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HomeMy WebLinkAbout2025-13-Resolution-Purdue Settlement-08/18/2025 CITY OF SANGER, TEXAS RESOLUTION NO. 2025-13 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANGER, TEXAS, AUTHORIZING THE CITY MANAGER TO ENTER INTO THE PURDUE SETTLEMENT AND AUTHORIZING THE SUBMISSION OF THE SUBDIVISION PARTICIPATION AND RELEASE FORM REGARDING THE PURDUE SETTLEMENT AND FULL RELEASE OF ALL CLAIMS; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Sanger has previously adopted and approved the Texas Term Sheet and Allocation Schedule regarding the Global Opioid Settlement through the Office of the Attorney General; and WHEREAS, Office of the Texas Attorney General has generally provided notice relating to settlement of opioid claims against Purdue (the"Purdue Settlement");and WHEREAS, the City of Sanger may participate in this settlement by adopting and submitting to the National Opioid Settlements Implementation Administrator on or before September 30, 2025, the Subdivision Participation and Release Form, attached hereto and incorporated herein by this reference as Exhibit"A"(the "Release Form"); WHEREAS,the City Council of the City of Sanger,Texas, (i)finds there is a substantial need for repayment of opioid-related expenditures andpayment to abate opioid-related harms in and about the City of Sanger, (ii) supports the addition of the Purdue Settlement to those previously adopted; and(iii) supports the adoption and approval the Release Form and finds it to the in the public interest to approve such settlement; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANGER,TEXAS,THAT: SECTION 1.The City Manager is hereby authorized on behalf of the City to enter into the opioid settlement with Purdue(the"Purdue Settlement")and to sign and submit or cause to be submitted said Subdivision Participation and Release Form, attached hereto and incorporated herein by this reference as Exhibit "A," to the National Opioid Settlements Implementation Administrator by email at opioidsparticipation@rubris.com before September 30, 2025. SECTION 2. The City Manager is authorized to act on behalf of the City to agree to such future opioid settlement agreements and release of claims negotiated and recommended by the Texas Attorney General that provide for distribution of settlement funds to the City. Purdue Settlement Subdivision Participation Page 1 of 3 SECTION 3. This Resolution shall become effective immediately upon passage. PASSED AND APPROVED THIS 18th DAY OF AUGUST,2025. APPROVED: /V[1C k Thomas Muir, Mayor ATTEST: Kell Edw s,City Secretary = v: �/�� // • APPROVED AS TO FORM:VFW° //, T E r-,\\\ Victoria Thomas, Special Counsel Purdue Settlement Subdivision Participation Page 2 of 3 Exhibit A (Purdue Settlement Subdivision Participation and Release Form) 4923-1932-6552, v 1 Purdue Settlement Subdivision Participation Page 3 of 3 EXHIBIT K Subdivision Participation and Release Form Governmental Entity: CITY OF SANGER State: TEXAS Authorized Official: JOHN NOBLITT Address 1: 502 ELM STREET Address 2: City, State,Zip: SANGER,TEXAS 76266 Phone: 940-458-7930 Email: CITYMANAGER@SANGERTEXAS.ORG The governmental entity identified above ("Governmental Entity"), in order to obtain and in consideration for the benefits provided to the Governmental Entity pursuant to that certain Governmental Entity & Shareholder Direct Settlement Agreement accompanying this participation form (the "Agreement")1, and acting through the undersigned authorized official, hereby elects to participate in the Agreement, grant the releases set forth below, and agrees as follows. 1. The Governmental Entity is aware of and has reviewed the Agreement, and agrees that by executing this Participation and Release Form, the Governmental Entity elects to participate in the Agreement and become a Participating Subdivision as provided therein. 2. The Governmental Entity shall promptly after the Effective Date, and prior to the filing of the Consent Judgment, dismiss with prejudice any Shareholder Released Claims and Released Claims that it has filed. With respect to any Shareholder Released Claims and Released Claims pending in In re National Prescription Opiate Litigation,MDL No.2804, the Governmental Entity authorizes the Plaintiffs' Executive Committee to execute and file on behalf of the Governmental Entity a Stipulation of Dismissal with Prejudice substantially in the form found at https://nationalopioidsettlement.com. 3. The Governmental Entity agrees to the terms of the Agreement pertaining to Participating Subdivisions as defined therein. 