Number
240813
Version
SUBSTITUTE 1
Reference
211799, 220562, 221030, 221292, 221904, 240557, 240960
Sponsor
THE CHAIR
Title
Substitute resolution transferring and appropriating opioid legal settlement funds to a parent account within the Legal Settlement Fund for the expenditure of funds.
Analysis
This resolution authorizes the transfer of settlement funds related to National Prescription Opiate litigation from the General Fund to the Special Revenue Fund - Settlement Fund for further segregation and appropriation to fund opioid remediation and harm reduction strategies in Milwaukee. This resolution establishes a parent project account within the Special Revenue Fund - Settlement Fund from which funds may be further appropriated to City departments through Common Council action.
Body
Whereas, On January 29, 2020, the City of Milwaukee joined the National Prescription Opiate multidistrict litigation; and
Whereas, Common Council File Number 211799, adopted March 22, 2022, directed that settlement funds received in the opioid litigation be used to fund the Milwaukee Overdose Response Initiative and other harm-reduction strategies; and
Whereas, Common Council File Number 220562, adopted August 12, 2022, authorized City officials to accept an initial settlement payment of up to $2,000,000, and to accept future settlement disbursements arising from the same litigation of up to $18,000,000 in aggregate, into a segregated account; and
Whereas, Common Council File Numbers 221904, 240557 and 240960 authorized the proper City officials to opt into additional opioid settlements for which the City is eligible for new settling defendants in the settlement of the National Prescription Opiate multidistrict litigation in the United States District Court for the Northern District of Ohio Eastern Division, case no. 20-op-45044-DAP; and
Whereas, The City has received settlement payments totaling approximately $10.2 million to date; and
Whereas, Common Council File Numbers 221030 and 221292 appropriated $810,000 to the Milwaukee Health Department to fund opioid harm-reduction strategies; and
Whereas, The 2024 Adopted Budget included an appropriation of $1.425 million in the Settlement Fund related to opioid legal settlements; and
Whereas, The City Comptroller has determined it is appropriate to account for the National Prescription Opiate Settlement funds that have not been appropriated in the Special Revenue Fund - Settlement Fund; and
Whereas, The appropriation and expenditure of National Prescription Opiate settlement funds will be authorized by the Common Council through future resolutions; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that the City Comptroller is authorized and directed to transfer $2,531,295.14 from the City’s General Fund (0001-9990-0001-S250-006300) to the Special Revenue Fund - Settlement Fund (0180-9990-0001-009300) to fund the Milwaukee Overdose Response Initiative and other harm-reduction strategies; and, be it
Further Resolved, That the City Comptroller is hereby authorized and directed to establish Parent Project Account OP000240000, Opioid Legal Settlement, and increase appropriations and the estimated revenue/funding source up to the amount of $10,200,000 in the Special Revenue Fund - Settlement Fund (account 0180-9990-R999-OP000240000); and, be it
Further Resolved, That the City Comptroller is authorized and directed to establish the necessary accounts and accounting procedures to carry out the intent of this resolution; and, be it
Further Resolved, That the Comptroller shall not sign any agency agreement that uses funds from the Settlement Fund unless first referred to the City Clerk for signature as to compliance with the terms of an authorizing resolution.
Requestor
Comptroller
Drafter
Comptroller
Toni Biscobing/Jeff Osterman
10/22/2024