HomeMy WebLinkAbout~Master - National Opioid Settlement Agreement RESOLUTION NO. 21-627
RESOLUTION APPROVING THE CITY OF AMES PARTICIPATION IN THE
NATIONAL OPIOID SETTLEMENT, THE NATIONAL OPIOID SETTLEMENT
AGREEMENTS,AND THE AGREEMENT AMOUNT THE STATE OF IOWA
AND LOCAL GOVERNMENT ENTITIES
FOR THE CITY OF AMES,IOWA
WHEREAS,there has been a settlement of national litigation of many governmental entities
throughout the United States versus a major opioid manufacturer,Jannsen/Johnson&Johnson,and
a separate settlement with various Distributors of opioids; and,
WHEREAS, although the City of Ames was not a plaintiff in any of the lawsuits filed, the
City of Ames has been provided an opportunity to join the settlement; and,
WHEREAS, Iowa's share of the settlement funds will be sent to the State of Iowa; and,
WHEREAS,pursuant to an Allocation Memorandum of Understanding(MOU) between the
State of Iowa and local governments, the State of Iowa will share approximately 50% of the
settlement funds it receives with participating counties; and,
WHEREAS, Story County is participating in the settlement; and,
WHEREAS, the City of Ames will have an opportunity to negotiate with Story County for
a share of the settlement funds that Story County will receive; and,
WHEREAS, to participate in the Settlement Agreement, the City must sign three
Agreements; a Settlement Agreement with the opioid manufacturer, a Settlement Agreement with
the opioid distributors, and an Agreement with the State of Iowa and other local governmental
entities; and,
WHEREAS, every Participating Local Government that receives a Direct Distribution
Amount shall create a separate fund on its financial books and records that is designated for the
receipt and expenditure of the entity's Direct Distribution Amount,called the"LG Abatement Fund,"
and Funds in an LG Abatement Fund shall not be commingled with any other money or funds of the
Participating Local Government;a Participating Local Government may invest LG Abatement Fund
funds consistent with the investment of other funds of a Participating Local Government; and,
WHEREAS, funds in a LG Abatement Fund may be expended by a Participating Local
Government only for Opioid Related Expenditures, and for avoidance of doubt, funds in a LG
Abatement Fund may not be expended for costs,disbursements or payments made or incurred prior
to the Settlement; and,
WHEREAS, each LG Abatement Fund shall be subject to audit in a manner consistent with
Code oflowa §§331.402(2)(i) and 11.6; any such audit shall be financial and performance audit to
ensure that the LG Abatement Fund disbursements are consistent with the terms of this MOU, and
if any such audit reveals an expenditure inconsistent with the terms of the MOU,the Participating
Local Government shall immediately redirect the funds associated with the inconsistent expenditure
to an Opioid Related Expenditure; and,
WHEREAS,the City,by this Resolution, shall establish an account for the receipt of the LG
Abatement Share consistent with the terms of this Resolution ("the LG Abatement Fund"); and,
WHEREAS,the City's LG Abatement Fund shall be separate from the City's General Fund,
shall not be commingled with any other County funds, and shall be dedicated to funding opioid
abatement measures as provided in the Settlement Agreements and the Allocation MOU; and,
WHEREAS,the City must comply annually with the reporting requirements in the Allocation
MOU; and,
WHEREAS, the Ames City Council and the City Attorney have had the opportunity to
review all three Agreements.
ADOPTED THIS 14th day of December, 2021.
Diane R. Voss, City Clerk John A. Haila, Mayor
Introduced by: Junck
Seconded by: Corrieri
Voting aye: Beatty-Hansen, Betcher, Corrieri, Gartin, Junck, Martin
Voting nay: None Absent: None
Resolution declared adopted and signed by the Mayor this 14th day of December, 2021.