4. By agreeing to the terms of the Agreement and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning following the Effective Date. 5. The Governmental Entity agrees to use any monies it receives through the Agreement solely for the purposes provided therein. 6. The Governmental Entity submits to the jurisdiction of the court in the Governmental Entity's state where the Consent Judgment is filed for purposes limited to that court's role as and to the extent provided in, and for resolving disputes to the extent provided in, the ' Capitalized terms used in this Exhibit K but not otherwise defined in this Exhibit K have the meanings given to them in the Agreement or,if not defined in the Agreement,the Master Settlement Agreement. K-1 Agreement The Governmental Entity likewise agrees to arbitrate before the National Arbitration Panel as provided m, and for resolving disputes to the extent otherwise provided in,the Agreement 7 The Governmental Entity has the right to enforce the Agreement as provided therein 8 The Governmental Entity, as a Participating Subdivision,hereby becomes a Releasor for all purposes in the Agreement, including without limitation all provisions of Article 10 (Release), and along with all departments, agencies, divisions, boards, commissions, districts, instrumentalities of any kind and attorneys, and any person in his or her official capacity whether elected or appointed to serve any of the foregoing and any agency,person, or other entity claiming by or through any of the foregoing, and any other entity identified in the definition of Subdivision Releasor, to the maximum extent of its authority,for good and valuable consideration, the adequacy of which is hereby confirmed, the Shareholder Released Parties and Released Parties are, as of the Effective Date, hereby released and forever discharged by the Governmental Entity and its Subdivision Releasors from any and all Causes of Action,including,without limitation,any Estate Cause of Action and any claims that the Governmental Entity or its Subdivision Releasors would have presently or in the future been legally entitled to assert in its own right (whether individually or collectively),notwithstanding section 1542 of the California Civil Code or any law of any jurisdiction that is similar, comparable or equivalent thereto (which shall conclusively be deemed waived), whether existing or hereinafter arising, in each case, (A) directly or indirectly based on, arising out of, or in any way relating to or concerning, m whole or in part, (i) the Debtors, as such Entities existed prior to or after the Petition Date, and their Affiliates, (n) the Estates, (iii) the Chapter 11 Cases, or (iv) Covered Conduct and (B) as to which any conduct, omission or liability of any Debtor or any Estate is the legal cause or is otherwise a legally relevant factor(each such release, as it pertains to the Shareholder Released Parties, the "Shareholder Released Claims", and as it pertains to the Released Parties other than the Shareholder Released Parties, the "Released Claims") For the avoidance of doubt and without limiting the foregoing the Shareholder Released Claims and Released Claims include any Cause of Action that has been or may be asserted against any Shareholder Released Party or Released Party by the Governmental Entity or its Subdivision Releasors (whether or not such party has brought such action or proceeding) m any federal, state, or local action or proceeding (whether judicial, arbitral, or administrative) (A)directly or indirectly based on, arising out of, or in any way relating to or concerning, in whole or in part, (i)the Debtors, as such Entities existed prior to or after the Petition Date, and their Affiliates, (ii) the Estates, (m) the Chapter 11 Cases, or (iv) Covered Conduct and (B) as to which any conduct, omission or liability of any Debtor or any Estate is the legal cause or is otherwise a legally relevant factor 9 As a Releasor, the Governmental Entity hereby absolutely, unconditionally, and irrevocably covenants not to bring,file,or claim,or to cause,assist or permit to be brought, filed, or claimed, or to otherwise seek to establish liability for any Shareholder Released Claims or Released Claims against any Shareholder Released Party or Released Party in any forum whatsoever, subject m all respects to Section 9 02 of the Master Settlement Agreement The releases provided for herein (including the term "Shareholder Released K-2 Claims" and "Released Claims") are intended by the Governmental Entity and its Subdivision Releasors to be broad and shall be interpreted so as to give the Shareholder Released Parties and Released Parties the broadest possible release of any liability relating in any way to Shareholder Released Claims and Released Claims and extend to the full