ATTACHMENT II
HAYWARD CITY COUNCIL
RESOLUTION NO. 25-____
Introduced by Council Member _____________
RESOLUTION APPROVING PARTICIPATION IN THE PURDUE PHARMA L.P. /
SACKLER NATIONAL OPIOID SETTLEMENT AND THE SECONDARY
MANUFACTURERS NATIONAL OPIOID SETTLEMENT ; ACCEPTING THE TERMS OF THE RELATED CALIFORNIA ALLOCATION AGREEMENT S; AND
AUTHORIZING THE CITY MANAGER TO EXECUTE AND SUBMIT ALL
NECESSARY SETTLEMENT PARTICIPATION DOCUME NTS ON BEHALF OF
THE CITY OF HAYWARD
WHEREAS, settlements have been reached in multi -district litigation brought by states and cities against Purdue Pharma L.P. and the Sackler family (the “Purdue Settlement”) and drug manufacturers Alvogen, Amneal, Apot ex, Hikma, Indivior, Mylan, Sun, and Zydus (“the Secondary Manufacturers Settlement”) for their roles in the opioid crisis; and
WHEREAS, under the terms of the Purdue Settlement, California is scheduled to receive up to nearly $ 440 million over 15 years , a portion of which will be distributed to cities and counties that participate in the settlement; and
WHEREAS, under the terms of the Secondary Manufacturers Settlement California could receive up to $70 million over 10 years, a portion of which will be distributed to cities and counties that participate in the settlement; and
WHEREAS, although the City of Hayward is not a litigating entity involved in th e litigation it may opt-in and receive the benefits of the settlements in exchange for releasing its claims against Purdue Pharma and the Sackler family as part of the Purdue Settlement ; and
WHEREAS, although the City of Hayward is not a litigating entity involved in th e litigation it may opt-in and receive the benefits of the settlements in exchange for releasing its claims against Alvogen, Amneal, Apotex, Hikma, Indivior, Mylan, Sun, and Zydus (“the Secondary Manufacturers”) as part of the Secondary Manufacturers Settlement; and
WHEREAS, the more cities with populations greate r 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 respective Settlement Agreements; and
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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 Allocation Agreements divide California’s settlement proceeds among three funds:
• State Fund – 15% of settlement goes to State.
• Subdivision Fund – 15% to litigating subdivisions.
• Abatement Fund – 70% to eligible subdivisions (including Hayward) identified in the respective settlement agreements. Also includes litigating subdivisions; and
WHEREAS, p ursuant to the Allocation Agreements, Hayward is entitled to receive .117% of California’s Abatement Fund for the respective settlements; and
WHEREAS, the City wishes to agree to the terms of the proposed Allocation Agreements for the Purdue Settlement and Secondary Manufacturers Settlement, respectively; and
WHEREAS, jurisdictions must opt -in to the Purdue Settlement by September 30, 2025; and
WHEREAS, jurisdictions must opt -in to the Secondary Manufacturers Settlement by October 8, 2025.
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Hayward that the terms of the settlement agreement with Purdue Pharma L.P. and the Sackler family regarding the national opioid litigation described herein are hereby accepted.
BE IT FURTHER RESOLEVD that the terms of the settlement agreement with the Secondary Manufacturers 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 for the respective settlements is 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 settlement with Purdue Pharma L.P. and the Sackler family regarding the national opioid litigation described herein.
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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 settlement with the Secondary Manufacturers regarding the national opioid litigation described herein.
IN COUNCIL, HAYWARD, CALIFORNIA ___________________, 2025
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