Title
Discuss City Options for a Settlement with Teva, Allergen, CVS, Walmart, and Walgreens for their Respective Roles in the National Opioid Crisis
Summary
COUNCIL GOAL: Operational Excellence
MEETING DATE: May 16, 2023
DEPARTMENT: City Manager’s Office
CONTACT: Paul G. Grimes, City Manager
ITEM SUMMARY:
• Discuss City options for a settlement with Teva, Allergen, CVS, Walmart, and Walgreens for their respective roles in the National Opiod Crises.
BACKGROUND INFORMATION:
• The State of Texas and a broad coalition of states and subdivisions have reached final agreements with pharmaceutical and manufacturing companies to resolve legal claims against them for their role in the opioid crisis.
• As part of Senate Bill 1827 passed by the Texas Legislature in 2021, the Opioid Abatement Trust Fund was established to receive opioid abatement litigation settlement proceeds and to make distributions to Trust Fund recipients which include the State of Texas and its cities and counties (subdivisions).
• Pharma has 18 years to fund the settlements. McKinney was awarded a total of $450,383. There are approved uses for the awarded funds.
FINANCIAL SUMMARY:
• To date McKinney has received $141,385 of the total awarded amount of $450,383.
• Staff recommends including Opioid Abatement in the City’s existing Community Support Grant program to fund community organizations providing services to those in need.
BOARD OR COMMISSION RECOMMENDATION:
• N/A