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2022-R-03 - ILA - Opioid Settlement FundsRESOLUTION NO. 2022-R-03 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EDGEWATER, FLORIDA, AUTHORIZING THE MAYOR TO EXECUTE THE INTERLOCAL AGREEMENT GOVERNING USE OF VOLUSIA COUNTY REGIONAL OPIOID SETTLEMENT FUNDS; REPEALING ALL RESOLUTIONS IN CONFLICT HEREWITH AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, a local, state and national crisis arose as a result of the manufacture, distribution and over -prescribing of opioid analgesics ("opioids") and resulted in opioid overdoses and addictions throughout municipalities, counties, states and the nation; and WHEREAS, Volusia County and the municipalities therein are not immune from this nationwide crisis; and WHEREAS, in April of 2021, a collaborative working group known as the Volusia County Opioid Task Force, hereinafter "Opioid Task Force", consisting of various knowledgeable staff of the local government entities assembled in response to the alarming increase in opioid related drug misuse and opioid -related deaths within the geographic boundaries of Volusia County; and WHEREAS, the opioid crisis is as pronounced within Volusia County and within certain municipalities within Volusia County as it was throughout most of the harder hit areas in the state of Florida and in the United States and despite the resources expended on combatting the epidemic, the opioid epidemic continues to impact the local community; and WHEREAS, as a result of the national opioid crisis, many governmental entities throughout the country filed lawsuits against opioid manufacturers, distributors, and retailers, hereinafter referred to as the "defendants", to hold them accountable for the damage caused by their misfeasance, nonfeasance and malfeasance, as well as to recover monetary damages for past harm and financial compensation for ongoing and future abatement efforts; and 2022-R-03 1 WHEREAS, the lawsuits filed by the MDL Cities and the County were consolidated with other lawsuits filed by state, tribal and local governmental entities into what is known as the National Prescription Opiate Litigation in the United States District Court of the Northern District of Ohio, Eastern Division, case number 1: 17 -MD -2804 and WHEREAS, the Attorney General has proposed entering into agreements with local governments within the State of Florida to receive Settlement funds. This agreement (hereinafter referred to as the "State MOU"), as currently drafted, divides settlement funds into three portions designated as City County, Regional and State funds; and WHEREAS, the parties recognize that local control over Regional Settlement funds is in the best interest of all persons within the geographic boundaries of Volusia County and ensures that Settlement funds are available and used to address opioid -related impacts within Volusia County and are, therefore, committed to the County qualifying as a "Qualified County" and thereby receiving Regional funds pursuant to the State MOU; and WHEREAS, the State MOU requires that in order for Volusia County to become a Qualified County eligible to receive Regional Funding, there must be an Interlocal agreement among Volusia County and Municipalities (attached hereto and incorporated as Exhibit "A"), as defined in the MOU, with combined population exceeding 50% of the total population of the Municipalities within Volusia County, with the term "Municipalities" being defined for the purpose in this Agreement as those municipalities with a population of 10,000 or more as required by the State MOU; or with population less than 10,000 who were party plaintiffs; population for purposes of the MOU is determined by specific Census data; and WHEREAS, this Interlocal agreement provides for the appointment to the Opioid Abatement Funding Advisory Board, which shall review and make recommendations on Volusia 2022-R-03 2 ka County's abatement plan and funding considerations consistent with the abatement plan and State MOU. WHEREAS, the parties recognize that it is in the best interest of the County and the Cities to enter into this Interlocal agreement to ensure Volusia County is a "Qualified County" to receive Regional Funding pursuant to the State MOU. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Edgewater, Florida: Section 1. Execution of this Agreement by the County and the governing bodies of the municipalities as required by the State MOU enables Volusia County to become a Qualified County and directly receive Volusia County Regional Funding. Section 2. Volusia County Regional Funding will be used in accordance with the requirements of the State MOU, and guidelines set forth by a board established by this Interlocal Agreement (hereinafter referred to as the "Opioid Abatement t Funding . Advisory Board" or "Advisory Board"), which will include utilizing it&rmation., data, _r and projections provided by the Opioid Taskforce. -- = ^ - l � r Section 3. The Mayor is hereby authorized to execute the Interlocal Agreement Governing Use of Volusia County Regional Opioid Settlement Funds. Section 4. All resolutions or parts of resolutions in conflict herewith are hereby repealed. Section 5. This resolution shall take effect upon adoption. 