HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 12/07/2021 - RESOLUTION 2021-113 APPROVING PARTICIPATION IN THE Agenda Item 21
Item # 21 Page 1
AGENDA ITEM SUMMARY December 7, 2021
City Council
STAFF
Ginny Sawyer, Policy and Project Manager
Carrie Daggett, City Attorney
SUBJECT
Resolution 2021-113 Approving Participation in the Colorado Opioids Settlement and Authorizing Execution of
Related Agreements.
EXECUTIVE SUMMARY
The purpose of this item is to provide an overview of the Colorado Opioids Settlement Memorandum of
Understanding (MOU) and seek approval of a resolution to allow the City to participate in the Colorado Opioids
Settlement by granting approval to sign the MOU and its exhibits, which include waivers of claims for opioid -
related damages.
STAFF RECOMMENDATION
Staff recommends adoption of the Resolution.
BACKGROUND / DISCUSSION
Nationwide settlements have been reached with the “Big 3” opioid distributors and opioid manufacturer
Johnson & Johnson to resolve claims by state and local governments that these companies contributed to the
opioid epidemic. The claims being settled include those raised by local g overnments in the national multi-
district litigation. The Memorandum of Understanding (MOU) establishes the framework for distributing and
sharing these settlement proceeds throughout Colorado.
Local governments and Colorado Attorney General Phil Weiser negotiated for over a year to develop the MOU
setting out the terms for allocation, distribution and use of funds received from the settlement of nationwide
litigation against defendants who have been sued by Colorado governments based on claims for damage s
related to opioid manufacture, distribution, and sales. The Colorado MOU is structured to promote regionalism,
collaboration, and abatement throughout the state. It is expected that the Colorado MOU will also be used for
settlements with other opioid defendants in the future, including any settlement from Purdue Pharma’s
bankruptcy proceeding. Colorado Attorney General Phil Weiser signed the MOU on August 26, 2021.
Attachments 1 and 2 are a Summary and Frequently Asked Questions related to the MOU.
Under the MOU, settlement funds are to be distributed as follows:
• 60% to the 19 regions shown on Attachment 3 (Larimer County is its own region), to be distributed by a
Regional Council based on a plan adopted by that Regional Council;
• 20% to local governments allocated according to the distribution set out in the MOU (based on a
nationwide allocation formula or as otherwise agreed by local governments within the region);
• 10% to an infrastructure fund to be administered by a General Abatement Fund Council a dministered by
the State; and
• 10% to be administered by the Attorney General to address issues of statewide concern related to the
opioid crisis.
Agenda Item 21
Item # 21 Page 2
Under the terms of the national settlements and the MOU, the settlement funds may be used for addiction
treatment, recovery, and prevention programs. (Attachment 4)
Funds from settlements will be distributed over a period of years. The Big 3 distributors will pay a maximum of
$21 billion over 18 years, which Johnson & Johnson will pay a maximum of $5 billion over no more than 9
years. In total, up to approximately $22.8 billion in settlement proceeds will be payable to state and local
subdivisions nationwide. Each state receives a percentage of that recovery and Colorado’s maximum share
from these settlements will likely be an estimated nearly $400 million. Colorado will receive its maximum share
of settlement payments only if enough local governments sign on to the deal by January 2, 2022.
The State included an escrow agreement that would require partici pation of 95% of certain local governments
in Colorado to effectuate the MOU and settlements to ensure that litigating entities and participating local
governments receive sufficient settlements. Also, the settling defendants have the option of “walk away ” from
the deals if there is not enough participation, so it is important that a “critical mass” of local governments sign
on by the deadline for approval.
CITY FINANCIAL IMPACTS
By entering into the MOU, the City could receive just short of an estimated $1 million over 18 years. The City
will also be eligible to receive funding from the regional share of settlement funds, to be allocated by a
Regional Council, as well as funding through the State infrastructure fund, allocated by the State -run
Abatement Council.
ATTACHMENTS
1. Summary - Memorandum of Understanding (PDF)
2. Memorandum of Understanding - Frequently Asked Questions (PDF)
3. Regions for Distribution Map (PDF)
4. Allowable Uses (PDF)
Colorado Opioids Settlement Memorandum of Understanding
Summary
Below is a brief overview of the key provisions outlined in the Colorado Opioids
Settlement Memorandum of Understanding (“Colorado MOU”). The Colorado MOU was signed
by Colorado Attorney General Phil Weiser on August 26, 2021. In order to receive the full
settlement payments for all of Colorado, strong participation by local governments signing on to
the Colorado MOU is necessary.
Local governments and the State prepared the Colorado MOU, which prioritizes
regionalism, collaboration, and abatement in the sharing and distribution of opioid settlement
funds. The points below summarize the framework laid out in the Colorado MOU for
distributing and sharing opioids settlement proceeds throughout Colorado. Please see the full
Colorado MOU and exhibits for additional details.
While Colorado’s local governments are currently being asked to participate in recent
settlements with the “Big 3” Distributors (AmerisourceBergen, Cardinal Health, and McKesson)
and Johnson & Johnson, the Colorado MOU is intended to apply to all current and future opioid
settlements.
A.Allocation of Settlement Funds
The Colorado MOU provides the framework for fairly dividing and sharing settlement
proceeds among the state and local governments in Colorado. Under the Colorado MOU,
settlement proceeds will be distributed as follows:
1.10% directly to the State (“State Share”)
2.20% directly to Participating Local Governments (“LG Share”)
3.60% directly to Regions (“Regional Share”)
4.10% to specific abatement infrastructure projects (“Statewide Infrastructure
Share”)
Under the Colorado MOU, all settlement funds must be used only for “Approved
Purposes,” a long and broad list that focuses on abatement strategies. These strategies emphasize
prevention, treatment, and harm reduction. Some examples of these strategies include training
health care providers on opioid use disorder (“OUD”) treatment and responsible prescribing,
expanding telehealth and mobile services for treatment, and increasing naloxone and rescue
breathing supplies. The list of Approved Purposes is broad enough to be flexible for local
communities, while ensuring that settlement funds are used to combat the opioid epidemic. The
list of Approved Purposes is attached as Exhibit A to the MOU, unless the term is otherwise
defined in a settlement.
ATTACHMENT 1
B. General Abatement Fund Council
A General Abatement Fund Council (the “Abatement Council”), consisting of
representatives appointed by the State and Participating Local Governments, will ensure that the
distribution of opioid funds complies with the terms of any settlement and the terms of the
Colorado MOU. The Abatement Council will consist of 13 members, seven appointed by the
State and six appointed by the Participating Local Governments.
C. Local Government Share (20%)
Twenty percent of settlement funds will be paid directly to Participating Local
Governments. Exhibit D to the Colorado MOU lists the percentage to each County Area (that is,
the county government plus the municipalities within that county), and Exhibit E further breaks
down those allocations to an intracounty level using a default allocation.
The allocations to each County Area in Exhibit D are based on three factors that address
critical causes and effects of the opioid crisis: (1) the number of persons suffering opioid use
disorder in the county; (2) the number of opioid overdose deaths that occurred in the county; and
(3) the amount of opioids distributed within the county.
The intracounty allocations in Exhibit E are a default allocation that will apply unless the
local governments in a County Area enter into a written agreement providing for a different
allocation. These allocations are based on a model, developed by health economist experts,
which uses data from the State and Local Government Census on past spending relevant to
opioid abatement.
Participating Local Governments will provide data on expenditures from the LG Share to
the Abatement Council on an annual basis. If a local government wishes, it may forego its LG
Share and direct it to the Regional Share. A local government that chooses not to participate or
sign onto the Colorado MOU will not receive funds from the LG Share and the portion of the LG
Share that it would have received will instead be re-allocated to the Regional Share for the region
where that local government is located.
D. Regional Share (60%)
Sixty percent of settlement funds will be allocated to single- or multi-county regions
made up of local governments. These regions were drawn by local governments to make use of
existing local infrastructure and relationships. The regional map is shown below, as well as in
Exhibit C to the Colorado MOU:
Allocations to regions will be calculated according to the percentages in Exhibit F. Each
region will create its own “Regional Council” to determine what Approved Purposes to fund
with that region’s allocation from the Regional Share. Regional governance models are attached
to the Colorado MOU as Exhibit G. Each region may draft its own intra-regional agreements,
bylaws, or other governing documents to determine how the Regional Council will operate,
subject to the terms of the Colorado MOU. Each Regional Council will provide expenditure data
to the Abatement Council on an annual basis.
A local government that chooses not to participate or sign onto the Colorado MOU shall
not receive any opioid funds from the Regional Share and shall not participate in the Regional
Councils.
E. State Share (10%)
Ten percent of settlement funds will be allocated directly to the State for statewide
priorities in combating the opioid epidemic. The State maintains full discretion over distribution
of the State Share anywhere within the State of Colorado. On an annual basis, the State shall
provide all data on expenditures from the State Share, including administrative costs, to the
Abatement Council.
F. Statewide Infrastructure Share (10%)
Ten percent of the settlement funds will be allocated to a Statewide Infrastructure Share
to promote capital improvements and provide operational assistance for the development or
improvement of infrastructure necessary to abate the opioid crisis anywhere in Colorado.
The Abatement Council shall establish and publish policies and procedures for the
distribution and oversight of the Statewide Infrastructure Share, including processes for local
governments or regions to apply for opioid funds from the Statewide Infrastructure Share.
G. Attorneys’ Fees and Expenses Paid Through a Back-Stop Fund
To a large extent, the national opioid settlements occurred because of the pressure that
litigating entities and their counsel exerted on defendants through their lawsuits. The attorneys’
fee provision equitably allocates the cost of attorneys’ fees, while also allowing non-litigating
entities to share in the 25% premium for releases by the litigating entities in the “Big 3”
Distributor and Johnson & Johnson settlements. The work that was done by the litigating entities
and their law firms in the litigation has substantially contributed to achieving the settlements that
are currently being offered and those that are anticipated in the future.
The Attorney General and local governments have agreed to a “Back-Stop Fund” for
attorneys’ fees and costs. Before a law firm can apply to the Back-Stop Fund, it must first apply
to any national common benefit fee fund. The Back-Stop Fund will only be used to pay the
difference between what law firms are owed and the amount they have received from a national
common benefit fee fund.
Attorneys’ fees are limited to 8.7% of the total LG Share and 4.35% of the total Regional
Share. No funds will be taken from the Statewide Infrastructure Share or State Share.
A committee will be formed to oversee payments from the Back-Stop Fund. The
committee will include litigating and non-litigating entities. Importantly, any excess money in
the Back-Stop fund, after attorneys’ fees and costs are paid, will go back to the local
governments.
H. Participation in the Colorado MOU and Expected Timeline
The MOU was designed to ensure that as many local governments as possible would
agree to its terms. Strong participation from local governments is needed to receive the full
settlement payments for all of Colorado. On August 26, 2021, Colorado Attorney General Phil
Weiser signed the MOU. It is projected that settlement funds from the “Big 3”
Distributor/Johnson & Johnson settlements could be made available as soon as July 2022 and
will be distributed within Colorado according to the MOU.
Along with the MOU, each local government will need to sign a Subdivision Settlement
Participation Form for each of the settlements (the “Big 3” Distributor settlement and the
Johnson & Johnson settlement) releasing their legal claims and stating they are participating in
the settlements. In addition, a Colorado Subdivision Escrow Agreement should be signed to
ensure legal claims are released only when 95% participation by certain local governments has
been reached. That 95% participation threshold is important because it triggers certain amounts
of incentive payments under the settlements and signals to the settling pharmaceutical companies
that the settlements have wide acceptance.
A copy of the MOU with signature pages for each local government, the Subdivision
Settlement Participation Forms, and the Colorado Subdivision Escrow Agreement will be
provided by the Attorney General’s Office. The documents should be executed by the individual
or body with authority to do so on behalf of their respective county or municipality and
submitted by mail or email to either CCI or CML at the following addresses:
For Counties:
Colorado Counties, Inc.
800 Grant, Ste 500
Denver, CO 80203
Email:
Kyley Burress at KBurress@ccionline.org
Katie First at KFirst@ccionline.org
For Municipalities:
Colorado Municipal League
1144 N. Sherman St.
Denver, CO 80203
Email: opioidsettlement@cml.org
If you have any questions, please reach out to Heidi Williams of the Colorado AG’s
office at Heidi.Williams@coag.gov.
4836-1115-5960, v. 7
Colorado Opioids Settlement MOU: Frequently Asked Questions
1.What does this “settle” and why does Colorado need an MOU?
Nationwide settlements have been reached with the “Big 3” opioid distributors (McKesson,
Cardinal Health, and AmerisourceBergen) and opioid manufacturer Johnson & Johnson to
resolve claims by state and local governments that these companies contributed to the opioid
epidemic. The claims being settled include those raised by local governments in the national
multi-district litigation (“MDL”), In Re: National Prescription Opiate Litigation, MDL 2804
(N.D. Ohio). More information about these settlements can be found at
https://nationalopioidsettlement.com/.
The Colorado MOU establishes the framework for distributing and sharing these settlement
proceeds throughout Colorado. Local governments and the State prepared the Colorado MOU,
which prioritizes regionalism, collaboration, and abatement. It is expected that the Colorado
MOU will also be used for settlements with other opioid defendants in the future, including any
settlement from Purdue Pharma’s bankruptcy proceeding. Colorado Attorney General Phil
Weiser signed the MOU on August 26, 2021. The Colorado MOU is included in this packet from
the Attorney General’s Office and can also be found at www.coag.gov/opioids.
2.Who put together the Colorado MOU?
Local government officials from across Colorado were involved in the negotiation of the
Colorado MOU with the Attorney General’s Office. County commissioners, mayors, county and
city attorneys, and other stakeholders came together with the assistance of Colorado Counties,
Inc. (“CCI”) and the Colorado Municipal League (“CML”) to establish the framework and
negotiate the details of the Colorado MOU.
3.How much money will Colorado receive and over what period of time?
Funds from the Big 3 and Johnson & Johnson settlements will be distributed over a period of
years. The Big 3 distributors will pay a maximum of $21 billion over 18 years, while Johnson &
Johnson will pay a maximum of $5 billion over no more than nine years. In total, up to
approximately $22.8 billion in settlement proceeds will be payable to state and local subdivisions
nationwide. Each state receives a percentage of that recovery, and Colorado’s maximum share
from these settlements will likely be more than $300 million.
However, as discussed more below, Colorado will receive its maximum share of settlement
payments only if enough local governments sign on to the deal. Also, the settling defendants
have the option to “walk away” from the deals if there is not enough participation, so it is
important that a “critical mass” of local governments signs on soon. Otherwise, the entire deal
could fall through.
ATTACHMENT 2
4. How can we maximize Colorado’s recovery?
The MOU was designed to ensure that as many local governments as possible would agree to its
terms. The Big 3 Distributor and Johnson & Johnson settlements include incentive payments
based on how many governments participate. Strong participation from local governments is
needed to receive the full settlement payments for all of Colorado. Local governments should
sign the Colorado Subdivision Escrow Agreement to ensure their legal claims are released only
when 95% participation by local governments has been reached, which secures significant
incentive payments under these settlement agreements. For more information on the incentive
payments, please see the graphics below:
5. Is participation limited to litigating entities?
No, participation is not limited to governments that filed suit in the opioid litigation. Money from
these settlements will be used for opioid crisis abatement in communities across Colorado,
regardless of whether they have chosen to sue. All Colorado local governments are eligible to
participate in the settlements and join the MOU, and the MOU does not allocate more funds to
cities and counties that chose to file suit—all cities and counties in Colorado are allocated funds
based on the same objective factors.
6. How will settlement proceeds be divided within the state under the Colorado
MOU?
Under the Colorado MOU, settlement proceeds will be distributed as follows:
• 10% directly to the State (“State Share”)
• 20% directly to Participating Local Governments (“LG Share”)
• 60% directly to Regions (“Regional Share”)
• 10% to specific abatement infrastructure projects (“Statewide Infrastructure
Share”)
7. How will the money be spent?
Under the Colorado MOU, all settlement funds must be used only for “Approved Purposes,” a
long and broad list that focuses on abatement strategies. These strategies emphasize prevention,
treatment, and harm reduction. Some examples of these strategies include training health care
providers on opioid use disorder (“OUD”) treatment and responsible prescribing, expanding
telehealth and mobile services for treatment, and increasing naloxone and rescue breathing
supplies. The list of Approved Purposes is broad enough to be flexible for local communities,
while ensuring that settlement funds are used to combat the opioid epidemic. The list of
Approved Purposes is attached as Exhibit A to the MOU, unless the term is otherwise defined in
a settlement.
To ensure that settlement funds are in fact used only for Approved Purposes, a General
Abatement Fund Council (the “Abatement Council”) will be formed. This committee will consist
of thirteen representatives appointed by the State and Participating Local Governments to ensure
opioid funds are spent in compliance with the terms of the settlements and the Colorado MOU.
8. How will direct payments to local governments be allocated?
Under the Colorado MOU, 20% of the settlement funds will be paid directly to local
governments. A list of the percentage of settlement funds that will be allocated to each County
Area (that is, the county government plus the municipalities within that county) is Exhibit D to
the Colorado MOU. Those allocations are further broken down to an intracounty level in Exhibit
E, which is a default allocation.
The allocations to each County Area are based on three factors that address the relative severity
of the opioid crisis: (a) the number of persons suffering from Opioid Use Disorder in the county;
(b) the number of opioid overdose deaths in the county; and (c) the amount of opioids distributed
within the county (measured in Morphine Milligram Equivalent units).
The intracounty allocations in Exhibit E are based on a default allocation model that will apply
unless the local governments in a County Area enter into an agreement that provides for a
different allocation model. These allocations are based on a model developed by health
economist experts, which use data from the State and Local Governments Census on past
spending relevant to opioid abatement.
To ensure transparency and that settlement funds are used for Approved Purposes, local
governments that receive settlement funds directly will be required to provide expenditure data
to the Abatement Council on an annual basis. Local governments that wish to join the MOU but
do not wish to receive any direct payments have the option to redirect their payments to the
Regional allocation described below.
A local government that chooses not to participate or sign onto the Colorado MOU will not
receive funds from the LG Share and the portion of the LG share that it would have received will
instead be re-allocated to the Regional Share described below.
9. How will payments to Regions be allocated?
Under the Colorado MOU, 60% of the settlement funds will be allocated to single- or multi-
county regions made up of local governments. Local governments in Colorado worked
collaboratively to develop the Regional Map, which emphasizes existing local infrastructure and
relationships. The regional map is below, as well as included in the Colorado MOU as Exhibit C:
For more information on the percentages of settlement funds that will be allocated to each
Region, please see Exhibit F of the Colorado MOU.
10. How will the Regions be governed?
Each Region will create its own “Regional Council” consisting of members from the constituent
local governments to determine what Approved Purposes to fund with the Region’s allocation.
