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2022, 09-06 Study Session AGENDA SPOKANE VALLEY CITY COUNCIL REGULAR MEETING STUDY SESSION Tuesday, September 6,2022 6:00 p.m. Remotely via ZOOM Meeting and In Person at 10210 E Sprague Avenue Council Requests Please Silence Your Cell Phones During Council Meeting NOTE: In response to Governor Inslee's announcement reopening Washington under the "Washington Ready" plan, members of the public may attend Spokane Valley Council meetings in-person at City Hall at the address provided above, or via Zoom at the link below. Members of the public will be allowed to comment in-person or via Zoom as described below.Public comments will only be accepted for those items noted on the agenda as"public comment opportunity." If wishing to make a comment via Zoom,comments must be received by 4:00 pm the day of the meeting. Otherwise,comments will be taken in-person at the meeting in Council Chambers,as noted on the agenda below. • Sign up to Provide Oral Public Comment at the Meeting via Calling-In • Submit Written Public Comment Prior to the Meeting • Join the Zoom WEB Meeting CALL TO ORDER ROLL CALL APPROVAL OF AGENDA PROCLAMATIONS: (1) 9-1-1 Emergency Telephone Systems Day; (2)Patriot Day ACTION ITEMS: 1.Motion Consideration: Attorney General's Opioid Settlement Agreement—Tony Beattie [public comment opportunity] 2.Motion Consideration: Expo Center,Department of Commerce Scope Change—John Hohman [public comment opportunity] NON-ACTION ITEMS: DISCUSSION LEADER SUBJECT/ACTIVITY GOAL 3. Eric Robinson Homeless Program Update Discussion/Information 4. Adam Jackson Potential Grant Opportunity: Discussion/Information Electrification of Transportation Systems,Clean Energy Fund 5 5.Adam Jackson Potential Grant Opportunity: Discussion/Information Water Quality Combined Funding Program 6. Cary Driskell Proposed Amendments to Spokane Valley Discussion/Information Municipal Code (SVMC) 3.46, Consulting Services Agreements 7. Cary Driskell Proposed Amendments to SVMC 3.47 Discussion/Information Relating To Purchase of Goods 8. Cary Driskell Proposed Amendments to SVMC 2.35.010 Discussion/Information Relating to Audit Officer Responsibilities Council Agenda September 6,2022 Page 1 of 2 9. Chelsie Taylor Capital Reserve Fund#312 Reserves Discussion/Information 10.Mayor Haley Advance Agenda Discussion/Information 11.Mayor Haley Council Comments Discussion/Information 12. John Hohman City Manager Comments Discussion/Information ADJOURN Council Agenda September 6,2022 Page 2 of 2 po .000Valley. roctamation 9-1-1 Systems Day City of Spo4ne Vaffey, Washington WHEREAS, 9-1-1 emergency telephone number systems provide residents with one, easy-to- remember telephone number for reporting police, fire, and medical emergencies; and WHEREAS, residents throughout Washington State can access the enhanced 9-1-1 emergency telephone systems statewide; and WHEREAS,adults and children need to know what to expect and how to use the 9-1-1 emergency telephone system; and WHEREAS, the enhanced 9-1-1 emergency telephone system assists in identifying the location of the caller and routes emergency calls to a public safety jurisdiction, helping to provide a faster and more accurate response by public safety personnel; and WHEREAS,when calling 9-1-1 we rely upon public safety personnel throughout the state to save our lives,property, and environment; and WHEREAS, public safety personnel deserve our recognition and a salute for the thousands of jobs they do well each year. NOW, THEREFORE, I, Pam Haley, Mayor of the City of Spokane Valley, on behalf of the Spokane Valley City Council and citizens, hereby proclaim September 11, 2022 as 9-1-1 Day in Spokane Valley Washington, and I urge all people in our community to join me in recognizing the importance of the 9-1-1 service to our health and safety and in offering our gratitude to the thousands of public safety providers we rely on every day. Dated this 6th day of September, 2022. Pam Haley,Mayor S If kan 4,000Valley. rodalation TA oTq *Y City of Spo4ne Valley, Washington WHEREAS, over twenty years ago, our country suffered the loss of nearly 3,000 innocent men, women, and children in the devastating terror attacks on September 11, 2001; and WHEREAS, those attacks targeted American citizens, established buildings, and distinguished locations; and WHEREAS, Americans from all backgrounds felt the pain of those attacks, however, that pain did not divide us, but instead, it united us, depriving the attackers of their intended objective, and in our darkest hour,we joined together as one country to reaffirm our values of service and strength upon which our country was built; and WHEREAS, let us remember the lives lost both from the deadly attacks on September 11th, and those who made the ultimate sacrifice to protect and serve our nation in the years that followed; and WHEREAS, in the days, weeks and months after those attacks, people across the country displayed American flags, demonstrating the unity and pride we have as a nation. NOW, THEREFORE, I, Pam Haley, Mayor of the City of Spokane Valley, on behalf of the Spokane Valley City Council and citizens, hereby proclaim September 11, 2022 as PATRIOT DAY And I encourage citizens and businesses to display the American flag in recognition of our unity as citizens and a nation against terrorists. Dated this 6th day of September, 2022. Pam Haley,Mayor CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: September 6, 2022 Department Director Approval: El Check all that apply: ❑ consent ❑ old business ®new business ❑public hearing ❑information❑ admin.report ❑pending legislation ❑ executive session AGENDA ITEM TITLE:Motion Consideration: Opioid Distributor Settlement with State of Washington —Allocation Agreement. GOVERNING LEGISLATION: SVMC 2.15.020. PREVIOUS COUNCIL ACTION TAKEN: April 26, 2022 approval of the One Washington MOU for settlement between the same opioid distributors and cities/counties in Washington; July 19,2022 approval of the Subdivision Participation Form to approve of and participate in the State settlement. Admin Report on August 30,2022 regarding the Allocation Agreement. BACKGROUND: Prior actions: On April 26, 2022, Council was informed about the ongoing opioid litigation occurring throughout the state. Several cities and counties in the state sued various companies involved in the prescription opioid supply chain, including Purdue Pharmaceutical, (manufacturer), Johnson & Johnson (supplier), and the three major distributors, Cardinal Health, Amerisource, and McKesson. The majority of these jurisdictions are represented by the law firm of Keller Rohrback. Keller Rohrback circulated the One Washington MOU to determine all possible jurisdictions that would be included in settlement negotiations for the litigating and non-litigating Washington cities and counties. Council approved entering into this MOU on April 26, 2022, and it was signed by the City Manager on April 27,2022. The MOU set forth a default allocation for any funds received through settlement and also required each listed allocation region to create an Opioid Abatement Council. Separately, on May 2, 2022, the Washington State Attorney General's (AG's) Office announced a settlement agreement between the state of Washington and opioid distributors Cardinal Health, Amerisource, and McKesson in the amount of $518 million. In order to become a participant in the settlement and share in the abatement amount, Council approved the execution of the Subdivision Participation Form. On August 30,2022,the Council received an Admin Report regarding the Allocation Agreement. Current action: In a webinar on August 8,2022,the Washington State Attorney General's Office provided more information regarding the process for finalizing the settlement. Each subdivision seeking to receive funds through the AG settlement with Cardinal Health,Amerisource,and McKesson is required to sign the One Washington MOU, the Subdivision Participation Form, and now, the Allocation Agreement. The Allocation Agreement adopts and incorporates the terms of the One Washington MOU with slight changes. Future action: Staff will bring forward a proposed five-county interlocal as required under the Allocation Agreement/One Washington MOU. Once the City is a party to that interlocal, we can negotiate intra- County for a higher allocation of funds than is identified in the default allocation formula. The Washington State AG's case against Johnson&Johnson is set for trial this Fall. Further,the state and local governments are awaiting the outcome of the Purdue Pharmaceutical bankruptcy settlement appeal. OPTIONS: (1)Approve the Allocation Agreement for the Distributors Washington Settlement; or (2) do nothing. RECOMMENDED ACTION OR MOTION: Move to approve the Allocation Agreement for the Distributors Washington Settlement and authorize the City Manager to finalize and execute the same. BUDGET/FINANCIAL IMPACTS: Unknown at this time. STAFF CONTACT: Tony Beattie, Senior Deputy City Attorney. ATTACHMENTS: PowerPoint Presentation;Allocation Agreement. --------- ---------- -------- Opiold S U ato Tony Beattie Senior Deputy City Attorney, City of Spokane Valley September 6, 2022 City of Spokane Valley- Office of the City Attorney Wash i n ton Distributors Settlement Suits against Mckesson, AmerisourceBergen, and Cardinal Health. $518 million settlement reached in principle on May 2, 2022. City of Spokane Valley- Office of the City Attorney To become ParticipatingLocaI Government Approve the One Washington MOU l/ Approve the Settlement Participation Form Approve the Allocation Agreement City of Spokane Valley- Office of the City Attorney 3 Allocation Agreement Overview Allocation of Washington Abatement Amount 5o% to Participating Local Governments 5o% to State The Allocation Agreement adopts the One Washington MOU that Council approved in April, with slight modifications. Modifications include: Potential penalties: Suspension from payments if after proper due process a Local Government is found to have used Opioid Funds other than as provided, does not comply with conditions of MOU, or does not comply with necessary reporting information to the Regional Opioid Abatement Council. Exhibit E replaces Exhibit A of the MOU, and outlines the list of Opioid Remediation Uses. (See Attachment A of this agenda item). City of Spokane Valley- Office of the City Attorney N ext Steps Regional Interlocal to set up a Opioid Abatement Council (OAC) that covers our region (Adams, Ferry, Lincoln, Pend Oreille, Spokane, and Stevens Counties). Spokane County Interlocal between the participating local cities and the county to address allocation amounts. City of Spokane Valley- Office of the City Attorney Unresolved — WA. AG challenge to Purdue Pharma Bankruptcy Potential $183 million settlement for Washington. Case is on appeal. The settlement and allocation is dependent on the appeal. City of Spokane Valley- Office of the City Attorney Unresolved — WA. AG lawsuit against Johnson & Johnson Trial is currently scheduled for September 2022. City of Spokane Valley- Office of the City Attorney 7 ALLOCATION AGREEMENT GOVERNING THE ALLOCATION OF FUNDS PAID BY THE SETTLING OPIOID DISTRIBUTORS IN WASHINGTON STATE AUGUST 8,2022 This Allocation Agreement Governing the Allocation of Funds Paid by the Settling Opioid Distributors in Washington State (the "Allocation Agreement") governs the distribution of funds obtained from AmerisourceBergen Corporation, Cardinal Health, Inc., and McKesson Corporation (the"Settling Distributors")in connection with its resolution of any and all claims by the State of Washington and the counties, cities, and towns in Washington State ("Local Governments") against the Settling Distributors (the "Distributors Settlement"). The Distributors Settlement including any amendments are attached hereto as Exhibit 1. 1. This Allocation Agreement is intended to be a State-Subdivision Agreement as defined in Section I.VVV of the Global Settlement(the"Global Settlement"), which is Exhibit H of the Distributors Settlement. This Allocation Agreement shall be interpreted to be consistent with the requirements of a State-Subdivision Agreement in the Global Settlement. 2. This Allocation Agreement shall become effective only if all of the following occur: A. All Litigating Subdivisions in Washington and 90% of Non-Litigating Primary Subdivisions in Washington as the terms are used in Section II.C.1 of the Distributors Settlement must execute and return the Subdivision Settlement Participation Form, Exhibit F of the Distributors Settlement(the"Participation Form")by September 23, 2022. This form is also attached hereto as Exhibit 2. B. The Consent Judgment and Stipulation of Dismissal with Prejudice, Exhibit G of the Distributors Settlement, is filed and approved by the Court. C. The number of Local Governments that execute and return this Allocation Agreement satisfies the participation requirements for a State-Subdivision Agreement as specified in Exhibit 0 of the Global Settlement. 3. Requirements to become a Participating Local Government. To become a Participating Local Government that can participate in this Allocation Agreement, a Local Government must do all of the following: A. The Local Government must execute and return this Allocation Agreement. B. The Local Government must release their claims against the Settling Distributors and agree to by bound by the terms of the Distributors Settlement by timely executing and returning the Participation Form. This form is attached hereto as Exhibit 2. 1 C. Litigating Subdivisions must dismiss the Settling Distributors with prejudice from their lawsuits. The Litigating Subdivisions are listed on Exhibit B of the Distributors Settlement. D. The Local Government must execute and return the One Washington Memorandum of Understanding Between Washington Municipalities ("MOU") agreed to by the Participating Local Governments in Washington State, which is attached hereto as Exhibit 3. As specified in Paragraph 10.A of this Allocation Agreement, the Local Government may elect in its discretion to execute the MOU for purposes of this Allocation Agreement only. A Local Government that meets all of the conditions in this paragraph shall be deemed a"Participating Local Government." Alternatively, if the requirements of Paragraphs 2(A), 2(B), and 2(C) of this Allocation Agreement are satisfied and this Allocation Agreement becomes effective, then all Local Governments that comply with Paragraph 3(B) of this Allocation Agreement shall be deemed a "Participating Local Government." 4. This Allocation Agreement applies to the Washington Abatement Amount as defined in Section IV.A of the Distributors Settlement. The maximum possible Washington Abatement Amount for the Distributors Settlement is $430,249,769.02. As specified in the Global Settlement, the Washington Abatement Amount varies dependent on the percentage of Primary Subdivisions that choose to become Participating Local Governments and whether there are any Later Litigating Subdivisions as defined in Section LEE of the Global Settlement. 