extent of the power of the Governmental Entity to release claims The Agreement shall be a complete bar to any Shareholder Released Claim and Released Claims 10 To the maximum extent of the Governmental Entity's power, the Shareholder Released Parties and the Released Parties are, as of the Effective Date, hereby released and discharged from any and all Shareholder Released Claims and Released Claims of the Subdivision Releasors 11 The Governmental Entity hereby takes on all rights and obligations of a Participating Subdivision as set forth in the Agreement 12 In connection with the releases provided for in the Agreement, each Governmental Entity expressly waives, releases, and forever discharges any and all provisions, rights, and benefits conferred by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code,which reads General Release, extent A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release that,if known by him or her,would have materially affected his or her settlement with the debtor or released party A Releasor may hereafter discover facts other than or different from those which it knows, believes, or assumes to be true with respect to the Shareholder Released Claims or such other Claims released pursuant to this release, but each Governmental Entity hereby expressly waives and fully, finally, and forever settles, releases and discharges, upon the Effective Date, any and all Shareholder Released Claims or such other Claims released pursuant to this release that may exist as of such date but which Releasors do not know or suspect to exist,whether through ignorance,oversight,error,negligence or through no fault whatsoever, and which, if known, would materially affect the Governmental Entities' decision to participate in the Agreement 13 Nothing herein is intended to modify in any way the terms of the Agreement, to which Governmental Entity hereby agrees To the extent any portion of this Participation and Release Form not relating to the release of,or bar against, liability is interpreted differently from the Agreement in any respect,the Agreement controls 14 Notwithstanding anything to the contrary herein or in the Agreement, (x) nothing herem shall (A)release any Excluded Claims or(B)be construed to impair in any way the rights and obligations of any Person under the Agreement, and (y) the Releases set forth herein shall be subject to being deemed void to the extent set forth in Section 9 02 of the Master Settlement Agreement K-3 I have all necessary power and authorization to execute this Participation and Release Form on behalf of the Governmental Entity. Signature: JOHN NOBLITT Name: CITY MANAGER Title: �{ Date: v ma's K-4 New National Opioids Settlement: Secondary Manufacturers Opioids Implementation Administrator opioidsparticipation@rubris.com Sanger city, TX Reference Number: CL-1772390 TO LOCAL POLITICAL SUBDIVISIONS: THIS PACKAGE CONTAINS DOCUMENTATION TO PARTICIPATE IN THE NEW NATIONAL OPIOIDS SECONDARY MANUFACTURERS SETTLEMENTS. YOU MUST TAKE ACTION IN ORDER TO PARTICIPATE. Deadline: October 8, 2025 A new proposed national opioids settlement (“Secondary Manufacturers Settlements”) has been reached with eight opioids manufacturers: Alvogen, Amneal, Apotex, Hikma, Indivior, Mylan, Sun, and Zydus (“Settling Defendants”). This Combined Participation Package is a follow-up communication to the Notice of National Opioids Settlement recently received electronically by your subdivision. You are receiving this Combined Participation Package because Texas is participating in the Secondary Manufacturers Settlements. If a state is not eligible to or does not participate in the settlement with a particular manufacturer, the subdivisions in that state are not eligible to participate in that manufacturer’s settlement. This electronic envelope contains: A Combined Participation Form for the Secondary Manufacturers Settlements that your subdivision is eligible to join, including a release of any claims. The Combined Participation Form must be executed, without alteration, and submitted on or before October 8, 2025, in order for your subdivision to be considered for initial participation calculations and payment eligibility under the Secondary Manufacturers Settlement. Based upon Combined Participation Forms received on or before October 8, 2025, the subdivision participation rate will be used to determine whether participation is sufficient for each settlement to move forward and whether a state earns its maximum potential payment under each settlement. If a settlement moves forward, your release will become effective. If a settlement does not move forward, that release will not become effective. Any subdivision that does not