HomeMy WebLinkAboutORD67Ordinance No.67
AN ORDINANCE OF THE CITY OF APACHE JUNCTION, ARIZONA, ADDING
ARTICLE 2-10,INDEMNIFICATION OF OFFICERS, EMPLOYEES AND
COUNCIL MEMBERS,PROVIDING FOR THE REPEAL OF CONFLICTING
ORDINANCES, AND PROVIDING FOR SEVERABILITY.
BE IT ORDAINED BY THE MAYOR AND CITY COUNCIL OF
THE CITY OF APACHE JUNCTION, ARIZONA AS FOLLOWS:
SECTION I
That Article 2-10,Indemnification of Officers,
Employees and Councilmembers,read as follows:
Section 2-10-1 Definitions
1."Person" includes officers, employees, and
City Councilmembers of Apache Junction.
2."Proceedings" includes any threatened, pending
or completed action, suit or proceeding, whether civil,
criminal, administered or investigated.
Section 2-10-2 Indemnification
Any person made a party or threatened to be made a
party to any proceeding by reason of the fact that said
person is an officer, employee or city councilmember of
Apache Junction shall be indemnified by the City as
hereinafter set forth.
Section 2-10-3 Action Other Than By or In the Right of
City
If said proceeding is one other than an action by
or in the right of the City, said person shall be
indemnified against his expenses, including attorneys fees,
and including judgments, fines, amounts paid in settlement
actually and reasonably incurred by him in connection with
such proceeding.
Section 2-10-4 Criminal Proceeding
If said proceeding is a criminal proceeding, said
person shall be indemnified if he had no reasonable cause to
believe his conduct was unlawful.
Section 2-10-5 No Presumption Created
With respect to indemnification under Section
2-10-3 or 2-10-4 above, a termination of a proceeding by
judgment, order, settlement, conviction, or upon a plea of
nob o contendere or its equivalent, shall not, by itself,
create a presumption that said person acted, or failed to
act, other than in good faith and in a manner which he
reasonably believed to be in or not opposed to the best
interest of the City, and with respect to any criminal
proceeding, had reasonable cause to believe that his conduct
was unlawful.
Section 2-10-6 Action By or In the Right of City
If said proceeding is one by or in the right of
the City to procure a Judgment in the City's favor, said
person shall be indemnified against his expenses, including
attorneys fees, but excluding judgments and fines, and,
except as hereinafter set forth, amounts paid in settlement
actually and reasonably incurred by him in connection with
the defense or settlement of such proceeding if he acted, or
failed to act, in good faith and in a manner he reasonably
believed to be in or not opposed to the best interest of the
City.
Section 2-10-7 Negligence and Misconduct
No indemnification under Section 2-10-6 shall be
made in respect of any claim, issue or matter as to which
such person shall have been adjudged to be liable for
negligence or misconduct in the performance of his duty to
the City except that such person may apply to the Court in
which such proceeding was brought and request a
determination that such person is fairly and reasonably
entitled to indemnity for such expenses when such Court
shall deem proper.The Court in which any such proceeding
was brought may determine upon application that, in view of
all circumstances of the case, indemnity for amounts paid in
settlement is proper and may order indemnity for the amounts
so paid in settlement and for the expenses, including
attorneys fees, actually and reasonably paid in connection
with such application, to the extent the Court deems proper.
Section 2-10-8 Success on the Merits
To the extent that a person covered by this
Article has been successful on the merits or otherwise in
defense of any proceeding covered by this Article or in the
defense of any claim, issue or matter therein, he shall be
indemnified against expenses, including attorneys fees,
actually and reasonably incurred by him in connection
therewith.
Section 2-10-9 Determination by Council
Any indemnification made pursuant to this Article,
unless ordered by a Court, shall be made by the City only as
authorized in the specific case upon a determination that
indemnification of the officer, employee or councilmember is
proper in the circumstances because he has met the
applicable standard of conduct set forth in this Article.
Such determination shall be made by any of the following:
1.By the City Council by majority vote of a
quorum consisting of councilmembers who were not part
to the proceeding.
2.If a quorum is not obtainable, then in a
written opinion of independent legal counsel acquired
by majority of the disinterested councilmembers for
that purpose.
3.If there are no disinterested councilmembers,
by the Court or other body before which the proceeding
was brought or in the Court of competent jurisdiction
upon the approval of an application by any person
seeking indemnification, in which case indemnification
may include the expenses, attorneys fees, actually and
reasonably paid in connection with such application.
Section 2-10-10 Payment of Expenses in Advance
Expenses, including attorneys fees, incurred in
defending a civil or criminal proceeding may be paid by the
City in advance of the final disposition of such proceeding
as authorized in the manner provided in Section 2-10-9 upon
receipt of an undertaking by or on behalf of the officer,
employee or council member to repay such amount unless it
shall ultimately be determined that he is entitled to be
indemnified by the City as authorized by this Article.
Section 2-10-11 Indemnification Not Exclusive Remedy
The indemnification provided by this Article shall
not be deemed exclusive of any other rights to which those
indemnify may be entitled.
SECTION II Repeal of Conflicting Ordinances
All ordinances and parts of ordinances in conflict
with the provisions of this ordinance or any part of the
code adopted herein by reference, are hereby repealed.
SECTION III Severability
It is hereby declared to be the intention of the
City Council that the sections, paragraphs, sentences,
clauses, and phrases of this Ordinance shall be severable
and if any provision of this Ordinance is held
unconstitutional for any reason by a court of competent
jurisdiction, such unconstitutionality shall not affect any
of the remaining provisions of the Ordinance.
PASSED AND ADOPTED BY THE MAYOR AND CITY COUNCIL
OF THE CITY OF APACHE JUNCTION, ARIZONA THIS 1st DAY OF
October , 1980.
ATTEST:
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CITY CLERK
APPROVED AS TO FORM:
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