2022-R-03 3 After Motion to approve by (I i >1P l OJ I ':rfyi-1 0 0 i . with Second by �'�lhid rY�(a 1 14L1 }v�/� the vote on this resolution was as follows: Mayor Mike Thomas Councilwoman Christine Power Councilwoman Gigi Bennington Councilwoman Megan O'Keefe Councilman Jonah Powers AYE NAY X PASSED AND DULY ADOPTED this 10`h day of January, 2022. PGCJ:JTv 7 'h 'I['Es :40 r. ljea� Bonnie Brown, CMC City Clerk For the use and reliance only by the City of Edgewater, Florida Approved as to form and legality by: Aaron R. Wolfe, Esquire City Attorney Doran, Sims, Wolfe & Yoon Approved by the City Council of the City of Edgewater at a meeting held on this 10'" day of January, 2022, under Agenda Item No 8 1 2022-R-03 4 CITY COUNCIL OF THE CITY OF EDGEWATER, FLORIDA n W1 !^ EXHIBIT 46A" INTERLOCAL AGREEMENT GOVERNING USE OF VOLUSIA COUNTY REGIONAL OPIOID SETTLEMENT FUNDS 2022-R-03 INTERLOCAL AGREEMENT GOVERNING USE OF VOLUSIA COUNTY REGIONAL OPIOID SETTLEMENT FUNDS THIS INTERLOCAL AGREEMENT ("Agreement") is made and entered into as of this day of 2021, by and between Volusia County, a political subdivision of the State of Florida, hereinafter referred to as the "County," and the City of Daytona Beach, the City of Daytona Beach Shores, the City of DeBary, the City of DeLand, the City of Deltona, the City of Edgewater, the City of Holly Hill, the City of Lake Helen, the City of New Smyrna Beach, the City of Oak Hill; the City of Orange City; the City of Ormond Beach; the Town of Pierson; the Town of Ponce -Inlet; the City of Port Orange; and the City of South Daytona; hereinafter referred to as the "Cities." WHEREAS, a local, state and national crisis arose as a result of the manufacture, distribution and over -prescribing of opioid analgesics ("opioids") and resulted in opioid /00''� overdoses and addictions throughout municipalities, counties, states and the nation; and WHEREAS, Volusia County and the municipalities therein are not immune from this nationwide crisis; an WHEREAS, in April of 2021, a collaborative working group known as the Volusia County Opioid Task Force, hereinafter "Opioid Task Force", consisting of various knowledgeable staff of the local government entities assembled in response to the alarming increase in opioid related drug misuse and opioid -related deaths within the geographic boundaries of Volusia County; and WHEREAS, the Opioid Task Force will continue to provide local governments with relevant information on the opioid national crises as well as information and analysis on the Interlocal for Opioid Regional Settlement Funds Page 1 of 29 /00,11) nature, extent, and problems in Volusia County and on opioid -related programs consistent with the State MOU; and WHEREAS, the crisis has caused and is causing an undue strain on local government finances to implement programing to combat the opioid epidemic, to mitigate the harmful effects of the opioid epidemic in the community, and to increase educational campaigns to counteract misinformation about the addictive nature and harmful effects of opioids; and WHEREAS, the opioid crisis is as pronounced within Volusia County and within certain municipalities within Volusia County as it was throughout most of the harder hit areas in the state of Florida and in the United States and despite the resources expended on combatting the epidemic, the opioid epidemic continues to impact the local community; and WHEREAS, as a result of the national opioid crisis, many governmental entities throughout the country filed lawsuits against opioid manufacturers, distributors, and retailers, hereinafter referred to as the "defendants", to hold them accountable for the damage caused by their misfeasance, nonfeasance and malfeasance, as well as to recover monetary damages for past harm and financial compensation for ongoing and future abatement efforts; and WHEREAS, four governmental entities in Volusia County deemed the opioid crisis significant enough to secure litigation counsel and individually elect to file suit against the defendants to wit: Deltona, Daytona Beach, Ormond Beach, and Daytona Beach Shores, (hereinafter referred to as the "MDL Cities") and the County; and WHEREAS, the lawsuits filed by the MDL Cities and the County were consolidated with other lawsuits filed by state, tribal and local governmental entities into what is known as Interlocal for Opioid Regional Settlement