Number
240280
Version
SUBSTITUTE 1
Reference
221722
Sponsor
THE CHAIR
Title
Substitute resolution transferring and appropriating funds related to the JUUL Labs, Inc. legal settlement to the Settlement Fund and establishing project accounts within the Settlement Fund for the expenditure of funds.
Analysis
This resolution authorizes the transfer of funds from the JUUL Labs, Inc. legal settlement Special Purpose Account to the Special Revenue Fund - Settlement Fund for further segregation and appropriation of funds to address, remedy, and abate the youth e-cigarette and vaping public health crisis in Milwaukee. This resolution establishes a parent project account within the Special Revenue Fund - Settlement Fund from which funds may be appropriated to City departments through Common Council action.
Body
Whereas, Common Council File No. 221722 authorized the settlement of the lawsuit entitled In re: Juul Labs Inc., Marketing, Sales Practices, and Products Liability Litigation, Case No. 3:19-md-02913, pending in the U.S. District Court for the Northern District of California; and
Whereas, File No. 221722 appropriated funds in the total amount of $2,473,772.52 to the JUUL Labs Settlement Proceeds Fund; and
Whereas, The City has received settlement payments totaling $1,287,213.99 to date; and
Whereas, The City Comptroller has determined it is appropriate to account for the JUUL Labs Settlement funds in the Special Revenue Fund - Settlement Fund; and
Whereas, The appropriation and expenditure of JUUL Labs, Inc. and other vaping settlement funds will be authorized by the Common Council through future resolutions; and
Whereas, Section 304-91 of the Milwaukee Code of Ordinances establishes procedural guidelines related to the expenditure of funds to be reimbursed by greater than anticipated revenue; and
Whereas, The City Comptroller has certified that greater than anticipated revenue up to the amount of $2,473,772.52 pursuant to s. 304-91, and
Pursuant to s. 304-91, I hereby certify that the money required for this is to be realized on or before December 31, 2024, and is to be expended only for the purposes specified in this resolution.
Comptroller Date
________________________ ______________________
; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that the City Comptroller is authorized and directed to transfer $1,287,213.99 from the JUUL Labs Settlement Proceeds Fund Special Purpose Account (0001-9990-0001-S254-006300) to the Special Revenue Fund - Settlement Fund (0180-9990-0001-009300) to fund programs to address, remedy, and abate the youth e-cigarette and vaping public health crisis in Milwaukee; and, be it
Further Resolved, That the City Comptroller is hereby authorized and directed to establish Parent Project Account VS000240000, Vaping Settlement, and increase appropriations and the estimated revenue/funding source up to the amount of $2,473,772.52 in the Special Revenue Fund - Settlement Fund (account 0180-9990-R999-VS000240000); 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 any appropriation or expenditure of funds from the Vaping Settlement Parent Project Account to or by a City department must first be authorized by the Common Council.
Requestor
Comptroller
Drafter
TB
6/17/2024