The Regional Council will have the power to make spending decisions in the Region. The
Regions will designate a fiscal agent prior to receiving any settlement funds. Regional
governance models are attached to the Colorado MOU as Exhibit G. Each Region may draft its
own intra-regional agreements, bylaws, or other governing documents to determine how the
Regional Council will operate. Each Regional Council will provide expenditure data to the
Abatement Council on an annual basis.
11. How will the Statewide Infrastructure Share work?
Many stakeholders have expressed a need for capital improvements across Colorado, and
particularly in underserved areas, to abate the opioid crisis. The Colorado MOU directly
addresses this by allocating 10% of settlement funds going to these projects. This money will be
distributed by a statewide committee based on need. The Abatement Council will establish and
publish policies and procedures for the distribution and oversight of the Statewide Infrastructure
Share, including processes for local governments or regions to apply for opioid funds from the
Statewide Infrastructure Share.
12. How will attorneys’ fees and expenses be paid?
The Attorney General and local governments have agreed to a “Back-Stop Fund” for attorneys’
fees and costs. The attorneys’ fee provision in the Colorado MOU equitably allocates the cost of
attorneys’ fees across all local governments, while also allowing non-litigating entities to share
in the 25% premium for releases signed by the litigating entities in the “Big 3” Distributor and
Johnson & Johnson settlements.
Before a law firm can apply to the Back-Stop Fund, it must first apply to any national common
benefit fee fund. The Back-Stop Fund will only be used to pay the difference between what law
firms are owed and the amount they have received from a national common benefit fee fund.
Attorneys’ fees are limited to 8.7% of the total LG Share and 4.35% of the total Regional Share.
No funds will be taken from the Statewide Infrastructure Share or State Share.
A committee will be formed to oversee payments from the Back-Stop Fund. The committee will
include litigating and non-litigating entities. Importantly, any excess money in the Back-Stop
fund, after attorneys’ fees and costs are paid, will go back to the local governments.
13. Why is this a great result for local governments?
The Colorado MOU will ensure effective and efficient use of funds without dilution or diversion
of opioid settlement money to unrelated purposes or unnecessary overhead expenses. In the
Colorado MOU the local governments control 80% of the settlement funds.
• Bottom-Up Approach – The need is at the local level, so the resources should be, too.
• Local Voices – The communities bearing the brunt of this burden must have a meaningful
seat at the table to make decisions about where resources go.
• Flexibility – The Colorado MOU provides an opportunity for local governments to decide
how to entrust their own regional funds without unnecessary red tape.
14. How do I sign the MOU?
Local governments should sign four documents.
a. First is the MOU.
b. Next, each local government will need to sign a Subdivision Settlement Participation
Form for each of the two settlements (the “Big 3” Distributor settlement and the Johnson &
Johnson settlement) releasing their legal claims and stating they are participating in the
settlements.
c. In addition, a Colorado Subdivision Escrow Agreement should be signed to ensure
legal claims are released only when 95% participation by certain local governments has been
reached, which secures a significant portion of the incentive payments described in FAQ 4,
above. Under the terms of the Colorado Subdivision Escrow Agreement, CCI (for counties) or
CML (for municipalities) will hold the MOUs and the Subdivision Settlement Participation
Forms for each of the settlements in escrow until 95% participation by local governments has
been reached as to specified incentive payments under the respective settlement agreements.
Copies of the Subdivision Settlement Participation Forms, the MOU with signature pages for
each local government, and the Colorado Subdivision Escrow Agreement will be provided by the
Attorney General’s Office. The documents should be executed by the individual or body with
authority to do so on behalf of their respective county or municipality and submitted by mail or
email to either CCI or CML at the following addresses:
For Counties:
Colorado Counties, Inc.
800 Grant, Ste 500
Denver, CO 80203
Email:
Kyley Burress KBurress@ccionline.org
Katie First KFirst@ccionline.org
For Municipalities:
Colorado Municipal League
1144 N. Sherman St.
Denver, CO 80203
Email: opioidsettlement@cml.org
If you have any questions, please reach out to Heidi Williams of the Colorado AG’s office at
Heidi.Williams@coag.gov.
4831-7831-1416, v. 5
Regions for the distribution of opioid settlement funds
Regionl Regions Region 9 -Region13 Region17
Region2 iRegion 6 RegionlO Reglon14 ·Aegion18 j-� Aeglon3 Region 7 (Broomfield) Region 11 (Denver) RegionlS Region19 Region 4 -,-Region a Region12 Reglon16 ' j
ATTACHMENT 3
ATTACHMENT 4
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RESOLUTION 2021-113
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROVING PARTICIPATION IN THE COLORADO OPIOIDS SETTLEMENT
AND AUTHORIZING EXECUTION OF RELATED AGREEMENTS
WHEREAS, communities throughout the State of Colorado, including the City of Fort
Collins (“City), are suffering from an epidemic of opioid addiction; and
WHEREAS, the opioid epidemic has not only affected individuals and families
across the country, but it has also burdened the local and state governments charged with
providing the services needed to address the wave of addiction; and
WHEREAS, local and state governments across the nation, including in Colorado, have
filed lawsuits against opioid manufacturers, distributors, and pharmacies for creating the
opioid epidemic; and
WHEREAS, the parties to the various opioid lawsuits have been negotiating settlement
agreements to resolve the litigation which include incentive payments for maximizing
participation by local governments; and
WHEREAS, through extensive negotiations, local governments and the Colorado
Attorney General’s Office have drafted a Memorandum of Understanding to govern how
opioids settlement funds will be allocated in Colorado; and
WHEREAS, to maximize recovery from the variety of lawsuits filed by the state and
local governments across the nation, the State of Colorado is requesting that as many state and
local governments as possible sign on to the State of Colorado Memorandum of Understanding
(“MOU”), along with the Subdivision Settlement Participation Forms releasing any claims the
City may have against Johnson & Johnson, and against AmerisourceBergen, Cardinal Health,
and McKesson, attached hereto as Exhibit “A,” Exhibit “B,” and Exhibit “C”, respectively,
and incorporated herein by this reference; and
WHEREAS, in order to participate in and receive funds from the Colorado opioids
settlements, the City is required to approve and sign the MOU and associated settlement
participation forms, releasing the City’s claims against the opioid manufacturers, distributors,
and pharmacies; and
WHEREAS, the City desires to participate in the Colorado opioids settlements to
increase recoveries for Colorado government entities and so the City is eligible to receive
settlement funds to be used for approved purposes to abate the opioid epidemic as defined in
the MOU for the benefit of the residents of the City; and
WHEREAS, to ensure significant incentive payments are made under the settlement
agreements, the City desires to submit the MOU and associated settlement participation forms
to escrow and condition its participation in the Colorado opioids settlement on the
-2-
participation of 95% of certain local governments as defined in the Colorado Subdivision
Escrow Agreement (“Escrow Agreement”), attached hereto as Exhibit “D,” and incorporated
herein by this reference.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
FORT COLLINS as follows:
Section 1. That the City Council hereby makes and adopts the determinations and
findings contained in the recitals set forth above.
Section 2. That the City Council hereby approves the MOU and the City’s
participation in the Colorado opioids settlement and release of its claims against the opioid
manufacturers, distributors, and pharmacies, subject to the Escrow Agreement conditioning the
City’s participation in the Colorado opioids settlement upon the participation of 95% of
certain local governments.
Section 3 . That the Mayor is hereby authorized and directed to execute on behalf of
the City the following documents:
a. The Colorado Opioids Settlement Memorandum of Understanding (Exhibit A);
b. The Subdivision Settlement Participation Form that releases legal claims against
Johnson & Johnson (Exhibit B);
c. The Subdivision Settlement Participation Form that releases legal claims against
AmerisourceBergen, Cardinal Health, and McKesson (Exhibit C); and
d. The Colorado Subdivision Escrow Agreement (Exhibit D).
Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 7th
day of December A.D. 2021.
__________________________________
Mayor
ATTEST:
_____________________________
Interim City Clerk
COLORADO OPIOIDSSETTLEMENTMEMORANDUMOFUNDERSTANDING(“MOU”)Thursday,August26,2021August25,2021AttorneyGeneralversionA.DefinitionsAsusedinthis MOU:1.“ApprovedPurpose(s)”shallmeanforward-lookingstrategies,programming,andservicestoabatethe opioidepidemicasidentifiedbythe termsofanySettlement.IfaSettlementissilentonApprovedPurpose(s),thenApproved Purpose(s)shallmeanthoseforward-lookingstrategiestoabate theopioidepidemicidentifiedinExhibitAoranysupplementalforward-looking abatementstrategiesaddedtoExhibitAbytheAbatementCouncil.ConsistentwiththetermsofanySettlement,“Approved Purposes”shallalsoincludethereasonableadministrativecostsassociatedwithoverseeingandadministeringOpioidFundsfromeachofthefour(4)SharesdescribedinSection(B)(2).ReimbursementbytheStateorLocalGovernmentsforpastexpensesarenotApproved Purpose(s).“ApprovedPurposes”shallincludeattorneys’feesandexpensesincurredinthecourseoftheopioidlitigationthatarepaidthroughtheprocessdiscussedbelow.2.“CountyArea”shallmeanacountyintheStateofColoradoplus theLocalGovernments,orportionofanyLocalGovernment,withinthatcounty.3.“EffectiveDate”shallmeanthedateonwhichacourtofcompetentjurisdiction,includinganybankruptcycourt,entersthefirstSettlementbyorderorconsentdecree. TheParties anticipatethatmorethanoneSettlementwillbeadministeredaccordingtothetermsofthisMOU,butthat the firstenteredSettlementwilltriggerthefonnationoftheAbatementCouncilinSection(C)andthe RegionalCouncilsinSection(F)(5))4.“GeneralAbatementFundCouncil,”or“AbatementCouncil,”shallhavethemeaningdescribedinSection(C),below.Fortheavoidanceofdoubt,theMcKinseySettlementandanyotherSettlementthatprecedesthefinalizationofdraftingthisMOUarenotconsideredatriggerforpurposesofthecalculationof“EffectiveDate.”1EXHIBIT A
5.“LocalGovernment(s)”shallmeanallcountiesintheStateofColoradoandthemunicipalities,towns,andcountyandcitymunicipalcorporationsthatarclistedinExhibitB.6.“NationalOpioidSettlementAdministrativeFund”shallmeananyfundidentifiedbyaSettlementforthenationaldistributionofOpioidFunds.7.“OpioidFunds”shallmeandamageawardsobtainedthroughaSettlement.8.“OpioidSettlingDefendant”shallmeananypersonorentity,oritsaffiliates,thatengagesinorhasengagedinthemanufacture,marketing,promotion,distribution,ordispensingoflicitopioids.9.“ParticipatingLocalGovernment(s)”shallmeanallLocalGovernmentsthatsignthisMOU,andifrequiredundertermsofaparticularSettlement,whohaveexecutedareleaseofclaimswiththeOpioidSettlementDefendant(s).Fortheavoidanceofdoubt,aLocalGovernmentmustsignthisMOUtobecomea“ParticipatingLocalGovernment.”LocalGovernmentsmaydesignatetheappropriateindividualfromtheirentitytosigntheMOU.10.“Party”or“Parties”shallmeantheStateand/orParticipatingLocalGovernment(s).II.“QualifiedSettlementFundAccount,”or“QSFAccount,”shallmeananaccountsetupasaqualifiedsettlementfund,468bfund,asauthorizedbyTreasuryRegulationsl.468B-1(c)(26CFR§l.468B-l).12.“RegionalCouncil”shallhavethemeaningdescribedinSection(F)(5),below.13.“Settlement”shallmeanthenegotiatedresolutionoflegalorequitableclaimsagainstanOpioidSettlingDefendantwhenthatresolutionhasbeenjointlyenteredintobytheStateandtheParticipatingLocalGovernments,orbyanyindividualPartyorcollectionofPartiesthatopttosubjecttheirSettlementtothisMOU.UnlessotherwisedirectedbyanorderfromaUnitedStatesBankruptcyCourt,“Settlement”shallalsoincludedistributionsfrom anyliquidationunderChapter7oftheUnitedStatesBankruptcyCodeorconfirmedplanunderChapter11oftheUnitedStatesBankruptcyCodethattreatstheclaimsofthe StateandLocalGovernmentsagainstanOpioidSettlingDefendant.14.“TheState”shallmeanthe StateofColoradoactingthroughitsAttorneyGeneralandtheColoradoDepartmentofLaw.B.AllocationofSettlementProceeds1.AllOpioidFundsshallbeheldinaccordancewiththetermsofanySettlement.IfaSettlementallowsOpioidFundstobeheldinaNationalOpioidSettlementAdministrativeFund,thenOpioidFundsshallbeheldinsuchNationalOpioidSettlementAdministrativeFund.IfaSettlementdoesnotallowforOpioidFunds2EXHIBIT A
tobeheldinaNational Opioid SettlementAdministrativeFund,OpioidFundsshallbeheldinaColorado-specificQSFAccountor,underthefollowinglimitedcircumstances,intheState’sCustodialAccount:1)ifatthetimeofaSettlement,aColorado-specificQSFAccountisnotyetestablished,althoughinsuchcase,theOpioidFundsshallbetransferredtotheColorado-specificQSFAccountonceitisestablishedor2)wheretheAbatementFundCouncildetenTlinesOpioidsFundscannotbelegallyheldinaColorado-specificQSF Account.RegardlessofwhetherOpioidFundsareheldinaNationalAdministrativeFund,aColorado-specificQSFAccount,orinthe State’sCustodialAccount,theAbatementCouncilshallappointoneofitsmemberstoserveasthepointofcontactinaccordanceSection(C)(4)(b)(i),below.2.AllOpioidFunds,atthetimeofaSettlementoratthetimedesignatedintheSettlement documents,shallbedividedanddistributedasfollows:2a.10%directlytotheState (“State Share”) forApprovedPurposesinaccordancewithSection(D),below;b.20%directlytoParticipatingLocalGovernments(“LGShare”)forApprovedPurposesinaccordancewithSection(E),below;c.60%directlytoRegions(“Regional Share”)forApprovedPurposesinaccordancewithSection(F),below;andd.10%tospecificabatementinfrastructure projects(“StatewideInfrastructureShare”)forApprovedPurposesinaccordancewithSection(G),below.3.DistributionoftheSharesinSectionB(2)(a)—(d)shallbedirect,meaningthatfundsheldinaccordancewithSectionB(l)shallbedisburseddirectlytotheState,ParticipatingLocalGovernments,Regions,andtheStatewideInfrastructureShareaccordingtothetermsofthisMOU.4.AllOpioidFunds,regardlessofallocation,shallbeusedforApprovedPurposes.5.ParticipatingLocalGovernmentsmayelecttoshare,pool,orcollaboratewiththeirrespectiveallocationoftheLG orRegionalSharesinanymannertheychoose,solongassuchsharing,pooling,orcollaborationisusedforApprovedPurposesandcomplies withthetenTisofthisMOUand anySettlement.C.GeneralAbatementFundCouncilAGeneralAbatementFundCouncil(the“AbatementCouncil”),consistingofrepresentativesappointedbytheStateandParticipatingLocalGovernments,shall2ThisMOUtreatsmulti-countyhealth departmentsascountyhealthdepartmentsforpurposesofallocationanddistributionofabatementproceedsandthereforemulti-countyhealthdepartmentsshallnotreceiveany OpioidFunds directly.Third-Party Payors(“TPPs”)arenotPartiestothisMOU.3EXHIBIT A
bc createdtoensurethedistributionofOpioidFundscomplieswiththe termsofanySettlementandtoprovideoversightoftheOpioidFundsinaccordancewiththetermsofthisMOU.2.Membership:TheAbatementCouncilshallconsistofthefollowingthirteen(13)members,whoshall serveintheirofficial capacityonly.a.StateMembers:Seven(7)membersshallbeappointedbytheState,asauthorized volunteersoftheState,asfollows:(i)AChairtoserveasanon-voting member,exceptintheeventofatie;(ii)Two(2)memberswhoarelicensedprofessionalswithsignificantexperienceinsubstanceusedisorders;(iii)Three(3)memberswhoareprofessionalswithsignificantexperienceinprevention,education,recovery,treatment, criminaljustice,ruralpublichealthissues,orgovernmentadministrationrelatedtosubstanceusedisorders;and(iv)One(1)memberorfamilymemberaffecteddirectlybythe opioidcrisis.b.LocalGovernmentMembers:Six(6)membersshall beappointedbytheParticipatingLocalGovernments.LocalGovernmentMembersshallbeaCountyCommissioner,Mayor,CityorTown CouncilMember,oraprofessionalwithsignificant experienceinprevention,education,recovery,treatment,criminaljustice,ruralpublichealthissues, orgovernmental administrationrelatedtosubstanceusedisorders.AParticipatingLocalGovernmentmaydeterminewhichLocalGovernmentMembersareeligible(orineligible)toserveonthe GeneralAbatementFundCouncil.CountyCommissioners,CityorTownCouncilMembers,and/orMayorsfrom theRegionsidentifiedinExhibitCshallcollaboratetoappointLocalGovernmentMembersasfollows:(i)Two(2)Membersfrom Regions1,5,13, 14,15,17,18;(ii)Two(2)Members from Regions2, 6,7,8,9,10, 11,12,16;and(iii)Two(2)MembersfromRegions3,4,19.c.Terms:The AbatementCouncilshallbeestablishedwithinninety(90)daysoftheEffectiveDate.Inordertodoso,withinsixty(60)daysoftheEffective Date,theStateshallappointtheStateMembersinaccordancewithSection(C)(2)(a),andafterconferralwiththeLocalGovernments,CCI andCMLshalljointlyappointsix(6)LocalGovernmentMembersforaninitialtermnottoexceedoneyear.Thereafter,Membersshallbe4EXHIBIT A
