HomeMy WebLinkAboutCC Reso 2023-16 - Participation with Opioid Settlements RESOLUTION NO. 2023-16
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UKIAH AUTHORIZING THE CITY
MANAGER TO EXECUTE PARTICIPATION DOCUMENTS FOR THE NEW NATIONAL OPIOID
SETTLEMENTS AND ANY SUBSEQUENT PARTICIPATION DOCUMENTS FOR SETTLEMENTS
RELATED TO THE NATIONAL PRESCRIPTION OPIATE MULTI-DISTRICT LITIGATION.
WHEREAS:
1. In 2021, nationwide settlements were reached to resolve all opioids litigation brought by states
and local political subdivisions against the three largest pharmaceutical distributors—
McKesson, Cardinal Health, and AmerisourceBergen ("Distributors")--and against
manufacturer Janssen Pharmaceuticals, Inc. and its parent company Johnson & Johnson
(collectively, "J&J"). In December 2022, the City agreed to participate in and receive an
allocation from the "2021 National Settlements" and is currently receiving payments from these
Settlements; and
2. As of December 2022, opioid manufacturers Teva and Allergan and chain pharmacies CVS,
Walgreens, and Walmart have also entered into National Opioid Settlements ("New
Settlements"). The proposed New Settlements resolve claims against the manufacturers and
pharmacies named as defendants in the National Prescription Opiate Multi-District Litigation for
their roles in the opioid epidemic; and California and its cities and counties stand to receive up
to $1.8 billion in Settlement Funds over the next 15 years for substance use prevention, harm
reduction, treatment, and recovery; and
3. The State of California has proposed five California State Subdivision Agreements to govern
the allocation, distribution, and use of New Settlement Fund payments made to California
pursuant to the proposed New Settlements; and
4. The City of Ukiah (the"City")wishes to participate in the proposed New Settlements and directly
receive Settlement Funds in order to fund opioid abatement efforts conducted by the City; and
5. The City intends to authorize the City Manager to negotiate and execute any and all
corresponding documents related to the City's participation in the New Settlements and receipt
of New Settlement Funds pursuant to the California State Subdivision Agreements; and
6. There are numerous defendants in the National Prescription Opiate Multi-District Litigation that
have not yet settled the claims against them and that may settle such claims in the future. The
City wishes to participate in any subsequent settlements in the Litigation and directly receive
any future settlement funds for which it is eligible; and
7. The City intends to authorize the City Manager to negotiate and execute any and all
corresponding documents related to the City's participation in any future settlements related to
the National Prescription Opiate Multi-District Litigation and receipt of any future settlement
funds as allocated by the State.
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NOW,THEREFORE, BE IT RESOLVED that:
1. The City Manager of the City of Ukiah is authorized to negotiate and execute any and all
corresponding documents related to the City's participation in the New Settlements and receipt
of Settlement Funds pursuant to the California State Subdivision Agreements; and
2. The City Manager of the City of Ukiah is authorized to negotiate and execute any and all
corresponding documents related to the City's participation in any future settlements related to
the National Prescription Opiate Multi-District Litigation and receipt of any future settlement
funds as allocated by the State; and
3. The California State Subdivision Agreements are set forth in Exhibit A, attached hereto and by
reference incorporated herein.
PASSED AND ADOPTED this 51" day of April 2023, by the following roll call vote:
AYES: Councilmembers Orozco, Sher, Duenas, and Mayor Rodin
NOES: None
ABSENT: Councilmember Crane
ABSTAIN: None
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Mari Rodin, Mayor
ATTEST:
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Kdne Lawler, City Clerk
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