(1) Unless the claim arises out of malfeasance in office or willful or wanton neglect of duty, a public body as defined in ORS 30.260 may defend, save harmless and indemnify any officer, employee or agent of the public body against whom a claim is made under section 10 (14), Article XV of the Oregon Constitution.(2) Any amount recovered as a civil penalty in a claim made under section 10 (14), Article XV of the Oregon Constitution, shall be paid into the Criminal Injuries Compensation Account of the Department of Justice Crime Victims’ Assistance Section to be used for the purposes set forth in ORS chapter 147.