HomeMy WebLinkAboutResolution No. 282-21 - Resolution - Opioid Settlement
RESOLUTION
Authorizing Participation in a National Prescription Opioid Settlement.
WHEREAS, the State of Minnesota and numerous Minnesota cities and counties, are
engaged in nationwide civil litigation against manufacturers and distributors of prescription
opioids related to the opioid crisis (“Prescription Opioid Litigation”); and
WHEREAS, in May 2019, the City of Rochester filed its own lawsuit against manufacturers
and distributors of prescription opioids (Case No. 0:19-cv-01317, MDL No. 1:17-MD-2804)
and joined the Prescription Opioid Litigation; and
WHEREAS, state governments have negotiated proposed nation-wide settlements (“Opioid
Litigation Settlements”) with some defendants, i.e., distributors McKesson, Cardinal Health
and Amerisource Bergen (collectively, “Settling Distributors”), and manufacturer Janssen
Pharmaceutical, Inc., and its parent company, Johnson & Johnson (collectively “Settling
Manufacturer”); and
WHEREAS, there is a deadline of January 2, 2022, for a sufficient threshold of Minnesota
cities and counties to sign on to the above-referenced Opioid Litigation Settlements; and
WHEREAS, the amount of settlement funds to be received by the State of Minnesota and its
political subdivisions is directly tied to participation and timely sign-on by local government
entities in the Opioid Litigation Settlements; and
WHEREAS, representatives of Minnesota’s local governments, the Office of the Attorney
General, and the State of Minnesota have reached agreement on the intrastate allocation of
these settlement funds between the State, and the counties and cities, as well as the
permissible uses of these funds, which will be memorialized in the Minnesota Opioids State-
Subdivision Memorandum of Agreement (the “State-Subdivision Agreement”); and
WHEREAS, during negotiations of the State-Subdivision Agreement, representatives of
Minnesota’s counties prioritized flexibility in how local governments may use settlement funds
for opioids abatement and remediation and advocated for counties to receive settlement
allocations directly rather than using the distribution mechanism detailed in Minn. Stat. §
256.043, subd. 3(d); and
WHEREAS, in order to achieve the goals of flexibility and direct allocation, Minn. Stat. §
256.043, subd. 3(d), must be amended to remove a provision which would otherwise
appropriate approximately 50 percent of the state’s settlement allocation to county social
service agencies for statutorily-prescribed use(s); and
WHEREAS, the State-Subdivision Agreement creates an opportunity for local governments
and the State to work collaboratively on a unified vision to deliver a robust abatement and
remediation plan to address the opioid crisis in Minnesota; and
WHEREAS, as a litigating entity, the City of Rochester is entitled to receive funds under the
Opioid Litigation Settlements; and
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WHEREAS, it is in the best interests of the State of Minnesota and the residents of the City
of Rochester and Olmsted County that the City participate in the Opioid Litigation Settlements.
NOW, THEREFORE, BE IT RESOLVED, by the Common Council of the City of Rochester,
Minnesota:
1. Participation in the Opioid Litigation Settlements promotes the public health, safety, and
welfare of the residents of the City of Rochester.
2. The City of Rochester supports and opts-in to the Opioid Litigation Settlements with the
Settling Distributors McKesson, Cardinal Health, and Amerisource Bergen, and with the
Settling Manufacturer Johnson & Johnson.
3. City Staff is hereby authorized to execute or ensure execution of all necessary documents
to ensure City participation in the Opioid Litigation Settlements, including the Participation
Agreement and accompanying Release, and the State-Subdivision Agreement.
4. The City of Rochester supports amendment of Minn. Stat. § 256.043, subd. 3(d) to remove
a provision which would appropriate approximately 50 percent of the state’s settlement
allocation to county social service agencies via the existing Opiate Epidemic Response
Fund distribution mechanism for statutorily-prescribed use(s).
PASSED AND ADOPTED BY THE COMMON COUNCIL OF THE CITY OF
ROCHESTER, MINNESOTA, THIS __________ DAY OF _______________, 2021.
___________________________________
PRESIDENT OF SAID COMMON COUNCIL
ATTEST: __________________________
CITY CLERK
APPROVED THIS _____ DAY OF ______________________, 2021.
___________________________________
MAYOR OF SAID CITY
(Seal of the City of
Rochester, Minnesota)
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