Funds Page 2 of 29 the National Prescription Opiate Litigation in the United States District Court of the Northern District of Ohio, Eastern Division, case number 1: 17 -MD -2804; and WHEREAS, as a result of this litigation, multiple defendants have begun to negotiate settlements; and WHEREAS, the Attorney General for the State of Florida (hereinafter "Attorney General") anticipates that Settlement funds will be distributed to the State of Florida over multiple years as part of a global settlement, and not directly to the MDL Cities and County, despite their position as party plaintiffs; and WHEREAS, the Attorney General has proposed entering into agreements with local governments within the State of Florida to receive Settlement funds. This agreement (hereinafter referred to as the "State MOU"), as currently drafted, divides settlement funds into three portions designated as City County, Regional and State funds; and /00*� WHEREAS, it is anticipated that the State MOU will set forth the amount and manner of distribution of City/County and Regional Settlement funds within Florida, the requirements to receive and manage Regional funds, and the purposes for which Regional funds may be used. The approved uses in the State MOU for which Regional funds may be used are attached as Exhibit A; and WHEREAS, the parties recognize that local control over Regional Settlement funds is in the best interest of all persons within the geographic boundaries of Volusia County and ensures that Settlement funds are available and used to address opioid -related impacts within Volusia County and are, therefore, committed to the County qualifying as a "Qualified County" and thereby receiving Regional funds pursuant to the State MOU; and Interlocal for Opioid Regional Settlement Funds Page 3 of 29 eoll1 WHEREAS, Volusia County is currently providing or contracting to provide substance abuse, prevention, recovery, and/or treatment services to the citizens in Volusia County; and WHEREAS, Volusia County currently has programs and policies for abatement of opioid and other substance abuse, prevention, recovery, or treatment services that may be enhanced or supplemented, including, but not limited to: carrying of Narcan by law enforcement officers, first responders, and corrections officers; pro -active support systems such as educational materials and services to reach at -risk individuals identified through historical opioid events and historical locations of events; as well as intervention for individuals suffering from opioid abuse in the criminal justice system; and WHEREAS, the State MOU requires that in order for Volusia County to become a Qualified County eligible to receive Regional Funding, there must be an interlocal agreement among Volusia County and Municipalities, as defined in the MOU, with combined population exceeding 50% of the total population of the Municipalities within Volusia County, with the term "Municipalities" being defined for the purpose in this Agreement as those municipalities with a population of 10,000 or more as required by the State MOU; or with population less than 10,000 who were party plaintiffs; population for purposes of the MOU is determined by specific Census data; and WHEREAS, historically, government -funded programming geared toward abating the opioid crisis has been data driven based upon community impacts without regard to governmental jurisdictional boundaries; and WHEREAS, this interlocal provides for the appointment to the Opioid Abatement Funding Advisory Board, which shall review and make recommendations on Volusia Interlocal for Opioid Regional Settlement Funds Page 4 of 29 5 County's abatement plan and funding considerations consistent with the abatement plan and State MOU; and WHEREAS, the parties recognize that it is in the best interest of the County and the Cities to enter into this interlocal agreement to ensure Volusia County is a "Qualified County" to receive Regional Funding pursuant to the State MOU. NOW, THEREFORE, in consideration of the covenants herein contained, and other good and valuable consideration, the patties agree as follows: Section 1. DEFINITIONS A. Unless otherwise defined herein, all defined terms in the State MOU are incorporated herein and shall have the same meanings as in the State MOU. B. "Volusia County Regional Funding" shall mean the amount of the Regional Funding paid to Volusia County in its role as a Qualified County. P0� Section 2. CONDITIONS PRECEDENT This Agreement shall become effective on the Commencement Date set forth in Section 4, so long as the following conditions precedent have been satisfied: A. Execution of this Agreement by the County and the governing bodies of the municipalities as required by the State MOU to enable Volusia County to become FI Qualified County and directly receive