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Resolution No. SCHUYLER COUNTY LEGISLATURE Regular Meeting April 10, 2023 Intro. No. _2 Motion by. Approved by Committee _PCB. ‘Seconded by. Approved by Co. Atty. SIG Vote: ___Ayesto___ Noes Name of Noes RE; AUTHORIZING AND APPROVING SETTLEMENT AGREEMENTS UNDER A LAWSUIT RELATED TO THE OPIOID CRISIS - COUNTY ATTORNEY'S DEPARTMENT WHEREAS, by Resolution No, 246 of 2017 the County of Schuyler authorized the Schuyler County Attorney to work with Napoli Shkolnik PLLC, as special counsel, related to bringing an action against the manufacturers and distributers of prescription opiates for damages to the County, at no cost to the County, and WHEREAS, by Resolution No. 72 of 2018, the County enacted Local Law Intro, B/Local Law No. 7 of the Year 2018 entitled “A Local Law Declaring the Opioid Epidemic and its Effect on the County a Public Nuisance and Establishing a Cost Recovery Procedure,” and WHEREAS, pursuant to the above, the County Attorney filed a nearly 250-page Summons and Complaint on May 11, 2018 against manufacturers and distributors of prescription opiates for damages to the County, and such ‘matter remains pending (the “Action”), and WHEREAS, the Action is against multiple defendants, including manufacturers of opioids, distributors of opioids and chain pharmacies, and WHEREAS, Schuyler County and the State of New York share a common desire to abate and alleviate the impacts of the alleged misfeasance, nonfeasance, and malfeasance of the opioid supply chain participants throughout the State of New York, and WHEREAS, the State of New York is engaged in an investigation of CVS Health Corporation, CVS Pharmacy, Inc, (collectively, “CVS”), Walgreen Co. (“Walgreens”) and Walmart Ine. (“Walmart”), and certain New York subdivisions are engaged in litigation, seeking to hold these pharmacy chains accountable for the damage caused by their alleged misfeasance, nonfeasance, and malfeasance related to the distribution and/or marketing of opioids, and WHEREAS, there are now pending certain proposed multistate settlements totaling $10.7 billion with CVS and Walgreens and $3.1 billion with Walmart, for these entities’ alleged role in the opioid crisis in the United States, and WHEREAS, pursuant to the settlement agreements, Schuyler County is estimated to receive settlement payments from these entities as follows, $125,031.00 from CVS (paid over ten years), $158,486.00 from Walgreens (paid over fiftcen years) and $79,038.00 from Walmart (paid over six years), with payments expected to commence in the second half of 2023, and WHEREAS, settlement funds may be used for a variety of purposes related to abatement of the opioid epidemic, and WHEREAS, under this settlement Walmart, CVS and Walgreens are required to implement changes in how they distribute opioids, including requirements addressing their compliance structures, pharmacist judgment, diversion prevention, suspicious order monitoring, and reporting on blocked and potentially problematic prescribers, and WHEREAS, the County Attorney and Napoli Shkolnik LLC have approved as to form the settlement agreements (“Agreements”), and WHEREAS, itis in the best interest of the County to resolve this matter with respect to these entities without litigation and enter into the proposed Agreements as this shall settle all allegations against these entities and avoid protracted litigation and provide County revenue as noted above, and Resolution No. Page 2 of 2 WHEREAS, this settlement is without prejudice to litigation against any other defendants in the Action, to the extent such litigation remains pending. NOW, THEREFORE, BE IT RESOLVED, that the execution and delivery on behalf of and in the name of the County of Schuyler by the Schuyler County Attorney, or his designee, of the proposed Agreements is hereby authorized, and the Schuyler County Attorney or his designee, is hereby authorized and directed to execute the proposed Agreements and execute such other documents as may be necessary and appropriate to effectuate the settlement with CVS Health Corporation, CVS Pharmacy, Ine. (collectively, “CVS"), Walgreen Co. (“Walgreens”) and Walmart Inc. (“Walmart”), as set forth above.

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