appointcdinaccordancewiththisSectionandSections(C)(2)(a)and(b)andmayservenomorethantwo(2)consecutivetwo-yearterms,foratotaloffour(4)consecutiveyears.Exceptthat,beginninginthesecondyearonly,two(2)StateMembersandtwo(2)LocalGovernmentmembersshall beappointedforathree-year termandmayserveoneconsecutivetwo-yeartermthereafter.TheChairshallhavenotermbutmaybereplacedattheState’sdiscretion.(i)IfaStateorLocalGovernmentMemberresignsorisotherwiseremovedfromtheAbatementCouncilpriortotheexpirationoftheirterm,areplacementMembershallbeappointedwithinsixty(60)daysinaccordancewith Sections(C)(2)(a)and(b).(ii)IfaLocalGovernmentMembervacancyexistsformorethansixty(60)days,theStateshallappointareplacementLocalGovernmentMembertoserveuntilthevacancyisfilledinaccordancewithSection(C)(2)(b).3.Duties:TheAbatementCouncilisprimarilyresponsibleforensuringthat thedistributionofOpioidFundscomplieswiththetermsofthis MOU.TheAbatementCouncilisalsoresponsibleforoversightofOpioidFundsfrom theRegionalShareinaccordancewithSection(F),below,andfordevelopingprocessesandproceduresforthedistributionandoversightofOpioidFundsfromtheStatewide InfrastructureShareinaccordancewithSection(G)below.4.Governance:TheAbatementCouncil shalldraftitsownbylawsor othergoverningdocuments,whichmustinclude appropriate conflictofinterestanddisputeresolution provisions,inaccordancewiththetermsofthisMOUandthefollowingprinciples:a.Authority:TheAbatementCouncildoesnothaverulemakingauthority.ThetermsofthisMOUand anySettlement,asenteredbyanycourtofcompetentjurisdiction,includinganybankruptcycourt, controltheauthorityoftheAbatementCouncilandtheAbatementCouncilshallnotstray outsidetheboundsoftheauthorityandpower vestedbythisMOUandanySettlement.b.Administration:TheAbatementCouncilshallberesponsibleforanaccountingofallOpioidFunds.TheAbatementCouncilshallberesponsibleforreleasingOpioidFundsinaccordancewithSection(B)(l)forthe RegionalandStatewideInfrastructureSharesinSections(B)(2)(c)and(d)andshalldevelop policiesandproceduresforthereleaseandoversightofsuchfundsinaccordancewithSections(F)and(G).ShouldtheAbatement CouncilrequireassistancewithprovidinganaccountingofOpioidFunds,itmayseekassistancefromtheState.5EXHIBIT A
(i)The Abatement CouncilshallappointoneofitsmemberstoserveasapointofcontactforthepurposeofcommunicatingwiththeentityholdingOpioidFundsinaccordancewithSection(B)(l)andinthat roleshallonlyactasdirectedbytheAbatementCouncil.c.Transparency:TheAbatementCouncilshall operatewithallreasonabletransparencyandoperateinamannerconsistentwithallColoradolawsrelatingtoopenrecordsandmeetingsregardlessofwhethertheAbatementCouncilisotherwiseobligatedtocomplywiththem.(i)TheAbatementCouncilshalldevelopacentralizedpublicdashboardorotherrepositoryforthepublicationofexpendituredatafromanyPartyorRegionalCouncilthatreceivesOpioidFundsinaccordancewithSections(D)-(G).(ii)TheAbatementCouncilmayalsorequireoutcomerelateddatafromanyPartyorRegionalCouncilthat receivesOpioidFundsinaccordancewith Sections(D)-(G)andmaypublish suchoutcomerelateddatainthecentralizedpublicdashboardorotherrepositorydescribedabove.Indetenniningwhichoutcomerelateddatamaybe required,theAbatementCouncilshallworkwithallParties andRegionalCouncilstoidentifyappropriatedatasetsanddevelopreasonableproceduresforcollectingsuchdatasetssothattheadministrativeburdendoesnotoutweighthebenefitofproducingsuchoutcomerelateddata.(iii)Forpurposesoffundingthecentralizedpublicdashboardorotherrepositorydescribedabove,theAbatementCouncil shall makegoodfaitheffortstoseekfundingfrom outsidesourcesfirst,otherwisetheStateshallprovide suchfunding.d.Collaboration:TheAbatementCouncilshall facilitatecollaborationbetweentheState,ParticipatingLocalGovernments, RegionalCouncils,andotherstakeholdersforthe purposesofsharingdata,outcomes,strategies,andotherrelevantinformationrelatedtoabatingthe opioidcrisisinColorado.e.DecisionMaking:TheAbatementCouncilshallseektomakealldecisionsby consensus.Intheeventconsensuscannotbeachieved,unlessotherwiserequiredinthisMOU,theAbatementCouncil shallmakedecisionsbyamajorityvoteofitsMembers. The Chairshallonlyvoteintheeventofatie.f.DueProcess:TheAbatementCouncil shall developthedueprocessproceduresrequiredby Section(G)(3)(d)forPartiestodisputeorchallengeremedialactionstakenbytheAbatementCouncil forOpioidFunds fromtheStatewideInfrastructureShare.TheAbatementCouncil6EXHIBIT A
shallalsoabide bythedueprocessprinciples requiredbySection(F)(12)-(13) forRegionstodisputeorchallengeremedialactionstakenbytheAbatementCouncilforOpioid FundsfromtheRegionalShare.g.LegalStatus:TheAbatementCouncilshall notconstituteaseparatelegalentity.h.LegalRepresentation:Totheextent permittedbylaw,theStateshallprovidelegalcounseltoStateMembersforalllegalissuesarisingfromthoseStateMembers’ workontheAbatement Council.Atalltimes, LocalGovernmentMembersoftheAbatementCouncilareentitledtoreceivelegalrepresentationfromtheirrespectivegovernmentalentities.Intheeventofaconflict,theAbatementCounciland itsmembersmayretaintheservicesofotherlegal counsel.i.Compensation:NomemberoftheAbatement CouncilshallbecompensatedfortheirworkrelatedtotheAbatementCouncil.D.StateShareInaccordancewithSections(B)(l)and(B)(2)(a),andthetermsofanySettlement,theStateShareshallbepaiddirectlytotheStateinaccordancewith thetermsofthisSection(D).2.TheStatemaintainsfulldiscretionoverdistributionoftheStateShareanywherewithintheStateofColorado,however, theState ShareshallbeusedforApprovedPurposesonly.TheStatewillworktoreduceadministrativecostsasmuchaspracticable.3.Onanannual basis,asdeterniinedbytheAbatementCouncil,theState shallprovideallexpendituredata,includingadministrativecosts,fromtheStateSharetotheAbatementCouncilforpurposesofmaintainingtransparencyinaccordancewithSection (C)(4)(c)(i). TheAbatementCouncilmayrequiretheStatetoprovideadditionaloutcome-relateddatainaccordancewithSection(C)(4)(c)(ii)andtheStateshallcomplywithsuchrequirements.4.Ifthe StatedisputestheamountofOpioidFundsitreceivesfromtheStateShare,theStateshall alerttheAbatement Council withinsixty(60)daysofdiscoveringtheinformationunderlyingthedispute.Failuretoalert theAbatementCouncilwithinthis timeframeshallnotconstituteawaiverofthe State’srighttoseekrecoupmentofanydeficiencyinitsStateShare.E.LGShareInaccordancewithSections(B)(1)and(B)(2)(b),andthetermsofanySettlement,the LGShareshall bepaiddirectlytoParticipatingLocalGovernmentsinaccordancewiththetermsofthisSection(E).7EXHIBIT A
2.AllocationstoParticipatingLocalGovernmentsfromtheLGShareshallfirstbedeterminedusingthepercentagesshowninExhibitD.3.TheLGShareforeachCountyAreashallthenbeallocatedamongthecountyandtheotherParticipatingLocalGovernmentswithinit.ExhibitEreflectsthedefaultallocationthatwillapplyunlesstheParticipatingLocalGovernmentswithinaCountyAreaenterintoawritten agreementprovidingforadifferentallocation.TheParticipatingLocalGovernmentsmayelecttomodifytheallocationforaCountyAreainExhibitE,butsuchmodificationtotheallocationinExhibitEshallnotchangeaCountyArea’stotalallocation under Section(E)(2).4.ALocalGovernmentthatchoosesnottobecomeaParticipatingLocalGovernmentwillnotreceiveadirectallocationfromtheLGShare.TheportionoftheLGSharethatwouldhavebeen allocatedtoaLocalGovernmentthatisnotaParticipatingLocalGovernmentwillinsteadbere-allocatedtothe Regional SharefortheRegionwheretheLocalGovernmentislocated,inaccordancewithSection(F),below.5.IntheeventaParticipatingLocalGovernment dissolvesorceasestoexistduringthetermofanySettlement, the allocationforthatParticipatingLocalGovernmentfromtheLGShareshallbere-allocatedasdirectedbyanySettlement,andifnotspecified,bere-allocatedtotheRegionalSharefortheRegioninwhichtheParticipatingLocalGovernmentwaslocated,inaccordancewithSection(F).IfaParticipatingLocalGovernmentmerges withanotherParticipatingLocalGovernment,theallocationforthatParticipatingLocalGovernmentfromthe LGShare shallbere-allocatedasdirectedbyanySettlement,andifnotspecified,shallbere-allocatedtothesuccessorParticipatingLocalGovernment’s allocationoftheLGShare.IfaParticipatingLocalGovernmentmergeswithaLocalGovernmentthatisnotaParticipatingLocalGovernment,theallocationforthatParticipatingLocalGovernmentfromthe LGShareshallbere-allocatedasdirectedbyanySettlement,andifnotspecified,bere-allocatedtotheRegioninwhichthemergingParticipatingLocalGovernmentwaslocated,inaccordancewithSection(F),below.6.AParticipatingLocalGovernmentmay foregoitsallocationoftheLGShareanddirectitsallocationtotheRegionalSharefortheRegionwheretheParticipatingLocalGovernmentislocated,inaccordancewithSection(F)below,byaffirmativelynotifyingtheAbatementCouncilonanannualbasisofitsdecisiontoforegoitsallocationoftheLGShare.AParticipatingLocalGovernment’selectiontoforegoitsallocationoftheLGShareshallcarryovertothefollowingyear unless theParticipatingLocalGovernmentnotifiestheAbatementCouncilotherwise.IfaParticipatingLocalGovernmentelectstoforegoitsallocationofthe LGShare,theParticipatingLocalGovernmentshallbeexcusedfromthereportingrequirementsrequiredby Section(E)(8).7.ParticipatingLocalGovernments maintainfulldiscretionoverthedistributionoftheirallocationoftheLGShareanywherewithintheStateofColorado, however,8EXHIBIT A
allParticipatingLocalGovernmentsshallusetheir allocationfromtheLGShareforApprovedPurposesonly.ReasonableadministrativecostsforaParticipatingLocalGovernmenttoadministeritsallocationoftheLG Shareshallnot exceedactualcostsor10%oftheParticipatingLocalGovernment’sallocationoftheLGShare,whicheverisless.8.Onanannualbasis,asdeterminedbytheAbatementCouncil,allParticipatingLocalGovernmentsshallprovideallexpendituredata,includingadministrativecosts, fromtheirallocationofthe LGSharetotheAbatementCouncilforpurposesofmaintainingtransparencyinaccordance withSection (C)(4)(c)(i).TheAbatement CouncilmayrequireParticipatingLocalGovernmentstoprovideadditional outcomerelateddatainaccordancewith Section(C)(4)(c)(ii)andallParticipatingLocalGovernmentsshallcomply withsuchrequirements.9.IfanyParticipatingLocalGovernmentdisputestheamountofOpioidFundsitreceivesfromitsallocationofthe LGShare, theParticipatingLocalGovernmentshallalerttheAbatementCouncilwithinsixty(60)daysofdiscoveringtheinformationunderlyingthedispute.Failuretoalert theAbatementCouncilwithinthistimeframeshall notconstituteawaiveroftheParticipatingLocalGovernment’s righttoseekrecoupmentofanydeficiencyinitsLGShare.F.RegionalShareInaccordancewith Sections(B)(l)and(B)(2)(c),andthetermsofanySettlement,theRegionalShareshallbepaidtotheRegionsinaccordancewiththetermsofthis Section(F).2.ParticipatingLocalGovernmentsshallorganizethemselvesintotheRegionsdepictedinExhibitC.MunicipalitieslocatedinmultipleRegionsmayjoinallorsomeoftheRegionsinwhichtheyarelocatedaccordingtoExhibitC.3.AllocationstoRegionswillbedistributedaccordingtoExhibitF.Formulti-county Regions,eachRegion’sshare listedinExhibitFiscalculatedbysummingtheindividualpercentageshareslistedinExhibitUforthecountieswithinthatRegion.ThepercentagesinExhibitFarebasedontheassumptionthateveryLocalGovernmentineachRegionbecomesaParticipatingLocalGovernment.4.Intheeventacity,town,orothermunicipalitythatisaParticipatingLocalGovernmentmerges,dissolves,orceasestoexistduringthetermofanySettlement,theallocationoftheRegionalShareowedtotheRegioninwhichthatParticipatingLocalGovernmentexistedshallbere-allocatedasdirectedbyanySettlement,andifnot specified,shallnot bemodifiedfromExhibitF.IfacountythatisaParticipatingLocalGovernmentmergeswithanothercountywithinitsRegion, theallocationoftheRegionalShare owedtothe Regioninwhichthatcountyexistedshallbere-allocatedasdirectedbyanySettlement,andifnotspecified,shallnot bemodifiedfromExhibitF.IfacountythatisaParticipatingLocalGovernmentmergeswithacountyinadifferentRegionduringthetermof9EXHIBIT A
anySettlement,theallocationoftheRegionalShare owedtotheRegioninwhichthatcountyexistedshallbere-allocatedasdirectedbyanySettlement,andifnotspecified,shallbere-allocatedtotheRegioninwhichthatParticipatingLocalGovernmentmergedinaccordancewithExhibitF.5.EachRegionmustcreateitsownRegionalCouncilwhile givingconsiderationtotheregionalgovernancemodels illustratedinExhibitG.TheRegional Councilmustbe formedbytheParticipatingLocalGovernments withintheRegionandeachRegionalCouncilshalldesignateafiscalagentfortheRegion. Regionalfiscalagentsshallbecountyormunicipalgovernmentsonly.Allfunds fromtheRegionalShareshallbedistributedtotheRegional Council’s identifiedfiscalagentforthebenefitoftheentire Region.a.SubjecttothisSectionF(5),eachRegionmaydraftitsownintra-regionalagreements,bylaws,orothergoverning documentstodeteriTlinehow theRegionalCouncilwill operate.However,eachvotingmemberofaRegional CouncilshallbeanemployeeorelectedofficialofaParticipatingLocalGovernmentwithintheapplicableRegion.InthecaseofDenver,thevoting membersofitsRegional CouncilshallbeappointedbytheMayor.InthecaseofBroomfield,thevotingmembersofitsRegionalCouncilshallbeappointedbytheBroomfieldCityandCountyManager.b.The RegionshallnotreceiveanyOpioidFundsfromtheRegional ShareuntiltheRegion certifiestotheAbatementCouncilthatitsRegionalCouncilhasbeen formedandafiscalagenthasbeendesignated.Suchcertificationshallbeinasimple form adoptedbytheRegionandmay bemadeviaemail,solongasitincludesthe namesandaffiliationsoftheRegionalCouncil’s membersandthedesignatedfiscalagent.c.IfaRegiondoesnotformandcertifyitsRegionalCouncilanddesignateitsfiscalagentwithin one-hundredandeighty(180) daysoftheEffectiveDate,theAbatementCouncilshallappoint memberstotheRegion’sRegionalCouncil.RegionalCouncil membersappointedbytheAbatementCouncilshallserveuntiltheRegioncertifiestheformationofitsRegional CounciltotheAbatementCouncil.d.ARegionshallsubmitarenewedcertification requiredby Section(F)(5)(b),above,whenitsmembershipchanges.e.IfamembershipvacancyexistsonaRegionalCouncilformorethanninety(90)daysandtheRegionalCouncilisunabletofillthevacancybyitsregularproceduresduring thattime,theAbatementCouncilshallappointareplacementmembertoserveuntiltheRegionfillsthevacancy.10EXHIBIT A
6.ALocalGovernmentthatchoosesnottobecomeaParticipatingLocalGovernmentshall notreceiveanyOpioidFundsfrom the Regional Shareorparticipateinthe RegionalCouncilsdescribedinSection(F)(5)above.7.EachRegional CouncilshallmakerequeststotheAbatementCouncilforOpioidFundsfromtheir allocationoftheRegionalShare.EachRegionalCouncil’srequestforOpioidFundsfromthe RegionalShareshallbeaccompaniedbya2-yearplanidentifyingtheApprovedPurposesforwhichtherequestedfundswillbe used bytheRegion anywherewithintheStateofColorado.ARegionalCouncil’s 2-yearplanmaybeamendedsolongassuchamendmentscomply withthetermsofthis MOUandanySettlement.AnyRegionalCouncilmayseekassistancefromtheAbatementCouncilforpurposesofdevelopingits2-yearplan.8.ReasonableadministrativecostsforaRegionalCounciltoadministeritsRegion’sallocationofthe RegionalShareshall not exceedactualcostsor10%oftheRegion’sallocationoftheRegionalShare,whicheverisless.9.TheAbatementCouncilshallreleasefundsrequestedbyaRegional Councilinaccordancewith Section(B)(l)ifthe RegionalCouncil’s2-yearplan complieswiththeApprovedPurposes,thetermsofthisMOU,andthetermsofanySettlement.TheAbatementCouncilshall notdenyanyfundingrequestfromaRegional Councilonthebasis thattheAbatement CouncildoesnotapproveoragreewiththeApprovedPurposesforwhichaRegionalCouncilrequests OpioidFundsfromthe RegionalShare.NormaytheAbatementCouncilholdup,delay,ormakeunreasonablerequestsforadditionalorsupportinginformationoftheRegionalCouncilpriortoreleasingtherequested OpioidFunds.Thepurposeofthis MOUistofacilitateOpioidFundstotheir intendedrecipientsquicklyandefficiently with minimaladministrativeprocedure.10.Onanannualbasis,asdetermined bytheAbatementCouncil,eachRegionalCouncil’sfiscalagentshallprovidetotheAbatementCounciltheRegionalCouncil’sexpendituredata,including administrativecosts, fromtheir allocationoftheRegionalShareandcertifytotheAbatementCouncilthatthe RegionalCouncil’sexpenditureswere forApprovedPurposesandcompliedwithits2-yearplan.TheRegionalCouncilshallsubjectitselftoanaccountingattheAbatementCouncil’s discretion.a.TheAbatementCouncil shallreviewaRegionalCouncil’sexpendituredata andcertificationtoensure compliance withtheRegionalCouncil’s2-yearplan,theApprovedPurposes,andthetermsofthisMOUand anySettlement.b.TheAbatementCouncilshallpublishtheRegionalCouncil’sexpendituredata,includingadministrativecosts,fromthe RegionalShareinaccordancewithSection(C)(4)(c)(i).TheAbatementCouncilmayrequireRegionalCouncilstoprovideadditionaloutcomerelateddatain11EXHIBIT A
accordancewithSection(C)(4)(c)(ii)andallRegionalCouncilsshallcomply withsuchrequirements.11.IfanyRegional CouncildisputestheamountofOpioid FundsitreceivesfromitsallocationoftheRegionalShare,theRegionalCouncil shallalert theAbatementCouncilwithinsixty(60)daysofdiscoveringtheinformationunderlyingthedispute.FailuretoalerttheAbatement Councilwithinthistimeframeshallnotconstituteawaiverofthe RegionalCouncil’srighttoseekrecoupmentofanydeficiencyinitsRegionalShare.12.IftheAbatementCouncilhasreasontobelieveaRegion’sexpenditureofitsallocationoftheRegionalSharedidnotcomplywiththeRegion’s2-year Plan,theApprovedPurposes,thetermsofthis MOUoranySettlement,asdescribedinthisSection(F),orthattheRegionotherwisemisuseditsallocationoftheRegionalShare, theAbatementCouncilmaytakeremedialaction againsttheallegedoffendingRegion.SuchremedialactionislefttothediscretionoftheAbatementCouncilandmayinclude butnotbelimitedto,withholdingfutureOpioidsFunds owedtotheoffendingRegionorrequiringthe offendingRegiontoreimburse improperlyexpendedOpioid FundstotheRegionalShare.13.Withinonehundredandtwenty(120)daysoftheAbatementCouncilbeingformed,inaccordancewithSection(C)(2)(c)above,theAbatementCouncilshalldevelopandpublishdueprocessproceduresforallowingaRegiontochallengeordisputeanyremedialactiontakenbytheAbatementCouncil,includingtimelinesduringwhichtheRegionmay engageinsuchachallengeordispute.Suchdueprocessproceduresshall reflect,ataminimum,thefollowingprinciples:a.Upon learningofanyconductthatmay warrantremedialactionagainstaRegion,theAbatementCouncilshallfirstprovide noticetotheRegionoftheconductatissue,providetheRegionanopportunitytorespond,and,ifappropriate, cure the allegedoffendingconduct.Ifafter providingtheRegionsuchnoticeandopportunitiestorespondandcure, theAbatementCouncilcontinuestobelieveremedialactioniswarranted,theAbatementCouncil maytakesuchremedialaction.b.IftheAbatementCouncildecidestotakeremedialactionagainstanallegedoffendingRegion,suchactionmay onlyoccurbyatwo-thirdssupermajorityvoteoftheAbatementCouncil.Thus,anAbatementCouncilmadeupoftwelve(12)votingmembers requiresavoteofeight(8)MemberspriortotakingremedialactionagainstanallegedoffendingRegion.c.Priortotakinganyremedialactionagainstanalleged offendingRegion,theAbatementCouncilshallfirstprovide noticetotheallegedoffendingRegionoftheremedialactiontobetakenandthefactsunderlyingsuchremedialaction.TheAbatementCouncilshallthenprovidethealleged12EXHIBIT A
