This week the Minnesota Attorney General’s office sent a notice to local governments across the state about participating in the nationwide settlements of two lawsuits against three pharmaceutical distributors and one manufacturer. Under the settlements, the defendants will pay up to $26 billion to address impacts of the opioid crisis and agree to implement safeguards and change marketing practices.
To maximize the amount that a state may receive, there are two participation steps. Minnesota has taken the first step by joining both settlements. The second step is that local governments (primarily cities and counties) must decide whether to participate. The more local governments that participate, the more money that will flow to Minnesota and its participating local governments. It is especially important that cities and counties with more than 10,000 residents, as well as local governments of any size that are participating in litigation against these defendants, participate in the settlements. The deadline for local governments to participate is Jan. 2, 2022. Cities are encouraged to work with their city attorney to determine whether to opt in.
The Attorney General’s Office has organized an advisory panel to recommend a structure for how the opioid settlement funds should be distributed and used in Minnesota. The panel will review Minnesota’s current structure and examine how other states are addressing opioid remediation. The recommendations will include how the funds should be allocated between state and local governments and the purposes for the funds.
Matt DuRose, deputy director of Mankato Public Safety, has been appointed to represent the CGMC on this panel. Elizabeth Wefel, an attorney/lobbyist with Flaherty & Hood, will serve as an ex officio (non-voting) member on behalf of the CGMC.
If you have any questions about local governments’ involvement in the opioid settlements, please contact Elizabeth Wefel at eawefel@flaherty-hood.com.
