File #: TMP23-0653    Name: Opioid Settlement Grant Agreement
Type: Resolution Status: Approved
In control: City Council Regular Meeting
On agenda: 6/6/2023 Final action: 6/6/2023
Title: Consider/Discuss/Act on a Resolution Authorizing a Grant Agreement by and between the City of McKinney and GraceToChange LLC, as Grantee, and Directing the City Manager to Provide Opioid Settlement Funds Received from the State of Texas to the Grantee and to be Used for Authorized Purposes under such Settlement
Attachments: 1. Resolution
Title
Consider/Discuss/Act on a Resolution Authorizing a Grant Agreement by and between the City of McKinney and GraceToChange LLC, as Grantee, and Directing the City Manager to Provide Opioid Settlement Funds Received from the State of Texas to the Grantee and to be Used for Authorized Purposes under such Settlement

Summary

COUNCIL GOAL: Operational Excellence

MEETING DATE: June 6, 2023

DEPARTMENT: City Manager's Office

CONTACT: Paul G. Grimes, City Manager


RECOMMENDED CITY COUNCIL ACTION: Staff recommends approval of the proposed Resolution and accompanying Grant Agreement directing the City Manager to fund GraceToChange LLC, as Grantee, in conjunction with the City's receipt of settlement funds from the State of Texas arising out of and related to the National and Statewide epidemic caused by licit and illicit opioid use and distribution within the State of Texas.

ITEM SUMMARY: At the present time, the amount of funds which have been received and are available for funding by the City is $141,385.04.

BACKGROUND INFORMATION: Several years ago, the State of Texas, along with a broad coalition of states and political subdivisions from across the country, sued three (3) major opioid distributors - McKesson, Cardinal Health and Amerisource Bergen-along with an opioid manufacturer, Johnson & Johnson - for their role in the national opioid crisis. Those manufacturers entered into a settlement agreement with the coalition of states and over governmental entities and upon the request and urging of the Office of the Texas Attorney General, most Texas local governments participated in the settlement. The City opted to participate in September 2021, with the funds required to be utilized for opioid remediation purposes.

Similarly, the State of Texas and other coalition members have settled their cases against two pharmaceutical manufacturers, Teva and Allergan ("Manufacturers"), and three pharmacies, CVS, Walgreens, and Walmart ("Pharmacies") relative to...

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