offendingRegionanopportunitytochallengeordispute the remedialactioninaccordancewith,ataminimum,the principles below:i.TheallegedoffendingRegionmayrequestrevisionsormodificationstotheproposedremedialaction;ii.TheallegedoffendingRegionmaysubmitawrittenresponsetoand/orrequestahearing beforetheAbatementCouncil,orathird—partyhearingofficer,3regardingtheallegedoffendingconductandproposedremedialaction;andiii.Aftersuchwrittenresponsesaresubmittedandreviewedand/orahearingisconducted,theallegedoffending Region maysubmit anappealtotheAbatementCouncilofthedecisiontotakeremedialaction.d.RemedialactionstakenbytheAbatementCouncil,inaccordancewiththedueprocessprinciples detailedabove,shallbeconsideredfinalnon-appealableordersandoffending Regions maynotseekjudicialrelieffromremedialactiontakenbytheAbatementCouncil,exceptasprovidedinSection(H),below.e.SubjecttoSection(H)(2),below,ifanyParty(ies) believestheAbatementCouncilviolatedthetermsofthisMOU,suchParty(ies)mayseektoenforcethetermsofthisMOU.14.IftheAbatementCouncil hasreasontobelieveaRegion’s conduct,ortheconductofanyParticipatingLocalGovernmentorindividualinthatRegion,amountstoaviolationofanycriminallaw,theAbatementCouncilshall refersuchmatterstotheappropriateauthoritiesandmayconsidersuchconductinitsdeterminationofanyremedialactiontobetaken.15.IftheAbatementCouncilhasreasontobelievethatanindividualinvolvedinthereceiptoradministrationofOpioidFundsfromtheRegionalShare hasviolatedanyapplicableethicsrulesorcodes,theAbatementCouncilshall notattempttoadjudicatesuchaviolation.Insuch instances,theAbatementCouncilshalllodgeacomplaintwiththeappropriate forumforhandling suchethicalmatters,suchasalocalhomerulemunicipality’sethicsboard.16.CostsassociatedwiththeAbatementCouncil’sdistributionandoversightoftheRegionalShare,asdescribedaboveinthisSection(F),includingcostsassociatedwithany remedialactionbytheAbatementCouncil,shallbe paidfromtheStatewideOnlyanallegedoffendingRegionmay requesttheappointmentofathird-partyhearingofficertoreviewanywrittenresponsesandconductanyrequested hearings.IfanallegedoffendingRegion makessucharequest,theAbatementCouncilhassolediscretiontoappointthethird-partyhearingofficerandtheallegedoffendingRegionshallbearthecostofsuchreviewand/orhearing bythethird-partyhearingofficer.13EXHIBIT A
InfrastructureShare.TheAbatementCouncilshallmakeallgoodfaith effortstolimitsuchcoststothegreatest extentpossible.G.StatewideInfrastructureShareInaccordancewith SectionsB(1)and(B)(2)(d),andthe termsofanySettlement,theStatewideInfrastructureShareshallbepaidtoanyPartyorRegionalCouncilinaccordancewiththisSection(G).2.ThepurposeoftheStatewide InfrastructureShareistopromotecapitalimprovementsandprovideoperationalassistancefordevelopingorimprovingtheinfrastructure necessarytoabatetheopioidcrisisanywherewithintheStateofColorado.TheStatewideInfrastructureShareisintendedtosupplementOpioidFundsreceivedbyanyPartyorRegion.3.PriortodistributinganyOpioidFundsfromtheStatewide InfrastructureShare,theAbatementCouncilshallestablishandpublish policiesandproceduresforthedistributionandoversightoftheStatewide InfrastructureShare,includingprocessesforPartiesorRegionstoapplyforOpioidFundsfrom theStatewideInfrastructureShare.TheAbatement Council’s policiesandproceduresshall,ataminimum,reflectthefollowing principles:a.OpioidFunds fromtheStatewideInfrastructureShareshallbe usedforApprovedPurposesonly;b.OpioidFundsfromtheStatewideInfrastructureShareshallbepaiddirectlytotheappropriatestate agencies(includingbutnotlimitedtotheColoradoDepartmentofLaw),Regionalfiscalagents,orParticipatingLocalGovernmentsonly;c.DistributionandoversightoftheStatewideInfrastructureShareshallcomplywith thetermsofthisMOUandanySettlement;d.AppropriateprocessesforremedialactionwillbetakenagainstPartiesorRegions thatmisuseOpioidFundsfromtheStatewideInfrastructureShare.SuchprocessesshallincludeproceduresforallegedoffendingPartiesorRegionstochallengeordisputesuchremedialaction; ande.LimitationsonadministrativecoststobeexpendedbyrecipientsforadministeringOpioidFundsreceivedfromtheStatewideInfrastructureFund, nottoexceedactualcostsexpendedbytherecipientor10%oftheamountreceived,whicheverisless.4.Thedistributionandoversightpoliciesandprocedures developedbytheAbatementCouncil,inaccordancewithSection(G)(3),shallbenon-appealableordersandnoPartyorRegion mayseekjudicialreliefrelatedtothedistributionandoversightoftheStatewideInfrastructureShare.14EXHIBIT A
5.Onanannualbasis,asdeterminedbytheAbatementCouncil,anyPartyorRegionalCouncilthatreceivesfundsfromthe StatewideInfrastructureShareshallprovideallexpendituredata,including administrativecosts,relatedtoanyOpioidFundsitreceivedfromthe StatewideInfrastructureShareandsubjectitselftoanaccountingasrequiredbytheAbatementCouncil.TheAbatementCouncil shallpublishallexpenditure datafromtheStatewide InfrastructureShareinaccordancewithSection(C)(4)(c)(i).The AbatementCouncilmayrequirethe PartiesorRegionalCouncilsthatreceivefundsfromtheStatewideInfrastructureSharetoprovideadditionaloutcomerelateddatainaccordancewith Section(C)(4)(c)(ii)andthePartiesorRegionalCouncilsshallcomplywith suchrequirements.6.CostsassociatedwiththeAbatementCouncil’s distributionandoversightoftheStatewideInfrastructureShare,asdescribedinthis Section(G),shallbepaidforfromthe StatewideInfrastructureShare.TheAbatementCouncilshallmakeallgoodfaitheffortstolimitsuchcoststothegreatestextentpossible.H.General TermsAllPartiesandRegionalCouncilsshallmaintainallrecordsrelatedtothereceiptandexpenditureofOpioidFundsfornolessthanfive(5)yearsandshallmakesuchrecordsavailableforreviewbytheAbatementCouncil,anyotherParty orRegional Council,orthepublic.Recordsrequestedbythepublicshallbeproducedinaccordance withColorado’sopenrecordslaws.Records requestedbytheAbatementCouncil oranotherPartyoraRegional Councilshallbeproducedwithintwenty-one(21)daysofthedatetherecordrequestwasreceived. ThisrequirementdoesnotsupplantanyPartyorRegional Council’sobligationsunderColorado’sopenrecordslaws.2.IfanyParty(ies)believestheAbatement CouncilhasviolatedthetermsofthisMOU,the allegingParty(ies)mayseektoenforcethetermsofthisMOU,providedthe allegingParty(ies)firstprovidesnoticetotheAbatementCouncilofthealleged violationandareasonableopportunitytocuretheallegedviolation.Insuchanenforcementaction,theallegingParty(ies)mayonlyseektoenforcethetermsoftheMOUagainsttheStateandtheParticipatingLocalGovernmentsfromwhichthe LocalGovernmentMembersoftheAbatementCouncil wereappointedandmayonlyseekdeclaratoryand/orinjunctivereliefIndefenseofsuchanenforcementaction,theState’sMembersoftheAbatementCouncilshallberepresentedbytheStateandtheLocalGovernmentMembersshallberepresentedbytheParticipatingLocalGovernmentsfromwhichtheLocalGovernmentMembers wereappointed.Intheeventofaconflict,theAbatementCouncil anditsMembersmayseekoutsiderepresentationtodefenditselfagainstsuchanenforcementaction.3.IfanyParty(ies)believesanotherParty(ies),notincludingtheAbatement Council,violated thetermsofthisMOU,theallegingParty(ies)mayseektoenforcethetermsofthisMOUinthecourtinwhichanyapplicableSettlement(s)wasentered,providedthe allegingParty(ies)firstprovidetheallegedoffendingParty(ies)15EXHIBIT A
noticeoftheallegedviolation(s)andareasonableopportunitytocuretheallegedviolation(s).Insuchanenforcementaction,anyallegingPartyorallegedoffending Party(ies)mayberepresentedbytheirrespectivepublicentityinaccordancewithColoradolaw.4.NothinginthisMOUshallbeinterpretedtowaivetherightofanyPartytoseekjudicialreliefforconduct occurringoutsidethescopeofthisMOUthatviolatesanyColoradolaw.Insuchanaction,theallegedoffendingParty(ies),includingtheAbatementCouncil, mayberepresentedbytheir respectivepublic entitiesinaccordancewithColoradolaw.Intheeventofaconflict,anyParty,includingtheAbatementCouncilanditsMembers,mayseekoutside representationtodefenditselfagainstsuchanaction.5.IfanyParty(ies)believesanother Party(ies),Region(s),orindividual(s) involvedinthereceipt,distribution,oradministrationofOpioidsFundshasviolatedanyapplicableethicscodesorrules,acomplaintshallbelodgedwiththeappropriateforumforhandlingsuchmatters,suchasalocalhomerulemunicipality’sethicsboard.6.IfanyParty(ies)believesanotherParty(ies),Region(s),orindividual(s)involvedinthe receipt,distribution,oradministrationofOpioidFundsviolatedanyColorado criminallaw,suchconductshallbereportedtotheappropriatecriminalauthorities.7.Venueforanylegalaction relatedtothis MOUshallbeinacourtofcompetentjurisdictionwhereanyapplicableSettlement(s)isentered.8.Becauserecovery underthetermsofdifferent Settlement(s)mayvarydependingonthenumberofParties requiredtoeffectuateaSettlement,thePartiesmayconditionallyagreetosignontotheMOUthroughaletterofintent,resolutionorsimilarwrittenstatement, declarationorpronouncementdeclaringtheirintenttosignontotheMOUifthethresholdforPartyparticipationinaspecific Settlementisachieved.49.ThisMOUmaybeexecutedintwoormorecounterparts,eachofwhichshallbedeemedanoriginal, butallofwhichshallconstituteoneandthesameinstrument.ThePartiesapprovetheuseofelectronicsignaturesforexecutionofthisMOU.All useofelectronicsignaturesshallbegovernedbytheUnifonnElectronicTransactionsAct,C.R.S.§24-71.3-101,etseq.The Partiesagreenottodeny thelegaleffectorenforceabilityoftheMOUsolelybecauseitis inelectronicformorForinstance,theJuly21, 2021“DistributorSettlementAgreement”includesa“SubdivisionSettlementAgreement Form”that,oncefilledout andexecuted,ismeanttoindicatethatLocalGovernment’s(orSubdivision’s)electiontoparticipateinthatDistributorSettlementandalso,torequirethat LocalGovernmenttotakestepstoformallyrelease anyclaimitmayhaveagainsttheSettlingDistributors.WithregardtotheDistributor Settlement Agreementor anyother Settlementsthat includeaformsimilartotheSubdivisionSettlementAgreementForm,theParties maystillconditionallyagreetosignontotheMOUif,forinstance,thethresholdforParty participationinaspecific Settlementisachieved.16EXHIBIT A
becauseanelectronicrecordwasusedinitsformation.ThePartiesagreenottoobjecttotheadmissibilityoftheMOUinthe formofanelectronicrecord,orapapercopyofanelectronicdocument,orapapercopyofadocumentbearinganelectronicsignature,ontheground thatitisanelectronicrecordorelectronicsignatureorthatitisnotinitsoriginalformorisnotanoriginal.10.EachpartyrepresentsthatallproceduresnecessarytoauthorizesuchParty’sexecutionofthisMOUhavebeenperformedandthatthepersonsigningforsuchPartyhasbeenauthorizedtoexecutetheMOU.PaymentofCounselandLitigationExpensesThroughaBack-StopFundSomeSettlements,includingtheMcKessonCorporation,CardinalHealth,Inc.,andAmerisourceBergenCorporation(“Distributor”)andJohnson&JohnsonlJanssen(“J&J”)settlements,mayprovideforthepaymentofalloraportionofthefeesandlitigationexpensesowedbyParticipatingLocalGovernmentstocounselspecificallyretainedtofilesuitintheopioid litigation.IfanySettlementisinsufficienttocoverthefeeobligationsoftheParticipatingLocalGovernments(asdiscussedandmodifiedbyJudgePolster’sOrderofAugust6regardingfeesfortheDistributorandJ&Jsettlements),thedeficiencieswillbe coveredassetforthinfurther detailbelow.2.ThePartiesalsorecognizethat,asintheDistributorandJ&Jsettlements,certainOpioid SettlingDefendantsmayofferpremiumsbenefitingtheentirestateofColoradowhenParticipatingLocalGovernmentsagreetotheSettlement(s),therebysettlingtheirclaimsintheiron-goinglawsuits.Forexample,belowisthechartillustratinghowIncentivePaymentB(a25%premiumtotheentirestate)worksintheDistributorSettlementatSectionIV.F.2.b(p.20):PercentageofLitigatingSubdivisionPopulationthatisIncentiveBEligibleSubdivisionIncentivel’aynientBPopulation”EligibilityPercentageLipto5%0%5°’—.30%6+40%91+50%95+60%99%—95%l00’l00’3.Ifthe courtinInRe:NationalPrescriptionOpiateLitigation,MDLNo.2804(N.D.Ohio),orifaSettlement establishesacommonbenefitfundorsimilardevicetocompensateattorneysforservicesrenderedandexpenses incurredthathavebenefitedplaintiffsgenerallyinthelitigation(the“CommonBenefitFund”),17EXHIBIT A
and/or requirescertaingovernmentalplaintiffstopayashareoftheirrecoveriesfromdefendantsintotheCommonBenefitFund(“Court-OrderedCommonBenefitFundAssessment”),thentheParticipatingLocalGovernmentsshallberequiredtofirst seektohavetheirattorneys’feesandexpenses paid throughtheCommon BenefitFund.4.For theDistributorandJ&Jsettlementsonly,counselforParticipatingLocalGovernmentsshallhavetheirexpensesotherwiserecoverablefromColoradoParticipatingLocalGovernmentscompensatedonly throughtheCommonBenefitFund(s)establishedinthose settlement(s).Fortheavoidanceofdoubt, counselforParticipatingLocalGovernmentsmayrecovertheirattorneys’feesthroughtheDistributorandJ&Jsettlementsandthroughtheother applicable provisionsofthisSection(I).5.Inaddition,asameansofcoveringanydeficienciesinpayingcounselforParticipatingLocalGovernments,asupplementalColoradoAttorneyFeeBackStopFundshall beestablished. The ColoradoAttorneyFeeBack-StopFundistobe usedtocompensatecounselforParticipatingLocalGovernmentsthatfiledaninitialcomplaintintheopioidlitigationbySeptember1,2020(“LitigatingParticipatingLocalGovernments”).6.PaymentsoutoftheColoradoAttorneyFeeBack-StopFundshallbedeterminedbyacommittee(the“OpioidFeeandExpenseCommittee”).The OpioidFeeandExpenseCommitteeshallconsistofthefollowingfive(5)members:a.One(1)memberappointedbyCCIfromalitigating countyorfromalitigatingcountyandcitymunicipal corporation;b.One(1)memberappointedbyCML fromalitigatingcity;c.One(1)memberappointedjointlybyCCIandCMLfromanon-litigatingcountyorcity;d.One(1)memberappointedbytheAttorneyGeneral’sOffice;ande.One(1)neutralmemberjointlyappointedbyalloftheother memberslistedabove.7.TheColorado AttorneyFeeBack-StopFundshallbe fundedasfollowsfromanySettlement,excludingsettlementsinvolvingMcKinseyandpayments resultingfromthePurdueorMallinckrodtbankruptcy. Forpurposesonlyofcalculating thefundingofthe ColoradoAttorneyFeeBack-StopFund,theParties deem58%ofthetotalLGShareandRegionalSharetobeattributabletotheLitigatingLocalGovernments.The ColoradoAttorneyFeeBack-StopFundshall befundedby8.7%ofthetotalLGShareand4.35%ofthe totalRegionalShareatthetimesuchfundsareactuallyreceived.Nofundsdepositedinto theColoradoAttorneyFeeBack-StopFundwillbetakenfromtheStatewideInfrastructureShareorStateShare.18EXHIBIT A
8.CounselforLitigating ParticipatingLocalGovernmentsmay applytotheColoradoAttorneyFeeBack-StopFundonlyafterapplyingtotheCommonBenefitFund.9.CounselforLitigating ParticipatingLocalGovernmentsmay applytotheColoradoAttorneyFeeBack-StopFund foronlyashortfallthatis,thedifferencebetweenwhat theirfeeagreements wouldentitlethemto(aslimitedbythis Section(I))minuswhattheyhavealreadycollectedfrom theCommonBenefitFund(includingboththe“commonbenefit”and“contingencyfee”calculations,ifany).Iftheyreceivefees/costsforcommon benefitworkinthenationalfeefund,these fees/costswillbeallocatedproportionatelyacrossalltheirlocalgovernmentopioidclientsbasedontheallocationmodelusedintheNegotiationClasswebsitetoallocatetheappropriateportiontoColoradoclients.10.CounselforLitigating ParticipatingLocalGovernmentsarelimitedtobeingpaid,atmost,andassumingadequatefundsareavailableinanyCommonBenefitFundandColoradoAttorneyFeeBack-StopFund, feesinanamountequalto15%oftheLGShareand7.5%oftheRegionalShareattributabletotheir Coloradoclients.11.AnyfundsremainingintheColorado AttorneyFeeBack-StopFundinexcessoftheamountsneededtocoverthe feesandlitigationexpensesowedby LitigatingParticipatingLocalGovernmentstotheirrespectivecounselshallreverttotheParticipatingLocalGovernments accordingtotheallocations describedinSections(E)and(F).Everytwoyears,theOpioidFeeandExpenseCommitteeshallassess theamount remainingintheColoradoAttorneyFeeBack-StopFundtodetermineifitisoverfunded.12.Despitethefactthatalitigating entitybonusbenefitsthe entirestate,noportionofthe State Shareshallbeusedtofund theColoradoAttorneyFeeBack-StopFundorinanyotherwaytofund anyParticipatingLocalGovernment’sattorneys’feesandexpenses.Becausethestate did nothireoutside counsel,anyfundsforattorneysfeesthatthestatereceivesfromtheJ&JandDistributorsettlementwillbedepositedintotheStateShare.13.ToparticipateintheColoradoAttorneyFeeBack-StopFund,counselmust followtherequirementsofC.R.S.§13-17-304.19EXHIBIT A
ThisColoradoOpioidsSettlementMemorandumofUnderstandingissignedthis dayof,O2.Lby:ColoradorneyGeneralPhilipJ.Weiser20EXHIBIT A
21
This Colorado Opioids Settlement Memorandum of Understanding is signed
this ___ day of _____________, _____ by:
______________________________________________
Name & Title___________________________________
On behalf of ___________________________________
EXHIBIT A
Exhibit A
EXHIBIT A
POTENTIAL OPIOID ABATEMENT APPROVED PURPOSES
I. TREATMENT
A. TREATMENT OF OPIOID USE DISORDER AND ITS EFFECTS
1. Expand availability of treatment, including Medication-Assisted Treatment
(MAT), for Opioid Use Disorder (OUD) and any co-occurring substance use or
mental health issues.
