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Home My WebLink About89-12 CITY OF PRIOR LAKE RESOLUTION 89-12. A RESOLUTION AMENDING RESOLUTION 85-5 AUTHORIZING INDEMNIFICATION OF CITY OFFICIALS. MOTION BY: LARSON SECONDED BY: SCOTT WHEREAS, Minnesota Statutes Section 412.221, Subd. 5, authorizes the Council to provide for the prosecution or defense of actions or proceedings at law in which the City may be interested; and WHEREAS, Minnesota Statutes Section 412.211 empowers the City with general statutory and common law powers, including certain rights regarding lawsuits; and WHEREAS, Minnesota statutes Section 412.221, Subd. 32, gives the city Council specific powers to provide for the government and good order of the City and for the promotion of order and general welfare; and WHEREAS, the City Council believes it to be in the best interests of the City to promote order and good government and to ensure that competent, well qualified individuals shall seek and remain employed by the City; and WHEREAS, the City previously passed Resolution 85-5 authorizing indemniflcation of City officials; and WHEREAS, Minnesota Statutes Section 466.07 authorizes the municipality to defend and indemnify any of its officers and employees, whether elective or appolntive, for damages, including punitive damages, said statute having been amended to include the punitive damage provisions with retroactive authorization to July 1, 1986; NOW, THEREFORE, BE IT RESOLVED, that effective July 1, 1986, and subject to the limitations of Minnesota Statutes Section 466.04, the Mayor, City Council, City Manager, staff and emplo~ees of the City of Prior Lake shall be defended by the City ln the event they are a party or threatened to be made a party to any threatened or ~ending action, suit or proceeding, wherever brought, whether clvil, criminal, administrative or investigative, by reason of the fact that said person was a Council member, Mayor, City Manager, staff employee or employee or agent of the City. AND BE IT FURTHER RESOLVED, that the Mayor, City Council, City Mana~er, staff and emplo~ees of the City of Prlor Lake shall be lndemnified by the Clty for an~ damages, including punitive damages, claimed or levied agaInst them, provided they: (l) have not been indemnified by an insurance liability carrier, by another organization or benefit plan or indemnification plan for the same damages incurred by them in connection with the proceeding with respect to the same acts or omissions; (2) were acting in the performance of the duties of their position; and (3) were not guilty of malfeasance in office, willful neglect of duty or bad faith. Provided, however, the termination of a proceeding by judgment, order, settlement, conviction or upon a plea of nolo contendere or its equivalent does not, of itself, establish that the person did not meet the above criteria. The indemnification provided herein shall continue as to said person who has ceased to be a Council member, Mayor, City Manager, staff employee, employee or agent and shall lnure to the benefit of the heirs, executors and administrators of such a person. Passed and adopted this ~ day of June YES Andren X Fitzgerald X Larson X Scott X Whit:p -L. , 1989. NO (SEAL) AGENDA ITEM #8 ATTACHMENT RECE-/\/C .,,_ . '". I ...,~ Lommen, Nelson, Cole & Stageberg, ~A. ATTORNEYS AT LAW J U N- 2 ')t)pq CITy (,~ PRIOR LA;-;,: V. OWEN NELSON PHILLIP A. COLE t ROGER V. STAGEBERG MARK N. STAGEBERG t GLENN R. KESSEL. THOMAS E. PETERSON THOMAS R. JACOBSON. * t RICHARD A. LIND t THOMAS D. JENSEN t TED E. SULLIVAN. t ROBYN N. MOSCHET THOMASF.DOUGHERTY KA Y NORD HUNT. RICHARD L. PLAGENS PAUL C. PETERSON 1100 TCF TOWER 121 SOUTH EIGI-ITH STREET . MINNEAPOLiS, MINNESOTA 55402 TELEPHONE (612) 339-8131 Minnesota WATS Une 1-800-752-4m FAX (612) 339-8064 LYLE R. FREVERT THOMAS J. NIEMIEC * MICHAEL P. SHROYER RAUL A. GASTEAZORO, JR. EHRICH L. KOCH TODD J. THUN JUDY L. HALLETI JAMES R. ANDREEN SHERRI D. ULLAND MARGIE R. BODAS KATHRYN H. DAVIS JAMES C. SEARLS DAVID J. DOSEDEL WENDY A. WEBER GARY D. PONTIUS RANDALL E. BENNETT. DEBRA L. McBRIDE SOUTHSIDE OFFICE PLAZA, SUITE 2A 1810 CRESIVlEW DRIVE . HUDSON, WISCONSIN 54016 TELEPHONE (715) 386-8217 Twin City Line (612) 4:J(HlO8S FAX (715) 386-8219 REPLY TO: Minneapolis Office JOHN P. LOMMEN (1927-1988) May 30, 1989 * Hudson Office . Admitted in Minnesota and Wisconsin t Certified Civil Trial Specialist Mr. David Unmacht City of Prior Lake P. O. Box 359 Prior Lake, Minnesota 55372 Dear Dave: Enclosed please find a Resolution amending the prior indemnification resolution. In the event the Council wishes to amend the prior resolution regarding indemnification to also authorize the City to defend Council members, Mayor and City officials and employees even though there is a claim for punitive damages, the law now permits such an indemnification. I would recommend that the Council consider the enclosed Resolution. As you will see from the Resolution, the only exception is that required by the statute. The City cannot indemnify City officials in the case of malfeasance in office, willful neglect of duty or bad faith. Very truly ::~s, ~EN, NEL~{lfOLE & STAGEBERG, P.A. JrJL 1 ,J Glenn R. Kessel GRK:sjf Ene.