The city proposed paying $3.5 million to the family of a plainclothes police officer gunned down by uniformed colleagues during the arrest of a suspected car thief, lawyers said.

The payment would settle a federal lawsuit filed in San Francisco by the family of officer William "Willie" Wilkins that accused the city of inadequately training officers to recognize undercover colleagues.

Rookie Officers Tim Scarrott and Andrew Koponen said they mistook Wilkins, 29, for an armed assailant holding an innocent person at gunpoint during the 2001 incident.

The settlement, which needs to be approved by a federal judge, will be covered by the city's insurance carrier and not taxpayer dollars, said Erica Harrold, spokeswoman for City Attorney John Russo.

A suspected burglar critically hurt during a Monterey County Jail attack was abruptly released from custody so the Sheriff's Department wouldn't have to pay for his medical expenses.

Prosecutors, at the request of the sheriff, asked Superior Court Commissioner Tim Roberts that Velasquez's $60,000 bail be dropped so he could be released on his own recognizance. Roberts granted the motion.

Velasquez was described only as stable, hospital spokeswoman Miesha Hardy said Thursday. When inmates are released on their own recognizance, their medical bills are no longer covered by the Sheriff's Department.

Hardy said the private hospital usually ends up footing the cost of unpaid out-of-county admissions, unless the patient can pay the bill himself.

Los Angeles will stand in for Baghdad this weekend for the filming of a $1 million, special-effects-laden commercial against suicide bombings that will air on Iraqi television.

The 60-second public service announcement is being filmed through Sunday in the warehouse district near downtown. It is being co-produced by Los Angeles-based 900 Frames and a Beirut, Lebanon, company called EFXFilms.

"They probably could find a place closer to Baghdad, but it was a question of the talent and know-how and that exists in Hollywood," Jonathan Zaleski, a publicist for the production, said Friday.

The production will use 200 cast members, simulated explosions and a "Matrix"-style time-suspension moment using numerous cameras to portray the consequences of a suicide attack.

Gov. Arnold Schwarzenegger on Friday named a former aide to Democratic gubernatorial hopeful Steve Westly as head of the California Environmental Protection Agency.

Linda Adams, 57, a Democrat from Sacramento with a long history in state government, will come out of retirement to lead the agency at a time when the Schwarzenegger administration is advancing its initiative to reduce greenhouse gases in the state.

Adams worked in state government for 32 years, most recently as chief of staff to Westly, the state controller who is running against Treasurer Phil Angelides in the Democratic primary to unseat Schwarzenegger in November.

Schwarzenegger said his new nominee would continue his administration's efforts to advance environmentally friendly policies while fostering economic growth.

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