Item Description:
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Authorize the expenditure of $825,556 for 18 contract extensions with providers for prevention, treatment, and other strategies to support the Hennepin County Opioid Framework
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Resolution:
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BE IT RESOLVED, that the County Board authorizes the expenditure of $825,556 from Opioid Settlement Funds for the period October 1, 2023 through December 31, 2023 for strategies: A1, B3, B13, C10, G1, G9, G10, H9, and H10 as delineated in Exhibit A of the State-Subdivision Agreement; and
BE IT FURTHER RESOLVED, that the 18 contracts addressing opioid treatment and prevention may be amended to increase the not to exceed amount by $825,556 for a new total not to exceed amount of $2,430,041, and may be further amended to extend the terms through December 31, 2023; that the County Administrator be authorized to sign the amendments on behalf of the county; and that the Controller be authorized to disburse funds as directed.
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Background:
As you know, Hennepin County filed suit against several opioid manufacturers and distributors several years ago. In 2022, Hennepin County began receiving direct allocations from the National Settlement Agreements with Johnson & Johnson, AmerisourceBergen, Cardinal Health, and McKesson and expected bankruptcy resolutions with Purdue Pharma L.P. and Mallinckrodt plc. (“Opioid Settlement Funds”). In a prior board action (Resolution 22-0404 R1), the Court Board authorized the expenditure of $1,604,485 for 18 contract renewals addressing opioid treatment and prevention.
This Board Action Request seeks authority for an expenditure of an additional $825,556 in Opioid Settlement Funds to extend those 18 contracts through the end of 2023. Opioid Settlement Funds allocated to Hennepin County over 18 years (currently estimated to exceed the originally estimated amount of $42.3 million) are being deposited in a Special Revenue Fund and will be expended yearly. Annual expenditure may include up to a 10% allotment for administrative expenses.
In compliance with the opioid settlement terms in the State Subdivision Agreement, the Opioid Settlement Funds will be used to enhance current and new strategies that will support the Hennepin County Opioid Framework, which calls for prevention, response, and treatment with a strong focus on disparity reduction. This will incorporate lived experience, new themes, and communities affected disproportionately.
The State Subdivision Agreement, which all counties in Minnesota signed on to, requires a variety of reporting and evaluation criteria, such as an annual public meeting regarding the use of the Opioid Settlement Funds, as well as collaboration with the State, cities, and community stakeholders. The Opioid Settlement Funds must be used and designated for future opioid remediation activities in public health, human services, and public safety, which includes:
PREVENTION
Prevent over prescribing and ensure appropriate prescribing and dispensing opioids
Prevent misuse of Opioids
Prevent overdose deaths and other harm reduction
TREATMENT
Treat Opioid use disorder
Support people in treatment and recovery
Connect people who need help to the help they need
Address the needs of criminal justice involved persons
Address the needs of the prenatal population, caregivers, and families
OTHER STRATEGIES
First Responders
Leadership, planning, and coordination
Training
Research
Post-Mortem
recommendation
Recommendation from County Administrator: Recommend Approval