5. This Allocation Agreement does not apply to the Washington Fees and Costs as defined in Section V of the Distributors Settlement. After satisfying its obligations to its outside counsel for attorneys' fees and costs, the State estimates that it will receive approximately $46 million for its own attorneys' fees and costs pursuant to Section V.B.1 of the Distributors Settlement. The State shall utilize any and all amounts it receives for its own attorneys' fees and costs pursuant to Section V.B.1 of the Distributors Settlement to provide statewide programs and services for Opioid Remediation as defined in Section I.SS of the Global Settlement. 6. While this Allocation Agreement does not apply to the Washington Fees and Costs as defined in Section V of the Distributors Settlement, Section V.B.2 of the Distributors Settlement estimates that the Settling Distributors shall pay $10,920,914.70 to Participating Litigating Subdivisions' attorneys for fees and costs. The actual amount may be greater or less. This Allocation Agreement and the MOU are a State Back-Stop Agreement. The total contingent fees an attorney receives from the Contingency Fee Fund pursuant to Section II. D in Exhibit R the Global Settlement, the MOU, and this Allocation Agreement combined cannot exceed 15% of the portion of the LG Share paid to the Litigating Local Government that retained that firm (i.e., if City X filed suit with outside counsel 2 on a contingency fee contract and City X receives $1,000,000 from the Distributors Settlement, then the maximum that the firm can receive is $150,000 for fees.) 7. No portion of the Washington Fees and Costs as defined in Section V of the Distributors Settlement and/or the State Share as defined in Paragraph 8.A of this Allocation Agreement shall be used to fund the Government Fee Fund ("GFF") referred to in Paragraph 10 of this Allocation Agreement and Section D of the MOU, or in any other way to fund any Participating Local Government's attorneys' fees, costs, or common benefit tax other than the aforementioned payment by the Settling Distributors to Participating Litigating Subdivisions' attorneys for fees and costs in Section V.B.2 of the Distributors Settlement. 8. The Washington Abatement Amount shall and must be used by the State and Participating Local Governments for Opioid Remediation as defined in Section I.SS of the Global Settlement, except as allowed by Section V of the Global Settlement. Exhibit 4 is a non-exhaustive list of expenditures that qualify as Opioid Remediation. Further, the Washington Abatement Amount shall and must be used by the State and Participating Local Governments as provided for in the Distributors Settlement. 9. The State and the Participating Local Governments agree to divide the Washington Abatement Amount as follows: A. Fifty percent(50%)to the State of Washington ("State Share"). B. Fifty percent(50%)to the Participating Local Governments ("LG Share"). 10. The LG Share shall be distributed pursuant to the MOU attached hereto as Exhibit 3 as amended and modified in this Allocation Agreement. 11. For purposes of this Allocation Agreement only, the MOU is modified as follows and any contrary provisions in the MOU are struck: A. The MOU is amended to add new Section E.6, which provides as follows: A Local Government may elect in its discretion to execute the MOU for purposes of this Allocation Agreement only. If a Local Governments executes the MOU for purposes of this Allocation Agreement only, then the MOU will only bind such Local Government and be effective with respect to this Allocation Agreement and the Distributors Settlement, and not any other Settlement as that term is defined in Section A.14 of the MOU. To execute the MOU for purposes of this Allocation Agreement only, the Local Government may either(a) check the applicable box on its signature page of this Allocation Agreement that is returned or (b) add language below its signature lines in the MOU that is returned indicating that the Local Government is executing or has 3 executed the MOU only for purposes of the Allocation Agreement Governing the Allocation of Funds Paid by the Settling Opioid Distributors in Washington State. B. Exhibit A of the MOU is replaced by Exhibit E of the Global Settlement, which is attached as Exhibit 4 to this Agreement. C. The definition of"Litigating Local Governments" in Section A.4 of the MOU shall mean Local Governments that filed suit against one or more of the Settling Defendants prior to May 3, 2022. The Litigating Local Governments are listed on Exhibit B of the Distributors Settlement, and are referred to as Litigating Subdivisions in the Distributors Settlement. D. The definition of"National Settlement Agreement" in Section A.6 of the MOU shall mean the Global Settlement. E. The definition of"Settlement" in Section A.14 of the MOU shall mean the Distributors Settlement. F. The MOU is amended to add new Section C.4.g.vii, which provides as follows: "If a Participating Local Government receiving a direct payment (a)uses Opioid Funds other than as provided for in the Distributors Settlement, (b) does not comply with conditions for receiving direct payments under the MOU, or (c) does not promptly submit necessary reporting and compliance information to its Regional Opioid Abatement Counsel ("Regional OAC") as defined at Section C.4.h of the MOU, then the Regional OAC may suspend direct payments to the Participating Local Government after notice, an opportunity to cure, and sufficient due process. If direct payments to Participating Local Government are suspended, the payments shall be treated as if the Participating Local Government is foregoing their allocation of Opioid Funds pursuant to Section C.4.d and C.4.j.iii of the MOU. In the event of a suspension, the Regional OAC shall give prompt notice to the suspended Participating Local Government and the Settlement Fund Administrator specifying the reasons for the suspension, the process for reinstatement, the factors that will be considered for reinstatement, and the due process that will be provided. A suspended Participating Local Government may apply to the Regional OAC to be reinstated for direct payments no earlier than five years after the suspension." G. Consistent with how attorney fee funds for outside counsel for Participating Local Subdivisions are being administered in most states across the country, the Government Fee Fund ("GFF") set forth in the 4 MOU shall be overseen by the MDL Fee Panel (David R. Cohen, Randi S. Ellis and Hon. David R. Herndon (ret.)). The Fee Panel will preside over allocation and disbursement of attorney's fees in a manner consistent with the Motion to Appoint the Fee Panel to Allocate and Disburse Attorney's Fees Provided for in State Back-Stop Agreements and the Order Appointing the Fee Panel to Allocate and Disburse Attorney's Fees Provided for in State Back-Stop Agreements, Case No. 1:17-md-02804- DAP Doc#: 4543 (June 17, 2022). H. The GFF set forth in the MOU shall be funded by the LG Share of the Washington Abatement Amount only. To the extent the common benefit tax is not already payable by the Settling Distributors as contemplated by Section D.8 of the MOU, the GFF shall be used to pay Litigating Local Government contingency fee agreements and any common benefit tax referred to in Section D of the MOU, which shall be paid on a pro rata basis to eligible law firms as determined by the Fee Panel. To fund the GFF, fifteen percent(15%) of the LG Share shall be deposited in the GFF from each LG Share settlement payment until the Litigating Subdivisions contingency fee agreements and common benefit tax (if any) referred to in Section D of the MOU are satisfied. Under no circumstances will any Non-Litigating Primary Subdivision_or Litigating Local Government be required to contribute to the GFF more than 15% of the portion of the LG Share allocated to such Non-Litigating Primary Subdivision or Litigating Local Government. In addition, under no circumstances will any portion of the LG Share allocated to a Litigating Local Government be used to pay the contingency fees or litigation expenses of counsel for some other Litigating Local Government. J. The maximum amount of any Litigating Local Government contingency fee agreement(from the Contingency Fee Fund pursuant to Section II. D in Exhibit R the Global Settlement)payable to a law firm permitted for compensation shall be fifteen percent(15%) of the portion of the LG Share paid to the Litigating Local Government that retained that firm (i.e., if City X filed suit with outside counsel on a contingency fee contract and City X receives $1,000,000 from the Distributors Settlement, then the maximum that the firm can receive is $150,000 for fees.) The firms also shall be paid documented expenses due under their contingency fee agreements that have been paid by the law firm attributable to that Litigating Local Government. Consistent with the Distributors Settlement and Exhibit R of the Global Settlement, amounts due to Participating Litigating Subdivisions' attorneys under this Allocation Agreement shall not impact(i) costs paid by the subdivisions to their attorneys pursuant to a State Back-Stop agreement, (ii) fees paid to subdivision attorneys from the Common Benefit Fund for common benefit work performed by the attorneys pursuant to Section II.0 of Exhibit R of the Global Settlement, or(iii) costs paid to subdivision attorneys from the MDL Expense Fund 5 for expenses incurred by the attorneys pursuant to Section II.E of the Global Settlement. K. Under no circumstances may counsel receive more for its work on behalf of a Litigating Local Government than it would under its contingency agreement with that Litigating Local Government. To the extent a law firm was retained by a Litigating Local Government on a contingency fee agreement that provides for compensation at a rate that is less than fifteen percent(15%) of that Litigating Local Government's recovery, the maximum amount payable to that law firm referred to in Section D.3 of the MOU shall be the percentage set forth in that contingency fee agreement. L. For the avoidance of doubt, both payments from the GFF and the payment to the Participating Litigating Local Governments' attorneys for fees and costs referred to in Paragraph 6 of this Allocation Agreement and Section V.B.2 Distributors Settlement shall be included when calculating whether the aforementioned fifteen percent(15%)maximum percentage (or less if the provisions of Paragraph 10.K of this Allocation Agreement apply) of any Litigating Local Government contingency fee agreement referred to above has been met. M. To the extent there are any excess funds in the GFF, the Fee Panel and the Settlement Administrator shall facilitate the return of those funds to the Participating Local Governments as provided for in Section D.6 of the MOU. 12. In connection with the execution and administration of this Allocation Agreement, the State and the Participating Local Governments agree to abide by the Public Records Act, RCW 42.56 eq seq. 13. All Participating Local Governments, Regional OACs, and the State shall maintain all non-transitory records related to this Allocation Agreement as well as the receipt and expenditure of the funds from the Distributors Settlement for no less than five (5) years. 14. If any party to this Allocation Agreement believes that a Participating Local Government, Regional OAC, the State, an entity, or individual involved in the receipt, distribution, or administration of the funds from the Distributors Settlement has violated any applicable ethics codes or rules, a complaint shall be lodged with the appropriate forum for handling such matters, with a copy of the complaint promptly sent to the Washington Attorney General, Complex Litigation Division, Division Chief, 800 Fifth Avenue, Suite 2000, Seattle, Washington 98104. 15. To the extent(i) a region utilizes a pre-existing regional body to establish its Opioid Abatement Council pursuant to the Section 4.h of the MOU, and (ii)that 6 pre-existing regional body is subject to the requirements of the Community Behavioral Health Services Act, RCW 71.24 et seq., the State and the Participating Local Governments agree that the Opioid Funds paid by the Settling Distributors are subject to the requirements of the MOU and this Allocation Agreement. 16. Upon request by the Settling Distributors, the Participating Local Governments must comply with the Tax Cooperation and Reporting provisions of the Distributors Settlement and the Global Settlement. 17. Venue for any legal action related to this Allocation Agreement(separate and apart from the MOU, the Distributors Settlement, or the Global Settlement) shall be in King County, Washington. 18. Each party represents that all procedures necessary to authorize such party's execution of this Allocation Agreement have been performed and that such person signing for such party has been authorized to execute this Allocation Agreement. 7 FOR THE STATE OF WASHINGTON: ROBERT W. FERGUSON Attorney General JEFFREY G. RUPERT Division Chief Date: 8 FOR THE PARTICIPATING LOCAL GOVERNMENT: Name of Participating Local Government: Authorized signature: Name: Title: Date: A Local Government may elect in its discretion to execute the MOU for purposes of this Allocation Agreement only by checking this box(see Paragraph 10.A of this Allocation Agreement): ❑ Local Government is executing the MOU in the form attached hereto as Exhibit 3, but which is further amended and modified as set forth in this Allocation Agreement, only for purposes of this Allocation Agreement. 9 EXHIBIT 1 Distributors Settlement DISTRIBUTORS WASHINGTON SETTLEMENT AGREEMENT Table of Contents I. Overview 1 II. Conditions to Effectiveness of Agreement 1 III. Participation by Subdivisions 3 IV. Settlement Payments 3 V. Plaintiffs' Attorneys' Fees and Costs 4 VI. Release 6 VII. Miscellaneous 6 Exhibit A Primary Subdivisions A-1 Exhibit B Litigating Subdivisions B-1 Exhibit C ABC IRS Form 1098-F C-1 Exhibit D Cardinal Health IRS Form 1098-F D-1 Exhibit E McKesson IRS Form 1098-F E-1 Exhibit F Subdivision Settlement Participation Form F-1 Exhibit G Consent Judgment and Stipulation of Dismissal with Prejudice G-1 Exhibit H Distributor Global Settlement Agreement H-1 DISTRIBUTORS—WASHINGTON SETTLEMENT AGREEMENT I. Overview This Distributors Washington Settlement Agreement("Agreement") sets forth the terms and conditions of a settlement agreement between and among the State of Washington, McKesson Corporation ("McKesson"), Cardinal Health, Inc. ("Cardinal') and AmerisourceBergen Corporation ("Amerisource") (collectively, the "Agreement Parties")to resolve opioid-related Claims against McKesson, Cardinal, and/or Amerisource (collectively, "Settling Distributors"). By entering into this Agreement,the State of Washington and its Participating Subdivisions agree to be bound by all terms and conditions of the Distributor Global Settlement Agreement dated July 21, 2021 (including its exhibits) ("Global Settlement"), which(including its exhibits) is incorporated into this Agreement as Exhibit H.1 By entering this Agreement, and upon execution of an Agreement Regarding the State of Washington and the Distributor Global Settlement Agreement("Enforcement Committee Agreement"), unless otherwise set forth in this Agreement,the Settling Distributors agree to treat the State of Washington for all purposes as if it were a Settling State under the Global Settlement and its Participating Subdivisions for all purposes as if they were Participating Subdivisions under the Global Settlement. Unless stated otherwise in this Agreement,the terms of this Agreement are intended to be consistent with the terms of the Global Settlement and shall be construed accordingly. Unless otherwise defined in this Agreement, all capitalized terms in this Agreement shall be defined as they are in the Global Settlement. The Settling Distributors have agreed to the below terms for the sole purpose of settlement, and nothing herein, including in any exhibit to this Agreement, may be taken as or construed to be an admission or concession of any violation of law, rule, or regulation, or of any other matter of fact or law, or of any liability or wrongdoing, or any misfeasance, nonfeasance, or malfeasance, all of which the Settling Distributors expressly deny. No part of this Agreement, including its statements and commitments, and its exhibits, shall constitute or be used as evidence of any liability, fault, or wrongdoing by the Settling Distributors. Unless the contrary is expressly stated, this Agreement is not intended for use by any third party for any purpose, including submission to any court for any purpose. II. Conditions to Effectiveness of Agreement A. Global Settlement Conditions to Effectiveness. 