participate cannot directly share in the settlement funds, even if the subdivision’s state is settling and other participating subdivisions are sharing in settlement funds. Any subdivision that does not participate may also Docusign Envelope ID: 7C3226F7-EAEB-4F52-BA73-5B288A7B2715 reduce the amount of money for programs to remediate the opioid crisis in its state. Please note, a subdivision will not necessarily directly receive settlement funds by participating; decisions on how settlement funds will be allocated within a state are subject to intrastate agreements or state statutes. You are encouraged to discuss the terms and benefits of the Secondary Manufacturers Settlements with your counsel, your Attorney General’s Office, and other contacts within your state. Many states are implementing and allocating funds for this new settlement the same as they did for the prior opioids settlements but states may choose to treat this settlement differently. Information and documents regarding the Secondary Manufacturers Settlements, implementation in your state, and how funds will be allocated within your state can be found on the national settlement website at https://nationalopioidsettlement.com/. This website will be supplemented as additional documents are created. You may also visit the Texas Attorney General’s Office website at https://www.texasattorneygeneral.gov/globalopioidsettlement for information. This Participation Packet is different than the participation packet you recently received from Rubris concerning a settlement with Purdue Pharma, L.P, and the Sackler Family. The Secondary Manufacturers Settlements discussed in this Participation Packet are different than the settlement with Purdue and the Sacklers, and you may participate in the Secondary Manufacturers Settlements regardless of whether you join the Purdue and Sackler settlement. How to return signed forms: Please note that the Texas Attorney General’s Office is collecting the executed Participation Form differently from prior opioid settlements. There are three methods for returning the executed Combined Participation Form and any supporting documentation to the Implementation Administrator: (1)Electronic Signature via DocuSign: Executing the Combined Participation Form electronically through DocuSign will return the signed form to the Implementation Administrator and associate your form with your subdivision’s records. Electronic signature is the most efficient method for returning the Combined Participation Form, allowing for more timely participation and the potential to meet higher settlement payment thresholds, and is therefore strongly encouraged. (2)Manual Signature returned via DocuSign: DocuSign allows forms to be downloaded, signed manually, then uploaded to DocuSign and returned automatically to the Implementation Administrator. Please be sure to complete all fields. As with electronic signature, returning a manually signed Combined Participation Form via DocuSign will associate your signed forms with your subdivision’s records. Docusign Envelope ID: 7C3226F7-EAEB-4F52-BA73-5B288A7B2715 (3)Manual Signature returned via electronic mail: If your subdivision is unable to return an executed Combined Participation Form using DocuSign, the signed Combined Participation Form may be returned via electronic mail to opioidsparticipation@rubris.com. Please include the name, state, and reference ID of your subdivision in the body of the email and use the subject line Combined Settlement Participation Form – [Subdivision Name, Subdivision State] – [Reference ID]. Detailed instructions on how to sign and return the Combined Participation Form, including changing the authorized signer, can be found at https://nationalopioidsettlement.com/additional-settlements/. You may also contact opioidsparticipation@rubris.com and/or opioids@oag.texas.gov if you have any questions. The sign-on period for subdivisions ends on October 8, 2025. If you have any questions about executing the Combined Participation Form, please contact your counsel, the Implementation Administrator at opioidsparticipation@rubris.com, or the Texas Attorney General’s Office at opioids@oag.texas.gov. Thank you, Secondary Manufacturers Settlements Implementation Administrator The Implementation Administrator is retained to provide the settlement notice required by the Secondary Manufacturers Settlements and to manage the collection of the Combined Participation Form. Docusign Envelope ID: 7C3226F7-EAEB-4F52-BA73-5B288A7B2715 EXHIBIT K Secondary Manufacturers’ Combined Subdivision Participation and Release Form (“Combined Participation Form”) Governmental Entity: Sanger city State: TX Authorized Official: /officialname_som/ Address 1: /address1_som/ Address 2: /address2_som/ City, State, Zip: /cit_sm/ /state_sm/ /zi_sm/ Phone: /phone_som/ Email: /email_som/ The governmental entity identified above (“Governmental Entity”), in order to obtain and in consideration for the benefits provided to the Governmental Entity pursuant to each of the settlements which are listed in paragraph 1 below (each a “Secondary Manufacturer’s Settlement” and collectively, “the Secondary Manufacturers’ Settlements”), and acting through the undersigned authorized official, hereby elects to participate in each of the Secondary Manufacturers’ Settlements, release all Released Claims against all Released Entities in each of the Secondary Manufacturers’ Settlements, and agrees as follows. 1.The Participating Entity hereby elects to participate in each of the following Secondary Manufacturers’ Settlements as a Participating Entity: a.Settlement Agreement for Alvogen, Inc. dated April 4, 2025. b.Settlement Agreement for Apotex Corp. dated April 4, 2025. c.Settlement Agreement for Amneal Pharmaceuticals LLC dated April 4, 2025. d.Settlement Agreement for Hikma Pharmaceuticals USA Inc. dated April 4, 2025. e.Settlement Agreement for Indivior Inc. dated April 4, 2025. f.Settlement Agreement for Viatris Inc. (“Mylan”) dated April 4, 2025. g.Settlement Agreement for Sun Pharmaceutical Industries, Inc. dated April 4, 2025. h.Settlement Agreement for Zydus Pharmaceuticals (USA) Inc. dated April 4, 2025. 2.The Governmental Entity is aware of and has reviewed each of the Secondary Manufacturers’ Settlements, understands that all capitalized terms not defined in this Combined Participation Form have the meanings defined in each of the Secondary Manufacturers’ Settlements, and agrees that by executing this Combined Participation Form, the Governmental Entity elects to participate in each of the Secondary Manufacturers’ Settlements and become a Participating Subdivision as provided in each of the Secondary Manufacturers’ Settlements. 3.The Governmental Entity shall promptly, and in any event no later than 14 days after the Reference Date and prior to the filing of the Consent Judgment, dismiss with prejudice any Released Claims that it has filed against any Released Entity in each of the Secondary Manufacturers’ Settlements. With respect to any Released Claims pending in In re National Prescription Opiate Litigation, MDL No. 2804, the Governmental Entity K-1 Docusign Envelope ID: 7C3226F7-EAEB-4F52-BA73-5B288A7B2715 76266 John C. Noblitt 940-458-7930 citymanager@sangertexas.org 502 Elm Street Sanger Texas authorizes the Plaintiffs’ Executive Committee to execute and file on behalf of the Governmental Entity a Stipulation of Dismissal with Prejudice for each of the manufacturers listed in paragraph 1 above substantially in the form found at https://nationalopioidsettlement.com/additional-settlements/. 4.The Governmental Entity agrees to the terms of each of the Secondary Manufacturers’ Settlements pertaining to Participating Subdivisions as defined therein. 5.By agreeing to the terms of each of the Secondary Manufacturers’ Settlements and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning after the Effective Date. 6.The Governmental Entity agrees to use any monies it receives through each of the Secondary Manufacturers’ Settlements solely for the purposes provided therein. 7.The Governmental Entity submits to the jurisdiction of the court and agrees to follow the process for resolving any disputes related to each Secondary Manufacturer’s Settlement as described in each of the Secondary Manufacturers’ Settlements.1 8.The Governmental Entity has the right to enforce each of the Secondary Manufacturers’ Settlements as provided therein. 9.The Governmental Entity, as a Participating Subdivision, hereby becomes a Releasor for all purposes in each of the Secondary Manufacturers’ Settlements, including without limitation all provisions related to release of any claims,2 and along with all departments, agencies, divisions, boards, commissions, districts, instrumentalities of any kind and attorneys, and any person in his or her official capacity whether elected or appointed to serve any of the foregoing and any agency, person, or other entity claiming by or through any of the foregoing, and any other entity identified in the definition of Releasor, provides for a release to the fullest extent of its authority. As a Releasor, the Governmental Entity hereby absolutely, unconditionally, and irrevocably covenants not to bring, file, or claim, or to cause, assist or permit to be brought, filed, or claimed, or to otherwise seek to establish liability for any Released Claims against any Released Entity