The city’s personnel regulations and any amendments thereto are hereby adopted by reference and incorporated herein as if set out in full.
(2004 Code, sec. 36.01)
(a) 
(1) 
For the purpose of this section, the following definitions shall apply, unless the context clearly indicates or requires a different meaning:
(A) 
Employee.
Employees of the city.
(B) 
Officer.
Elected or appointed officials of the city.
(2) 
The terms shall include:
(A) 
Any member of a city council;
(B) 
A member of a city board, commission or committee created by the city; or
(C) 
A volunteer as approved by the operating department and the personnel department that is working under direction of an employee of the city.
(b) 
(1) 
Any officer or employee who is found and finally adjudged to be liable for the payment of any claim for damages arising out of the course and scope of employment with the city shall be entitled to be indemnified for the damages to the extent permitted by law, together with any reasonable and necessary legal expenses incurred by the officer or employee in defending the claim, provided that the acts or omissions resulting in the liability were done in good faith and without malicious or felonious intent.
(2) 
For the purpose of this section, the term “arising out of the course and scope of employment” shall not include any action which occurs during a period of time in which the officer or employee is engaged in outside employment or is rendering contractual services to someone other than the city.
(3) 
(A) 
Whether the acts were done in good faith, without malicious or felonious intent, and within the course and scope of employment shall be determined by the citycouncil, and the determination shall be final for the purposes of the representation and indemnity of this section.
(B) 
In the event the representation and indemnity have been denied by the city, upon a trial on the merits, [if] it is determined that the officer or employee was acting in good faith, without malicious or felonious intent and within the scope of employment, the indemnification hereunder shall be granted and reasonable legal expenses incurred in the defense of the claim reimbursed.
(4) 
This indemnity shall, in no event, apply to or cover punitive or exemplary damages where the damages are not recoverable in law or against the city.
(5) 
Further, the city shall not be liable for any settlement of any such claim or suit effected without its consent, and the city reserves the right to assert any defense and make any settlement of any claim or suit that it deems expedient.
(c) 
(1) 
The city shall have the right and duty to provide legal representation through the city attorney or, in its discretion, through the selection of outside legal counsel, to any officer or employee sued in connection with any claim for damages, other civil action, or alleged violation of civil rights with criminal sanctions against the person, arising out of the course and scope of employment; provided that the officer or employee may be entitled to indemnification as set forth in this section.
(2) 
The legal representation shall be provided at no cost to the officer or employee and any officer or employee may have his or her own counsel assist in the defense at the sole expense of the officer or employee.
(3) 
The officer or employee shall cooperate fully with the city in preparation and presentation of the case, and the failure to cooperate shall waive the officer’s or employee’s right to representation coverage under this subsection (c). To be entitled to coverage under this section, an officer or employee must not, except upon advice of the city attorney or when questioned by a police officer at the scene of an accident, give any oral or written statement or enter into any stipulation or agreement concerning a claim or lawsuit.
(4) 
Additionally, one must not, except at his or her own cost, voluntarily make any payment, assume any obligation or incur any expense with respect to a claim or lawsuit without the consent of the city.
(d) 
(1) 
The city will defend any suit against an officer or employee who is covered under this section even if the suit is groundless or fraudulent.
(2) 
Additionally, the city may investigate, negotiate and settle any claim or suit as it determines necessary.
(3) 
Nothing in this section shall be construed as waiving the city’s defense of governmental immunity to it or its employees or officers in any action brought against the city or the officer or employee. For any suit or claim arising under the Texas Tort Claims Act, the indemnity provided by this section shall be limited to the statutory limits applicable to the city provided in the act, as amended.
(e) 
The provisions of this section shall apply only where the city has been given notice of the action brought against any city officer or employee as soon as practicable, but no later than five days of [after] service of process upon the officer or employee.
(f) 
Nothing in this section shall prevent the city from taking disciplinary action against any officer or employee for conduct defended or indemnified by the city under this section, either before or after conclusion of the civil suit.
(g) 
Nothing in this section shall require the city to indemnify any officer or employee for recoveries made against him or her in suits by or on behalf of the city. The city council may, however, authorize the city attorney to represent any officer or employee in a suit brought by a taxpayer on behalf of the city against the officer or employee.
(h) 
Coverage under this plan does not apply to a claim or lawsuit that is brought against an officer or employee:
(1) 
By the city;
(2) 
Arising out of the intentional or knowing violation of a penal statute or ordinance committed by or with the knowledge or consent of the officer or employee or any claim arising out of acts of fraud committed by or at the direction of the officer or employee, with intent to deceive or defraud;
(3) 
Arising either while the officer or employee is operating a city vehicle with no authority to operate the vehicle, or while the officer or employee is operating a city vehicle in the course of personal or private business;
(4) 
For liability assumed by the officer or employee under a contract unless the contract is entered into at the request of the city;
(5) 
If the officer or employee joins or attempts to join with the suit against the city for benefits under this plan;
(6) 
If the officer or employee fails to comply with any subsection of this section;
(7) 
For punitive damages, where the damages are not recoverable in law or against the city; or
(8) 
For damages expressly excluded under Tex. Civ. Prac. and Rem. Code, section 102.002(c).
(2004 Code, sec. 30.01)