To the extent permitted by law, the board, the individual members of the board and the system administrator shall be indemnified and held harmless against any and all liabilities (including defense costs and expenses) arising by reason of an act or failure to act in their fiduciary and administrative capacities to the system, and for liability and costs resulting from the acts and omissions of their duly appointed agents, except for those acts, omissions, or conduct resulting from their own willful misconduct, willful failure to act, or gross negligence. The system shall maintain fiduciary liability insurance designed to fund the indemnification provided by this section. The city shall be liable for indemnification under this section only to the extent that the liability exceeds the amount available through the system's fiduciary liability insurance.
(Ord. No. 10657, ยง 5, 4-28-09, eff. 7-1-09)