DATE: August 6, 2025
TO: Honorable Mayor and City Councilmembers
FROM: Housing and Neighborhood Services Department
TITLE: PROFESSIONAL SERVICES AGREEMENTS WITH OPIOID SETTLEMENT FUNDING SERVICE PROVIDERS
RECOMMENDATION
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Staff recommends that the City Council approve five Professional Services Agreements (PSAs) to receive Opioid Settlement Funding in the amount of $493,103; and authorize the City Manager to execute the agreements upon receipt of all supporting documents.
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BACKGROUND AND ANALYSIS
On July 21, 2021, California Attorney General Rob Bonta announced the final settlement agreements with prescription opioid manufacturer Janssen Pharmaceutical distributors McKesson, Cardinal Health, and Amerisource Bergen (J&D), which provided funding to abate individual, family, and community consequences associated with the opioid epidemic. The settlement funding is intended for opioid remediation activities and are focused on High Impact Abatement Activities (HIAA) in particular, including: Substance Use Disorder (SUD) prevention, intervention, harm reduction, treatment and recovery services.
On December 1, 2021, the City Council authorized the City Attorney to execute all documents related to the participation by the City of Oceanside in the distribution and receipt of the Opioid Settlement funds. Funding is allocated to the City from the California Abatement Accounts and is deposited at various times throughout the year. To date, the City has received $1,374,254 in Opioid Settlement Funding.
Settlement funds must be used specifically for Opioid Remediation in one or more areas described in Exhibit E to the Janssen Settlement Agreement (Attachment 2): Schedules A (Naloxone or Other FDA-Approved Drug to Reverse Opioid Overdoses) and G (Prevention Programs) and Schedule B Approved Uses, Section G (Prevent the Misuse of Opioids).
According to the J&D Settlement Agreements, 50% of the funds received must be used for HIAA activities. All funded prog...
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