HAYWARD CITY COUNCIL
RESOLUTION NO. 23-____
Introduced by Council Member __________
RESOLUTION APPROVING PARTICIPATION IN THE NATIONAL OPIOID SETTLEMENT LITIGATION WITH TEVA, ALLERGAN, CVS, WALMART AND WALGREENS; ACCEPTING THE TERMS OF THE CALIFORNIA ALLOCATION AGREEMENT; AND AUTHORIZING THE CITY MANAGER TO EXECUTE AND SUBMIT ALL NECESSARY SETTLEMENT PARTICIPATION DOCUMENTS ON BEHALF OF THE CITY OF HAYWARD WHEREAS, a settlement has been reached in multi-district litigation in brought by states and cities against Teva, Allergan, CVS, Walmart and Walgreens for their roles in the opioid crisis; and WHEREAS, the proposed settlements consist of agreements with Teva, Allergan, CVS, Walmart and Walgreens; and WHEREAS, the terms of the settlements include payments as follows:
Teva to pay up to $3.34 billion over 13 years and to provide either $1.2 billion of its generic version of the drug Narcan over 10 years or $240 million of cash in lieu of product, as each state may elect; Allergan to pay up to $2.02 billion over 7 years;
CVS to pay up to $4.90 billion over 10 years;
Walgreens to pay up to $5.52 billion over 15 years; and Walmart to pay up to $2.74 billion within 6 years.
WHEREAS, under the terms of Settlement, California is scheduled to receive up to nearly $1.8 billion, some of which will be distributed to cities and counties; and WHEREAS, although the City of Hayward is not a litigating entity involved in this litigation it may opt-in and receive the benefits of the settlements in exchange for releasing its claims against Teva, Allergan, CVS, Walmart and Walgreens; and WHEREAS, the more cities with populations greater than 10,000 people, such as the City, which opt-in to the agreement will enable their respective counties and states to receive more funds under the incentive structure of the settlements; and WHEREAS, opting-in to the settlement will enable the City to receive funds from the settlements, which can be used to treat opioid use disorder and for other purposes described in the Settlement; and WHEREAS, the City wishes to agree to the terms of the proposed settlements; and WHEREAS, the State of California, and counsel representing a group of cities and counties, have reached agreement on a proposed allocation of recoveries that California may receive pursuant to the settlements (“Allocation Agreements”); and WHEREAS, the City wishes to agree to the terms of the proposed Allocation Agreements; and WHEREAS, jurisdictions must opt-in to the settlements by April 18, 2023.
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Hayward that the terms of the settlement agreements with Teva, Allergan, CVS, Walmart and Walgreens regarding the national opioid litigation described herein are hereby accepted.
BE IT FURTHER RESOLVED that the terms of the Allocation Agreements prepared by the State of California are hereby accepted.
BE IT FURTHER RESOLVED that the City Manager is hereby authorized and directed to execute and submit all documents necessary for the City of Hayward to participate in the settlements with the Teva, Allergan, CVS, Walmart and Walgreens regarding the national opioid litigation described herein.
IN COUNCIL, HAYWARD, CALIFORNIA ___________________, 2023 ADOPTED BY THE FOLLOWING VOTE:
AYES: COUNCIL MEMBERS:
MAYOR:
NOES: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
ATTEST: _______________________________________
City Clerk of the City of Hayward
APPROVED AS TO FORM:
___________________________________________
City Attorney of the City of Hayward
ATTACHMENT II
ATTACHMENT II