1. The Agreement Parties acknowledge that certain deadlines set forth in Section VIII of the Global Settlement passed before the execution of this Agreement. For 'The version of the Global Settlement as updated on March 25, 2022 is attached to this Agreement as Exhibit H. Further updates to the Global Settlement shall be deemed incorporated into this Agreement and shall supersede all earlier versions of the updated provisions. 1 that reason, (i) Settling Distributors agree to treat the State of Washington as satisfying the deadlines set forth in Section VIII of the Global Settlement provided that the State of Washington satisfies its obligations set forth in this Section II and (ii)the State of Washington agrees to treat Settling Distributors as having satisfied all notice obligations under Section VIII.B of the Global Settlement as to the State of Washington. 2. The State of Washington shall deliver all signatures and releases required by the Agreement to be provided by the Settling States to the Settling Distributors by September 30, 2022. This Section II.A.2 supersedes the deadline for delivering those signatures and releases set forth in Section VIII.A.1 of the Global Settlement. B. Agreement with Enforcement Committee. This Agreement shall not become effective unless the Enforcement Committee and the Settling Distributors execute the Enforcement Committee Agreement. If the Enforcement Committee Agreement is not executed by June 1, 2022, the State of Washington and Settling Distributors will promptly negotiate an agreement that mirrors the Global Settlement to the extent possible and with a credit of$1,000,000 to Settling Distributors to account for possible credits the Settling Distributors would have received under Section V of this Agreement from the State Cost Fund and the Litigating Subdivision Cost Fund of the Global Settlement and to be deducted from the Year 7 payment described in Section V.B.1 and Section V.C.g of this Agreement. C. Participation by Subdivisions. If the condition in Section II.B has been satisfied, this Agreement shall become effective upon one of the following conditions being satisfied: 1. All Litigating Subdivisions in the State of Washington and ninety percent (90%) of Non-Litigating Primary Subdivisions (calculated by population pursuant to the Global Settlement) in the State of Washington must become Participating Subdivisions by September 23, 2022. 2. If the condition set forth in Section II.C.1 is not met, the Settling Distributors shall have sole discretion to accept the terms of this Agreement, which shall become effective upon notice provided by the Settling Distributors to the State of Washington. If the condition set forth by Section II.C.1 is not met and Settling Distributors do not exercise discretion to accept this Agreement, this Agreement will have no further effect and all releases and other commitments or obligations contained herein will be void. D. Dismissal of Claims. Provided that the conditions in Sections II.B and ILC have been satisfied, the State of Washington shall file the Consent Judgment described in Section I.N of the Global Settlement and attached hereto as Exhibit G ("Washington Consent Judgment")with the King County Superior Court ("Washington Consent Judgment Court") on or before November 1, 2022. This Section II.C.2 supersedes the deadline for submitting a Consent Judgment set forth in Section VIII.B of the Global Settlement. In the event that the Court declines to enter the Washington Consent Judgment, each Settling Distributor shall be entitled to terminate the Agreement as to itself and shall be excused from all obligations under the Agreement, and if a Settling Distributor terminates the Agreement as to itself, all releases and other commitments or obligations contained herein with respect to that Settling Distributor will be null and void. The date of the entry of the Washington Consent Judgment shall be the effective date of this Agreement 2 ("Washington Effective Date"). Within the later of forty-five (45) days after the Washington Effective Date or December 31, 2022, each Settling Distributor will certify to the State that all medical claims data provided to it during the litigation (including Medicaid, PMP, LNI claims, and PEBB data)has been destroyed by the party and its agents, including all retained experts. III. Participation by Subdivisions A. Notice. The Office of the State of Washington Attorney General in consultation with the Settling Distributors shall send individual notice of the opportunity to participate in this Agreement and the requirements for participation to all Subdivisions eligible to participate who have not returned an executed Subdivision Settlement Participation Form within fifteen (15) days of the execution of this Agreement. The Office of the State of Washington Attorney General may also provide general notice reasonably calculated to alert Subdivisions, including publication and other standard forms of notification. Nothing contained herein shall preclude the State of Washington from providing further notice to, or from contacting any of its Subdivision(s) about, becoming a Participating Subdivision. B. Trigger Date for Later Litigating Subdivisions. Notwithstanding Sections I.EE and I.GGGG of the Global Settlement, as to the State of Washington, Settling Distributors and the State of Washington agree to treat the Trigger Date for Primary Subdivisions as September 23, 2022 and the Trigger Date for all other Subdivisions as May 3, 2022. C. Initial and Later Participating Subdivisions. Notwithstanding Sections I.BB, I.CC, I.FF and Section VII.D and E of the Global Settlement, any Participating Subdivision in Washington that meets the applicable requirements for becoming a Participating Subdivision set forth in Section VII.B or Section VII.0 of the Global Settlement on or before September 23, 2022 shall be considered an Initial Participating Subdivision. Participating Subdivisions that are not Initial Participating Subdivisions but meet the applicable requirements for becoming Participating Subdivisions set forth in Section VII.B or Section VII.0 of the Global Settlement after September 23, 2022 shall be considered Later Participating Subdivisions. D. Subdivision Settlement Participation Forms. Each Subdivision Settlement Participation Form submitted by a Participating Subdivision from the State of Washington shall be materially identical to Exhibit F to this Agreement. Nothing in Exhibit F is intended to modify in any way either the terms of this Agreement or the terms of the Global Settlement,both of which the State of Washington and Participating Subdivisions agree to be bound. To the extent that any Subdivision Settlement Participation Form submitted by any Participating Subdivision is worded differently from Exhibit F to this Agreement or interpreted differently from the Global Agreement and this Agreement in any respect, the Global Agreement and this Agreement control. IV. Settlement Payments A. Schedule. Annual Payments under this Agreement shall be calculated as if the State of Washington were a Settling State under the Global Settlement and shall be made pursuant to the terms of Section IV of the Global Settlement except that, as to the State of Washington, the Payment Date for Payment Year 1 shall be December 1, 2022 and the Payment Date for Payment 3 Year 2 shall be December 1, 2022. For the avoidance of doubt, the sole component of the State of Washington's Annual Payment is the portion of the Net Abatement Amount allocated to the State of Washington under the Global Settlement("Washington Abatement Amount"). The maximum possible Washington Abatement Amount is $430,249,769.02. B. Use of Payment. The Washington Abatement Amount paid under this Agreement shall be used as provided for in Section V of the Global Settlement. C. Nature of Payment. The State of Washington and its Participating Subdivisions agree that payments made to the State of Washington and its Participating Subdivisions under this Agreement are properly characterized as described in Section V.F of the Global Settlement. V. Plaintiffs' Attorneys' Fees and Costs A. Interaction with Global Settlement. Notwithstanding any contrary provision in the Global Settlement, payments to cover attorneys' fees and costs under this Agreement("Washington Fees and Costs") shall be made pursuant to this Section V. B. Amounts. The total amount to cover of all Washington Fees and Costs is $87,750,230.98. That total consists of the categories of attorneys' fees and costs set forth in this Section V.B and shall be paid on the schedule set forth in Section V.C. 1. State Outside and Inside Counsel Fees and Costs. Settling Distributors shall pay $76,829,316.21 to cover in-house fees and costs and outside counsel fees and costs to the Washington Attorney General's Office, which shall be used for any lawful purpose in the discharge of the Attorney General's duties at the sole discretion of the Attorney General. The amount shall be paid in increments as specified in Section V.0 (Payment Year 1 —20%, Payment Year 2 —20%, Payment Year 3 — 15%, Payment Year 4— 15%, Payment Year 5 — 15%, Payment Year 6 — 10%, Payment Year 7—5%.) 2. Fees and Costs for Participating Litigating Subdivisions' Attorneys. Settling Distributors shall pay $10,920,914.70 to Participating Litigating Subdivisions' attorneys for fees and costs into a single account as directed by the Washington Attorney General's Office, which then shall be paid as agreed between the State of Washington and attorneys for Participating Litigating Subdivisions. Participating Litigating Subdivisions' attorneys shall be paid in accordance with the schedule in Section V.0 and V.D.5 of this Agreement. C. Schedule. Washington Fees and Costs shall be paid according to the following schedule: a. Payment Year 1: Twenty percent(20%) of the total Washington Fees and Costs amount($17,550,046.20),to be paid on or before December 1, 2022. 4 b. Payment Year 2: Twenty percent(20%) of the total Washington Fees and Costs amount($17,550,046.20), to be paid on or before December 1, 2022. c. Payment Year 3: Fifteen percent(15%) of the total Washington Fees and Costs amount($13,162,534.65), to be paid on or before July 15, 2023. d. Payment Year 4: Fifteen percent(15%) of the total Washington Fees and Costs amount($13,162,534.65),to be paid on or before July 15, 2024. e. Payment Year 5: Fifteen percent(15%) of the total Washington Fees and Costs amount($13,162,534.65), to be paid on or before July 15, 2025. f. Payment Year 6: Ten percent(10%) of the total Washington Fees and Costs amount($8,775,023.10), to be paid on or before July 15, 2026. g. Payment Year 7: Five percent(5%) of the total Washington Fees and Costs amount($4,387,511.55), to be paid on or before July 15, 2027. D. Remittance. So that Settling Distributors do not pay the same fees and costs under both the Global Settlement and this Agreement, Washington and its Participating Litigating Subdivisions and their respective counsel shall do as follows: 1. Participating Litigating Subdivisions in Washington and their counsel shall apply to the Attorney Fee Fund and the Litigating Subdivision Cost Fund created pursuant to Exhibit R of the Global Settlement for all fees, costs and expenses for which they may be eligible and shall instruct the Fee Panel and the Cost and Expense Fund Administrator to remit to Settling Distributors the full amount awarded to such Participating Litigating Subdivision, with each Settling Distributor receiving the percentage of that amount corresponding to the allocation set forth in Section IV.I of the Global Settlement. 2. Counsel for Participating Subdivisions shall instruct the Fee Panel created by the MDL Court pursuant to Exhibit R of the Global Settlement to remit to Settling Distributors the Contingency Fee Amount for their Participating Subdivisions in the State of Washington,with each Settling Distributor receiving the percentage of that amount corresponding to the allocation set forth in Section IV.I of the Global Settlement. 3. The State of Washington shall instruct the Fee Fund Administrator selected pursuant to Exhibit S of the Global Settlement that the Settling Distributors shall not pay the Fixed Amount for the State of Washington, and the State of Washington will not be eligible to receive funds from the State Outside Counsel Fee Fund under the Global Settlement. 4. The State of Washington shall submit documented costs, as provided for in Exhibit T of the Global Settlement, to the Global Settlement State Cost Fund created pursuant to Exhibit T of the Global Settlement for all costs and expenses for which it may be eligible and shall instruct the State Cost Fund Administrator to remit to Settling Distributors the full amount awarded to the State of Washington, with each Settling 5 Distributor receiving the percentage of that amount corresponding to the allocation set forth in Section IV.I of the Global Settlement. 