(a)Except as provided by any bankruptcy court
order or bankruptcy settlement, and subject to subsection (g), funds
received from opioid litigation settlements that resolve existing state
and political subdivision litigation lawsuits as of January 1, 2021, shall
be distributed in a minimum of two (2) payments per year in the
following manner:
(1)Fifteen percent (15%) to the state unrestricted opioid
settlement account established by IC 4-12-16.2-5(1) for the
benefit of the state.
(2)Fifteen percent (15%) to the local unrestricted opioid
settlement account established by IC 4-12-16.3-5(1) for
distribution as reimbursement to cities, counties, and towns
according to a weighted distribution formula identified in
settlement documents that accounts for opioid impacts in
communities.
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(a) Except as provided by any bankruptcy court
order or bankruptcy settlement, and subject to subsection (g), funds
received from opioid litigation settlements that resolve existing state
and political subdivision litigation lawsuits as of January 1, 2021, shall
be distributed in a minimum of two (2) payments per year in the
following manner:
(1) Fifteen percent (15%) to the state unrestricted opioid
settlement account established by IC 4-12-16.2-5(1) for the
benefit of the state.
(2) Fifteen percent (15%) to the local unrestricted opioid
settlement account established by IC 4-12-16.3-5(1) for
distribution as reimbursement to cities, counties, and towns
according to a weighted distribution formula identified in
settlement documents that accounts for opioid impacts in
communities.
(3) Thirty-five percent (35%) to the state abatement opioid
settlement account established by IC 4-12-16.2-5(2) to be used for
statewide treatment, education, and prevention programs for
opioid use disorder and any co-occurring substance use disorder
or mental health issues as defined or required by the settlement
documents or court order.
(4) Thirty-five percent (35%) to the local abatement opioid
settlement account established by IC 4-12-16.3-5(2) for
distribution to cities, counties, and towns according to a weighted
distribution formula identified in settlement documents that
accounts for opioid impacts in communities. However, if a city's
or town's annual distribution under this subdivision is:
(A) for a distribution made before July 1, 2023, less than one
thousand dollars ($1,000); or
(B) for a distribution made after June 30, 2023, less than five
thousand dollars ($5,000);
the city's or town's annual distribution must instead be distributed
to the county in which the city or town is located. Distributions
under this subdivision may be used only for programs of
treatment, prevention, and care that are best practices as defined
or required by the settlement documents or court order.
(b) Any attorney's fees or costs required to be paid by the state,
including any amount in a settlement designated for payment of state
attorney's fees or costs, shall be deducted from the distribution
described in subsection (a)(1), even if the funds have not been
deposited in the agency settlement fund.
(c) The amounts distributed under subsection (a)(2) and (a)(4) are
annually appropriated to the office of the attorney general to make the
distributions described under subsection (a)(2) and (a)(4).
(d) Funds received from the settlement may not be distributed to a
city, county, or town that has opted out of the settlement under section
2(b) of this chapter. The settlement funds that are not distributed to the
cities, counties, or towns that have opted out of the settlement must be
distributed in the manner set forth under subsection (a)(2) and (a)(4)
to the cities, counties, or towns that have opted into the settlement.
(e) All entities receiving opioid settlement funds shall monitor the
use of those funds and provide an annual report to the office of the
secretary of family and social services not later than a date determined
by the office of the secretary of family and social services.
(f) The office of the secretary of family and social services shall
compile and submit an annual comprehensive report of the information
received under subsection (e) to the general assembly in an electronic
format under IC 5-14-6 not later than October 1 of each year
identifying all funds committed and used as specified by any settlement
documents or court order.
(g) If any settlement documents or court order, assurance of
voluntary compliance, or other form of agreement related to opioids
requires at least seventy percent (70%) of the settlement proceeds to be
used for treatment, education, recovery, or prevention programs, any
amount of settlement funds in addition to those distributed under
subsection (a)(3) and (a)(4) that are needed to meet the terms must first
come from funds that would otherwise be distributed under subsection
(a)(1).
(h) Any city, county, or town receiving a distribution under
subsection (a)(2) or (a)(4) may transfer all or part of its distribution to
another city, county, or town to be used for the benefit of both
communities.
(i) Upon a majority vote of the legislative body, a city, county, or
town receiving a distribution under subsection (a)(2) or (a)(4) may sell
for cash or other consideration the right to receive the distribution.
However, the proceeds from the sale of a distribution received under
subsection (a)(2) must be used for the purposes allowed for a
distribution under subsection (a)(2), and the proceeds from the sale of
a distribution received under subsection (a)(4) must be used for the
purposes allowed for a distribution under subsection (a)(4). A city,
county, or town may pledge, grant a lien on, or grant a security interest
in a distribution to effectuate a sale under this subsection. The
legislative body's approval of the sale is conclusive as to the adequacy
of the consideration for the sale.