CHAPTER 439

FORMERLY

HOUSE BILL NO. 731

AN ACT TO AMEND CHAPTER 197, VOLUME 54, LAWS OF DELAWARE RELATING TO THE CHARTER OF THE CITY OF REHOBOTH BEACH; AND PROVIDING FOR THE INDEMNIFICATION OF CITY OFFICERS AND EMPLOYEES.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE (Two- thirds of all members elected to each House thereof concurring therein):

Section 1. Amend Chapter 197, Volume 54, Laws of Delaware, by adding a new Section 29A to read as follows:

"INDEMNIFICATION OF CITY OFFICERS AND EMPLOYEES

29A. (a) For purposes of this section, the term "city officers and employees" shall include the Mayor and the Commissioners of the City of Rehoboth Beach, all appointed officers and all employees of the City of Rehoboth Beach.

(b) The city solicitor shall undetake the representation or defense without charge of any city officer or employee in a civil action arising out of or related to the performance by said officer or employee of his public duties; or, may undertake the representation or defense without charge of any city officer or employee in a criminal action arising from performance of his duties and which action does not allege official misconduct, profiteering, bribery, receiving unlawful gratuities, Improper influence or other use of his office or employment. An officer or employee may select his or her attorney with the concurrence of the city solicitor and the Commissioners.

(c) An officer or employee who is held liable for the payment of any claims arising out of a civil action, or settlements, judgments, expenses. costs and awards of attorneys fees arising therefrom, shall be entitled to indemnification therefor from the City where the claim shall have been determined by the city solicitor, subject to the approval of the Commissioners, to have resulted from activities; which:

(1) Were done in good faith; and

(2) Where done in the reasonable belief that such activities were in the best interest of the City. and in the furtherance of the official practices and policies of the City; and

(3) Were within the scope of authority of the person so acting; and (4)- Were within the course of employment of the person so acting; and (5) Were not wilful, malicious or wanton,

(d) In addition to the City's obligation to indemnify City officers and employees, the City Manager on behalf of the City is hereby authorized to enter into contracts of insurance for the indemnification of City officers and employees who arc determined to be entitled thereto in accordance with subparagraph (c) of this section. or for such broader coverage as he deems advisable.

(e) The Commissioners may, upon resolution, authorize the payment of legal fees incurred by a City employee for representation in a criminal action, if the charge arose out of or in the course of City employment. The Commissioners shall review an application for reimbursement based upon the criteria set forth in subsection (c). In no event shall any payment under this section be authorized where the employee has been found guilty of. after trial and any appeal, or has entered a pica of guilty or nolle contendere to a crime involving a breach of public trust."

Approved July 3, 1986.