2. Supportive housing, all forms of FDA-approved MAT, counseling, peer-support,
recovery case management and residential treatment with access to medications
for those who need it.
3. Treatment of mental health trauma issues that resulted from the traumatic
experiences of the opioid user (e.g., violence, sexual assault, human trafficking)
and for family members (e.g., surviving family members after an overdose or
overdose fatality).
4. Expand telehealth to increase access to OUD treatment, including MAT, as well
as counseling, psychiatric support, and other treatment and recovery support
services.
5. Fellowships for addiction medicine specialists for direct patient care, instructors,
and clinical research for treatments.
6. Scholarships for certified addiction counselors.
7. Clinicians to obtain training and a waiver under the federal Drug Addiction
Treatment Act to prescribe MAT for OUD.
8. Training for health care providers, students, and other supporting professionals,
such as peer recovery coaches/recovery outreach specialists, including but not
limited to training relating to MAT and harm reduction.
9. Dissemination of accredited web-based training curricula, such as the American
Academy of Addiction Psychiatry’s Provider Clinical Support Service-Opioids
web-based training curriculum and motivational interviewing.
10. Development and dissemination of new accredited curricula, such as the
American Academy of Addiction Psychiatry’s Provider Clinical Support Service
Medication-Assisted Treatment.
11. Development of a multistate/nationally accessible database whereby health care
providers can list currently available in-patient and out-patient OUD treatment
services that are accessible on a real-time basis.
EXHIBIT A
EXHIBIT A
12. Support and reimburse services that include the full American Society of
Addiction Medicine (ASAM) continuum of care for OUD.
13. Improve oversight of Opioid Treatment Programs (OTPs) to assure evidence-
informed practices such as adequate methadone dosing.
B. INTERVENTION
1. Ensure that health care providers are screening for OUD and other risk factors and
know how to appropriately counsel and treat (or refer, if necessary) a patient for
OUD treatment.
2. Fund Screening, Brief Intervention and Referral to Treatment (SBIRT) programs
to reduce the transition from use to disorder.
3. Training and long-term implementation of SBIRT in key systems (health, schools,
colleges, criminal justice, and probation), with a focus on the late adolescence and
young adulthood when transition from misuse to opioid disorder is most common.
4. Purchase automated versions of SBIRT and support ongoing costs of the
technology.
5. Training for emergency room personnel treating opioid overdose patients on post-
discharge planning, including community referrals for MAT, recovery case
management and/or support services.
6. Support work of Emergency Medical Systems, including peer support specialists,
to connect individuals to treatment or other appropriate services following an
opioid overdose or other opioid-related adverse event.
7. Create school-based contacts whom parents can engage to seek immediate
treatment services for their child.
8. Develop best practices on addressing OUD in the workplace.
9. Support assistance programs for health care providers with OUD.
10. Engage non-profits and faith community as a system to support outreach for
treatment.
C. CRIMINAL-JUSTICE-INVOLVED PERSONS
1. Address the needs of persons involved in the criminal justice system who have
OUD and any co-occurring substance use disorders or mental health (SUD/MH)
issues.
EXHIBIT A
EXHIBIT A
2. Support pre-arrest diversion and deflection strategies for persons with OUD and
any co-occurring SUD/MH issues, including established strategies such as:
a. Self-referral strategies such as Angel Programs or the Police Assisted
Addiction Recovery Initiative (PAARI);
b. Active outreach strategies such as the Drug Abuse Response Team
(DART) model;
c. “Naloxone Plus” strategies, which work to ensure that individuals who
have received Naloxone to reverse the effects of an overdose are then
linked to treatment programs;
d. Officer prevention strategies, such as the Law Enforcement Assisted
Diversion (LEAD) model; or
e. Officer intervention strategies such as the Leon County, Florida Adult
Civil Citation Network.
3. Support pre-trial services that connect individuals with OUD and any co-
occurring SUD/MH issues to evidence-informed treatment, including MAT, and
related services.
4. Support treatment and recovery courts for persons with OUD and any co-
occurring SUD/MH issues, but only if they provide referrals to evidence-informed
treatment, including MAT.
5. Provide evidence-informed treatment, including MAT, recovery support, harm
reduction, or other appropriate services to individuals with OUD and any co-
occurring SUD/MH issues who are incarcerated, on probation, or on parole.
6. Provide evidence-informed treatment, including MAT, recovery support, harm
reduction, or other appropriate re-entry services to individuals with OUD and any
co-occurring SUD/MH issues who are leaving jail or prison or who have recently
left jail or prison.
7. Support critical time interventions (CTI), particularly for individuals living with
dual-diagnosis OUD/serious mental illness, and services for individuals who face
immediate risks and service needs and risks upon release from correctional
settings.
D. WOMEN WHO ARE OR MAY BECOME PREGNANT
1. Evidence-informed treatment, including MAT, recovery, and prevention services
for pregnant women or women who could become pregnant and have OUD.
2. Training for obstetricians and other healthcare personnel that work with pregnant
women and their families regarding OUD treatment.
EXHIBIT A
EXHIBIT A
3. Other measures to address Neonatal Abstinence Syndrome, including prevention,
care for addiction and education programs.
4. Child and family supports for parenting women with OUD.
5. Enhanced family supports and child care services for parents receiving treatment
for OUD.
E. PEOPLE IN TREATMENT AND RECOVERY
1. The full continuum of care of recovery services for OUD and any co-occurring
substance use or mental health issues, including supportive housing, residential
treatment, medical detox services, peer support services and counseling,
community navigators, case management, and connections to community-based
services.
2. Identifying successful recovery programs such as physician, pilot, and college
recovery programs, and providing support and technical assistance to increase the
number and capacity of high-quality programs to help those in recovery.
3. Training and development of procedures for government staff to appropriately
interact and provide social and other services to current and recovering opioid
users, including reducing stigma.
4. Community-wide stigma reduction regarding treatment and support for persons
with OUD, including reducing the stigma on effective treatment.
5. Engaging non-profits and faith community as a system to support family members
in their efforts to help the opioid user in the family.
II. PREVENTION
F. PRESCRIBING PRACTICES
1. Training for health care providers regarding safe and responsible opioid
prescribing, dosing, and tapering patients off opioids.
2. Academic counter-detailing.
3. Continuing Medical Education (CME) on prescribing of opioids.
4. Support for non-opioid pain treatment alternatives, including training providers to
offer or refer to multi-modal, evidence-informed treatment of pain.
5. Fund development of a multistate/national prescription drug monitoring program
(PDMP) that permits information sharing while providing appropriate safeguards
on sharing of private information, including but not limited to:
EXHIBIT A
EXHIBIT A
a. Integration of PDMP data with electronic health records, overdose
episodes, and decision support tools for health care providers relating to
OUD.
b. Ensuring PDMPs incorporate available overdose/naloxone deployment
data, including the United States Department of Transportation’s
Emergency Medical Technician overdose database.
6. Educating dispensers on appropriate opioid dispensing.
G. MISUSE OF OPIOIDS
1. Corrective advertising/affirmative public education campaigns.
2. Public education relating to drug disposal.
3. Drug take-back disposal or destruction programs.
4. Fund community anti-drug coalitions that engage in drug-abuse prevention
efforts.
5. School-based programs that have demonstrated effectiveness in preventing drug
misuse and seem likely to be effective in preventing the uptake and use of
opioids.
6. Support community coalitions in implementing evidence-informed prevention,
such as reduced social access and physical access, stigma reduction – including
staffing, educational campaigns, or training of coalitions in evidence-informed
implementation.
7. School and community education programs and campaigns for students, families,
school employees, school athletic programs, parent-teacher and student
associations, and others.
8. Engaging non-profits and faith community as a system to support prevention.
H. OVERDOSE DEATHS AND OTHER HARMS
1. Increasing availability and distribution of naloxone and other drugs that treat
overdoses to first responders, overdose patients, opioid users, families and friends
of opioid users, schools, community navigators and outreach workers, drug
offenders upon release from jail/prison, and other members of the general public.
2. Training and education regarding naloxone and other drugs that treat overdoses
for first responders, overdose patients, patients taking opioids, families, schools,
and other members of the general public.
EXHIBIT A
EXHIBIT A
3. Developing data tracking software and applications for overdoses/naloxone
revivals.
4. Public education relating to emergency responses to overdoses.
5. Free naloxone for anyone in the community.
6. Public education relating to immunity and Good Samaritan laws.
7. Educating first responders regarding the existence and operation of immunity and
Good Samaritan laws.
8. Syringe service programs, including supplies, staffing, space, peer support
services, and the full range of harm reduction and treatment services provided by
these programs.
9. Expand access to testing and treatment for infectious diseases such as HIV and
Hepatitis C resulting from intravenous opioid use.
III. ADDITIONAL AREAS
I. SERVICES FOR CHILDREN
1. Support for children’s services: Fund additional positions and services, including
supportive housing and other residential services, relating to children being
removed from the home and/or placed in foster care due to custodial opioid use.
J. FIRST RESPONDERS
1. Law enforcement expenditures relating to the opioid epidemic.
2. Educating first responders regarding appropriate practices and precautions when
dealing with fentanyl or other drugs.
3. Increase electronic prescribing to prevent diversion and forgery.
K. COMMUNITY LEADERSHIP
1. Regional planning to identify goals for opioid reduction and support efforts or to
identify areas and populations with the greatest needs for treatment intervention
services.
2. Government dashboard to track key opioid-related indicators and supports as
identified through collaborative community processes.
EXHIBIT A
EXHIBIT A
L. STAFFING AND TRAINING
1. Funding for programs and services regarding staff training and networking to
improve staff capability to abate the opioid crisis.
2. Support infrastructure and staffing for collaborative cross-systems coordination to
prevent opioid misuse, prevent overdoses, and treat those with OUD (e.g., health
care, primary care, pharmacies, PDMPs, etc.).
M. RESEARCH
1. Funding opioid abatement research.
2. Research improved service delivery for modalities such as SBIRT that
demonstrate promising but mixed results in populations vulnerable to OUD.
3. Support research for novel harm reduction and prevention efforts such as the
provision of fentanyl test strips.
4. Support for innovative supply-side enforcement efforts such as improved
detection of mail-based delivery of synthetic opioids.
5. Expanded research for swift/certain/fair models to reduce and deter opioid misuse
within criminal justice populations that build upon promising approaches used to
address other substances (e.g. Hawaii HOPE and Dakota 24/7).
6. Research expanded modalities such as prescription methadone that can expand
access to MAT.