5. No Participating Litigating Subdivision shall receive any payment due under this Agreement, including but not limited to the portion of the Washington Abatement Amount allocable to the Participating Subdivision, until it and/or its outside counsel, as applicable, fulfill their obligations under Sections V.D. 1-2. VI. Release A. Scope. As of the Washington Effective Date, Section XI of the Global Settlement is fully binding on, and effective with respect to, all Releasors under this Agreement. Accordingly, as of the Washington Effective Date, the Released Entities are hereby released and forever discharged from all Released Claims of Releasors, including the State of Washington and its Participating Subdivisions. VII. Miscellaneous A. No Admission. The Settling Distributors do not admit liability, fault, or wrongdoing. Neither this Agreement nor the Washington Consent Judgment shall be considered, construed or represented to be (1) an admission, concession or evidence of liability or wrongdoing or(2) a waiver or any limitation of any defense otherwise available to the Settling Distributors. It is the understanding and intent of the Agreement Parties that no portion of the Agreement shall be entered into evidence in any other action against the Settling Distributors, among other reasons, because it is not relevant to such action. For the avoidance of any doubt, nothing herein shall prohibit a Settling Distributor from entering this Agreement into evidence in any litigation or arbitration concerning a Settling Distributor's right to coverage under an insurance contract. B. Tax Cooperation and Reporting. The State of Washington and its Participating Subdivisions will be bound by Section V.F and Section XIV.F of the Global Settlement, except (i) as set forth in the final sentence of this Section VII.B and (ii)that the State of Washington shall be its own Designated State and shall designate its own"appropriate official" within the meaning of Treasury Regulations Section 1.6050X-1(f)(1)(ii)(B) (the"Appropriate Official"). The IRS Forms 1098-F to be filed with respect to this Agreement are attached as Exhibit C, Exhibit D, and Exhibit E. The State of Washington and its Participating Subdivisions agree that any return, amended return, or written statement filed or provided pursuant to Section XIV.F.4 of the Global Settlement with respect to this Agreement, and any similar document, shall be prepared and filed in a manner consistent with reporting each Settling Distributor's portion of the aggregate amount of payments paid or incurred by the Settling Distributors hereunder as the "Total amount to be paid" pursuant to this Agreement in Box 1 of IRS Form 1098-F, each Settling Distributor's portion of the amount equal to the aggregate amount of payments paid or incurred by the Settling Distributors hereunder less the Compensatory Restitution Amount as the "Amount to be paid for violation or potential violation" in Box 2 of IRS Form 1098-F and each Settling Distributor's portion of the Compensatory Restitution Amount as "Restitution/remediation amount" in Box 3 of IRS Form 1098-F, as reflected in Exhibit C, Exhibit D, and Exhibit E. 6 C. No Third-Party Beneficiaries. Except as expressly provided in this Agreement, no portion of this Agreement shall provide any rights to, or be enforceable by, any person or entity that is not the State of Washington or a Released Entity. The State of Washington may not assign or otherwise convey any right to enforce any provision of this Agreement. D. Cooperation. Each Agreement Party and each Participating Subdivision agrees to use its best efforts and to cooperate with the other Agreement Parties and Participating Subdivisions to cause this Agreement to become effective, to obtain all necessary approvals, consents and authorizations, if any, and to execute all documents and to take such other action as may be appropriate in connection herewith. Consistent with the foregoing, each Agreement Party and each Participating Subdivision agrees that it will not directly or indirectly assist or encourage any challenge to this Agreement or the Washington Consent Judgment by any other person, and will support the integrity and enforcement of the terms of this Agreement and the Washington Consent Judgment. E. Enforcement. All disputes between Settling Distributors and the State of Washington and/or the Participating Subdivisions in the State of Washington shall be handled as specified in Section VI of the Global Settlement, including the referral of relevant disputes to the National Arbitration Panel. F. No Violations of Applicable Law. Nothing in this Agreement shall be construed to authorize or require any action by Settling Distributors in violation of applicable federal, state, or other laws. G. Modification. This Agreement may be modified by a written agreement of the Agreement Parties. For purposes of modifying this Agreement or the Washington Consent Judgment, Settling Distributors may contact the Washington Attorney General for purposes of coordinating this process. The dates and deadlines in this Agreement may be extended by written agreement of the Agreement Parties, which consent shall not be unreasonably withheld. H. No Waiver. Any failure by any Agreement Party to insist upon the strict performance by any other party of any of the provisions of this Agreement shall not be deemed a waiver of any of the provisions of this Agreement, and such party, notwithstanding such failure, shall have the right thereafter to insist upon the specific performance of any and all of the provisions of this Agreement. I. Entire Agreement. This Agreement, including the Global Settlement(and its exhibits), represents the full and complete terms of the settlement entered into by the Agreement Parties, except as provided herein. In any action undertaken by the Agreement Parties, no prior versions of this Agreement and no prior versions of any of its terms may be introduced for any purpose whatsoever. J. Counterparts. This Agreement may be executed in counterparts, and a facsimile or .pdf signature shall be deemed to be, and shall have the same force and effect as, an original signature. K. Notice. All notices or other communications under this Agreement shall be provided to the following via email and overnight delivery to: 7 Copy to AmerisourceBergen Corporation's attorneys at: Michael T. Reynolds Cravath, Swaine &Moore LLP 825 8th Avenue New York,NY 10019 mreynolds@cravath.com Copy to Cardinal Health, Inc. 's attorneys at: Elaine Golin Wachtell, Lipton, Rosen & Katz 51 West 52nd Street New York,NY 10019 epgolin@wlrk.com Copy to McKesson Corporation's attorneys at: Thomas J. Perrelli Jenner& Block LLP 1099 New York Avenue,NW, Suite 900 Washington, DC 20001-4412 TPerrelli@jenner.com Copy to the State of Washington at: Shane Esquibel Jeffrey Rupert Laura Clinton Washington Attorney General's Office 1125 Washington Street SE PO Box 40100 Olympia, WA 98504-0100 Shane.Esquibel@atg.wa.gov Jeffrey.Rupert@atg.wa.gov Laura.Clinton@atg.wa.gov [Signatures begin on next page.] 8 Authorized and agreed to by: c, 4 Dated: `� ROBERT W. FERGUSON Attorney General, State r "ngton By: Alige Name: JEF RUPERT Title: Division Chief 9 Authorized and agreed to by: Dated: May 2, 2022 AMERISOURCEBERGEN CORPORATION 4*, By: Elizabeth Campbell Executive Vice President and Chief Legal Officer Authorized and agreed to by: Dated: 04/29/2022 CARDINAL HEALTH, INC. rt-- 46 By: Name: Jessica Mayer Title: Chief Legal and Compliance Officer Authorized and agreed to by: Dated: 15121 ZZ MCKESSON CORPORATION By: Name: Ear&li-JA C- r O U Title: riodra' Sect irj Exhibit A Primary Subdivisions2 No. Subdivision Name 1. Aberdeen city 2. Adams County 3. Anacortes City 4. Arlington City 5. Asotin County 6. Auburn City* 7. Bainbridge Island City 8. Battle Ground City 9. Bellevue City* 10. Bellingham City* 11. Benton County* 12. Bonney Lake City 13. Bothell City* 14. Bremerton City* 15. Burien City* 16. Camas City 17. Centralia City 18. Chelan County* 19. Cheney City 20. Clallam County* 21. Clark County* 22. Covington City 23. Cowlitz County* 24. Des Moines City* 25. Douglas County* 26. East Wenatchee City 27. Edgewood City 28. Edmonds City* 29. Ellensburg City 30. Enumclaw City 31. Everett City* 32. Federal Way City* 33. Ferndale City 34. Fife City 35. Franklin County* 36. Gig Harbor City 37. Grandview City 38. Grant County* 2 Entities denoted with an asterisk(*)indicate a population of greater than 30,000 for purposes of the definition of Primary Subdivision as it relates to Incentive Payment C. A-1 39. Grays Harbor County* 40. Island County* 41. Issaquah City* 42. Jefferson County* 43. Kelso City 44. Kenmore City 45. Kennewick City* 46. Kent City* 47. King County* 48. Kirkland City* 49. Kitsap County* 50. Kittitas County* 51. Klickitat County 52. Lacey City* 53. Lake Forest Park City 54. Lake Stevens City* 55. Lakewood City* 56. Lewis County* 57. Liberty Lake City 58. Lincoln County 59. Longview City* 60. Lynden City 61. Lynnwood City* 62. Maple Valley City 63. Marysville City* 64. Mason County* 65. Mercer Island City 66. Mill Creek City 67. Monroe City 68. Moses Lake City 69. Mount Vernon City* 70. Mountlake Terrace City 71. Mukilteo City 72. Newcastle City 73. Oak Harbor City 74. Okanogan County* 75. Olympia City* 76. Pacific County 77. Pasco City* 78. Pend Oreille County 79. Pierce County* 80. Port Angeles City 81. Port Orchard City 82. Poulsbo City 83. Pullman City* 84. Puyallup City* A-2 85. Redmond City* 86. Renton City* 87. Richland City* 88. Sammamish City* 89. San Juan County 90. Seatac City 91. Seattle City* 92. Sedro-Woolley City 93. Shelton City 94. Shoreline City* 95. Skagit County* 96. Skamania County 97. Snohomish City 98. Snohomish County* 99. Snoqualmie City 100. Spokane City* 101. Spokane County* 102. Spokane Valley City* 103. Stevens County* 104. Sumner City 105. Sunnyside City 106. Tacoma City* 107. Thurston County* 108. Tukwila City 109. Tumwater City 110. University Place City* 111. Vancouver City* 112. Walla Walla City* 113. Walla Walla County* 114. Washougal City 115. Wenatchee City* 116. West Richland City 117. Whatcom County* 118. Whitman County* 119. Woodinville City 120. Yakima City* 121. Yakima County* A-3 Exhibit B Litigating Subdivisions No. Subdivision Name 1. Anacortes City 2. Bainbridge Island City 3. Burlington City 4. Chelan County 5. Clallam County 6. Clark County 7. Everett City 8. Franklin County 9. Island County 10. Jefferson County 11. Kent City 12. King County 13. Kirkland City 14. Kitsap County 15. Kittitas County 16. La Conner School District 17. Lakewood City 18. Lewis County 19. Lincoln County 20. Mount Vernon City 21. Mount Vernon School District 22. Olympia City 23. Pierce County 24. San Juan County 25. Seattle City 26. Sedro-Woolley City 27. Sedro-Woolley School District 28. Skagit County 29. Snohomish County 30. Spokane City 31. Spokane County 32. Tacoma City 33. Thurston County 34. Vancouver City 35. Walla Walla County 36. Whatcom County 37. Whitman County B-1 Exhibit C ABC IRS Form 1098-F This Exhibit C will be appended to the Agreement prior to the Effective Date pursuant to Section VII.B. C-1 Exhibit D Cardinal Health IRS Form 1098-F This Exhibit D will be appended to the Agreement prior to the Effective Date pursuant to Section VII.B. D-1 Exhibit E McKesson IRS Form 1098-F This Exhibit E will be appended to the Agreement prior to the Effective Date pursuant to Section VII.B. E-1 Exhibit F Subdivision Settlement Participation Form Governmental Entity: State: Authorized Official: Address 1: Address 2: City, State, Zip: Phone: Email: The governmental entity identified above ("Governmental Entity"), in order to obtain and in consideration for the benefits provided to the Governmental Entity pursuant to the Settlement Agreement dated May 2, 2022 ("Distributors Washington Settlement"), and acting through the undersigned authorized official, hereby elects to participate in the Distributors Washington Settlement,release all Released Claims against all Released Entities, and agrees as follows. 1. The Governmental Entity is aware of and has reviewed the Distributors Washington Settlement, including the Distributor Global Settlement Agreement dated July 21, 2021 ("Global Settlement") attached to the Distributors Washington Settlement as Exhibit H, understands that all terms in this Participation Form have the meanings defined therein, and agrees that by signing this Participation Form, the Governmental Entity elects to participate in the Distributors Washington Settlement and become a Participating Subdivision as provided therein. 2. The Governmental Entity shall, within 14 days of October 1, 2022 and prior to the filing of the Consent Judgment, secure the dismissal with prejudice of any Released Claims that it has filed. 4. The Governmental Entity agrees to the terms of the Distributors Washington Settlement pertaining to Subdivisions as defined therein. 5. By agreeing to the terms of the Distributors Washington Settlement and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning after December 1, 2022. 6. The Governmental Entity agrees to use any monies it receives through the Distributors Washington Settlement solely for the purposes provided therein. 7. The Governmental Entity submits to the jurisdiction of the Washington Consent Judgment Court for purposes limited to that court's role as provided in, and for resolving disputes to the extent provided in, the Distributors Washington Settlement. The Governmental Entity likewise agrees to arbitrate before the National Arbitration Panel as provided in, and for resolving disputes to the extent otherwise provided in the Distributors Washington Settlement. F-1 8. The Governmental Entity has the right to enforce the Distributors Washington Settlement as provided therein. 9. The Governmental Entity, as a Participating Subdivision, hereby becomes a Releasor for all purposes in the Distributors Washington Settlement, including, but not limited to, all provisions of Section XI of the Global Settlement, and along with all departments, agencies, divisions, boards, commissions, districts, instrumentalities of any kind and attorneys, and any person in their official capacity elected or appointed to serve any of the foregoing and any agency,person, or other entity claiming by or through any of the foregoing, and any other entity identified in the definition of Releasor, provides for a release to the fullest extent of its authority. As a Releasor, the Governmental Entity hereby absolutely, unconditionally, and irrevocably covenants not to bring, file, or claim, or to cause, assist or permit to be brought, filed, or claimed, or to otherwise seek to establish liability for any Released Claims against any Released Entity in any forum whatsoever. The releases provided for in the Distributors Washington Settlement are intended by the Agreement Parties to be broad and shall be interpreted so as to give the Released Entities the broadest possible bar against any liability relating in any way to Released Claims and extend to the full extent of the power of the Governmental Entity to release claims. The Distributors Washington Settlement shall be a complete bar to any Released Claim. 10. The Governmental Entity hereby takes on all rights and obligations of a Participating Subdivision as set forth in the Distributors Washington Settlement. 