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REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: October 25, 2021 Requested By: Corby Alexander, City Mgr. Department: Administration/CMO Report • Resolution (` Ordinance Exhibits: Resolution 2021-62 includina exhibits Appropriation Source of Funds: N/A Account Number: N/A Amount Budgeted: N/A Amount Requested: N/A Budgeted Item: r Yes r. No SUMMARY & RECOMMENDATION The people of the State of Texas and its communities, including La Porte, have been harmed through the national and statewide epidemic caused by the sale, use and distribution of opioids within the State of Texas. The City has been provided information indicating that certain drug companies and their corporate affiliates, parents, subsidiaries, and such other defendants as may be added to the litigation (collectively, "Defendants") have engaged in fraudulent and reckless marketing as well as fraudulent distribution of opioids that have resulted in addictions and overdoses. These actions, conduct, and misconduct have resulted in the death of many Texans and has resulted in the devastation of families and communities across the State. Local governments have been on the front lines of the opioid crisis, which has resulted in significant financial costs to them related to the expenditures and continuing costs for healthcare services, social services, law enforcement, and the criminal justice systems. On May 13, 2020, the State of Texas, through the Office of the Attorney General, and a negotiation group for Texas political subdivisions entered into an agreement entitled Texas Opioid Abatement Fund Council and Settlement Allocation Term Sheet (hereafter, the Texas Term Sheet) approving the allocation of any and all opioid settlement funds within the State of Texas. Special Counsel/City Attorney and the State of Texas have recommended that the City Council of the City of La Porte support the adoption and approval of the Texas Term Sheet in its entirety. Participating in the Texas Term Sheet increases the State of Texas' opportunity to maximize its share of opioid settlement funds and will provide a method to ensure that needed resources reach communities once all negotiations are finalized. Based upon the settlement agreement, La Porte is entitled to receive a settlement amount of $91,532. Staff is recommending City Council authorize the City Manager to execute the Subdivision Settlement Participation Form, attached hereto as Exhibit "B" in accordance with the provisions set forth in the attached exhibit "A", and incorporated herein for all purposes and further authorizes the City Manager to take any additional actions necessary to implement the intent of Resolution 2021-62. The City Council finds