Volusia County Regional Funding; and B. Execution of all documents necessary to effectuate the State MOU in its final form; and C. Volusia County being determined by the State of Florida to qualify as a "Qualified County" to receive Regional Funding under the State MOU; and Interlocal for Opioid Regional Settlement Funds Page 5 of 29 O D. Filing of this Agreement with the Clerk of the Circuit Court for Volusia County as required by Florida Statutes, Section 163.01. Section 3. EXECUTION This Agreement may be signed in counterparts by the parties hereto. Section 4. TERM The term of this Agreement and the obligations hereunder commences upon the satisfaction of all conditions precedent, runs concurrently with the State MOU, and will continue until one (1) year after the expenditure of all Volusia County Regional Funding, unless otherwise terminated in accordance with the provisions of the State MOU. Obligations under this Agreement which by their nature should survive, including, but not limited to any and all obligations relating to record retention, audit, and indemnification will remain in effect after termination or expiration of this Agreement.. Section 5. BOARD A. Volusia County Regional Funding will be used in accordance with the requirements of the State MOU, and guidelines set forth by a board established by this Interlocal Agreement (hereinafter referred to as the "Opioid Abatement Funding Advisory Board" or "Advisory Board"), which will include utilizing information, data, and projections provided by the Opioid Taskforce. i. Opioid Abatement Funding Advisory Board membership shall be comprised of the following members, who should have experience with law enforcement, fire rescue, substance abuse treatment, or other relevant experience, appointed for two-year terms: Interlocal for Opioid Regional Settlement Funds Page 6 of 29 I . One member appointed by the City of Daytona Beach; 2. One member appointed by the City of Daytona Beach Shores; 3. One member appointed by the City of DeBary; 4. One member appointed by the City of DeLand; 5. One member appointed by the City of Deltona; 6. One member appointed by the City of Edgewater; 7. One member appointed by the City of Holly Hill; 8. One member appointed by the City of Lake Helen; 9. One member appointed by the City of New Smyrna Beach; 10. One member appointed by the City of Oak Hill; 11. One member appointed by the City of Orange City; /tet 12. One member appointed by the City of Ormond Beach; 13. One member appointed by the Town of Pierson; 14. One member appointed by the Town of Ponce Inlet; 15. One member appointed by the City of Port Orange; 16. One member appointed by the City of South Daytona; 17. One member appointed by the Volusia County Council. B. The Opioid Abatement Funding Advisory Board shall meet regularly and as often as needed to effectuate its responsibilities, but no less than semi-annually and on a schedule which allows the Opioid Task Force to provide the data compiled for and arising out of its semi-annual meeting to the Opioid Abatement Funding Advisory Interlocal for Opioid Regional Settlement Funds Page 7 of 29 Board for review and consideration. A majority of the total membership of the Opioid Abatement Funding Advisory Board constitutes a quorum. C. The Opioid Abatement Funding Advisory Board shall establish bylaws and an annual process which must include the following: a. A date certain each year by which the Opioid Abatement Funding Advisory Board must meet and review the data available from previous years, tending to evidence the local status of the opioid epidemic and the effect of abatement programming. b. A member of the Advisory Board shall abstain from voting on a proposal for funding a program or service provided by that member's local government. c. The Opioid Abatement Funding Advisory Board must review the programs and services of the beneficiaries of Volusia County Regional Funds to determine the outcome of such programs and services in order to hold beneficiaries accountable. d. The Opioid Abatement Funding Advisory Board must annually make recommendations on funding, programs, services, and location priorities for the upcoming year(s) ("Opioid Abatement Funding Advisory Board Priority List," "Priority List," or "Abatement Plan"). County Council shall have final approval of the Abatement Plan, or any amendments thereto. D. The County shall perform competitive solicitations for programming and services based on the Opioid Abatement Funding Advisory Board Priority List in Interlocal for Opioid Regional Settlement Funds Page 8 of 29 accordance with the procurement process in Chapter 2 of the Code of Ordinances, County of Volusia. E. Volusia County Regional Funding may be used to enhance current programs or develop new programs consistent with the State MOU. Regional