in each of the Secondary Manufacturers’ Settlements in any forum whatsoever. The releases provided for in each of the Secondary Manufacturers’ Settlements are intended by the Parties to be broad and shall be interpreted so as to give the Released Entities in each of the Secondary Manufacturers’ Settlements the broadest possible bar against any liability relating in any way to Released 1 See Settlement Agreement for Alvogen, Inc. Section VII.F.2; Settlement Agreement for Apotex Corp. Section VII.F.2; Settlement Agreement for Amneal Pharmaceuticals LLC Section VII.F.2; Settlement Agreement for Hikma Pharmaceuticals USA Inc. Section VII.F.2; Settlement Agreement for Indivior Section VI.F.2; Settlement Agreement for Mylan Section VI.F.2; Settlement Agreement for Sun Pharmaceutical Industries, Inc. Section VII.F.2; Settlement Agreement for Zydus Pharmaceuticals (USA) Inc. Section VII.F.2. 2 See Settlement Agreement for Alvogen, Inc. Section XI; Settlement Agreement for Amneal Pharmaceuticals LLC Section X; Settlement Agreement for Apotex Corp. Section XI; Settlement Agreement for Hikma Pharmaceuticals USA Inc. Section XI; Settlement Agreement for Indivior Section X; Settlement Agreement for Mylan Section X; Settlement Agreement for Sun Pharmaceutical Industries, Inc. Section XI; Settlement Agreement for Zydus Pharmaceuticals (USA) Inc. Section XI. K-2 Docusign Envelope ID: 7C3226F7-EAEB-4F52-BA73-5B288A7B2715 Claims and extend to the full extent of the power of the Governmental Entity to release claims. Each of the Secondary Manufacturers’ Settlements shall be a complete bar to any Released Claim against that manufacturer’s Released Entities. 10.The Governmental Entity hereby takes on all rights and obligations of a Participating Subdivision as set forth in each of the Secondary Manufacturers’ Settlements. 11.In connection with the releases provided for in each of the Secondary Manufacturers’ Settlements, each Governmental Entity expressly waives, releases, and forever discharges any and all provisions, rights, and benefits conferred by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code, which reads: General Release; extent. A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release that, if known by him or her would have materially affected his or her settlement with the debtor or released party. A Releasor may hereafter discover facts other than or different from those which it knows, believes, or assumes to be true with respect to the Released Claims in each of the Secondary Manufacturers’ Settlements, but each Governmental Entity hereby expressly waives and fully, finally, and forever settles, releases and discharges, upon the Effective Date, any and all Released Claims that may exist as of such date but which Releasors do not know or suspect to exist, whether through ignorance, oversight, error, negligence or through no fault whatsoever, and which, if known, would materially affect the Governmental Entities’ decision to participate in each of the Secondary Manufacturers’ Settlements. 12.The Governmental Entity understands and acknowledges that each of the Secondary Manufacturers’ Settlements is an independent agreement with its own terms and conditions. Nothing herein is intended to modify in any way the terms of any of the Secondary Manufacturers’ Settlements, to which Governmental Entity hereby agrees, aside from the exceptions in paragraph 13 below. To the extent this Combined Participation Form is interpreted differently from any of the Secondary Manufacturers’ Settlements in any respect, the individual Secondary Manufacturer’s Settlement controls. 13.For the avoidance of doubt, in the event that some but not all of the Secondary Manufacturers’ Settlements proceed past their respective Reference Dates, all releases and other commitments or obligations shall become void only as to those Secondary Manufacturers’ Settlements that fail to proceed past their Reference Dates. All releases and other commitments or obligations (including those contained in this Combined Participation Form) shall remain in full effect as to each Secondary Manufacturer’s Settlement that proceeds past its Reference Date, and this Combined Participation Form need not be modified, returned, or destroyed as long as any Secondary Manufacturer’s Settlement proceeds past its Reference Date. K-3 Docusign Envelope ID: 7C3226F7-EAEB-4F52-BA73-5B288A7B2715 I have all necessary power and authorization to execute this Combined Participation Form on behalf of the Governmental Entity. Signature:/signer_1_som/ Name:/name_1_som/ Title:/title_1_som/ Date:/date_1_som/ K-4 Docusign Envelope ID: 7C3226F7-EAEB-4F52-BA73-5B288A7B2715 John C. Noblitt 8/28/2025 City Manager