N. OTHER
1. Administrative costs for any of the approved purposes on this list.
4828-8658-5793, v. 8
EXHIBIT A
EXHIBIT A
Exhibit B
EXHIBIT A
Colorado Local Governments*
Government Name County Gov't Type
Multi-
County
Adams County Adams County
Arvada Adams City 2 counties
Aurora Adams City 3 counties
Bennett Adams City 2 counties
Brighton Adams City 2 counties
Commerce City Adams City
Federal Heights Adams City
Lochbuie Adams City 2 counties
Northglenn Adams City 2 counties
Thornton Adams City 2 counties
Westminster Adams City 2 counties
Alamosa County Alamosa County
Alamosa Alamosa City
Hooper Alamosa City
Arapahoe County Arapahoe County
Aurora Arapahoe City 3 counties
Bennett Arapahoe City 2 counties
Bow Mar Arapahoe City 2 counties
Centennial Arapahoe City
Cherry Hills Village Arapahoe City
Columbine Valley Arapahoe City
Deer Trail Arapahoe City
Englewood Arapahoe City
Foxfield Arapahoe City
Glendale Arapahoe City
Greenwood Village Arapahoe City
Littleton Arapahoe City 3 counties
Sheridan Arapahoe City
Archuleta County Archuleta County
Pagosa Springs Archuleta City
Baca County Baca County
Campo Baca City
Pritchett Baca City
Springfield Baca City
Two Buttes Baca City
Vilas Baca City
Walsh Baca City
Bent County Bent County
Las Animas Bent City
Boulder County Boulder County
Boulder Boulder City
Erie Boulder City 2 counties
Jamestown Boulder City
Lafayette Boulder City
1
EXHIBIT B
EXHIBIT A
Colorado Local Governments*
Government Name County Gov't Type
Multi-
County
Longmont Boulder City 2 counties
Louisville Boulder City
Lyons Boulder City
Nederland Boulder City
Superior Boulder City 2 counties
Ward Boulder City
Broomfield Broomfield City/County
Chaffee County Chaffee County
Buena Vista Chaffee City
Poncha Springs Chaffee City
Salida Chaffee City
Cheyenne County Cheyenne County
Cheyenne Wells Cheyenne City
Kit Carson Cheyenne City
Clear Creek County Clear Creek County
Central City Clear Creek City 2 counties
Empire Clear Creek City
Georgetown Clear Creek City
Idaho Springs Clear Creek City
Silver Plume Clear Creek City
Conejos County Conejos County
Antonito Conejos City
La Jara Conejos City
Manassa Conejos City
Romeo Conejos City
Sanford Conejos City
Costilla County Costilla County
Blanca Costilla City
San Luis Costilla City
Crowley County Crowley County
Crowley Crowley City
Olney Springs Crowley City
Ordway Crowley City
Sugar City Crowley City
Custer County Custer County
Silver Cliff Custer City
Westcliffe Custer City
Delta County Delta County
Cedaredge Delta City
Crawford Delta City
Delta Delta City
Hotchkiss Delta City
Orchard City Delta City
Paonia Delta City
2
EXHIBIT B
EXHIBIT A
Colorado Local Governments*
Government Name County Gov't Type
Multi-
County
Denver Denver City/County
Dolores County Dolores County
Dove Creek Dolores City
Rico Dolores City
Douglas County Douglas County
Aurora Douglas City 3 counties
Castle Pines Douglas City
Castle Rock Douglas City
Larkspur Douglas City
Littleton Douglas City 3 counties
Lone Tree Douglas City
Parker Douglas City
Eagle County Eagle County
Avon Eagle City
Basalt Eagle City 2 counties
Eagle Eagle City
Gypsum Eagle City
Minturn Eagle City
Red Cliff Eagle City
Vail Eagle City
El Paso County El Paso County
Calhan El Paso City
Colorado Springs El Paso City
Fountain El Paso City
Green Mountain Falls El Paso City 2 counties
Manitou Springs El Paso City
Monument El Paso City
Palmer Lake El Paso City
Ramah El Paso City
Elbert County Elbert County
Elizabeth Elbert City
Kiowa Elbert City
Simla Elbert City
Fremont County Fremont County
Brookside Fremont City
Cañon City Fremont City
Coal Creek Fremont City
Florence Fremont City
Rockvale Fremont City
Williamsburg Fremont City
Garfield County Garfield County
Carbondale Garfield City
Glenwood Springs Garfield City
New Castle Garfield City
3
EXHIBIT B
EXHIBIT A
Colorado Local Governments*
Government Name County Gov't Type
Multi-
County
Parachute Garfield City
Rifle Garfield City
Silt Garfield City
Gilpin County Gilpin County
Black Hawk Gilpin City
Central City Gilpin City 2 counties
Grand County Grand County
Fraser Grand City
Granby Grand City
Grand Lake Grand City
Hot Sulphur Springs Grand City
Kremmling Grand City
Winter Park Grand City
Gunnison County Gunnison County
Crested Butte Gunnison City
Gunnison Gunnison City
Marble Gunnison City
Mount Crested Butte Gunnison City
Pitkin Gunnison City
Hinsdale County Hinsdale County
Lake City Hinsdale City
Huerfano County Huerfano County
La Veta Huerfano City
Walsenburg Huerfano City
Jackson County Jackson County
Walden Jackson City
Jefferson County Jefferson County
Arvada Jefferson City 2 counties
Bow Mar Jefferson City 2 counties
Edgewater Jefferson City
Golden Jefferson City
Lakeside Jefferson City
Lakewood Jefferson City
Littleton Jefferson City 3 counties
Morrison Jefferson City
Mountain View Jefferson City
Superior Jefferson City 2 counties
Westminster Jefferson City 2 counties
Wheat Ridge Jefferson City
Kiowa County Kiowa County
Eads Kiowa City
Haswell Kiowa City
Sheridan Lake Kiowa City
Kit Carson County Kit Carson County
4
EXHIBIT B
EXHIBIT A
Colorado Local Governments*
Government Name County Gov't Type
Multi-
County
Bethune Kit Carson City
Burlington Kit Carson City
Flagler Kit Carson City
Seibert Kit Carson City
Stratton Kit Carson City
Vona Kit Carson City
La Plata County La Plata County
Bayfield La Plata City
Durango La Plata City
Ignacio La Plata City
Lake County Lake County
Leadville Lake City
Larimer County Larimer County
Berthoud Larimer City 2 counties
Estes Park Larimer City
Fort Collins Larimer City
Johnstown Larimer City 2 counties
Loveland Larimer City
Timnath Larimer City 2 counties
Wellington Larimer City
Windsor Larimer City 2 counties
Las Animas County Las Animas County
Aguilar Las Animas City
Branson Las Animas City
Cokedale Las Animas City
Kim Las Animas City
Starkville Las Animas City
Trinidad Las Animas City
Lincoln County Lincoln County
Arriba Lincoln City
Genoa Lincoln City
Hugo Lincoln City
Limon Lincoln City
Logan County Logan County
Crook Logan City
Fleming Logan City
Iliff Logan City
Merino Logan City
Peetz Logan City
Sterling Logan City
Mesa County Mesa County
Collbran Mesa City
De Beque Mesa City
Fruita Mesa City
5
EXHIBIT B
EXHIBIT A
Colorado Local Governments*
Government Name County Gov't Type
Multi-
County
Grand Junction Mesa City
Palisade Mesa City
Mineral County Mineral County
City of Creede Mineral City
Moffat County Moffat County
Craig Moffat City
Dinosaur Moffat City
Montezuma County Montezuma County
Cortez Montezuma City
Dolores Montezuma City
Mancos Montezuma City
Montrose County Montrose County
Montrose Montrose City
Naturita Montrose City
Nucla Montrose City
Olathe Montrose City
Morgan County Morgan County
Brush Morgan City
Fort Morgan Morgan City
Hillrose Morgan City
Log Lane Village Morgan City
Wiggins Morgan City
Otero County Otero County
Cheraw Otero City
Fowler Otero City
La Junta Otero City
Manzanola Otero City
Rocky Ford Otero City
Swink Otero City
Ouray County Ouray County
Ouray Ouray City
Ridgway Ouray City
Park County Park County
Alma Park City
Fairplay Park City
Phillips County Phillips County
Haxtun Phillips City
Holyoke Phillips City
Paoli Phillips City
Pitkin County Pitkin County
Aspen Pitkin City
Basalt Pitkin City 2 counties
Snowmass Village Pitkin City
Prowers County Prowers County
6
EXHIBIT B
EXHIBIT A
Colorado Local Governments*
Government Name County Gov't Type
Multi-
County
Granada Prowers City
Hartman Prowers City
Holly Prowers City
Lamar Prowers City
Wiley Prowers City
Pueblo County Pueblo County
Boone Pueblo City
Pueblo Pueblo City
Rye Pueblo City
Rio Blanco County Rio Blanco County
Meeker Rio Blanco City
Rangely Rio Blanco City
Rio Grande County Rio Grande County
Center Rio Grande City 2 counties
Del Norte Rio Grande City
Monte Vista Rio Grande City
South Fork Rio Grande City
Routt County Routt County
Hayden Routt City
Oak Creek Routt City
Steamboat Springs Routt City
Yampa Routt City
Saguache County Saguache County
Bonanza Saguache City
Center Saguache City 2 counties
Crestone Saguache City
Moffat Saguache City
Saguache Saguache City
San Juan County San Juan County
Silverton San Juan City
San Miguel County San Miguel County
Mountain Village San Miguel City
Norwood San Miguel City
Ophir San Miguel City
Sawpit San Miguel City
Telluride San Miguel City
Sedgwick County Sedgwick County
Julesburg Sedgwick City
Ovid Sedgwick City
Sedgwick Sedgwick City
Summit County Summit County
Blue River Summit City
Breckenridge Summit City
Dillon Summit City
7
EXHIBIT B
EXHIBIT A
Colorado Local Governments*
Government Name County Gov't Type
Multi-
County
Frisco Summit City
Montezuma Summit City
Silverthorne Summit City
Teller County Teller County
Cripple Creek Teller City
Green Mountain Falls Teller City 2 counties
Victor Teller City
Woodland Park Teller City
Washington County Washington County
Akron Washington City
Otis Washington City
Weld County Weld County
Ault Weld City
Berthoud Weld City 2 counties
Brighton Weld City 2 counties
Dacono Weld City
Eaton Weld City
Erie Weld City 2 counties
Evans Weld City
Firestone Weld City
Fort Lupton Weld City
Frederick Weld City
Garden City Weld City
Gilcrest Weld City
Greeley Weld City
Grover Weld City
Hudson Weld City
Johnstown Weld City 2 counties
Keenesburg Weld City
Kersey Weld City
La Salle Weld City
Lochbuie Weld City 2 counties
Longmont Weld City 2 counties
Mead Weld City
Milliken Weld City
Northglenn Weld City 2 counties
Nunn Weld City
Pierce Weld City
Platteville Weld City
Raymer (New Raymer)Weld City
Severance Weld City
Thornton Weld City 2 counties
Timnath Weld City 2 counties
Windsor Weld City 2 counties
8
EXHIBIT B
EXHIBIT A
Colorado Local Governments*
Government Name County Gov't Type
Multi-
County
Yuma County Yuma County
Eckley Yuma City
Wray Yuma City
Yuma Yuma City
*This list includes all 64 Colorado counties and all 271 municipalities listed in the 2019 Census. Cities located
in multiple counties are listed under each corresponding county subheading. City and County of Denver and
City and County of Broomfield are counted in both the city and county totals. The City of Carbonate is not
included in this list, as there was no population in the 2019 Census data.
9
This list will be reconciled as necessary to be consistent with the terms of Settlement(s) with Opioid Settling
Defendant(s)
EXHIBIT B
EXHIBIT A
Exhibit C
EXHIBIT A
EXHIBIT C
EXHIBIT A
Exhibit D
EXHIBIT A
Exhibit D - Allocations to Colorado County Areas
County Percentage of LG Share
Adams 9.4247%
Alamosa 0.5081%
Arapahoe 10.8071%
Archuleta 0.1370%
Baca 0.0592%
Bent 0.1133%
Boulder 5.7936%
Broomfield 1.0014%
Chaffee 0.3604%
Cheyenne 0.0159%
Clear Creek 0.1380%
Conejos 0.2108%
Costilla 0.0552%
Crowley 0.0934%
Custer 0.0412%
Delta 0.5440%
Denver 15.0042%
Dolores 0.0352%
Douglas 3.6696%
Eagle 0.6187%
El Paso 11.9897%
Elbert 0.2804%
Fremont 0.9937%
Garfield 0.8376%
Gilpin 0.0561%
Grand 0.2037%
Gunnison 0.1913%
Hinsdale 0.0112%
Huerfano 0.2505%
Jackson 0.0310%
Jefferson 10.5173%
Kiowa 0.0142%
Kit Carson 0.0940%
La Plata 0.8127%
Lake 0.0990%
Larimer 6.5211%
Las Animas 0.6304%
Lincoln 0.0819%
Logan 0.3815%
Mesa 2.8911%
Mineral 0.0039%
Moffat 0.2326%
Montezuma 0.4429%
Page 1 EXHIBIT D
EXHIBIT A
Montrose 0.5695%
Morgan 0.4677%
Otero 0.4486%
Ouray 0.0535%
Park 0.1674%
Phillips 0.0714%
Pitkin 0.1747%
Prowers 0.1727%
Pueblo 5.6757%
Rio Blanco 0.1013%
Rio Grande 0.2526%
Routt 0.3837%
Saguache 0.0666%
San Juan 0.0097%
San Miguel 0.1005%
Sedgwick 0.0618%
Summit 0.3761%
Teller 0.6219%
Washington 0.0357%
Weld 3.8908%
Yuma 0.0992%
TOTAL 100.0000%
Page 2 EXHIBIT D
EXHIBIT A
Exhibit E
EXHIBIT A
Government Name
Intracounty
Share
Adams County 68.3372%
Arvada (2 Counties)0.2632%
Aurora (3 Counties)4.6336%
Bennett (2 Counties)0.1670%
Brighton (2 Counties)1.4527%
Commerce City 4.7314%
Federal Heights 1.1457%
Lochbuie (2 Counties)0.0001%
Northglenn (2 Counties)2.0913%
Thornton (2 Counties)10.6435%
Westminster (2 Counties)6.5342%
Alamosa County 85.3075%
Alamosa 14.6818%
Hooper 0.0108%
Arapahoe County 42.7003%
Aurora (3 Counties)35.5997%
Bennett (2 Counties)0.0324%
Bow Mar (2 Counties)0.0159%
Centennial 0.4411%
Cherry Hills Village 0.6685%
Columbine Valley 0.1601%
Deer Trail 0.0003%
Englewood 5.5850%
Foxfield 0.0372%
Glendale 1.2289%
Greenwood Village 2.8305%
Littleton (3 Counties)8.5654%
Sheridan 2.1347%
Archuleta County 90.0864%
Pagosa Springs 9.9136%
Baca County 85.9800%
Campo 2.4443%
Pritchett 1.5680%
Springfield 7.0100%
Exhibit E - Intracounty Allocations1,2
The below chart depicts the default percentage that each Local Government will receive from the LG
Share amount attributed to its County Area, as described in Section (E)(3) of the MOU. The chart
assumes full participation by all Local Governments
Page 1 EXHIBIT E
EXHIBIT A
Government Name
Intracounty
Share
Two Buttes 0.4766%
Vilas 0.9070%
Walsh 1.6141%
Bent County 80.9608%
Las Animas 19.0392%
Boulder County 47.6311%
Boulder 31.7629%
Erie (2 Counties)0.3634%
Jamestown 0.0086%
Lafayette 3.3203%
Longmont (2 Counties)14.6833%
Louisville 1.4455%
Lyons 0.5916%
Nederland 0.1646%
Superior (2 Counties)0.0258%
Ward 0.0030%
Broomfield County/City 100.0000%
Chaffee County 74.8440%
Buena Vista 5.8841%
Poncha Springs 4.2369%
Salida 15.0350%
Cheyenne County 66.8002%
Cheyenne Wells 0.8586%
Kit Carson 32.3412%
Clear Creek County 92.2164%
Central City (2 Counties)0.0000%
Empire 0.3364%
Georgetown 1.9063%
Idaho Springs 4.7625%
Silver Plume 0.7784%
Conejos County 77.1204%
Antonito 4.6338%
La Jara 2.4313%
Manassa 1.0062%
Romeo 2.4270%
Sanford 12.3812%
Page 2 EXHIBIT E
EXHIBIT A
Government Name
Intracounty
Share
Costilla County 97.3454%
Blanca 1.2036%
San Luis 1.4509%
Crowley County 80.7081%
Crowley 4.3597%
Olney Springs 8.3683%
Ordway 0.1853%
Sugar City 6.3786%
Custer County 96.6858%
Silver Cliff 0.7954%
Westcliffe 2.5188%
Delta County 76.3512%
Cedaredge 3.6221%
Crawford 0.4938%
Delta 16.2658%
Hotchkiss 1.0963%
Orchard City 0.1473%
Paonia 2.0236%
Denver County/City 100.0000%
Dolores County 76.3307%
Dove Creek 17.3127%
Rico 6.3566%
Douglas County 71.8404%
Aurora (3 Counties)0.2099%
Castle Pines 0.2007%
Castle Rock 13.5204%
Larkspur 0.0856%
Littleton (3 Counties)0.0156%
Lone Tree 5.2786%
Parker 8.8487%
Eagle County 60.8236%
Avon 7.6631%
Basalt (2 Counties)2.2311%
Eagle 3.1376%
Gypsum 1.7469%
Minturn 0.7771%
Page 3 EXHIBIT E
EXHIBIT A
Government Name
Intracounty
Share
Red Cliff 0.0957%
Vail 23.5250%
El Paso County 18.4181%
Calhan 0.0228%
Colorado Springs 80.1161%
Fountain 0.9892%
Green Mountain Falls (2 Counties)0.0149%
Manitou Springs 0.2411%
Monument 0.1492%
Palmer Lake 0.0455%
Ramah 0.0033%
Elbert County 86.5840%
Elizabeth 10.2633%
Kiowa 1.5455%
Simla 1.6072%
Fremont County 60.7882%
Brookside 0.0348%
Cañon City 30.9017%
Coal Creek 0.0476%
Florence 8.0681%
Rockvale 0.0687%
Williamsburg 0.0907%
Garfield County 76.3371%
Carbondale 2.4698%
Glenwood Springs 11.8141%
New Castle 1.4295%
Parachute 1.0653%
Rifle 5.2733%
Silt 1.6110%
Gilpin County 46.8613%
Black Hawk 46.3909%
Central City (2 Counties)6.7478%
Grand County 80.1046%
Fraser 2.4903%
Granby 5.4008%
Grand Lake 0.3174%
Hot Sulphur Springs 0.1431%
Kremmling 2.9284%
Page 4 EXHIBIT E
EXHIBIT A
Government Name
Intracounty
Share
Winter Park 8.6154%
Gunnison County 88.9185%
Crested Butte 2.3562%
Gunnison 5.9501%
Marble 0.1714%
Mount Crested Butte 2.5657%
Pitkin 0.0381%
Hinsdale County 76.0940%
Lake City 23.9060%
Huerfano County 68.2709%
La Veta 11.0719%
Walsenburg 20.6572%
Jackson County 61.5339%
Walden 38.4661%
Jefferson County 58.2140%
Arvada (2 Counties)11.9733%
Bow Mar (2 Counties)0.0087%
Edgewater 0.6604%
Golden 3.4815%
Lakeside 0.0030%
Lakewood 15.9399%
Littleton (3 Counties)0.6176%
Morrison 0.2205%
Mountain View 0.1344%
Superior (2 Counties)0.0000%
Westminster (2 Counties)5.4779%
Wheat Ridge 3.2689%
Kiowa County 93.2138%
Eads 5.3777%
Haswell 0.6402%
Sheridan Lake 0.7682%
Kit Carson County 86.3178%
Bethune 0.1841%
Burlington 12.0640%
Flagler 0.4264%
Seibert 0.0291%
Stratton 0.9012%
Page 5 EXHIBIT E
EXHIBIT A
Government Name
Intracounty
Share
Vona 0.0775%
La Plata County 66.8874%
Bayfield 1.6292%
Durango 29.2985%
Ignacio 2.1849%
Lake County 73.4523%
Leadville 26.5477%
Larimer County 56.0589%
Berthoud (2 Counties)0.4139%
Estes Park 0.3502%
Fort Collins 18.5702%
Johnstown (2 Counties)0.0711%
Loveland 23.4493%
Timnath (2 Counties)0.2964%
Wellington 0.3653%
Windsor (2 Counties)0.4248%
Las Animas County 77.8076%
Aguilar 0.0751%
Branson 0.0101%
Cokedale 0.0188%
Kim 0.0101%
Starkville 0.0087%
Trinidad 22.0696%
Lincoln County 91.3222%
Arriba 0.3444%
Genoa 0.2222%
Hugo 1.4778%
Limon 6.6333%
Logan County 72.7982%
Crook 0.0931%
Fleming 0.3413%
Iliff 0.0095%
Merino 0.4702%
Peetz 0.2029%
Sterling 26.0848%
Mesa County 60.8549%
Collbran 0.0920%
Page 6 EXHIBIT E
EXHIBIT A
Government Name
Intracounty
Share
De Beque 0.0123%
Fruita 1.6696%
Grand Junction 37.1505%
Palisade 0.2208%
Mineral County 87.6744%
City of Creede 12.3256%
Moffat County 91.7981%
Craig 8.1862%
Dinosaur 0.0157%
Montezuma County 79.6682%
Cortez 18.6459%
Dolores 0.6106%
Mancos 1.0753%
Montrose County 92.8648%
Montrose 6.5980%
Naturita 0.1551%
Nucla 0.0703%
Olathe 0.3118%
Morgan County 61.6991%
Brush 8.5522%
Fort Morgan 27.8214%
Hillrose 0.1986%
Log Lane Village 0.6424%
Wiggins 1.0863%
Otero County 60.8168%
Cheraw 0.1888%
Fowler 1.0413%
La Junta 25.9225%
Manzanola 0.6983%
Rocky Ford 8.8215%
Swink 2.5109%
Ouray County 76.0810%
Ouray 17.6541%
Ridgway 6.2649%
Park County 96.3983%
Alma 0.7780%
Page 7 EXHIBIT E
EXHIBIT A
Government Name
Intracounty
Share
Fairplay 2.8237%
Phillips County 52.3463%
Haxtun 13.9505%
Holyoke 33.1803%
Paoli 0.5228%
Pitkin County 47.1379%
Aspen 42.0707%
Basalt (2 Counties)1.1156%
Snowmass Village 9.6757%
Prowers County 70.4524%
Granada 0.9965%
Hartman 0.3164%
Holly 4.9826%
Lamar 21.5860%
Wiley 1.6661%
Pueblo County 54.6622%
Boone 0.0019%
Pueblo 45.3350%
Rye 0.0008%
Rio Blanco County 78.2831%
Meeker 9.1326%
Rangely 12.5843%
Rio Grande County 68.0724%
Center (2 Counties)0.7713%
Del Norte 6.7762%
Monte Vista 20.4513%
South Fork 3.9288%
Routt County 58.5353%
Hayden 1.0679%
Oak Creek 0.6360%
Steamboat Springs 39.4499%
Yampa 0.3109%
Saguache County 92.8796%
Bonanza 0.1367%
Center (2 Counties)6.3687%
Crestone 0.0137%
Page 8 EXHIBIT E
EXHIBIT A
Government Name
Intracounty
Share
Moffat 0.3553%
Saguache 0.2460%
San Juan County 87.0423%
Silverton 12.9577%
San Miguel County 48.7493%
Mountain Village 25.7930%
Norwood 0.4078%
Ophir 0.0816%
Sawpit 0.0272%
Telluride 24.9411%
Sedgwick County 98.7331%
Julesburg 0.3830%
Ovid 0.0295%
Sedgwick 0.8544%
Summit County 57.0567%
Blue River 0.5011%
Breckenridge 26.1112%
Dillon 4.1421%
Frisco 6.5096%
Montezuma 0.0169%
Silverthorne 5.6623%
Teller County 66.1557%
Cripple Creek 17.2992%
Green Mountain Falls (2 Counties)0.0322%
Victor 3.1685%
Woodland Park 13.3445%
Washington County 99.1320%
Akron 0.7659%
Otis 0.1021%
Weld County 51.9387%
Ault 0.3202%
Berthoud (2 Counties)0.0061%
Brighton (2 Counties)0.0927%
Dacono 0.6104%
Eaton 0.4573%
Erie (2 Counties)0.8591%
Evans 4.5121%
Page 9 EXHIBIT E
EXHIBIT A
Government Name
Intracounty
Share
Firestone 1.4648%
Fort Lupton 0.8502%
Frederick 1.2228%
Garden City 0.1514%
Gilcrest 0.1580%
Greeley 30.6922%
Grover 0.0852%
Hudson 0.0066%
Johnstown (2 Counties)1.5416%
Keenesburg 0.0215%
Kersey 0.1378%
La Salle 0.4128%
Lochbuie (2 Counties)0.4004%
Longmont (2 Counties)0.0154%
Mead 0.0941%
Milliken 1.5373%
Northglenn (2 Counties)0.0030%
Nunn 0.2558%
Pierce 0.0948%
Platteville 0.3712%
Raymer (New Raymer)0.0597%
Severance 0.0403%
Thornton (2 Counties)0.0000%
Timnath (2 Counties)0.0000%
Windsor (2 Counties)1.5865%
Yuma County 75.5598%
Eckley 2.5422%
Wray 10.2148%
Yuma 11.6832%
Page 10
1 These allocations are based on the allocation model used in the Negotiation Class website. The allocation model is the product of prolonged and intensive
research, analysis, and discussion by and among members of the court-appointed Plaintiffs’ Executive Committee and Settlement Committee and their
retained public health and health economics experts, as well as a series of meetings with scores of cities, counties and subdivisions. Additional information
about the allocation model is available on the Negotiation Class website.