11. In connection with the releases provided for in the Distributors Washington Settlement, each Governmental Entity expressly waives, releases, and forever discharges any and all provisions, rights, and benefits conferred by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code,which reads: General Release; extent. A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release, and that if known by him or her would have materially affected his or her settlement with the debtor or released party. A Releasor may hereafter discover facts other than or different from those which it knows, believes, or assumes to be true with respect to the Released Claims, but each Governmental Entity hereby expressly waives and fully, finally, and forever settles, releases and discharges, upon the date the Distributors Washington Settlement becomes effective pursuant to Section II.B of the Distributors Washington Settlement, any and all Released Claims that may exist as of such date but which Releasors do not know or suspect to exist,whether through ignorance, oversight, error, negligence or through no fault whatsoever, and which, if known, would materially affect the Governmental Entities' decision to participate in the Distributors Washington Settlement. F-2 12. Nothing herein is intended to modify in any way the terms of the Distributors Washington Settlement, to which Governmental Entity hereby agrees. To the extent this Participation Form is worded differently from Exhibit F to the Distributors Washington Settlement or interpreted differently from the Distributors Washington Settlement in any respect, the Distributors Washington Settlement controls. I have all necessary power and authorization to execute this Participation Form on behalf of the Governmental Entity. Signature: Name: Title: Date: F-3 Exhibit G Consent Judgment and Stipulation of Dismissal with Prejudice The Honorable Michael Ramsey Scott Trial Date: November 15, 2021 STATE OF WASHINGTON KING COUNTY SUPERIOR COURT STATE OF WASHINGTON, NO. 19-2-06975-9 SEA Plaintiff, FINAL CONSENT JUDGMENT AND DISMISSAL WITH PREJUDICE v. MCKESSON CORPORATION, CARDINAL HEALTH INC., and AMERISOURCEBERGEN DRUG CORPORATION, Defendants. FINAL CONSENT JUDGMENT AND DISMISSAL WITH PREJUDICE The State of Washington ("State") and McKesson Corporation, Cardinal Health, Inc., AmerisourceBergen Drug Corporation and AmerisourceBergen Corporation, together with the subsidiaries thereof(collectively, the "Settling Distributors," and each a"Settling Distributor") (together with the State, the"Parties," and each a"Party") have entered into a consensual resolution of the above-captioned litigation (the "Action")pursuant to a settlement agreement entitled Distributors Washington Settlement Agreement, dated as of May 2, 2022 (the "Washington Agreement"), a copy of which is attached hereto as Exhibit A. The Washington Agreement shall become effective by its terms upon the entry of this Final Consent Judgment (the"Judgment")by the Court without adjudication of any contested issue of fact or law, and without finding or admission of wrongdoing or liability of any kind. By entering into the Washington Agreement, the State of Washington agrees to be bound by all terms and conditions G-1 of the Distributor Settlement Agreement, dated as of July 21, 2021 (as subsequently updated) (the"Global Agreement"), a copy of which is attached hereto as Exhibit B (together with the Washington Agreement, the "Agreements")unless stated otherwise in the Washington Agreement. Unless stated otherwise in the Washington Agreement, the terms of the Washington Agreement are intended to be consistent with the terms of the Global Settlement and shall be construed accordingly. I. RECITALS: 1. Each Party warrants and represents that it engaged in arm's-length negotiations in good faith. In hereby executing the Agreements, the Parties intend to effect a good-faith settlement. 2. The State has determined that the Agreements are in the public interest. 3. The Settling Distributors deny the allegations against them and that they have any liability whatsoever to the State, its Subdivisions, and/or (a) any of the State's or Subdivisions' departments, agencies, divisions,boards, commissions, districts, instrumentalities of any kind and attorneys, including its Attorney General, and any person in his or her official capacity whether elected or appointed to serve any of the foregoing and any agency,person, or other entity claiming by or through any of the foregoing, (b) any public entities, public instrumentalities, public educational institutions, unincorporated districts, fire districts, irrigation districts, and other Special Districts, and (c) any person or entity acting in a parens patriae, sovereign, quasi- sovereign,private attorney general, qui tam,taxpayer, or other capacity seeking relief on behalf of or generally applicable to the general public. 4. The Parties recognize that the outcome of the Action is uncertain and a final resolution through the adversarial process likely will require protracted litigation. 5. The Parties agree to the entry of the injunctive relief terms pursuant to Exhibit P of the Global Agreement. 6. Therefore,without any admission of liability or wrongdoing by the Settling Distributors or any other Released Entities (as defined in the Global Agreement), the Parties now mutually consent to the entry of this Judgment and agree to dismissal of the claims with prejudice pursuant G-2 to the terms of the Agreements to avoid the delay, expense, inconvenience, and uncertainty of protracted litigation. NOW THEREFORE,IT IS HEREBY ORDERED,ADJUDGED AND DECREED THAT: In consideration of the mutual promises, terms, and conditions set forth in the Agreements, the adequacy of which is hereby acknowledged by all Parties, it is agreed by and between the Settling Distributors and the State, and adjudicated by the Court, as follows: 1. The foregoing Recitals are incorporated herein and constitute an express term of this Judgment. 2. The Parties have entered into a full and final settlement of all Released Claims of Releasors against the Settling Distributors(including but not limited to the State) and the Released Entities pursuant to the terms and conditions set forth in the Agreements. 3. The "Definitions" set forth in Section I of the Global Agreement are incorporated by reference into this Judgment. The State is a "Settling State" within the meaning of the Global Agreement. Unless otherwise defined herein, capitalized terms in this Judgment shall have the same meaning given to them in the Global Agreement, or, if not defined in the Global Agreement, the same meaning given to them in the Washington Agreement. 4. The Parties agree that the Court has jurisdiction over the subject matter of the Action and over the Parties with respect to the Action and this Judgment. This Judgment shall not be construed or used as a waiver of any jurisdictional defense the Settling Distributors or any other Released Entity may raise in any other proceeding. 5. The Court finds that the Agreements were entered into in good faith. 6. The Court finds that entry of this Judgment is in the public interest and reflects a negotiated settlement agreed to by the Parties. The Action is dismissed with prejudice, subject to a retention of jurisdiction by the Court as provided herein and in the Agreements. G-3 7. By this Judgment, the Agreements are hereby approved by the Court, and the Court hereby adopts their terms as its own determination of this matter and the Parties' respective rights and obligations. 8. The Court shall have authority to resolve disputes identified in Section VI.F.1 of the Global Agreement, governed by the rules and procedures of the Court. 9. The Parties have satisfied the Conditions to Effectiveness of Agreement set forth in Section II.B of the Washington Agreement as follows: a. The Enforcement Committee and the Settling Distributors executed the Enforcement Committee Agreement by June 1, 2022. b. All Litigating Subdivisions in the State of Washington and ninety percent(90%) of Non-Litigating Primary Subdivisions (calculated by population pursuant to the Global Settlement) in the State of Washington became Participating Subdivisions by September 23, 2022. 10. The Parties have satisfied the Condition to Effectiveness of Agreement set forth in Section VIII of the Global Agreement and the Release set forth in Sections XI.A, F, and G of the Global Agreement, as follows: a. The Attorney General of the State exercised the fullest extent of his or her powers to release the Settling Distributors and all other Released Entities from all Released Claims pursuant to the release attached hereto as Exhibit C (the"AG Release"). b. The Settling Distributors have determined that there is sufficient State participation and sufficient resolution of the Claims of the Litigating Subdivisions in the Settling States to proceed with the Agreements. c. The Participation Form for each Initial Participating Subdivision in the State has been delivered to the Settling Distributors. As stated in the Participation Form, and for the avoidance of doubt, nothing in the Participation Form executed by the Participating Subdivisions is intended to modify in any way the terms of the G-4 Agreements to which the Participating Subdivisions agree. As stated in the Participation Form, to the extent the executed version of the Participation Form differs from the Global Agreement in any respect, the Global Agreement controls. d. Pursuant to Section VIII.B of the Global Agreement, each Participating Subdivision in the State is dismissing with prejudice any Released Claims that it has filed against the Settling Distributors and the Released Entities. 11. Release. The Parties acknowledge that the AG Release, which is incorporated by reference herein, is an integral part of this Judgment. Pursuant to the Agreements and the AG Release and without limitation and to the maximum extent of the power of the State's Attorney General, the Settling Distributors and the other Released Entities are, as of the Effective Date, hereby released from any and all Released Claims of(a)the State and its Participating Subdivisions and any of their departments, agencies, divisions, boards, commissions, Subdivisions, districts, instrumentalities of any kind and attorneys,including the State's Attorney General, and any person in his or her official capacity whether elected or appointed to serve any of the foregoing, and any agency,person, or other entity claiming by or through any of the foregoing, (b)any public entities, public instrumentalities, public educational institutions, unincorporated districts, fire districts, irrigation districts, and other Special Districts in the State, and (c) any person or entity acting in a parens patriae, sovereign, quasi-sovereign, private attorney general, qui tam, taxpayer, or other capacity seeking relief on behalf of or generally applicable to the general public with respect to the State or any Subdivision in the State,whether or not any of them participate in the Agreements. Pursuant to the Agreements and the AG Release and to the maximum extent of the State's power, the Settling Distributors and the other Released Entities are, as of the Effective Date, hereby released from any and all Released Claims of (1) the State, (2) all past and present executive departments, state agencies, divisions, boards, commissions and instrumentalities with the regulatory authority to enforce state and federal controlled substances acts, and (3) any of the State's past and present executive departments, agencies, divisions, boards, commissions and instrumentalities that have the authority to bring Claims related to Covered Conduct seeking G-5 money (including abatement and/or remediation) or revocation of a pharmaceutical distribution license. For the purposes of clause (3) above, executive depait,uients, agencies, divisions, boards, commissions,and instrumentalities are those that are under the executive authority or direct control of the State's Governor. Further, the provisions set forth in Section XI of the Global Agreement are incorporated by reference into this Judgment as if fully set forth herein. The Parties acknowledge, and the Court finds,that those provisions are an integral part of the Agreements and this Judgment, and shall govern the rights and obligations of all participants in the settlement. Any modification of those rights and obligations may be made based only on a writing signed by all affected parties and approved by the Court. 12. Release of Unknown Claims. The State expressly waives, releases, and forever discharges any and all provisions,rights, and benefits conferred by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code, which reads: General Release; extent. A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release that, if known by him or her, would have materially affected his or her settlement with the debtor or released party. 13. The State may hereafter discover facts other than or different from those which it knows,believes, or assumes to be true with respect to the Released Claims,but the State expressly waived and fully, finally, and forever settled, released and discharged, through the Agreements and AG Release, any and all Released Claims that may exist as of the Effective Date but which the State does not know or suspect to exist,whether through ignorance,oversight,error,negligence or through no fault whatsoever, and which, if known, would have materially affected the State's decision to enter into the Agreements. 14. Costs and Fees. The Parties will bear their own costs and attorneys' fees except as otherwise provided in the Agreements. G-6 15. No Admission of Liability. The Settling Distributors are consenting to this Judgment solely for the purpose of effectuating the Agreements, and nothing contained herein may be taken as or construed to be an admission or concession of any violation of law, rule, or regulation, or of any other matter of fact or law, or of any liability or wrongdoing, all of which the Settling Distributors expressly deny. None of the Settling Distributors or any other Released Entity admits that it caused or contributed to any public nuisance, and none of the Settling Distributors or any other Released Entity admits any wrongdoing that was or could have been alleged by the State, its Participating Subdivisions, or any other person or entity. No part of this Judgment shall constitute evidence of any liability, fault, or wrongdoing by the Settling Distributors or any other Released Entity. The Parties acknowledge that payments made under the Agreements are not a fine,penalty, or payment in lieu thereof and are properly characterized as described in Section V.F of the Global Agreement. 16. No Waiver. This Judgment is entered based on the Agreements without adjudication of any contested issue of fact or law or finding of liability of any kind. This Judgment shall not be construed or used as a waiver of any Settling Distributor's right, or any other Released Entity's right,to defend itself from, or make any arguments in, any other regulatory,governmental,private individual, or class claims or suits relating to the subject matter or terms of this Judgment. Notwithstanding the foregoing, the State may enforce the terms of this Judgment as expressly provided in the Agreements. 