§ 31.05 INDEMNIFICATION OF CITY OFFICIALS AND EMPLOYEES.
   (A)   The city shall provide legal services to any officer, employee or agent of the city, and any former officer, employee or agent of the city, who has been sued, or who is hereafter sued, or against whom a claim has been made or may hereafter be made relative to damages or liability arising out of actions or failures to act done in good faith in the performance of duty.
   (B)   The city shall hold harmless any officer, employee or agent, or former officer, employee or agent, from any liability or damages if it is determined that the act or failure to act which gave rise to liability or damages was done in good faith in the performance of duty; provided, that this section shall have no application to any case where the city or state may bring an action against an officer, employee or agent, or former officer, employee or agent.
('74 Code, § 2-8.1) (Ord. G-30-75, passed - -75)
   (C)   Indemnification of past and present city controllers.
      (1)   Any past or present Controller of the city named as a defendant in litigation initiated by the state, either through the State Board of Accounts or the Attorney General of Indiana, seeking to impose personal liability for the payment of public funds later determined to be inappropriate, shall be entitled to indemnification or reimbursement for all legal fees and expenses incurred in connection with the defense of such suit, subject to the limitations set forth herein.
      (2)   The indemnification or reimbursement, however, shall be at an hourly rate for legal services that are equal to or less than the hourly rate established by this Council in the annual salary ordinance for extraordinary services provided by the City Attorney applicable to the year in which the legal services are provided.
      (3)   In the event that a final judgment is entered against such an indemnified City Controller finding fraud, malice, willful misconduct or absence of good faith, the individual indemnified by this provision shall reimburse the city for all fees or expenses previously paid by the city. In addition, the city, by assuming an obligation to pay the cost of defense, does not assume any liability to pay any judgment entered against any indemnified controller.
      (4)   The individual indemnified may select the City Attorney to represent that individual in such proceedings. In such cases, the City Attorney shall be compensated at the hourly rate for extraordinary legal services provided for in the applicable annual salary ordinance.
(Ord. G-26-91, passed 10-18-91)
   (D)   Defense and indemnification of Common Councilmembers.
      (1)   Division (D) is passed pursuant to IC 36-1-3-2 which grants to this city all necessary powers needed for the effective operation of city government. Furthermore, division (D) is in no way a limitation of civil liability as prescribed in IC 36-1-3-8, but rather, deals with the defense and indemnification of Councilmembers.
      (2)   It is and shall be the policy of the city to defend and indemnify members of the Common Council with respect to lawsuits brought against them that involve the discretionary performance of legislative duties. The performance of legislative duties, for purposes herein, shall be those legislative duties, as performed from time to time, by Councilmembers pursuant to state law and/or ordinance or resolution of this city. However, defense and indemnification shall not be provided in those situations in which a Councilmember would have individual and/or personal liability as provided, from time to time, by state law, whether same be statutory or case law.
      (3)   Division (D) is necessary to ensure that Councilmembers may freely exercise their legislative responsibilities as charged to them by the citizens of this community.
('74 Code, § 2-10.1) (Ord. S-14-84, passed 2-28-84)