The allocations in the Negotiation Class website use two different methodologies:
County-Level Allocation
The allocation model uses three factors, based on reliable, detailed, and objective data collected and reported by the federal government, to determine the
share of a settlement fund that each county will receive. The three factors are: (1) the amount of opioids shipped to the county, (2) the number of opioid
deaths in that county, and (3) the number of people who suffer opioid use disorder in that county.
County/Municipal-Level Allocation
The county/municipal-level allocation is a default allocation to be used if another agreement is not reached between the county and its constituent cities.
The formula uses U.S. Census Bureau data on local government spending. This data covers cities and counties for 98% of the U.S. population. If a jurisdiction
lacked this data, it was extrapolated based on available data.
2 The municipalities of Bow Mar, Johnstown, and Timnath were not reflected as being in multiple counties in the Negotiation Class website. The estimated
allocations to those cities are based on the same methodology used in the website, in consultation with the expert. For cities in multiple counties, please
see each county in which that city lies.
EXHIBIT E
EXHIBIT A
Exhibit F
EXHIBIT A
Region Number Region Description Total State Share
1 Northwest 0.9522%
2 Larimer 6.5211%
3 Weld 3.8908%
4 Logan 1.5896%
5 North Central 2.1061%
6 Boulder 5.7936%
7 Broomfield 1.0014%
8 Adams 9.4247%
9 Arapahoe 10.8071%
10 Jefferson 10.7114%
11 Denver 15.0042%
12 Douglas 3.6696%
13 Mesa 2.8911%
14 Southwest 1.4700%
15 Central 1.5627%
16 El Paso/Teller 12.6116%
17 Southwest Corner 1.4375%
18 South Central 1.0973%
19 Southeast 7.4580%
Total 100.0000%
Regional Allocations
EXHIBIT F
EXHIBIT A
Exhibit G
EXHIBIT A
Regional Governance Models
A. Membership Structure
Single-County Regions
1. Voting Members (Recommended List: Participating Local Governments to Decide)
• 1 or 2 representatives appointed by the county (can be commissioners)
• 1 representative appointed from the public health department
• 1 representative from the county human services department
• 1 representative appointed from law enforcement within region (sheriff, police,
local city or town district attorney, etc.)
• 1 representative appointed from a municipal or county court system within region
• 1-3 representatives (total) appointed by the cities within the county (or other city
or cities agreed upon) (can be councilmembers and mayors)
• Such other representatives as participating counties/cities agree on (not to include
providers who may be recipients of funds)
2. Non-Voting Members (Optional but strongly encouraged)
• Representatives from behavioral health providers
• Representatives from health care providers
• Recovery/treatment experts
• Other county or city representatives
• A representative from the Attorney General’s Office
• Community representative(s), preferably those with lived experience with the
opioid crisis
• Harm reduction experts
Multi-County Regions
1. Voting Members (Recommended List: Participating Local Governments to Decide)
• 1 representative appointed by each county (can be commissioners)
• 1 representative appointed by a rotating city within each county (or other city
agreed upon) (can be councilmembers and mayors)
• 1 representative from each public health department within the region
• 1 representative from a county human services department
• At least 1 representative appointed from law enforcement within region (sheriff,
police, local city or town district attorney, etc.)
• 1 representative from a municipal or county court system within region
• Such other representatives as participating counties/cities agree on (not to include
providers who may be recipients of funds)
2. Non-Voting Members (Optional)
• Representatives from behavioral health providers
EXHIBIT G
EXHIBIT A
• Representatives from health care providers
• Recovery/treatment experts
• Other county or city representatives
• A representative from the Attorney General’s Office
• Community representative(s), preferably those with lived experience with the
opioid crisis.
• Harm reduction experts
Single-County Single-City Regions (Denver & Broomfield)
1. Voting Members (Recommended List: Participating Local Government to Decide)1
• 1 representative appointed by the city and county
• 1 representative appointed from the public health department
• 1 representative from the county human services department
• 1 representative appointed from law enforcement within region (sheriff, police,
district attorney, etc.)
• 1 representative appointed from a municipal or county court system within region
• Such other representatives as participating counties/cities agree on (not to include
providers who may be recipients of funds)
2. Non-Voting Members (Optional)
• Representatives from behavioral health providers
• Representatives from health care providers
• Recovery/treatment experts
• Other county or city representatives
• A representative from the Attorney General’s Office
• Community representative(s), preferably those with lived experience with the
opioid crisis.
• Harm reduction experts
B. Member Terms
• Regions may establish terms of appointment for members. Appointment terms
may be staggered.
C. Procedures
• Regions will be governed by an intergovernmental agreement (“IGA”) or
memorandum of understanding (“MOU”).
• Regions may adopt the Model Colorado Regional Opioid Intergovernmental
Agreement, attached here as Exhibit G-1, in its entirety or alter or amend it as
they deem appropriate.
1 In Denver, the Mayor shall make voting member appointments to the Regional Council. In Broomfield, the City
and County Manager shall make voting member appointments to the Regional Council.
EXHIBIT G
EXHIBIT A
• Regions may establish their own procedures through adoption of bylaws (model
bylaws to be made available).
• Meetings of regional board/committee shall be open to the public and comply
with the Colorado Open Meetings Law (including requirement to keep minutes).
D. Financial Responsibility/Controls
• A local government entity shall nominate and designate a fiscal agent for the
Region.
• A Regional fiscal agent must be appointed by the Regional Council on an annual
basis. A Regional fiscal agent may serve as long as the Regional Council
determines is appropriate, including the length of any Settlement that
contemplates the distribution of Opioid Funds within Colorado. However, the
Regional fiscal agent also can change over time.
• Regional fiscal agents must be a board of county commissioners or a city or town
council or executive department, such as a department of finance.
• Yearly reporting by fiscal agent (using standard form) to the Abatement Council.
• All documents subject to CORA.
E. Conflicts of Interest
• Voting members shall abide by the conflict-of-interest rules applicable to local
government officials under state law.
F. Ethics Laws
• Voting members shall abide by applicable state or local ethics laws, as
appropriate.
G. Authority
• The Regional Council for each region shall have authority to decide how funds
allocated to the region shall be distributed in accordance with the Colorado MOU
and shall direct the fiscal agent accordingly.
• Any necessary contracts will be entered into by the fiscal agent, subject to
approval by the Regional Council.
H. Legal Status
• The region shall not be considered a separate legal entity, unless the Participating
Local Governments decide, through an IGA, to create a separate governmental
entity.
EXHIBIT G
EXHIBIT A
Exhibit G-1
EXHIBIT A
MODEL COLORADO REGIONAL OPIOID
INTERGOVERNMENTAL AGREEMENT 2
THIS MODEL COLORADO REGIONAL OPIOID INTERGOVERNMENTAL AGREEMENT (the “Regional
Agreement”) is made between _________________, a Participating Local Government, as defined in the
Colorado MOU, in the __________________ Region (“____________”) and ______________________, a
Participating Local Government in the ___________ Region, (“_____________”), individually herein a
“Regional PLG” and collectively the “Regional PLGs.””
RECITALS
WHEREAS, the State of Colorado and Participating Local Governments executed the Colorado
Opioids Summary Memorandum of Understanding on _______ 2021 (the “Colorado MOU”), establishing
the manner in which Opioid Funds shall be divided and distributed within the State of Colorado;
WHEREAS, the Regional Agreement assumes and incorporates the definitions and provisions
contained in the Colorado MOU, and the Regional Agreement shall be construed in conformity with the
Colorado MOU 3;
WHEREAS, all Opioid Funds, regardless of allocation, shall be used for Approved Purposes;
WHEREAS, Participating Local Governments shall organize themselves into Regions, as further
depicted in Exhibit E to the Colorado MOU;
2 This Model Regional Agreement is meant to serve as an example for the various Regions and to facilitate the
flow of Opioid Funds to their intended purposes. Regions are free to adopt this Regional Agreement in its entirety
or alter or amend it as they deem appropriate.
3 When drafting agreements like this Regional Agreement, Regional PLGs should be conscious of the definitions
used therein so as not to confuse such definitions with those used in the Colorado MOU. The Definitions in the
Colorado MOU shall supersede any definitions used by Regional PLGs in a Regional Agreement.
EXHIBIT G-1
EXHIBIT A
WHEREAS, Regions may consist of Single-County Regions, Multi-County Regions, or Single County-
Single City Regions (Denver and Broomfield).
WHEREAS, there shall be a 60% direct allocation of Opioid Funds to Regions through a Regional
Share;
WHEREAS, each Region shall be eligible to receive a Regional Share according to Exhibit C to the
Colorado MOU;
WHEREAS, the Colorado MOU establishes the procedures by which each Region shall be entitled
to Opioid Funds from the Abatement Council and administer its Regional Share allocation;
WHEREAS, the procedures established by the Colorado MOU include a requirement that each
Region shall create its own Regional Council;
WHEREAS, all aspects of the creation, administration, and operation of the Regional Council
shall proceed in accordance with the provisions of the Colorado MOU;
WHEREAS, each such Regional Council shall designate a fiscal agent from a county or municipal
government within that Region;
WHEREAS, each such Regional Council shall submit a two-year plan to the Abatement Council
that identifies the Approved Purposes for which the requested funds will be used, and the Regional
Council’s fiscal agent shall provide data and a certification to the Abatement Council regarding
compliance with its two-year plan on an annual basis;
WHEREAS, the Regional Agreement pertains to the procedures for the Regional PLGs to
establish a Regional Council, designate a fiscal agent, and request and administer Opioid Funds in a
manner consistent with the Colorado MOU;
EXHIBIT G-1
EXHIBIT A
NOW, THEREFORE, in consideration of the mutual covenants and agreements hereinafter set
forth and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the
Regional PLGs incorporate the recitals set forth above and agree as follows:
1. DEFINITIONS. The defined terms used in this Regional Agreement shall have the same meanings as
in the Colorado MOU 4. Capitalized terms used herein and not otherwise defined within the Regional
Agreement or in the Colorado MOU shall have the meanings ascribed to them in the body of the
Regional Agreement.
2. OBLIGATIONS OF THE REGIONAL PLGS. The Regional PLGs shall perform their respective
obligations as set forth in the Regional Agreement, the Colorado MOU and the accompanying exhibits
to the Colorado MOU and incorporated herein by reference.
3. REGIONAL COUNCIL.
3.1. Purpose: In accordance with the Colorado MOU, a Regional Council, consisting of
representatives appointed by the Regional PLGs, shall be created to oversee the procedures by
which a Region may request Opioid Funds from the Abatement Council and the procedures by
which the allocation of its Region’s Share of Opioid Funds are administered.
3.2. Membership: The Regional Council of a Multi-County or Single County Region shall
consist of the following:
a. Multi-County Region:
(i) Voting Members. Voting Members shall be appointed by the
Regional PLGs. The Regional PLGs shall collaborate to appoint
Regional Council members and to the extent practicable, Voting
Members shall be selected from different counties and cities. No
single county or city should dominate the make-up of the Regional
Council. Voting Members shall be selected as follows:
(1) 1 representative appointed by each county (can be
commissioners).
(2) 1 representative appointed from a rotating city within each
county (or other city agreed upon) (can be councilmembers
and mayors). A rotating city member shall be selected by
majority vote of the cities within each county who do not
have a Voting Member currently sitting on the Regional
4 See FN 2, supra.
EXHIBIT G-1
EXHIBIT A
Council.
(3) 1 representative from each public health department within
the region.
(4) 1 representative from a county human services department.
(5) At least 1 representative appointed from law enforcement
within the region (sheriff, police, local city or town district
attorney, etc.).
(6) 1 representative from a municipal or county court system
within the region.
b. Single-County Region:
(i) Voting Members. Voting Members shall be appointed by the
Regional PLGs. The Regional PLGs shall collaborate to appoint
Regional Council members and to the extent practicable, Voting
Members shall be selected from different cities within the region.
No single city should dominate the make-up of the Regional
Council. Voting Members shall be selected as follows:
(1) 1 or 2 representatives appointed by the county (can be
commissioners)
(2) 1 representative appointed from the public health
department
(3) 1 representative from the county human services
department
(4) 1 representative appointed from law enforcement within
region (sheriff, police, local city or town district attorney,
etc.)
(5) 1 representative appointed from a municipal or county
court system within region
(6) 1-3 representatives (total) appointed by rotating cities
within the county (or other city or cities agreed upon) (can
be councilmembers and mayors). Rotating city members
shall be selected by majority vote of the cities who do not
have a Voting Member currently sitting on the Regional
Council.
(7) Such other representatives as participating counties/cities
agree on (not to include providers who may be recipients of
EXHIBIT G-1
EXHIBIT A
funds)
c. Non-Voting Members. For both Multi-County and Single County
Regions, Non-Voting Members are optional but are strongly encouraged.
Non-voting members shall serve in an advisory capacity. Any Non-Voting
Members shall be appointed by the Regional PLGs and may be comprised
of all or some of the following, not to include potential recipients of funds:
(i) Representatives from behavioral health providers.
(ii) Representatives from health care providers.
(iii) Recovery/treatment experts.
(iv) Other county or city representatives.
(v) A representative from the Attorney General’s Office.
(vi) Community representative(s), preferably those with lived
experience with the opioid crisis.
(vii) Harm reduction experts.
d. Acting Chair: The Voting Members for both Multi-County and Single-
County Regions shall appoint one member to serve as Acting Chair of the
Regional Council. The Acting Chair’s primary responsibilities shall be to
schedule periodic meetings and votes of the Regional Council as needed
and to serve as the point of contact for disputes within the Region. The
Acting Chair must be either a Member from a county within a Region,
such as a county commissioner or their designee, or a Member from a city
or town within a Region, such as a mayor or city or town council member
or their designee.
e. Non-Participation: A Local Government that chooses not to become a
Participating Local Government in the Colorado MOU shall not receive
any Opioid Funds from the Regional Share or participate in the Regional
Council.
f. Terms: The Regional Council shall be established within ninety (90)
days of the first Settlement being entered by a court of competent
jurisdiction, including any bankruptcy court. In order to do so, within sixty
(60) days of the first Settlement being entered, CCI and CML shall jointly
recommend six (6) Voting Members, and so long as such
recommendations comply with the terms of Section 3.2 (a) or (b), the
Regional Council shall consist of CCI/CML’s recommended Members for
EXHIBIT G-1
EXHIBIT A
an initial term not to exceed one year.5 Thereafter, Voting Members shall
be appointed in accordance with Section 3.2 (a) or (b) and shall serve two-
year terms. Following the expiration of that two-year term, the Regional
PLGs, working in concert, shall reappoint that Voting Member, or appoint
a new Voting Member according to Section 3.2 (a) or (b).
(i) If a Voting Member resigns or is otherwise removed from the
Regional Council prior to the expiration of their term, a replacement
Voting Member shall be appointed within sixty (60) days in
accordance with Section 3.2 (a) or (b) to serve the remainder of the
term. If the Regional PLGs are unable to fill a Voting Member
vacancy within sixty (60) days, the existing Voting Members of the
Regional Council at the time of the vacancy shall work collectively
to appoint a replacement Voting Member in accordance with
Section 3.2 (a) or (b). At the end of his or her term, the individual
serving as that replacement Voting Member may be reappointed by
the Regional PLGs to serve a full term consistent with this Section.
(ii) The purpose of the two-year term is to allow Regional PLGs an
increased opportunity to serve on the Regional Council. However,
Regional Council members who have already served on the
Regional Council may be appointed more than once and may serve
consecutive terms if appointed to do so by the Regional Council.
3.3. Duties: The Regional Council is primarily responsible for engaging with the Abatement
Council on behalf of its Region and following the procedures outlined in the Colorado MOU for
requesting Opioid Funds from the Regional Share, which shall include developing 2-year plans,
amending those plans as appropriate, and providing the Abatement Council with data through its
fiscal agent regarding Opioid Fund expenditures. Upon request from the Abatement Council, the
Regional Council may also be subject to an accounting from the Abatement Council.
3.4. Governance: A Regional Council may establish its own procedures through adoption of
bylaws if needed. Any governing documents must be consistent with the other provisions in this
section and the Colorado MOU.
3.5. Authority: The terms of the Colorado MOU control the authority of a Regional Council
and a Regional Council shall not stray outside the bounds of the authority and power vested by
the Colorado MOU. Should a Regional Council require legal assistance in determining its authority,
5 Local Governments within Multi-County or Single County Regions may decide to select initial Voting Members of
the Regional Council between themselves and without CCI and CML involvement. However, the Regional Council
must be established within ninety (90) days of the first Settlement being entered by a court of competent
jurisdiction, including any bankruptcy court.
