(a) The Law Director shall be responsible for the administration, investigation, legal defense, compromise, settlement and payment of all claims presented against the City, its officers and/or employees acting within the scope of their employment and for the prosecution and settlement of all claims in favor of the City. Further, the Law Director is hereby authorized and directed to establish a claims program for the City.
(b) For purposes of this section, a "claim" shall include the following:
(1) Any written demand, including the filing of a lawsuit, made against the City, its officers and/or employees acting within the scope of their employment, for monetary or equitable relief arising from any cause of action, including but not limited to, contractual disputes, tortious conduct and other actionable behavior. A "claim" shall also include all matters covered by the City Vehicular Self-Insurance Fund, Section 127.03.
(2) Any right of the City for monetary or equitable relief arising from any cause of action, including but not limited to contractual disputes, tortious conduct by others or recovery of medical benefits paid to City employees or their eligible dependents under the City's health insurance program, where a right of recovery exists by virtue of compensation received by such employees or their dependents.
(c) Authority for the settlement of claims against or in favor of the City shall be as follows:
(1) The Law Director is authorized to settle any claim against or in favor of the City where the settlement amount per claim does not exceed fifteen thousand dollars ($15,000), exclusive of administrative, investigative and litigation costs and expenses.
(2) Settlement of claims in excess of fifteen thousand dollars ($15,000) but not exceeding fifty thousand dollars ($50,000) shall be approved by the Claims Committee, which shall be comprised of the following persons: the Law Director, the Mayor, the Finance Committee Chairman of Council, the Majority Leader and Minority Leader of Council.
(3) Settlement of claims in excess of fifty thousand dollars ($50,000), shall be approved by ordinance adopted by Council.
(Ord. 237-93. Passed 12-30-93.)
(4) Claims in favor of the City in excess of twenty-five thousand dollars ($25,000) and involving recovery of medical benefits paid to City employees or their dependents from compensation received by such employees or their dependents shall be approved by the Claims Committee and shall not require councilmanic action.
(Ord. 187-2007. Passed 10-1-07.)
(d) In the event that a judgment is rendered against the City, its officers or employees acting within the scope of their employment, by a court of competent jurisdiction for money damages resulting from a claim as hereinbefore defined, the Law Director shall be responsible for ordering payment from the appropriate account.
(e) Payments of all settlements pursuant to this section shall be disbursed upon the approval of the Law Director from the claims and judgments account of the department from which the claim arose, the Vehicular Self-Insurance Fund where the claim involves damages caused by vehicles, or from such other account as the Auditor may direct. The Law Director is further authorized to pay from the appropriate account all expenses incurred in the administration, investigation, evaluation and/or litigation of any claim, including, but not limited to, fees for expert witnesses, consultants, depositions, transcripts and court costs.
(f) Prior to delivery of any payment made in settlement of a claim, the Law Director shall cause the claimant to execute and deliver to the City a release forever discharging the City from all debts, claims, demands, actions and causes of action whatsoever which have arisen or might arise by reason of such claim.
(Ord. 237-93. Passed 12-30-93.)