[HISTORY: Adopted by the Mayor and Council of the Town of Berlin 7-6-1987 by Ord. No. 87-2. Amendments noted where applicable.]

MEMBERS OF APPOINTED BOARDS — Includes the current members of the Berlin Board of Zoning Appeals, the Berlin Planning Commission and the Berlin Historic District Commission.

OFFICIAL CAPACITY — When used with respect to the Mayor and Council members, the office of Mayor and Council person in the Town of Berlin.

PARTY — Includes a person who was, is or is threatened to be made a named defendant in a proceeding.

PROCEEDING — Any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative.

§ 9-2. Grounds for indemnification.
The municipal corporation may indemnify the Mayor or member of the Council or members of appointed boards made a party to any proceeding by reason of service in that capacity if the Mayor or Council member:

1. Acted in good faith.
2. Reasonably believed:
1. In the case of conduct in the Mayor or Council member’s official capacity with the Town of Berlin, that the conduct was in the best interest of the Town.
2. In all other cases, that the conduct was not opposed to the best interest of the Town.
3. In the case of any criminal proceeding, had no reasonable cause to believe that the conduct was unlawful.

§ 9-3. Items indemnified against.
Indemnification may be given against judgments, penalties, fines, settlements and reasonable expenses actually incurred by the Mayor or Council member in connection with the proceeding.

§ 9-4. Proceedings in which Mayor or Council member adjudged liable.
In the event, however, that the proceeding was won by or in the right of the municipal corporation itself, indemnification may be made only against reasonable expenses and may not be made in respect of any proceeding in which the Mayor or Council member shall have been adjudged to be liable to the Town.

§ 9-5. Termination of proceeding.
The termination of any proceeding by judgment, order, settlement, conviction or upon a plea of nolo contendere or its equivalent creates a rebuttable presumption that the Mayor or Council member did not meet the requisite standard of conduct set forth in this chapter.

§ 9-6. Improper personal benefit.
A member of the Council or the Mayor may not be indemnified in respect to any proceeding charging improper personal benefit to the Mayor or Council member, whether or not involving action in the Mayor’s or Council member’s official capacity, in which the Mayor or Council member was adjudged to be liable on the basis that personal benefit was improperly received.

§ 9-7. Reasonable expenses.
The Mayor or member of the Council who has been successful on the merits or otherwise in the defense of any proceeding referred to herein shall be indemnified against reasonable expenses incurred by the Mayor or Council member in connection with the proceeding.

§ 9-8. Determination of entitlement.
In the event that the Mayor or Council as a body do not vote or determine that indemnification should be made, a court of appropriate jurisdiction, upon application of the Council member and upon such notice as the court shall require, may order indemnification if the court determines that the Council member is fairly and reasonably entitled to indemnification in view of all the relevant circumstances whether or not the Council member has met the standards of conduct set forth herein or has been adjudged liable under the circumstances described in this chapter.

§ 9-9. Authorization after determination.
Indemnification may not be made by the Mayor and Council unless authorized in each specific case after a determination has been made that indemnification of the Council member is permissible in the circumstances because the Council member has met the standard of conduct set forth in this chapter.

1. Such determination shall be made by the Mayor and Council by a majority vote of a quorum consisting of Council members not at the time parties to the proceeding or, if such a quorum cannot be obtained, then by a majority vote of a committee comprised of the Council members consisting of two or more members not at the time parties to such proceeding.
2. In the event that such quorum or committee cannot be convened by virtue of the involvement of the Council members, then such determination shall be made by special legal counsel selected by the Mayor and Council or a committee thereof by vote as set forth hereinabove.
3. The determination of whether or not to indemnify any member of the Council shall be made in open regular session of the Mayor and Council.

§ 9-10. Insurance.
The municipal corporation may purchase and maintain insurance on behalf of any person who is or was a member of the Council or Mayor and who, while such official, became involved in a legal proceeding in the manner set forth in this chapter.