Explanation
BACKGROUND: In 2017, the City of Columbus, through the Office of the City Attorney, obtained outside special counsel to represent the City in what would become the Multi-District Opiate Litigation (“the MDL”) - IN RE: NATIONAL PRESCRIPTION OPIATE LITIGATION in the United States District Court for the Northern District of Ohio, MDL Case No. 1:17-md-02804-DAP. On August 6, 2021, the City Attorney, pursuant to the authorization provided by Ordinance 1263-2021, elected to participate in the material terms of the National Settlement Agreement dated July 21, 2021 pursuant to the terms of the OneOhio Memorandum of Understanding (“The Memorandum”) dated July 28, 2021. The purpose of this ordinance is to establish a fund to allow for the receipt of settlement funds.
Under the settlement, Distributors, Manufacturers and Pharmaceutical companies that enter into the settlement agreement will pay the State of Ohio and its subdivisions over a period of 18 years. Pursuant to the Memorandum, these funds will be distributed according to the following allocation: 15% directly to the State of Ohio; 30% directly to subdivisions; and 55% to the OneOhio Foundation (to be utilized for the benefit of the 18 defined regions across the State of Ohio). Most of the money will be restricted in use and specifically earmarked for abatement of the Opioid Epidemic. Developed in consultation with the nation’s leading public health experts, the list of pre-approved uses includes a wide range of intervention, treatment, education, and recovery services so that the state and its subdivisions can decide what will serve their communities.
The Department of Finance and Management will be responsible for monitoring the distribution and appropriate expenditure of these funds based on the provisions of the Memorandum and guidance provided by the OneOhio Foundation. In conjunction with the City Auditor, the Department of Finance and Management is requesting these funds be appropriated to...
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