17.No Private Right of Action. This Judgment is not intended for use by any third party for any purpose, including submission to any court for any purpose, except pursuant to Section VI.A of the Global Agreement. Except as expressly provided in the Agreements,no portion of the Agreements or this Judgment shall provide any rights to, or be enforceable by, any person or entity that is not a Settling State or Released Entity. The State shall allow Participating Subdivisions in the State to notify it of any perceived violations of the Agreements or this Judgment. No Settling State, including the State of Washington, may assign or otherwise convey any right to enforce any provision of the Agreements. G-7 18. Admissibility. It is the intent of the Parties that this Judgment not be admissible in other cases against the Settling Distributors or binding on the Settling Distributors in any respect other than in connection with the enforcement of this Judgment or the Agreements. For the avoidance of doubt,nothing herein shall prohibit a Settling Distributor from entering this Judgment or the Agreements into evidence in any litigation or arbitration concerning (1) a Settling Distributor's right to coverage under an insurance contract or (2) the enforcement of the releases provided for by the Agreements and this Judgment. 19. Preservation of Privilege. Nothing contained in the Agreements or this Judgment, and no act required to be performed pursuant to the Agreements or this Judgment, is intended to constitute, cause, or effect any waiver (in whole or in part) of any attorney-client privilege, work product protection, or common interest/joint defense privilege, and each Party agrees that it shall not make or cause to be made in any forum any assertion to the contrary. 20. Mutual Interpretation. The Parties agree and stipulate that the Agreements were negotiated on an arm's-length basis between parties of equal bargaining power and was drafted jointly by counsel for each Party. Accordingly, the Agreements are incorporated herein by reference and shall be mutually interpreted and not construed in favor of or against any Party, except as expressly provided for in the Agreements. 21. Retention of Jurisdiction. The Court shall retain jurisdiction of the Parties for the limited purpose of the resolution of disputes identified in Section VI.F.1 of the Global Agreement. The Court shall have jurisdiction over Participating Subdivisions in the State for the limited purposes identified in the Agreements. 22. Successors and Assigns. This Judgment is binding on each of the Settling Distributor's successors and assigns. 23. Modification. This Judgment shall not be modified (by the Court, by any other court, or by any other means)without the consent of the State and the Settling Distributors,or as provided for in Section XIV.0 of the Global Agreement. G-8 So ORDERED this day of 2022. THE HONORABLE JUDGE MICHAEL. R. SCOTT APPROVED, AGREED TO AND PRESENTED BY: ROBERT W. FERGUSON STOEL RIVES LLP Attorney General s/ s/ MARTHA RODRIGUEZ LOPEZ, VANESSA SORIANO POWER, WSBA No. 35466 WSBA No. 30777 ANDREW R.W. HUGHES, WSBA No. 49515 JENNA M. POLIGO, WSBA No. 54466 NATHAN K. BAYS, WSBA No. 43025 RACHEL C. LEE, WSBA No. 48245 BRIAN H. ROWE, WSBANo. 56817 SPENCER W. COATES, WSBANo. 49683 S. JULIA LITTELL, WSBA No. 54106 KELSEY E. ENDRES, WSBA No. 39409 PER RAMFJORD,pro hac vice LAURA K. CLINTON, WSBA No. 29846 CHRIS C. RIFER, pro hac vice JONATHAN J. GUSS,WSBANo. 57663 SUSAN E. LLORENS, WSBA No. 38049 LIAE. PERNELL, WSBANo. 50208 WILLIAMS & CONNOLLYLLP MOTLEY RICE LLC s/ LORYN HELFMANN, pro hac vice A. JOSHUA PODOLL, pro hac vice s/ SUZANNE SALGADO, pro hac vice LINDA SINGER, pro hac vice NEELUM J. WADHWANI, pro hac vice ELIZABETH SMITH, pro hac vice PAUL E. BOEHM, pro hac vice DAVID I. ACKERMAN, pro hac vice ELEANOR J.G. WASSERMAN, pro hac vice JAMES LEDLIE, pro hac vice DAVID J. PARK, pro hac vice DON MIGLIORI, pro hac vice JOSHUA D. TULLY, pro hac vice REBECCA FONSECA, pro hac vice STEVEN PYSER, pro hac vice MICHAEL J. QUIRK, pro hac vice ENU A. MAINIGI, pro hac vice ANNIE KOUBA, pro hac vice JENNIFER G. WICHT, pro hac vice MICHAEL J. PENDELL, pro hac vice JOSEPH S. BUSHUR, pro hac vice CHRISTOPHER MORIARTY, pro hac vice COLLEEN MCNAMARA, pro hac vice LISA M. SALTZBURG, pro hac vice MATTHEW P. MOONEY, pro hac vice NATALIA DEYNEKA, pro hac vice ASHLEY W. HARDIN, pro hac vice MICHAEL E. ELSNER, pro hac vice J. ANDREW KEYES, pro hac vice ANDREW P. ARNOLD, pro hac vice EMILY R. PISTILLI, pro hac vice MIMI LIU, pro hac vice BRAD MASTERS, pro hac vice G-9 ANN RITTER, pro hac vice WILLIAM F. HAWKINS, pro hac vice SARA AGUINGUA, pro hac vice DAVID BURNETT, pro hac vice Attorneys for Defendant Cardinal Health Inc. VINCENT GREENE, pro hac vice Attorneys for Plaintiff State of Washington GORDON TILDEN THOMAS & CORDELL LLP s/ FRANKLIN D. CORDELL, WSBA No. 26392 JEFFREY M. THOMAS, WSBANo. 21175 KASEY HUEBNER, WSBA No. 32890 COVINGTON& BURLING CHISTOPHER EPPICH, pro hac vice ANDREW STANNER, pro hac vice KEVIN KELLY, pro hac vice AMBER CHARLES, pro hac vice MEGHAN MONAGHAN, pro hac vice ISAAC CHAPUT, pro hac vice DANIEL EAGLES, pro hac vice MEGAN MCLAUGHLIN, pro hac vice DEVON L. MOBLEY-RITTER, pro hac vice MEGAN RODGERS, pro hac vice SONYA D. WINNER, pro hac vice CLAYTON L. BAILEY, pro hac vice JAMES A. GOOLD, pro hac vice EMILY KVESELIS, pro hac vice PAUL W. SCHMIDT, pro hac vice ALEXANDER SETZEPFANDT, pro hac vice CHRISTIAN J. PISTILLI, pro hac vice LAUREN DORRIS, pro hac vice NICHOLAS GRIEPSMA, pro hac vice ALISON DICIURCIO, pro hac vice SARA J. DENNIS, pro hac vice PHYLLIS A. JONES, pro hac vice DALE A. RICE, pro hac vice Attorneys for Defendant McKesson Corp. LANE POWELL PC s/ JOHN S. DEVLIN III, WSBANo. 23988 PILAR FRENCH, WSBANo. 33300 REED SMITH LLP G-10 ROBERT A. NICHOLAS, pro hac vice KIM M. WATTERSON, pro hac vice STEVEN BORANIAN, pro hac vice ELIZABETH BRANDON, pro hac vice Attorneys for Defendant AmerisourceBergen Drug Corporation and AmerisourceBergen Corporation G-11 DECLARATION OF SERVICE I declare that I caused a copy of the foregoing document to be electronically served using the Court's Electronic Filing System, which will serve a copy of this document upon all counsel of record. CARDINAL Vanessa S. Power, Atty vanessa.power@stoel.com Jenna Poligo, Atty jenna.poligo@stoel.com Per A. Ramfjord, Atty per.ramfjord@stoel.com Rachel C. Lee, Atty rachel.lee@stoel.com Christopher C. Rifer, Atty christopher.rifer@stoel.com Loryn Helfmann, Atty lhelfmann@wc.com A. Joshua Podoll, Atty apodoll@wc.com Suzanne Salgado, Atty ssalgado@wc.com Neelum J. Wadhwani, Atty nwadhwani@wc.com Paul E. Boehm, Atty pboehm@wc.com Eleanor J. G. Wasserman, Atty ewasserman@wc.com David J. Park, Atty dpark@wc.com Joshua D. Tully, Atty @lly@wc.com Steven Pyser, Atty spyser@wc.com Enu A. Mainigi, Atty emainigi@wc.com Jennifer G. Wicht, Atty jwicht@wc.com Joseph S. Bushur, Atty jbushur@wc.com Colleen McNamara, Atty cmcnamara@wc.com Ashley W. Hardin, Atty ahardin@wc.com J. Andrew Keyes, Atty akeyes@wc.com Emily R. Pistilli, Atty epistilli@wc.com William F. Hawkins, Atty whawkins@wc.com Stoel Docketing docketclerk@stoel.com Leslie Lomax, Legal Assistant leslie.lomax@stoel.com WA Action cardinalwashingtonaction@wc.com MCKESSON Franklin D. Cordell fcordell@gordontilden.com Jeffrey M. Thomas jthomas@gordontilden.com Kasey Huebner khuebner@gordontilden.com Christopher Eppich, Atty ceppich@cov.com Andrew Stanner, Atty astanner@cov.com Kevin Kelly, Atty kkelly@cov.com Amber Charles, Atty acharles@cov.com Meghan Monaghan, Atty mmonaghan@cov.com Isaac Chaput, Atty ichaput@cov.com Daniel Eagles, Atty deagles@cov.com Megan McLaughlin, Atty mmclaughlin@cov.com Devon L. Mobley-Ritter, Atty dmobleyritter@cov.com Megan Rodgers, Atty mrodgers@cov.com Sonya D. Winner, Atty swinner@cov.com Clayton L. Bailey, Atty cbailey@cov.com G-12 James A. Goold, Atty jgoold@cov.com Emily Kveselis, Atty ekveselis@cov.com Paul W. Schmidt, Atty pschmidt@cov.com Alexander Setzepfandt, Atty asetzepfandt@cov.com Christian J. Pistilli, Atty cpistilli@cov.com Lauren Dorris, Atty ldorris@cov.com Nicholas Griepsma, Atty ngriepsma@cov.com Alison DiCiurcio, Atty adiciurcio@cov.com Sara J. Dennis,Atty sdennis@cov.com Phyllis A. Jones, Atty pajones@cov.com Dale A. Rice, Atty drice@cov.com Nicole Antoine, Atty nantoine@cov.com Timothy Hester, Atty thester@cov.com Gregory L. Halperin, Atty galperin@cov.com Stephen Petkis,Atty spetkis@cov.com Alice Phillips Atty aphillips@cov.com Ellen Evans, Legal Assistant eevans@gordontilden.com Jacqueline Lucien Legal Assistant jlucien@gordontilden.com Courtney Caryl Garth, Paralegal ccaryl@gordontilden.com Electronic Mailing Inbox mckessonwa@cov.com AMERISOURCEBERGEN Pilar French, Atty frenchp@lanepowell.com John S. Devlin III, Atty devlinj@lanepowell.com Katie Bass, Atty bassk@lanepowell.com Elizabeth Brandon, Atty ebrandon@reedsmith.com Sarah Johansen, Atty sjohansen@reedsmith.com Rachel B. Weil, Atty rweil@reedsmith.com Steven Boranian, Atty sboranian@reedsmith.com Adam D. Brownrout, Atty abrownrout@reedsmith.com Nicole S. Soussan, Atty nsoussan@reedsmith.com Brian T. Himmel, Atty bhimmel@reedsmith.com Shannon E. McClure, Atty smcclure@reedsmith.com Michael J. Salimbene, Atty msalimbene@reedsmith.com Robert A. Nicholas, Atty Nicholas@reedsmith.com Thomas H. Suddath, Jr.,Atty tsuddath@reedsmith.com Thomas J. McGarrigle, Atty tmcgarrigle@reedsmith.com Courtland C. Chillingworth, Atty cchillingworth@reedsmith.com Christina M. Vitale, Atty cvitale@reedsmith.com Brian T. Kiolbasa, Atty kiolbasab@lanepowell.com Abigail M. Pierce, Atty abigail.pierce@reedsmith.com Joseph Mahady, Atty jmahady@reedsmith.com Jeffrey R. Melton, Atty jmelton@reedsmith.com Anne E. Rollins, Atty arollins@reedsmith.com Eric J. Buhr, Atty ebuhr@reedsmith.com Brent R. Gary, Atty bgary@reedsmith.com Kim M. Watterson, Atty KWatterson@reedsmith.corn Jeffrey M. Weimer, Atty JWeimer@reedsmith.com E-Mailbox Docketing-SEA@lanepowell.com E-Mailbox Docketing-PDX@lanepowell.com E-Mailbox ABDCWA@LanePowell.com G-13 DATED day of 2022, at Seattle, Washington. s/ ANDREW R.W. HUGHES, WSBA No. 49515 G-14 Exhibit H Distributor Global Settlement Agreement This document is not attached due to its size. The document can be found here: https://agportal- s3bucket.s3.amazonaws.com/Distributors Settlement/National%20Distributor%20 S ettl ement.p df EXHIBIT 2 Subdivision Settlement Participation Form (Exhibit F of the Distributors Settlement) Exhibit F Subdivision Settlement Participation Form Governmental Entity: State: Authorized Official: Address 1: Address 2: City, State, Zip: Phone: Email: The governmental entity identified above ("Governmental Entity"), in order to obtain and in consideration for the benefits provided to the Governmental Entity pursuant to the Settlement Agreement dated May 2, 2022 ("Distributors Washington Settlement"), and acting through the undersigned authorized official, hereby elects to participate in the Distributors Washington Settlement, release all Released Claims against all Released Entities, and agrees as follows. 1. The Governmental Entity is aware of and has reviewed the Distributors Washington Settlement, including the Distributor Global Settlement Agreement dated July 21, 2021 ("Global Settlement") attached to the Distributors Washington Settlement as Exhibit H, understands that all terms in this Participation Form have the meanings defined therein, and agrees that by signing this Participation Form, the Governmental Entity elects to participate in the Distributors Washington Settlement and become a Participating Subdivision as provided therein. 2. The Governmental Entity shall, within 14 days of October 1, 2022 and prior to the filing of the Consent Judgment, secure the dismissal with prejudice of any Released Claims that it has filed. 4. The Governmental Entity agrees to the terms of the Distributors Washington Settlement pertaining to Subdivisions as defined therein. 5. By agreeing to the terms of the Distributors Washington Settlement and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning after December 1, 2022. 6. The Governmental Entity agrees to use any monies it receives through the Distributors Washington Settlement solely for the purposes provided therein. 7. The Governmental Entity submits to the jurisdiction of the Washington Consent Judgment Court for purposes limited to that court's role as provided in, and for resolving disputes to the extent provided in, the Distributors Washington Settlement. The Governmental Entity likewise agrees to arbitrate before the National Arbitration Panel as provided in, and for resolving disputes to the extent otherwise provided in the Distributors Washington Settlement. F-1 8. The Governmental Entity has the right to enforce the Distributors Washington Settlement as provided therein. 9. The Governmental Entity, as a Participating Subdivision, hereby becomes a Releasor for all purposes in the Distributors Washington Settlement, including, but not limited to, all provisions of Section XI of the Global Settlement, and along with all departments, agencies, divisions, boards, commissions, districts, instrumentalities of any kind and attorneys, and any person in their official capacity elected or appointed to serve any of the foregoing and any agency,person, or other entity claiming by or through any of the foregoing, and any other entity identified in the definition of Releasor,provides for a release to the fullest extent of its authority. As a Releasor, the Governmental Entity hereby absolutely, unconditionally, and irrevocably covenants not to bring, file, or claim, or to cause, assist or permit to be brought, filed, or claimed, or to otherwise seek to establish liability for any Released Claims against any Released Entity in any forum whatsoever. The releases provided for in the Distributors Washington Settlement are intended by the Agreement Parties to be broad and shall be interpreted so as to give the Released Entities the broadest possible bar against any liability relating in any way to Released Claims and extend to the full extent of the power of the Governmental Entity to release claims. The Distributors Washington Settlement shall be a complete bar to any Released Claim. 10. The Governmental Entity hereby takes on all rights and obligations of a Participating Subdivision as set forth in the Distributors Washington Settlement. 