3.25.020 Special liability expense fund.
(a) For the purpose of providing the processing and payment of municipal tort or civil rights claims, referred to in this section as “claims,” arising on and after July 1, 1979, there is hereby established the special liability expense fund in the City treasury. The City special liability expense fund shall be liable for the processing and payment of the following:
(1) All enforceable civil claims and judgments against the City and/or its employees in their official capacity arising out of acts or omissions committed by any such employee while acting within the scope of his employment after July 1, 1979;
(2) All court costs and other litigation-related expenses incurred in the defending of any such claim under subsection (a)(1) of this section; and
(3) All attorneys’ fees for the services rendered by any counsel retained by the City.
(b) Notwithstanding the provisions of subsection (a) of this section, the City shall have the right to recover any payments made by it for any judgment, or portion thereof, and costs or fees incurred by or on behalf of an employee’s defense if the employee fails to cooperate in good faith in the defense of the claim or action or if the trier of fact finds that the act or omission of the employee was because of such employee’s actual fraud or malice. The City shall not be liable for any punitive or exemplary damages against an employee if the trier of fact finds that such employee acted or failed to act because of actual fraud or actual malice.
(c) “Employee” is defined as set forth in K.S.A. 75-6102 as amended. (Ord. 17226 § 84, 1-27-98. Code 1995 § 2-323.)
Cross References:City Attorney, TMC 2.20.070.