HomeMy WebLinkAbout2021-12-14 - RESOLUTIONS - OP-IN TO NATIONAL OPIOID SETTLEMENTRESOLUTION NO. 21-61
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA,
CALIFORNIA, DIRECTING THE CITY MANAGER OR DESIGNEE TO TAKE ALL
NECESSARY ACTIONS TO JOIN IN THE SETTLEMENT OF THE NATIONAL OPIOID
LITIGATION (IN RE: NATIONAL PRESCRIPTION OPIATE LITIGATION (U.S.D.C. CASE
NO. 1:17-CV-2804)) AND AUTHORIZING THE CITY MANAGER OR DESIGNEE TO
EXECUTE SETTLEMENT AGREEMENTS RELATING TO LITIGATION
WHEREAS, on July 21, 2021 the National Prescription Opiate Litigation Multi -
District Litigation (MDL) Plaintiffs' Executive Committee, several State Attorneys General, and
four major defendants announced agreement on terms of a proposed nationwide settlements to
resolve all Opioids litigation brought by various states and local political subdivisions against the
three largest pharmaceutical distributors: McKesson, Cardinal Health and AmerisourceBergen
("Distributors"), and manufacturer Janssen Pharmaceuticals, Inc. and its parent company
Johnson & Johnson (collectively, "J&J"). The lawsuit is referred to as In re: National
Prescription Opiate Litigation (U.S.D.C. Case No. 1: 1 7-CV-2804); and
WHEREAS, the settlement requires the Distributors to pay up to $21 billion and
Janssen to pay up to $5 billion, and that roughly $2.6 billion of this settlement is to be directed to
the State of California and its subdivisions, subject to the State Attorney General and political
subdivisions reaching an allocation agreement to determine how to apportion and distribute the
settlement funds directed to California; and
WHEREAS, In October 2021, an allocation agreement was reached, whereby 85
percent of the total settlement funds sent to California will be allocated to local governments of
the State who elect to participate in the settlement and, consequently, release their own potential
claims against the defendants; and
WHEREAS, in order for the City of Santa Clarita to participate the City must elect to
participate by January 2, 2022, by completing a participation agreement; and
WHEREAS, in participating, if the entity elects to participate and wants to receive
direct payments, it must notify the Settlement Distributor Administrator, otherwise, the funds
will be directed to the County.
NOW, THEREFORE, the City Council of the City of Santa Clarita, California, does
hereby resolve as follows:
SECTION 1. The Santa Clarita City Council finds the foregoing recitals are true and
correct, and they are hereby incorporated by reference into this resolution.
SECTION 2. Authorize the City Manager or Designee to take all necessary actions to
left- join in the settlements in the National Opioid Litigation (In Re: National Opiate Litigation
(U.S.D.C. Case No. 1:17-CV-2804 and to release any potential claims against the identified
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defendants, Distributors, and J&J and accept payment based on the terms and conditions set forth
in the Settlement Agreements, which are available in the City Clerk's Office.
SECTION 3. Authorize the City Manager or designee to execute the Settlement
Agreements and any other necessary documents, in a form approved by the City Attorney,
required to join the Settlement Agreements.
SECTION 4. Authorize the City Manager or designee to keep the settlement monies
for City use, consistent with the eligible activities issued as part of the terms included in the
settlement agreement.
SECTION 5. If any term, provision, or portion of these findings or the application of
these findings to a particular situation is held by a court to be invalid, void or unenforceable, the
remaining provisions of these findings, or their application to other actions related to the Project,
shall continue in full force and effect unless amended or modified by the City.
SECTION 6. The City Clerk shall certify to the adoption of this resolution.
PASSED, APPROVED, AND ADOPTED this 14th day of December 2021.
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MAYOR
ATTEST:
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CITY CLERK
DATE: I:N
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF SANTA CLARITA )
I, Mary Cusick, City Clerk of the City of Santa Clarita, do hereby certify that the
foregoing Resolution No. 21-61 was duly adopted by the City Council of the City of Santa
Clarita at a regular meeting thereof, held on the 14th day of December 2021, by the following
vote:
AYES:
NOES:
ABSENT:
COUNCILMEMBERS: Miranda, Gibbs, McLean, Smyth, Weste
COUNCILMEMBERS : None
COUNCILMEMBERS : None
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