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To authorize the Chief Administrative Officer, for and on behalf of the City of Richmond, to accept funds in the amount of $1,259,411.69 from the National Opioids Settlement Fund, to amend the Fiscal Year 2023-2024 Special Fund Budget by creating a new special fund for the Office of the Deputy Chief Administrative Officer for Human Services called the National Opioid Settlement Special Fund, and to appropriate the increase to the Fiscal Year 2023-2024 Special Fund Budget by increasing estimated revenues and the amount appropriated to the Office of the Deputy Chief Administrative Officer for Human Services by $1,259,411.69, for the purpose of funding a new opioid response coordinator position and opioid abatement strategies and programs.
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THE CITY OF RICHMOND HEREBY ORDAINS:
§ 1. That the Chief Administrative Officer, for and on behalf of the City of Richmond, is authorized to accept funds in the amount of $1,259,411.69 from the National Opioids Settlement Fund for the purpose of funding a new opioid response coordinator position and opioid abatement strategies and programs.
§ 2. That Article I, Section 2 of Ordinance No. 2023-071, adopted May 8, 2023, which adopted a Special Fund Budget for the fiscal year commencing July 1, 2023, and ending June 30, 2024, and made appropriations pursuant thereto, be and is hereby amended by creating a new special fund for the Office of the Deputy Chief Administrative Officer for Human Services called the National Opioid Settlement Special Fund for the purpose of funding a new opioid response coordinator position and opioid abatement strategies and programs.
§ 3. That the funds received from the National Opioids Settlement Fund are hereby appropriated to the Special Fund Budget for the fiscal year commencing July 1, 2023, and ending June 30, 2024, by increasing estimated revenues by $1,259,411.69, increasing the amount appropriated for expenditures by $1,259,411.69, and allotting to the Office of the Deputy Chief Administrative Officer for Human Services’ National Opioid Settlement Special Fund the sum of $1,259,411.69, for the purpose of funding a new opioid response coordinator position and opioid abatement strategies and programs.
§ 4. This ordinance shall be in force and effect upon adoption.
DATE: September 5th, 2023 EDITION: 1
TO: The Honorable Members of City Council
THROUGH: The Honorable Levar M. Stoney, Mayor
THROUGH: J.E. Lincoln Saunders, Chief Administrative Officer
THROUGH: Sabrina Joy-Hogg, Deputy Chief Administrative Officer for Finance and Administration
THROUGH: Sheila White, Director of Finance
THROUGH: Jason May, Director of Budget and Strategic Planning
THROUGH: Traci DeShazor, Deputy Chief Administrative Officer for Human Services
FROM: Dominic Barrett, Strategic Projects and Grants Advisor - Office of Human Services
RE:
ORD. OR RES. No.
PURPOSE: To authorize the Chief Administrative Officer to accept funds in the amount of $1,259,411.69 from the National Opioid Settlement, and to amend the Fiscal Year 2023-2024 Special Fund Budget by creating a new special fund for the Office of the Deputy Chief Administrative Officer for Human Services called the “National Opioid Settlement Special Fund” and to appropriate the increase to the Fiscal Year 2023-2024 Special Fund Budget by increasing estimated revenues and the amount appropriated to the Office of the Deputy Chief Administrative Officer for Human Services’ National Opioid Settlement Special Fund by $1,259,411.69 for the purposes of:
A. Funding a new Opioid Response Coordinator/Advisor position within Office of DCAO for Human Services
B. Funding and facilitating other opioid abatement strategies that are:
a. Approved uses by the National Opioid Settlement and the Virginia Opioid Abatement Authority
b. More specifically, of the available approved uses, funds will be prioritized for:
§ Peer Recover Specialists
§ Housing and housing support
§ Addressing gaps in coordination and linkages to treatment, services, and other supports.
§ Harm reduction strategies
REASON: To date the City of Richmond has received by wire - but not yet appropriated - $1,259,411.69 from the National Settlement Administrator. We must appropriate these funds by Ordinance before they can be spent on approved abatement strategies.
RECOMMENDATION: The City Administration recommends adoption.
BACKGROUND: By Res. No. 2018-R094, adopted Nov. 13, 2018, the City Council established a policy to pursue legal action on behalf of the City against drug manufacturers and distributors of opioids. Pursuant to Ord. No. 2021-234, adopted Sept. 27, 2021, the City entered into a Virginia Opioid Abatement Fund and Settlement Allocation Memorandum of Understanding with the Attorney General of Virginia providing for the allocation and use of monies recovered through litigation concerning the opioid addiction epidemic. Res. No. 2021-R078, adopted Dec. 13, 2021, approved of the City’s participation in settlements with McKesson, Cardinal Health, AmerisourceBergen, and Janssen Pharmaceuticals. Res. No. 2023-R010, adopted Feb. 27th, 2023, approved of the City’s participation in settlements with Teva, Allergan, Walmart, Walgreens, CVS, and certain of their related corporate entities. To date, the City has received, but not appropriated, $1,259,411.69 directly as a result of these settlements.
With adoption of this Ordinance, the Administration will ensure that:
• All funds will go toward approved uses in compliance with the National Opioid Settlement and the Virginia Opioid Abatement Authority.
• All investments will be data-driven and either evidence-based or evidence informed.
• Initial funds will we be used to fund an Opioid Policy Advisor within the Office of Human Services and for new investments in identified priority areas including:
o Peer Specialists
o Housing and housing support
o Addressing gaps in coordination and linkages to treatment, services, and other supports.
o Harm reduction strategies
FISCAL IMPACT / COST: None.
FISCAL IMPLICATIONS: N/A
BUDGET AMENDMENT NECESSARY: Yes, the establishment of a new Special Fund and amendment of the Special Fund Budget to appropriate $1,259,411.69 from the national opioid settlements.
REVENUE TO CITY: A total of $1,259,411.69 in outside contributions
DESIRED EFFECTIVE DATE: Upon adoption
REQUESTED INTRODUCTION DATE: September 25th, 2023
CITY COUNCIL PUBLIC HEARING DATE: October 10th, 2023
REQUESTED AGENDA: Consent
RECOMMENDED COUNCIL COMMITTEE: Education and Human Services Committee
CONSIDERATION BY OTHER GOVERNMENTAL ENTITIES: None
AFFECTED AGENCIES: Budget and Strategic Planning, Finance, Human Services
RELATIONSHIP TO EXISTING ORD. OR RES.: 2023-071, 2018-R094, 2021-234, 2021-R078, and 2023-R010
REQUIRED CHANGES TO WORK PROGRAM(S): N/A
ATTACHMENTS: Grant Award Packages and MOUs
STAFF: Dominic Barrett, Strategic Projects and Grants Advisor - Office of Human Services, 646-5861.