EXHIBIT G-1
EXHIBIT A
it may seek guidance from the legal counsel of the county or municipal government of the
Regional Council’s fiscal agent at the time the issue arises.
3.6. Collaboration: The Regional Council shall facilitate collaboration between the State,
Participating Local Governments within its Region, the Abatement Council, and other
stakeholders within its Region for the purposes of sharing data, outcomes, strategies, and other
relevant information related to abating the opioid crisis in Colorado.
3.7. Transparency: The Regional Council shall operate with all reasonable transparency and
abide by all Colorado laws relating to open records and meetings. To the extent the Abatement
Council requests outcome-related data from the Regional Council, the Regional Council shall
provide such data in an effort to determine best methods for abating the opioid crisis in Colorado.
3.8. Conflicts of Interest: Voting Members shall abide by the conflict-of-interest rules
applicable to local government officials under state law.
3.9. Ethics Laws: Voting Members shall abide by their local ethics laws or, if no such ethics
laws exist, by applicable state ethics laws.
3.10. Decision Making: The Regional Council shall seek to make all decisions by consensus. In
the event consensus cannot be achieved, the Regional Council shall make decisions by a majority
vote of its Members.
4. REGIONAL FISCAL AGENT
4.1. Purpose: According to the Colorado MOU, the Regional Council must designate a fiscal
agent for the Region prior to the Region receiving any Opioid funds from the Regional Share. All
funds from the Regional Share shall be distributed to the Regional Council’s fiscal agent for the
benefit of the entire Region.
4.2. Designation: The Regional Council shall nominate and designate a fiscal agent for the
Region by majority vote. Regional fiscal agents must be a board of county commissioners or a city
or town council or executive department, such as a department of finance.
4.3. Term: A Regional fiscal agent must be appointed by the Regional Council on an annual
basis. A Regional fiscal agent may serve as long as the Regional Council determines is appropriate,
including the length of any Settlement that contemplates the distribution of Opioid Funds within
Colorado.
4.4. Duties: The Regional fiscal agent shall receive, deposit, and make available Opioid Funds
distributed from the Abatement Council and provide expenditure reporting data to the
EXHIBIT G-1
EXHIBIT A
Abatement Council on an annual basis. In addition, the Regional fiscal agent shall perform certain
recordkeeping duties outlined below.
a. Opioid Funds: The Regional fiscal agent shall receive all Opioid Funds
as distributed by the Abatement Council. Upon direction by the Regional
Council, the Regional fiscal agent shall make any such Opioid Funds
available to the Regional Council.
b. Reporting: On an annual basis, as determined by the Abatement
Council, the Regional fiscal agent shall provide to the Abatement Council
the Regional Council’s expenditure data from their allocation of the
Regional Share and certify to the Abatement Council that the Regional
Council’s expenditures were for Approved Purposes and complied with its
2-year plan.
c. Recordkeeping: The Regional fiscal agent shall maintain necessary
records with regard the Regional Council’s meetings, decisions, plans, and
expenditure data.
4.5. Authority: The fiscal agent serves at the direction of the Regional Council and in service
to the entire Region. The terms of the Colorado MOU control the authority of a Regional Council,
and by extension, the Regional fiscal agent. A Regional fiscal agent shall not stray outside the
bounds of the authority and power vested by the Colorado MOU.
5. REGIONAL TWO-YEAR PLAN
5.1. Purpose: According to the Colorado MOU, as part of a Regional Council’s request
to the Abatement Council for Opioid Funds from its Regional Share, the Regional Council
must submit a 2-year plan identifying the Approved Purposes for which the requested funds
will be used.
5.2 Development of 2-Year Plan: In developing a 2-year plan, the Regional Council shall
solicit recommendations and information from all Regional PLGs and other stakeholders within its
Region for the purposes of sharing data, outcomes, strategies, and other relevant information
related to abating the opioid crisis in Colorado. At its discretion, a Regional Council may seek
assistance from the Abatement Council for purposes of developing a 2-year plan.
5.3 Amendment: At any point, a Regional Council’s 2-year plan may be amended so long as
such amendments comply with the terms of the Colorado MOU and any Settlement.
6. DISPUTES WITHIN REGION. In the event that any Regional PLG disagrees with a decision of the
Regional Council, or there is a dispute regarding the appointment of Voting or Non-Voting Members
to the Regional Council, that Regional PLG shall inform the Acting Chair of its dispute at the earliest
EXHIBIT G-1
EXHIBIT A
possible opportunity. In Response, the Regional Council shall gather any information necessary to
resolve the dispute. Within fourteen (14) days of the Regional PLG informing the Acting Chair of its
dispute, the Regional Council shall issue a decision with respect to the dispute. In reaching its decision,
the Regional Council may hold a vote of Voting Members, with the Acting Chair serving as the tie-
breaker, or the Regional Council may devise its own dispute resolution process. However, in any
disputes regarding the appointment of a Voting Member, that Voting Member will be recused from
voting on the dispute. The decision of the Regional Council is a final decision.
7. DISPUTES WITH ABATEMENT COUNCIL. If the Regional Council disputes the amount of Opioid Funds
it receives from its allocation of the Regional Share, the Regional Council shall alert the Abatement
Council within sixty (60) days of discovering the information underlying the dispute. However, the
failure to alert the Abatement Council within this time frame shall not constitute a waiver of the
Regional Council’s right to seek recoupment of any deficiency in its Regional Share.
8. RECORDKEEPING. The acting Regional fiscal agent shall be responsible for maintaining records
consistent with the Regional Agreement.
9. AUTHORIZED REPRESENTATIVES. Each Regional PLGs’ representative designated below shall be the
point of contact to coordinate the obligations as provided herein. The Regional PLGs designate their
authorized representatives under this Regional Agreement as follows:
9.1. ______ designates the ____ of the ________ or their designee(s).
9.2. ______ designates the ____ of the ________ or their designee(s).
10. OBLIGATIONS OF THE REGIONAL PLGS. The Regional PLGs shall perform their respective
obligations as set forth in the Regional Agreement, the Colorado MOU and the accompanying exhibits
to the Colorado MOU and incorporated herein by reference.
11. TERM. The Regional Agreement will commence on _______, and shall expire on the date the last
action is taken by the Region, consistent with the terms of the Colorado MOU and any Settlement.
(the “Term”).
12. INFORMATIONAL OBLIGATIONS. Each Regional PLG hereto will meet its obligations as set forth in §
29-1-205, C.R.S., as amended, to include information about this Regional Agreement in a filing with
the Colorado Division of Local Government; however, failure to do so shall in no way affect the validity
of this Regional Agreement or any remedies available to the Regional PLGs hereunder.
13. CONFIDENTIALITY. The Regional PLGs, for themselves, their agents, employees and representatives,
agree that they will not divulge any confidential or proprietary information they receive from another
Regional PLG or otherwise have access to, except as may be required by law. Nothing in this Regional
EXHIBIT G-1
EXHIBIT A
Agreement shall in any way limit the ability of the Regional PLGs to comply with any laws or legal
process concerning disclosures by public entities. The Regional PLGs understand that all materials
exchanged under this Regional Agreement, including confidential information or proprietary
information, may be subject to the Colorado Open Records Act., § 24-72-201, et seq., C.R.S., (the
“Act”). In the event of a request to a Regional PLG for disclosure of confidential materials, the Regional
PLG shall advise the Regional PLGs of such request in order to give the Regional PLGs the opportunity
to object to the disclosure of any of its materials which it marked as, or otherwise asserts is,
proprietary or confidential. If a Regional PLG objects to disclosure of any of its material, the Regional
PLG shall identify the legal basis under the Act for any right to withhold. In the event of any action or
the filing of a lawsuit to compel disclosure, the Regional PLG agrees to intervene in such action or
lawsuit to protect and assert its claims of privilege against disclosure of such material or waive the
same. If the matter is not resolved, the Regional PLGs may tender all material to the court for judicial
determination of the issue of disclosure.
14. GOVERNING LAW; VENUE. This Regional Agreement shall be governed by the laws of the State of
Colorado. Venue for any legal action relating solely to this Regional Agreement will be in the applicable
District Court of the State of Colorado for the county of the Region’s fiscal agent. Venue for any legal
action relating to the Colorado MOU shall be in a court of competent jurisdiction where a Settlement
or consent decree was entered, as those terms are described or defined in the Colorado MOU. If a
legal action relates to both a Regional Agreement and the Colorado MOU, venue shall also be in a
court of competent jurisdiction where a Settlement or consent decree was entered.
15. TERMINATION. The Regional PLGs enter into this Regional Agreement to serve the public interest. If
this Regional Agreement ceases to further the public interest, a Regional PLG, in its discretion, may
terminate their participation in the Regional Agreement, in whole or in part, upon written notice to
the other Regional PLGs. Each Regional PLG also has the right to terminate the Regional Agreement
with cause upon written notice effective immediately, and without cause upon thirty (30) days prior
written notice to the other Regional PLGs. A Regional PLG’s decision to terminate this Regional
Agreement, with or without cause, shall have no impact on the other Regional PLGs present or future
administration of its Opioid Funds and the other procedures outlined in this Regional Agreement.
Rather, a Regional PLG’s decision to terminate this Regional Agreement shall have the same effect as
non-participation, as outlined in Section 3.2 (e).
16. NOTICES. “Key Notices” under this Regional Agreement are notices regarding default, disputes, or
termination of the Regional Agreement. Key Notices shall be given in writing and shall be deemed
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received if given by confirmed electronic transmission that creates a record that may be retained,
retrieved and reviewed by a recipient thereof, and that may be directly reproduced in paper form by
such a recipient through an automated process, but specifically excluding facsimile transmissions and
texts when transmitted, if transmitted on a business day and during normal business hours of the
recipient, and otherwise on the next business day following transmission; certified mail, return receipt
requested, postage prepaid, three business days after being deposited in the United States mail; or
overnight carrier service or personal delivery, when received. For Key Notices, the Regional PLGs will
follow up any electronic transmission with a hard copy of the communication by the means described
above. All other communications or notices between the Regional PLGs that are not Key Notices may
be done via electronic transmission. The Regional PLGs agree that any notice or communication
transmitted by electronic transmission shall be treated in all manner and respects as an original
written document; any such notice or communication shall be considered to have the same binding
and legal effect as an original document. All Key Notices shall include a reference to the Regional
Agreement, and Key Notices shall be given to the Regional PLGs at the following addresses:
_____________________________
_____________________________
17. GENERAL TERMS AND CONDITIONS
17.1. Independent Entities. The Regional PLGs enter into this Regional Agreement as separate,
independent governmental entities and shall maintain such status throughout.
17.2. Assignment. This Regional Agreement shall not be assigned by any Regional PLG without
the prior written consent of all Regional PLGs. Any assignment or subcontracting without
such consent will be ineffective and void and will be cause for termination of this Regional
Agreement.
17.3. Integration and Amendment. This Regional Agreement represents the entire agreement
between the Regional PLGs and terminates any oral or collateral agreement or
understandings. This Regional Agreement may be amended only by a writing signed by the
Regional PLGs. If any provision of this Regional Agreement is held invalid or unenforceable,
no other provision shall be affected by such holding, and the remaining provision of this
Regional Agreement shall continue in full force and effect.
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17.4. No Construction Against Drafting Party. The Regional PLGs and their respective counsel
have had the opportunity to review the Regional Agreement, and the Regional Agreement
will not be construed against any Regional PLG merely because any provisions of the Regional
Agreement were prepared by a particular Regional PLG.
17.5. Captions and References. The captions and headings in this Regional Agreement are for
convenience of reference only and shall not be used to interpret, define, or limit its
provisions. All references in this Regional Agreement to sections (whether spelled out or
using the § symbol), subsections, exhibits or other attachments, are references to sections,
subsections, exhibits or other attachments contained herein or incorporated as a part hereof,
unless otherwise noted.
17.6. Statutes, Regulations, and Other Authority. Any reference in this Regional Agreement to
a statute, regulation, policy or other authority shall be interpreted to refer to such authority
then current, as may have been changed or amended since the execution of this Regional
Agreement.
17.7. Conflict of Interest. No Regional PLG shall knowingly perform any act that would conflict
in any manner with said Regional PLG’s obligations hereunder. Each Regional PLG certifies
that it is not engaged in any current project or business transaction, directly or indirectly, nor
has it any interest, direct or indirect, with any person or business that might result in a
conflict of interest in the performance of its obligations hereunder. No elected or employed
member of any Regional PLG shall be paid or receive, directly or indirectly, any share or part
of this Regional Agreement or any benefit that may arise therefrom.
17.8. Inurement. The rights and obligations of the Regional PLGs to the Regional Agreement
inure to the benefit of and shall be binding upon the Regional PLGs and their respective
successors and assigns, provided assignments are consented to in accordance with the terms
of the Regional Agreement.
17.9. Survival. Notwithstanding anything to the contrary, the Regional PLGs understand and
agree that all terms and conditions of this Regional Agreement and any exhibits that require
continued performance or compliance beyond the termination or expiration of this Regional
Agreement shall survive such termination or expiration and shall be enforceable against a
Regional PLG if such Regional PLG fails to perform or comply with such term or condition.
17.10. Waiver of Rights and Remedies. This Regional Agreement or any of its provisions may not
be waived except in writing by a Regional PLG’s authorized representative. The failure of a
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Regional PLG to enforce any right arising under this Regional Agreement on one or more
occasions will not operate as a waiver of that or any other right on that or any other occasion.
17.11. No Third-Party Beneficiaries. Enforcement of the terms of the Regional Agreement and
all rights of action relating to enforcement are strictly reserved to the Regional PLGs. Nothing
contained in the Regional Agreement gives or allows any claim or right of action to any third
person or entity. Any person or entity other than the Regional PLGs receiving services or
benefits pursuant to the Regional Agreement is an incidental beneficiary only.
17.12. Records Retention. The Regional PLGs shall maintain all records, including working
papers, notes, and financial records in accordance with their applicable record retention
schedules and policies. Copies of such records shall be furnished to the Parties request.
17.13. Execution by Counterparts; Electronic Signatures and Records. This Regional Agreement
may be executed in two or more counterparts, each of which shall be deemed an original,
but all of which shall constitute one and the same instrument. The Regional PLGs approve
the use of electronic signatures for execution of this Regional Agreement. All use of
electronic signatures shall be governed by the Uniform Electronic Transactions Act, C.R.S. §§
24-71.3-101, et seq. The Regional PLGs agree not to deny the legal effect or enforceability of
the Regional Agreement solely because it is in electronic form or because an electronic
record was used in its formation. The Regional PLGs agree not to object to the admissibility
of the Regional Agreement in the form of an electronic record, or a paper copy of an
electronic document, or a paper copy of a document bearing an electronic signature, on the
ground that it is an electronic record or electronic signature or that it is not in its original
form or is not an original.
17.14. Authority to Execute. Each Regional PLG represents that all procedures necessary to
authorize such Regional PLG’s execution of this Regional Agreement have been performed
and that the person signing for such Regional PLG has been authorized to execute the
Regional Agreement.
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Colorado Subdivision Escrow Agreement
Governmental Entity: State: CO
Authorized Official:
Address 1:
Address 2:
City, State, Zip:
Phone:
Email:
The governmental entity identified above (“Governmental Entity”) hereby provides Colorado
Counties, Inc. (for counties) or the Colorado Municipal League (for municipalities) (“Escrow
Agent”) the enclosed copies of the Governmental Entity’s endorsed Subdivision Settlement
Participation Forms and the Colorado Opioids Settlement Memorandum of Understanding
(“Colorado MOU”), to be held in escrow. The Subdivision Settlement Participation Forms apply
respectively to (1) the National Settlement Agreement with McKesson Corporation, Cardinal
Health, Inc., and AmerisourceBergen Corporation, dated July 21, 2021 (“Distributor
Settlement”); and (2) the National Settlement Agreement with Janssen Pharmaceuticals, Inc., and
its parent company Johnson & Johnson, dated July 21, 2021 (“J&J Settlement”). Pursuant to this
Agreement, the Subdivision Settlement Participation Forms and the Colorado MOU will be
released only if there is 95% participation by local governments in Colorado as further explained
below.
Purpose of this Agreement
By endorsing a Subdivision Settlement Participation Form in the Distributor Settlement and the
J&J Settlement, a governmental entity agrees to participate in those settlements and release any
legal claims it has or may have against those settling pharmaceutical companies. This Colorado
Subdivision Escrow Agreement is meant to ensure that the legal claims of governmental entities
in Colorado will be released only when 95% participation by certain governmental entities has
been reached. That 95% participation threshold is important because it signals to the settling
pharmaceutical companies that the settlement has wide acceptance which will then secure
significant incentive payments under these settlement agreements.
Escrow
The Escrow Agent shall promptly report the receipt of any Governmental Entity’s endorsed
Subdivision Settlement Participation Forms and Colorado MOUs to the Colorado Attorney
General’s Office and to the law firm of Keller Rohrback L.L.P. These documents shall be
released by the Escrow Agent to the Colorado Attorney General’s Office if and when the Escrow
Agent is notified by the Attorney General’s Office and Keller Rohrback that that the threshold
95% participation levels have been reached for both the Distributor Settlement and the J&J
Settlement, as further described below. If by December 29, 2021, the Escrow Agent has not
received notification that the threshold 95% levels have been reached for both the Distributor
Settlement and the J&J Settlements, then the documents being escrowed shall be returned to the
Governmental Entities and all copies shall be destroyed.
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Distributor Settlement
The Attorney General’s Office and Keller Rohrback shall jointly submit a written notification to
the Escrow Agent when it has been determined that the percentages of populations eligible for
Incentives B and C, as described in Sections IV.F.2 and IV.F.3 of the Distributor Settlement, are
each 95% or more. For purposes of this Escrow Agreement, the percentages of populations
eligible for Incentives B and C under the Distributor Settlement will include governmental
entities that sign a Subdivision Settlement Participation Form subject to an escrow agreement
and governmental entities that sign a Subdivision Settlement Participation Form that is not
subject to an escrow agreement.
J&J Settlement
The Attorney General’s Office and Keller Rohrback shall jointly submit a written notification to
the Escrow Agent when it has been determined that the Participation or Case-Specific Resolution
Levels for Incentives B and C, as described in Sections V.E.5 and V.E.6 of the J&J Settlement,
are each 95% or more. For purposes of this Escrow Agreement, the percentages or populations
eligible for Incentives B and C under the J&J Settlement will include governmental entities that
sign a Subdivision Settlement Participation Form subject to an escrow agreement and
governmental entities that sign a Subdivision Settlement Participation Form that is not subject to
an escrow agreement.
Colorado Subdivision Name ____________________
_________________________ ________________
Authorized Signature Date
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