's not actually at work. I'm sure you had the same thing.
I know a little hobby farm in the country was probably always a pipe dream, especially with our budget and distance limitations, and our ages. But I still had the dream. If he applies for this position and gets it, the dream is gone forever!