funding is not intended to supplant current funding sources and general funds, and staff will continue to seek funding for opioid related abatement at the levels opioid abatement programs were funded as of the effective date of this agreement. F. Final Review recommendations will be approved by the Opioid Abatement Funding Advisory Board, who shall present recommendations to the County Council for approval. The County Council shall approve Opioid Abatement Funding Advisory Board recommendations by a majority vote of the members present unless the County Council rejects such recommendations by a majority e"O� vote of the County Council members present. In the event of such rejection, the County Council shall determine and approve by a majority vote of the members present the expenditure of the Regional Funds in accordance with the State MOU. G. The Opioid Abatement Funding Advisory Board shall recommend and the County Council shall use its best efforts to fund services and programs that are available to all residents of Volusia County and shall strive to allocate funding and services in a manner that equally benefits all residents of Volusia County. Section 6. ADMINISTRATIVE COSTS The County is responsible for administering the "Regional Funds" remitted pursuant to the State MOU and, therefore County staff will support the Opioid Abatement Funding Interlocal for Opioid Regional Settlement Funds Page 9 of 29 Advisory Board and shall provide all support services including but not limited to legal services, as well as contract management, program monitoring, and reporting required by the State MOU and is entitled to the maximum allowable administrative fee pursuant to the State MOU. The administrative fee will be deducted annually from the amount of available Volusia County Regional Funds, and the remaining Volusia County Regional Funds will be spent as provided in the State MOU and as provided herein. Section 7. LOCAL GOVERNMENT REPORTING REQUIREMENTS To the extent that local governmental entity receives Volusia County Regional Funds directly from the County, any local governmental entity so receiving funds must spend such funds for Approved Purposes and must timely satisfy all reporting requirements of the MOU. Failure to comply with this provision may disqualify the local governmental entity from further direct receipt of Volusia County Regional Funds. Section 8. NON -APPROPRIATION This Agreement is not a general obligation of the County. It is understood that neither this Agreement nor any representation by any County official, officer or employee creates any obligation to appropriate or make monies available for the purposes of the Agreement beyond the fiscal year in which this Agreement is executed. The obligations of the County as to funding required pursuant to the Agreement are limited to an obligation in any given fiscal year to budget and appropriate from Volusia County Regional Funds annually which are designated for regional use pursuant to the terms of the State MOU. No liability shall be incurred by the County beyond the monies budgeted and available for the purpose of the Agreement. If funds are not received by the County for any or all of this Agreement for a new Interlocal for Opioid Regional Settlement Funds Page 10 of 29 fiscal period, the County is not obligated to pay or spend any sums contemplated by this Agreement beyond the portions for which funds were received and appropriated. The County agrees to promptly notify the Cities in writing of any subsequent non -appropriation, and upon such notice, this Agreement will terminate on the last day of the current fiscal year without penalty to the County and all undistributed funds will be spent for programs previously proposed by the Opioid Abatement Funding Advisory Board and adopted by the County Council. Section 9. INDEMNIFICATION Each City and the County shall be responsible for their respective employees' acts of negligence when such employees are acting within the scope of their employment and shall only be liable for any damages resulting from said negligence to the extent permitted by Section 768.28, Florida Statues. Nothing herein shall be construed as a waiver of sovereign /000� immunity, or the provisions of F S. § 768.28, by either Party. Nothing herein shall be construed as consent by either Party to be sued by third parties for any matter arising out of this Agreement. Section 10. SEVERABILITY If any provision of this Agreement is held invalid, the invalidity shall not affect other provisions of the Agreement which can be given effect without the invalid provision or application, and to this end, the provisions of this Agreement are severable. Section 1 I AMENDMENTS TO AGREEMENT This Agreement may be amended, in writing, upon the express written approval of the governing bodies