11. In connection with the releases provided for in the Distributors Washington Settlement, each Governmental Entity expressly waives, releases, and forever discharges any and all provisions, rights, and benefits conferred by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code, which reads: General Release; extent. A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release, and that if known by him or her would have materially affected his or her settlement with the debtor or released party. A Releasor may hereafter discover facts other than or different from those which it knows,believes, or assumes to be true with respect to the Released Claims,but each Governmental Entity hereby expressly waives and fully, finally, and forever settles, releases and discharges, upon the date the Distributors Washington Settlement becomes effective pursuant to Section II.B of the Distributors Washington Settlement, any and all Released Claims that may exist as of such date but which Releasors do not know or suspect to exist, whether through ignorance, oversight, error, negligence or through no fault whatsoever, and which, if known, would materially affect the Governmental Entities' decision to participate in the Distributors Washington Settlement. F-2 12. Nothing herein is intended to modify in any way the terms of the Distributors Washington Settlement, to which Governmental Entity hereby agrees. To the extent this Participation Form is worded differently from Exhibit F to the Distributors Washington Settlement or interpreted differently from the Distributors Washington Settlement in any respect, the Distributors Washington Settlement controls. I have all necessary power and authorization to execute this Participation Form on behalf of the Governmental Entity. Signature: Name: Title: Date: F-3 EXHIBIT 3 One Washington Memorandum of Understanding Between Washington Municipalities ONE WASHINGTON MEMORANDUM OF UNDERSTANDING BETWEEN WASHINGTON MUNICIPALITIES Whereas, the people of the State of Washington and its communities have been harmed by entities within the Pharmaceutical Supply Chain who manufacture, distribute, and dispense prescription opioids; Whereas, certain Local Governments, through their elected representatives and counsel, are engaged in litigation seeking to hold these entities within the Pharmaceutical Supply Chain of prescription opioids accountable for the damage they have caused to the Local Governments; Whereas, Local Governments and elected officials share a common desire to abate and alleviate the impacts of harms caused by these entities within the Pharmaceutical Supply Chain throughout the State of Washington, and strive to ensure that principals of equity and equitable service delivery are factors considered in the allocation and use of Opioid Funds; and Whereas, certain Local Governments engaged in litigation and the other cities and counties in Washington desire to agree on a form of allocation for Opioid Funds they receive from entities within the Pharmaceutical Supply Chain. Now therefore, the Local Governments enter into this Memorandum of Understanding ("MOU") relating to the allocation and use of the proceeds of Settlements described. A. Definitions As used in this MOU: 1. "Allocation Regions" are the same geographic areas as the existing nine (9) Washington State Accountable Community of Health (ACH) Regions and have the purpose described in Section C below. 2. "Approved Purpose(s)" shall mean the strategies specified and set forth in the Opioid Abatement Strategies attached as Exhibit A. 3. "Effective Date" shall mean the date on which a court of competent jurisdiction enters the first Settlement by order or consent decree. The Parties anticipate that more than one Settlement will be administered according to the terms of this MOU, but that the first entered Settlement will trigger allocation of Opioid Funds in accordance with Section B herein, and the formation of the Opioid Abatement Councils in Section C. 4. "Litigating Local Government(s)" shall mean Local Governments that filed suit against any Pharmaceutical Supply Chain Participant pertaining to the Opioid epidemic prior to September 1, 2020. 1 5. "Local Government(s)" shall mean all counties, cities, and towns within the geographic boundaries of the State of Washington. 6. "National Settlement Agreements" means the national opioid settlement agreements dated July 21, 2021 involving Johnson & Johnson, and distributors AmerisourceBergen, Cardinal Health and McKesson as well as their subsidiaries, affiliates, officers, and directors named in the National Settlement Agreements, including all amendments thereto. 7. "Opioid Funds" shall mean monetary amounts obtained through a Settlement as defined in this MOU. 8. "Opioid Abatement Council" shall have the meaning described in Section C below. 9. "Participating Local Government(s)" shall mean all counties, cities, and towns within the geographic boundaries of the State that have chosen to sign on to this MOU. The Participating Local Governments may be referred to separately in this MOU as "Participating Counties" and"Participating Cities and Towns" (or"Participating Cities or Towns," as appropriate) or"Parties." 10. "Pharmaceutical Supply Chain" shall mean the process and channels through which controlled substances are manufactured, marketed, promoted, distributed, and/or dispensed, including prescription opioids. 11. "Pharmaceutical Supply Chain Participant" shall mean any entity that engages in or has engaged in the manufacture, marketing,promotion, distribution, and/or dispensing of a prescription opioid, including any entity that has assisted in any of the above. 12. "Qualified Settlement Fund Account," or"QSF Account," shall mean an account set up as a qualified settlement fund, 468b fund, as authorized by Treasury Regulations 1.468B-1(c) (26 CFR §1.468B-1). 13. "Regional Agreements" shall mean the understanding reached by the Participating Local Counties and Cities within an Allocation Region governing the allocation, management, distribution of Opioid Funds within that Allocation Region. 14. "Settlement" shall mean the future negotiated resolution of legal or equitable claims against a Pharmaceutical Supply Chain Participant when that resolution has been jointly entered into by the Participating Local Governments. "Settlement" expressly does not include a plan of reorganization confirmed under Title l lof the United States Code, irrespective of the extent to which Participating Local Governments vote in favor of or otherwise support such plan of reorganization. 2 15. "Trustee" shall mean an independent trustee who shall be responsible for the ministerial task of releasing Opioid Funds from a QSF account to Participating Local Governments as authorized herein and accounting for all payments into or out of the trust. 16. The "Washington State Accountable Communities of Health" or "ACH" shall mean the nine (9)regions described in Section C below. B. Allocation of Settlement Proceeds for Approved Purposes 1. All Opioid Funds shall be held in a QSF and distributed by the Trustee, for the benefit of the Participating Local Governments, only in a manner consistent with this MOU. Distribution of Opioid Funds will be subject to the mechanisms for auditing and reporting set forth below to provide public accountability and transparency. 2. All Opioid Funds,regardless of allocation, shall be utilized pursuant to Approved Purposes as defined herein and set forth in Exhibit A. Compliance with this requirement shall be verified through reporting, as set out in this MOU. 3. The division of Opioid Funds shall first be allocated to Participating Counties based on the methodology utilized for the Negotiation Class in In Re:National Prescription Opiate Litigation, United States District Court for the Northern District of Ohio, Case No. 1:17-md-02804-DAP. The allocation model uses three equally weighted factors: (1)the amount of opioids shipped to the county; (2)the number of opioid deaths that occurred in that county; and (3) the number of people who suffer opioid use disorder in that county. The allocation percentages that result from application of this methodology are set forth in the "County Total"line item in Exhibit B. In the event any county does not participate in this MOU, that county's percentage share shall be reallocated proportionally amongst the Participating Counties by applying this same methodology to only the Participating Counties. 4. Allocation and distribution of Opioid Funds within each Participating County will be based on regional agreements as described in Section C. C. Regional Agreements 1. For the purpose of this MOU, the regional structure for decision- making related to opioid fund allocation will be based upon the nine (9)pre- defined Washington State Accountable Community of Health Regions (Allocation Regions). Reference to these pre-defined regions is solely for the purpose of 3 drawing geographic boundaries to facilitate regional agreements for use of Opioid Funds. The Allocation Regions are as follows: • King County (Single County Region) • Pierce County (Single County Region) • Olympic Community of Health Region (Clallam, Jefferson, and Kitsap Counties) • Cascade Pacific Action Alliance Region (Cowlitz, Grays Harbor, Lewis, Mason, Pacific, Thurston, and Wahkiakum Counties) • North Sound Region (Island, San Juan, Skagit, Snohomish, and Whatcom Counties) • SouthWest Region (Clark, Klickitat, and Skamania Counties) • Greater Columbia Region (Asotin, Benton, Columbia, Franklin, Garfield, Kittitas, Walla Walla, Whitman, and Yakima Counties) • Spokane Region (Adams, Ferry, Lincoln, Pend Oreille, Spokane, and Stevens Counties) • North Central Region (Chelan, Douglas, Grant, and Okanogan Counties) 2. Opioid Funds will be allocated, distributed and managed within each Allocation Region, as determined by its Regional Agreement as set forth below. If an Allocation Region does not have a Regional Agreement enumerated in this MOU, and does not subsequently adopt a Regional Agreement per Section C.5, the default mechanism for allocation, distribution and management of Opioid Funds described in Section C.4.a will apply. Each Allocation Region must have an OAC whose composition and responsibilities shall be defined by Regional Agreement or as set forth in Section C.4. 3. King County's Regional Agreement is reflected in Exhibit C to this MOU. 4. All other Allocation Regions that have not specified a Regional Agreement for allocating, distributing and managing Opioid Funds, will apply the following default methodology: a. Opioid Funds shall be allocated within each Allocation Region by taking the allocation for a Participating County from Exhibit B and apportioning those funds between that Participating County and its Participating Cities and Towns. Exhibit B also sets forth the allocation to the Participating Counties and the Participating Cities or Towns within the Counties based on a default allocation formula. As set forth above in Section B.3, to determine the allocation to a county, this formula utilizes: (1) the amount of opioids shipped to the county; (2) the number of opioid deaths that occurred in that county; and (3) the number of people who suffer opioid use disorder in that county. To determine the allocation within a county, the formula utilizes historical federal data showing how the specific Counties and the Cities and Towns within the Counties have 4 made opioids epidemic-related expenditures in the past. This is the same methodology used in the National Settlement Agreements for county and intra-county allocations. A Participating County, and the Cities and Towns within it may enter into a separate intra-county allocation agreement to modify how the Opioid Funds are allocated amongst themselves, provided the modification is in writing and agreed to by all Participating Local Governments in the County. Such an agreement shall not modify any of the other terms or requirements of this MOU. b. 10% of the Opioid Funds received by the Region will be reserved, on an annual basis, for administrative costs related to the OAC. The OAC will provide an annual accounting for actual costs and any reserved funds that exceed actual costs will be reallocated to Participating Local Governments within the Region. c. Cities and towns with a population of less than 10,000 shall be excluded from the allocation, with the exception of cities and towns that are Litigating Participating Local Governments. The portion of the Opioid Funds that would have been allocated to a city or town with a population of less than 10,000 that is not a Litigating Participating Local Government shall be redistributed to Participating Counties in the manner directed in C.4.a above. d. Each Participating County, City, or Town may elect to have its share re-allocated to the OAC in which it is located. The OAC will then utilize this share for the benefit of Participating Local Governments within that Allocation Region, consistent with the Approved Purposes set forth in Exhibit A. A Participating Local Government's election to forego its allocation of Opioid Funds shall apply to all future allocations unless the Participating Local Government notifies its respective OAC otherwise. If a Participating Local Government elects to forego its allocation of the Opioid Funds, the Participating Local Government shall be excused from the reporting requirements set forth in this Agreement. e. Participating Local Governments that receive a direct payment maintain full discretion over the use and distribution of their allocation of Opioid Funds,provided the Opioid Funds are used solely for Approved Purposes. Reasonable administrative costs for a Participating Local Government to administer its allocation of Opioid Funds shall not exceed actual costs or 10% of the Participating Local Government's allocation of Opioid Funds, whichever is less. f. A Local Government that chooses not to become a Participating Local Government will not receive a direct allocation of Opioid Funds. The portion of the Opioid Funds that would have been allocated to a Local Government that is not a Participating Local Government shall be 5 redistributed to Participating Counties in the manner directed in C.4.a above. g. As a condition of receiving a direct payment, each Participating Local Government that receives a direct payment agrees to undertake the following actions: i. Developing a methodology for obtaining proposals for use of Opioid Funds. ii. Ensuring there is opportunity for community-based input on priorities for Opioid Fund programs and services. iii. Receiving and reviewing proposals for use of Opioid Funds for Approved Purposes. iv. Approving or denying proposals for use of Opioid Funds for Approved Purposes. v. Receiving funds from the Trustee for approved proposals and distributing the Opioid Funds to the recipient. vi. Reporting to the OAC and making publicly available all decisions on Opioid Fund allocation applications, distributions and expenditures. h. Prior to any distribution of Opioid Funds within the Allocation Region, The Participating Local Governments must establish an Opioid Abatement Council (OAC) to oversee Opioid Fund allocation, distribution, expenditures and dispute resolution. The OAC may be a preexisting regional body or may be a new body created for purposes of executing the obligations of this MOU. i. The OAC for each Allocation Region shall be composed of representation from both Participating Counties and Participating Towns or Cities within the Region. The method of selecting members, and the terms for which they will serve will be determined by the Allocation Region's Participating Local Governments. All persons who serve on the OAC must have work or educational experience pertaining to one or more Approved Uses. j. The Regional OAC will be responsible for the following actions: i. Overseeing distribution of Opioid Funds from Participating Local Governments to programs and services within the Allocation Region for Approved Purposes. 