Title
Resolution Approving of the City of Hampton’s Participation in the Proposed Settlement of Opioid-Related Claims against Teva, Allergan, Walmart, Walgreens, CVS, and their Related Corporate Entities, and directing the City Manager to execute the documents necessary to effectuate the City of Hampton’s Participation in the Settlements
Purpose
PURPOSE/BACKGROUND:
On November 10, 2021, the City Council approved the City's participation in an MOU governing the statewide distribution of settlement funds relating to ongoing litigation by the state with several companies involved in the manufacture and distribution of opioids. At the time, the only settlements which had been reached were with distributors McKesson, Cardinal Health and AmerisourceBergen, and manufacturer Janssen Pharmaceuticals. Settlements have now been reached with manufacturers Teva, Allergan, and retailers Walmart, Walgreens and CVS. This resolution would approve the City's participation in this latest round of settlements.
Recommendation:
Rec
Approve the Resolution.
Body
WHEREAS, the opioid epidemic that has cost thousands of human lives across the country also impacts the Commonwealth of Virginia and its cities and counties by adversely impacting, amongst other things, the delivery of emergency medical, law enforcement, criminal justice, mental health and substance abuse services, and other services; and
WHEREAS, the Commonwealth of Virginia and its cities and counties have been required and will continue to be required to allocate substantial taxpayer dollars, resources, staff energy and time to address the damage the opioid epidemic has caused and continues to cause the citizens of Virginia; and
WHEREAS, settlement proposals have been negotiated that will cause Teva, Allergan, Walmart, Walgreens, CVS, and their related corporate entities to pay billions of dollars nationwide to resolve opioid-related claims against them; and
WHEREAS, the City has approved and adopted the Virginia Opioid Abatement Fund and Settlement Allocation Memorandum of Understanding (the “Virginia MOU”), and affirms that these pending settlements with Teva, Allergan, Walmart, Walgreens, and CVS shall be considered “Settlements” that are subject to the Virginia MOU, and shall be administered and allocated in the same manner as the opioid settlements entered into previously with opioid distributors McKesson, Cardinal Health, and AmerisourceBergen, and opioid manufacturer Janssen Pharmaceuticals; and
WHEREAS, the City’s participation in these additional settlements will result in additional funds being provided to reimburse the City for its costs associated with the opioid epidemic;
NOW THEREFORE BE IT RESOLVED BY THE COUNCIL OF THE CITY OF HAMPTON, VIRGINIA, approves of the City of Hampton’s participation in the proposed settlement of opioid-related claims against Teva, Allergan, Walmart, Walgreens, and CVS, and their related corporate entities, and directs the City Manager to execute the documents necessary to effectuate the City of Hampton’s participation in the settlements, including the required release of claims against settling entities.