of all the parties. Interlocal for Opioid Regional Settlement Funds Page 11 of 29 Section 12. FILING OF AGREEMENT This Agreement shall be filed with the Clerk of the Circuit court as provided in Section 163.01(11), Florida Statutes. Section 13. GOVERNING LAW The laws of the State of Florida shall govern this Agreement. IN WITNESS WHEREOF, the parties to this Agreement have caused their names to be affixed hereto by the proper officers thereof, as of the day and year first above written. [SIGNATURE PAGES TO FOLLOW] Interlocal for Opioid Regional Settlement Funds Page 12 of 29 ATTEST: COUNTY OF VOLUSIA, a political subdivision of the State of Florida W George Recktenwald Jeffrey S. Brower County Manager County Chair DATE: Interlocal for Opioid Regional Settlement Funds Page 13 of 29 ATTEST: DATE: CITY OF DAYTONA BEACH, a Florida municipal corporation w Derrick Henry Mayor Interlocal for Opioid Regional Settlement Funds Page 14 of 29 ATTEST: DATE: CITY OF DAYTONA BEACH SHORES, a Florida municipal corporation IM Nancy Miller Mayor Interlocal for Opioid Regional Settlement Funds Page 15 of 29 ATTEST: CITY OF DEBARY, a Florida municipal corporation DATE: r�1 w Karen Chasez Mayor Interlocal for Opioid Regional Settlement Funds Page 16 of 29 ATTEST: CITY OF DELAND, a Florida municipal corporation DATE: Robert F. Apgar Mayor Interlocal for Opioid Regional Settlement Funds Page 17 of 29 ATTEST: DATE: CITY OF DELTONA, _ .. a. Florida municipal corporation �. ;_•,.' BY: Heidi K. Herzberg Mayor Interlocal for Opioid Regional Settlement Funds Page 18 of 29 n ATTEST: I to I � r BALI 'k,"A DATE: I aGd CITY OF EDGEWATER, a Florida municipal corporation eoN Interlocal for Opioid Regional Settlement Funds Page 19 of 29 ATTEST: CITY OF HOLLY HILL, a Florida municipal corporation DATE: M Chris Via Mayor Interlocal for Opioid Regional Settlement Funds Page 20 of 29 ATTEST: DATE: CITY OF LAKE HELEN, a Florida municipal corporation w Cameron Lane Mayor Interlocal for Opioid Regional Settlement Funds Page 21 of 29 ATTEST: CITY OF NEW SMYRNA BEACH, a Florida municipal corporation DATE: IM Russ Owen Mayor Interlocal for Opioid Regional Settlement Funds Page 22 of 29 ATTEST: DATE: CITY OF OAK HILL, a Florida municipal corporation w Douglas A. Gibson Mayor Interlocal for Opioid Regional Settlement Funds Page 23 of 29 W ATTEST: DATE: CITY OF ORANGE CITY, a Florida municipal corporation w Gary Blair Mayor Interlocal for Opioid. Regional Settlement Funds Page 24 of 29 ATTEST: DATE: CITY OF ORMOND BEACH, a Florida municipal corporation M Bill Partington Mayor Interlocal for Opioid Regional Settlement Funds Page 25 of 29 n ATTEST: TOWN OF PIERSON, a Florida municipal corporation DATE: Mm Samuel G.S. Bennet Mayor Interlocal for Opioid Regional Settlement Funds Page 26 of 29 ATTEST: DATE: TOWN OF PONCE INLET, a Florida municipal corporation M Gary Smith Mayor Interlocal for Opioid Regional Settlement Funds Page 27 of 29 ATTEST: CITY OF PORT ORGANGE, a Florida municipal corporation DATE: Donald O. Burnette Mayor Interlocal for Opioid Regional Settlement Funds Page 28 of 29 ATTEST: DATE: CITY OF SOUTH DAYTONA, a Florida municipal corporation jo-M William C. Hall Mayor Interlocal for Opioid Regional Settlement Funds Page 29 of 29 TO L CAL POL ITICA L SUBDI VISJONS',, IMPORKINTINFORMA 01`101D VIFTTLEMENT ,5 UBD T,_Y1 ._...p',._ fir..,,.,. Q 0 CUM EN 7A I ION TO 1�1 R TI CVj TL,. 'REDl,,, MINE FOR R4 R 77CII)I-i TION To MAXIMIZES, 771 EML,N7'B1!,NEFJ'7"S LSUANUA R Y1F 2,-2022. If your subdivision is represented by an attorney with respect to opioid claims, please immediately contact them. After years of negotiations, two proposed nationwide settlement agreements ("Settlements") have been reached that Would resolve all opioid litigation brought by states and local political subdivisions against the three largest pharmaceutical distributors, McKesson, Cardinal Health and ArneriSOUrceBergen ("Distributors"), and one manufacturer, Janssen PharitiacCLiticals, Inc., and its parent company Johnson & Johnson (collectively, "Janssen"). The proposed Settlements require the Distributors and Janssen to pay billions of dollars to abate the opioid epidemic. Specifically, the Settlements require the Distributors to pay up to $21 billion over 18 years and Janssen to pay LIP, to $5 billion over no more than 9 years, for a total of $26 billion (the "Settlement An -101.111C). Of the Settlement Amount, approximately $22.7 billion is earmarked for use by participating states and subdivisions to remediate and abate the impacts of the opioid crisis. The Settlements also contain injunctive relief provisions governing the opioid marketing, sale and distribution practices at the heart of the states' and subdivisions' lawsuits and further require the Distributors to implement additional safeguards to prevent diversion of