(A) The city hereby elects to create and maintain a municipal public liability fund as required by Section 41-4-25B NMSA 1978 of the New Mexico Tort Claims Act which shall be called the Risk Management Fund.
(B) The Risk Management Fund shall be held in trust, deposited in a segregated account and invested in accordance with law.
(C) Any money deposited in the Risk Management Fund may be expended to purchase liability insurance; to pay costs and expenses incurred in carrying out the provisions of this section; to defend, save harmless and indemnify any officer or employee of the municipality for any liability covered by the Tort Claims Act; and to create a retention fund adequate to cover all uninsured tort liability or other liability covered by the provisions of the Tort Liability Act. Except for insurance purchased through the State Risk Manager, insurance shall be purchased through an Agent of Record selected pursuant to Chapter 5, Article 5, Public Purchases.
(D) Each year the Council shall appropriate to the Risk Management Fund such amounts as are necessary to purchase insurance or to provide adequate reserves for self-insured risks for which immunity has been waived by the New Mexico Tort Claims Act and liabilities of the city pursuant to the laws of New Mexico, this code and any applicable ordinances of the city, and the laws of the United States and other jurisdictions.
('74 Code, § 1-15-8) (Ord. 95-1983; Am. Ord. 66-1986)