CITY OF SEATTLE
ORDINANCE __________________
COUNCIL BILL __________________
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AN ORDINANCE relating to City finances; creating a fund for depositing settlement proceeds related to opioid manufacturing, distribution, and dispensing; creating a Budget Summary Level; and ratifying and confirming certain prior acts.
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WHEREAS, the people of the state of Washington, city of Seattle, and other communities have been harmed by entities within the Pharmaceutical Supply Chain who manufacture, distribute, and dispense prescription opioids; and
WHEREAS, local and state governments, through their elected representatives and counsel, have engaged in litigation seeking to hold these entities within the Pharmaceutical Supply Chain of prescription opioids accountable for the damage they have caused to the local and state governments; and
WHEREAS, local and state governments and elected officials share a common desire to abate and alleviate the impacts of harms caused by these entities within the Pharmaceutical Supply Chain and strive to ensure that principles of equity and equitable service delivery are factors considered in the allocation and use of Opioid Funds; and
WHEREAS, certain local and state governments engaged in litigation regarding these matters and will receive funds from entities within the Pharmaceutical Supply Chain; and
WHEREAS, on April 17, 2023, Mayor Bruce Harrell issued Executive Order 2023-04, Addressing the Opioid and Synthetic Drug Crisis in Seattle; and
WHEREAS, the proceeds from legal settlements can be used to support many of the actions and strategies outlined in Executive Order 2023-04 and other strategies and actions designed to combat the opioid crisis in Seattle; and
WHEREAS, the Mayor and Council wish to create a Fund as a place to accept, track, and appropriate settlement proceeds; NOW, THEREFORE,
BE IT ORDAINED BY THE CITY OF SEATTLE AS FOLLOWS:
Section 1. A new Opioid Settlement Proceed Fund is created in the City Treasury effective immediately, to which revenues may be deposited, and from which associated expenditures may be paid, including, but not limited to, City administration costs for the purposes described in Section 2 of this ordinance.
Section 2. The purpose of the Opioid Settlement Proceed Fund is to address the opioid crisis in Seattle by providing resources to City departments, organizations, and individuals. Permissible uses include:
• Supporting the treatment of opioid use disorder (OUD);
• Supporting people in treatment and recovery from OUD;
• Connecting people who have OUD or are at risk of developing OUD to support they need;
• Addressing the needs of criminal-justice-involved persons with OUD;
• Addressing the needs of pregnant or parenting women and their families, including babies with neonatal abstinence syndrome;
• Preventing over-prescription and ensuring appropriate prescribing and dispensing of opioids;
• Preventing misuse of opioids;
• Preventing overdose deaths and other harms;
• Supporting first responders relating to the opioid epidemic;
• Supporting leadership, planning, and coordination to abate the opioid epidemic;
• Supporting training to abate the opioid epidemic;
• Supporting opioid abatement research; and
• Other uses explicitly permitted by future payments the City receives as a result of settlements with entities within the pharmaceutical supply chain who manufacture, distribute, and dispense prescription opioids.
Section 3. The new Opioid Settlement Proceed Fund shall receive revenues in the form of proceeds related to settlements stemming from lawsuits regarding opioid manufacturing, distribution, sales, and use. The Fund shall receive earnings on its positive balances and pay interest on its negative balances.
Section 4. The Director of Finance shall have responsibility for administering the Opioid Settlement Proceed Fund. The Director of Finance is authorized to create other accounts and subaccounts as may be needed to implement the Fund’s purpose and intent as established by this ordinance.
Section 5. A new Budget Summary Level is created for purposes of distributing settlement proceeds accepted by the City into the Opioid Settlement Proceed Fund. The purpose of the Opioid Settlement Proceed Fund Budget Summary Level is to provide resources for addressing impacts of the opioid crisis in Seattle.
Section 6. Any act consistent with the authority of this ordinance taken prior to its effective date is ratified and confirmed.
Section 7. This ordinance shall take effect and be in force 30 days after its approval by the Mayor, but if not approved and returned by the Mayor within ten days after presentation, it shall take effect as provided by Seattle Municipal Code Section 1.04.020.
Passed by the City Council the ________ day of _________________________, 2023, and signed by me in open session in authentication of its passage this ________ day of _________________________, 2023.
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President ____________ of the City Council
Approved / returned unsigned / vetoed this _____ day of _________________, 2023.
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Bruce A. Harrell, Mayor
Filed by me this ________ day of _________________________, 2023.
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Scheereen Dedman, City Clerk
(Seal)