prescription opioids. Each of the proposed Settlements has two key participation steps. First, each state decides whether to participate in the Settlements. The State of Florida has joined both Settlements. Second, the subdivisions within each participating state must then decide whether to participate in the Settlements. Generally, the more subdivisions that participate, the greater the amount of funds that -now to that state and its participating subdivisions. Any subdivision that does not participate cannot directly share in any of the settlement funds, even if the subdivision's state is settling and other participating subdivisions are sharing in settlement ftinds. This letter is part of the formal notice required by the Settlements. WHY IS YOUR SUBDIVISION RECEIVING THIS NOTICE? You are receiving this letter because the State of Florida has elected to participate in both of the two national Settlements against (1) the Distributors, and (2) Janssen, and your subdivision may participate in the Settlements to which your state has agreed. This notice is being sent directly to subdivisions and Also to attorneys for subdivisions that we understand are litigating against these companies. If you are represented by an attorney with respect to opioid claims, please immediately contact them. Please note that there is no need for subdivisions to be represented by an attorney or to have filed a lawsuit to participate in the Settlements. t, WHERE CAN YOU FIND MORE INFORMATION? This letter is intended to provide a brief overview of the Settlements. Detailed information about the Settlements may be found at: https://nationalopioidsettlement.com/. This national settlement website also includes links to information about how the Settlements are being implemented in your state and how settlement funds will be allocated within your state. This website will be supplemented as additional documents are 'created. In addition, the Florida's Office of Attorney General has also set up a state -specific website, which contains additional state specific information. It may be found at: http://www.myfloridalegal.com/opioidsettlement. HOW DO YOU PARTICIPATE IN THE SETTLEMENTS? First, you must go to the national settlement website to register to receive in the coming wicks and months the documentation your subdivision will need to participate in the Settlements (if your subdivisibn is eligible). Second, you must execute and submit all required documentation. Documentation will be submitted electronically utilizing the "DocuSign" service. In addition, we would ask you to print out your "Docs, Sign" participation documentation and upload it on Florida's website: http://www.myfloridalegal.com/opioids6ttlement. Once you reach the State's webpage, click on the "learn more" button and follow the directions from there. As part of the registration process, your subdivision will need to identify, and provide the email address far, the individual who will be authorized to sign formal and binding documents on behalf of your subdivision. Your unique Subdivision Identification Number to use to register is: BL4GX6 HOW WILL SETTLEMENT FUNDS BE ALLOCATED IN EACH STATE? The settlement funds are first divided among the participating states according to a formul developed by the Attorneys General that considers population and the severity of harm caused by the opioid epidemic in each participating state. Each state's share of the abatement funds is then further allocated within 0 ach state according to agreement between the state and its subdivisions, applicable state allocation legislation, or, in the absence of these, the default provisions in the agreements. Many states have or are in the process of reaching an agreement on how to allocat abatement funds within the states. Allocation agreements/legislation and other information about Ailorida's allocation agreement can be found on both the national settlement website and Florida's webpaFe. The allocation section of the website will be supplemented as more intra -state allocation arrangements are finalized: http://www.myfloridalegal.com/opioidsettlement. To determine your eligibility to receive, directly or indirectly, any of the funds alloc4ted to your state should you elect to participate in the Settlements in which your state participates, you should first visit https://nationalopioidsettlement.com/ or http://www.i-nyfloridalegal.com/opioidsettlement to review the proposed state -subdivision agreement. The terms of the state -subdivision agreement will govern your eligibility to receive funds directly or indirectly from the share that is allocated to your state under the national settt�ment agreements. The proposed state -subdivision agreement that is in the process of being adopted by subdivisions. Any questions concerning the status or terms of the state -subdivision agreement can be directed to the Attorri6 General's Office by e-mail sent to fl,opioidlitigation@myfloridalegal.com. ly You may be contacted by the Attorney General's Office with additional information regarding the allocation of settlement funds in Florida. Subdivisions with representation can expect information from their attorneys as well. We encourage you to review all materials and to follow -up with any questions. The terms of these Settlements are complex and we want to be sure you have all the information you need to make your participation decision. WHY YOU SHOULD PARTICIPATE A vast majority of states have joined the Settlements, and attorneys for many subdivisions have already announced support for them. For example, the Plaintiffs' Executive Committee, charged with leading the litigation on behalf of more than 3,000 cities, counties and others against the opioid industry, and consolidated in the national multi - district litigation ("MDL") pending before Judge Dan Aaron Polster in the Northern District of Ohio, recommends participation in these Settlements. Subdivision participation is strongly encouraged, for the following reasons: First, the amounts to be paid under the Settlements, while insufficient to abate the epidemic fully, will allow state and local governments to commence with meaningful change designed to curb opioid addiction, overdose and death; Second, time is of the essence. "The opioid epidemic continues to devastate communities around the country and it is critical that the funds begin to flow to allow governments to address the epidemic in their communities as soon as possible, Third, if there is not sufficient subdivision participation in these proposed Settlements, the Settlements will not be finalized, the important business practice changes will not be implemented, the billions of dollars in abatement funds will not flow to communities, and more than 3,000 cases may be sent back to their home courts for trial, which will take many years; Fourth, the extent of participation also will determine how much money each state and its local subdivisions will receive because approximately half of the abatement funds are in the form of "incentive payments," i.e., the higher the participation of subdivisions in a state, the greater the amount of settlement funds that flow into that state; Fifth, you know first-hand the effects of the opioid epidemic on your community. Funds from these Settlements will be used to commence abatement of the crisis and provide relief to your citizens while litigation and settlement discussions proceed against numerous other defendants in the opioid industry; Sixth, because pills do not respect boundaries, the opioid epidemic is a national crisis that needs a national solution. 1".14, ILIVAQ. These Settlements require that you take affirmative steps to "opt in" to the Settlements. If you do not act, you will not receive any settlement funds and you will not contribute to reaching the participation thresholds that will deliver the maximum amount of abatement funds to your state. First, register your subdivision on the national settlement website so that information and documents required to participate can be sent to you. You will need the email address of the person who will be authorized to sign on behalf of your subdivision. This is the only action item needed at this time. National Opioids Settlements P.O. Box 43196 Providence, RII 02940-3196 NPD 83 122810017905 Postal Service: Please do not mark barcode NPD CK -455-589 Michael TNmas 104 North Riverside Drive Edgewater, FL 32132 1 'MOD'IL'SC)IL'P!JogAw'pDuoile2tillp!ojdo'g of 11vw-o uu puri asuald 'I-uj;Du;Dq XowouV jo, aolUo uppoll joj suopsorib OA'eq noft JI -3oU;DIU0AU00 Isoilno inof, ve ol!sclam Lp!,jolj aqj puu o1pqpm juawallps peU0111M 0q) MOTA of nof, o2in oAk -u$iSnooCj iiuisn XIluoiuoijoalp Ouip!wqns pue 2upoaxo uo suopruisut puv 'uopnjos0-d japow le (algoildcIv waqm) 13svola'a ljuzwzoi2V � uopedpipled v apnpui IpKinnqoiqm 'suopuoiunwwoo joqljnj joj Ipwa 1noX joiluolu 'pijqj -uiatp pm swowoluaSatlijo sipuoq pu-e suual aqj ssnosip of noxaguinoow am puv 'al7als jnoX uiqjjm swowalwS Qqj jo sojjppds aril ssnosip of alqupUA18 WE 31PIS Qqj U1111!M SJOVIU00 .10qjo put '10sunoo ino.K 'aogjo S,ILI,IDUDD�Z)LUOIIVgql'UIL'i?V 'UOTSIAtpqns 2uilvdioipud IIeTjjUI ue oq oi ouilpeap ZZOZ'Z faunurf oqj wopq Ilam sszowd siql iqftoxq-qaom of pa-Ownooug WE SUOISTAipqns puie IsluoutallpS posodoid aril ui al-ediarpTed oj.I0qj0qM Suip!oopjoss000lq,aqlui2c)qolp;DaulllmuolSlAipqns.inof,'ajmnjileout(aOAOIPUI -;D3UJ0S,jVJ0U0DXQIU0jjV aIqj io Igsunoo inoS roj suopsonb jo Isil u doloAQCI -SJQjjVW I0q40 PUIe U011133011LI 'SUUQI 4UQWQQ1&I 4UQW01143S 31RI gulujaOUO3 S3j!s'qa/,& zqj uo SIVUOIL'W 041 MOTAW 01 uiS;)q poq .to (s)uosiod Ouiziloiqlnu jnoX QAUq 'pU000S