6 ii. Annual review of expenditure reports from Participating Local Jurisdictions within the Allocation Region for compliance with Approved Purposes and the terms of this MOU and any Settlement. iii. In the case where Participating Local Governments chose to forego their allocation of Opioid Funds: (i) Approving or denying proposals by Participating Local Governments or community groups to the OAC for use of Opioid Funds within the Allocation Region. (ii) Directing the Trustee to distribute Opioid Funds for use by Participating Local Governments or community groups whose proposals are approved by the OAC. (iii) Administrating and maintaining records of all OAC decisions and distributions of Opioid Funds. iv. Reporting and making publicly available all decisions on Opioid Fund allocation applications, distributions and expenditures by the OAC or directly by Participating Local Governments. v. Developing and maintaining a centralized public dashboard or other repository for the publication of expenditure data from any Participating Local Government that receives Opioid Funds, and for expenditures by the OAC in that Allocation Region, which it shall update at least annually. vi. If necessary,requiring and collecting additional outcome- related data from Participating Local Governments to evaluate the use of Opioid Funds, and all Participating Local Governments shall comply with such requirements. vii. Hearing complaints by Participating Local Governments within the Allocation Region regarding alleged failure to (1) use Opioid Funds for Approved Purposes or(2) comply with reporting requirements. 5. Participating Local Governments may agree and elect to share, pool, or collaborate with their respective allocation of Opioid Funds in any manner they choose by adopting a Regional Agreement, so long as such sharing, pooling, or collaboration is used for Approved Purposes and complies with the terms of this MOU and any Settlement. 7 6. Nothing in this MOU should alter or change any Participating Local Government's rights to pursue its own claim. Rather, the intent of this MOU is to join all parties who wish to be Participating Local Governments to agree upon an allocation formula for any Opioid Funds from any future binding Settlement with one or more Pharmaceutical Supply Chain Participants for all Local Governments in the State of Washington. 7. If any Participating Local Government disputes the amount it receives from its allocation of Opioid Funds, the Participating Local Government shall alert its respective OAC within sixty (60) days of discovering the information underlying the dispute. Failure to alert its OAC within this time frame shall not constitute a waiver of the Participating Local Government's right to seek recoupment of any deficiency in its allocation of Opioid Funds. 8. If any OAC concludes that a Participating Local Government's expenditure of its allocation of Opioid Funds did not comply with the Approved Purposes listed in Exhibit A, or the terms of this MOU, or that the Participating Local Government otherwise misused its allocation of Opioid Funds, the OAC may take remedial action against the alleged offending Participating Local Government. Such remedial action is left to the discretion of the OAC and may include withholding future Opioid Funds owed to the offending Participating Local Government or requiring the offending Participating Local Government to reimburse improperly expended Opioid Funds back to the OAC to be re-allocated to the remaining Participating Local Governments within that Region. 9. All Participating Local Governments and OAC shall maintain all records related to the receipt and expenditure of Opioid Funds for no less than five (5) years and shall make such records available for review by any other Participating Local Government or OAC, or the public. Records requested by the public shall be produced in accordance with Washington's Public Records Act RCW 42.56.001 et seq. Records requested by another Participating Local Government or an OAC shall be produced within twenty-one (21) days of the date the record request was received. This requirement does not supplant any Participating Local Government or OAC's obligations under Washington's Public Records Act RCW 42.56.001 et seq. D. Payment of Counsel and Litigation Expenses 1. The Litigating Local Governments have incurred attorneys' fees and litigation expenses relating to their prosecution of claims against the Pharmaceutical Supply Chain Participants, and this prosecution has inured to the benefit of all Participating Local Governments. Accordingly, a Washington 8 Government Fee Fund("GFF") shall be established that ensures that all Parties that receive Opioid Funds contribute to the payment of fees and expenses incurred to prosecute the claims against the Pharmaceutical Supply Chain Participants, regardless of whether they are litigating or non-litigating entities. 2. The amount of the GFF shall be based as follows: the funds to be deposited in the GFF shall be equal to 15% of the total cash value of the Opioid Funds. 3. The maximum percentage of any contingency fee agreement permitted for compensation shall be 15% of the portion of the Opioid Funds allocated to the Litigating Local Government that is a party to the contingency fee agreement, plus expenses attributable to that Litigating Local Government. Under no circumstances may counsel collect more for its work on behalf of a Litigating Local Government than it would under its contingency agreement with that Litigating Local Government. 4. Payments from the GFF shall be overseen by a committee (the "Opioid Fee and Expense Committee") consisting of one representative of the following law firms: (a) Keller Rohrback L.LP.; (b) Hagens Berman Sobol Shapiro LLP; (c) Goldfarb & Huck Roth Riojas, PLLC; and (d)Napoli Shkolnik PLLC. The role of the Opioid Fee and Expense Committee shall be limited to ensuring that the GFF is administered in accordance with this Section. 5. In the event that settling Pharmaceutical Supply Chain Participants do not pay the fees and expenses of the Participating Local Governments directly at the time settlement is achieved, payments to counsel for Participating Local Governments shall be made from the GFF over not more than three years,with 50%paid within 12 months of the date of Settlement and 25%paid in each subsequent year, or at the time the total Settlement amount is paid to the Trustee by the Defendants, whichever is sooner. 6. Any funds remaining in the GFF in excess of: (i)the amounts needed to cover Litigating Local Governments' private counsel's representation agreements, and (ii) the amounts needed to cover the common benefit tax discussed in Section C.8 below (if not paid directly by the Defendants in connection with future settlement(s), shall revert to the Participating Local Governments pro rata according to the percentages set forth in Exhibits B, to be used for Approved Purposes as set forth herein and in Exhibit A. 7. In the event that funds in the GFF are not sufficient to pay all fees and expenses owed under this Section,payments to counsel for all Litigating Local Governments shall be reduced on a pro rata basis. The Litigating Local Governments will not be responsible for any of these reduced amounts. 9 8. The Parties anticipate that any Opioid Funds they receive will be subject to a common benefit"tax" imposed by the court in In Re:National Prescription Opiate Litigation,United States District Court for the Northern District of Ohio, Case No. 1:17-md-02804-DAP ("Common Benefit Tax"). If this occurs, the Participating Local Governments shall first seek to have the settling defendants pay the Common Benefit Tax. If the settling defendants do not agree to pay the Common Benefit Tax, then the Common Benefit Tax shall be paid from the Opioid Funds and by both litigating and non-litigating Local Governments. This payment shall occur prior to allocation and distribution of funds to the Participating Local Governments. In the event that GFF is not fully exhausted to pay the Litigating Local Governments' private counsel's representation agreements, excess funds in the GFF shall be applied to pay the Common Benefit Tax (if any). E. General Terms 1. If any Participating Local Government believes another Participating Local Government, not including the Regional Abatement Advisory Councils, violated the terms of this MOU, the alleging Participating Local Government may seek to enforce the terms of this MOU in the court in which any applicable Settlement(s) was entered,provided the alleging Participating Local Government first provides the alleged offending Participating Local Government notice of the alleged violation(s) and a reasonable opportunity to cure the alleged violation(s). In such an enforcement action, any alleging Participating Local Government or alleged offending Participating Local Government may be represented by their respective public entity in accordance with Washington law. 2. Nothing in this MOU shall be interpreted to waive the right of any Participating Local Government to seek judicial relief for conduct occurring outside the scope of this MOU that violates any Washington law. In such an action, the alleged offending Participating Local Government, including the Regional Abatement Advisory Councils, may be represented by their respective public entities in accordance with Washington law. In the event of a conflict, any Participating Local Government, including the Regional Abatement Advisory Councils and its Members, may seek outside representation to defend itself against such an action. 3. Venue for any legal action related to this MOU shall be in the court in which the Participating Local Government is located or in accordance with the court rules on venue in that jurisdiction. This provision is not intended to expand the court rules on venue. 4. This MOU may be executed in two or more counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same instrument. The Participating Local Governments approve the use of electronic signatures for execution of this MOU. All use of electronic signatures 10 shall be governed by the Uniform Electronic Transactions Act. The Parties agree not to deny the legal effect or enforceability of the MOU solely because it is in electronic form or because an electronic record was used in its formation. The Participating Local Government agree not to object to the admissibility of the MOU in the form of an electronic record, or a paper copy of an electronic document, or a paper copy of a document bearing an electronic signature, on the grounds that it is an electronic record or electronic signature or that it is not in its original form or is not an original. 5. Each Participating Local Government represents that all procedures necessary to authorize such Participating Local Government's execution of this MOU have been performed and that the person signing for such Party has been authorized to execute the MOU. [Remainder of Page Intentionally Left Blank—Signature Pages Follow] 11 This One Washington Memorandum of Understanding Between Washington Municipalities is signed this day of , 2022 by: Name & Title On behalf of 4894-0031-1574,v.2 12 EXHIBIT A OPIOID ABATEMENT STRATEGIES PART ONE: TREATMENT A. TREAT OPIOID USE DISORDER(OUD) Support treatment of Opioid Use Disorder (OUD) and any co-occurring Substance Use Disorder or Mental Health (SUD/MH) conditions, co-usage, and/or co-addiction through evidence-based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1. Expand availability of treatment for OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including all forms of Medication-Assisted Treatment (MAT) approved by the U.S. Food and Drug Administration. 2. Support and reimburse services that include the full American Society of Addiction Medicine (ASAM) continuum of care for OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including but not limited to: a. Medication-Assisted Treatment(MAT); b. Abstinence-based treatment; c. Treatment, recovery, or other services provided by states, subdivisions, community health centers; non-for-profit providers; or for-profit providers; d. Treatment by providers that focus on OUD treatment as well as treatment by providers that offer OUD treatment along with treatment for other SUD/MH conditions, co-usage, and/or co-addiction; or e. Evidence-informed residential services programs, as noted below. 3. Expand telehealth to increase access to treatment for OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including MAT, as well as counseling, psychiatric support, and other treatment and recovery support services. 4. Improve oversight of Opioid Treatment Programs (OTPs) to assure evidence-based, evidence-informed, or promising practices such as adequate methadone dosing. 5. Support mobile intervention, treatment, and recovery services, offered by qualified professionals and service providers, such as peer recovery coaches, for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction and for persons who have experienced an opioid overdose. 6. Support treatment of mental health trauma resulting from the traumatic experiences of the opioid user (e.g., violence, sexual assault, human trafficking, or adverse childhood experiences) and family members (e.g., surviving family members after an overdose 1 or overdose fatality), and training of health care personnel to identify and address such trauma. 7. Support detoxification (detox) and withdrawal management services for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including medical detox, referral to treatment, or connections to other services or supports. 8. Support training on MAT for health care providers, students, or other supporting professionals, such as peer recovery coaches or recovery outreach specialists, including telementoring to assist community-based providers in rural or underserved areas. 9. Support workforce development for addiction professionals who work with persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 10. Provide fellowships for addiction medicine specialists for direct patient care, instructors, and clinical research for treatments. 11. Provide funding and training for clinicians to obtain a waiver under the federal Drug Addiction Treatment Act of 2000 (DATA 2000) to prescribe MAT for OUD, and provide technical assistance and professional support to clinicians who have obtained a DATA 2000 waiver. 12. Support the dissemination of web-based training curricula, such as the American Academy of Addiction Psychiatry's Provider Clinical Support Service-Opioids web- based training curriculum and motivational interviewing. 13. Support the development and dissemination of new curricula, such as the American Academy of Addiction Psychiatry's Provider Clinical Support Service for Medication-Assisted Treatment. B. SUPPORT PEOPLE IN TREATMENT AND RECOVERY Support people in treatment for and recovery from OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction through evidence-based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1. Provide the full continuum of care of recovery services for OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including supportive housing, residential treatment, medical detox services, peer support services and counseling, community navigators, case management, and connections to community-based services. 2. Provide counseling, peer-support, recovery case management and residential treatment with access to medications for those who need it to persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 2 3. Provide access to housing for people with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including supportive housing, recovery housing, housing assistance programs, or training for housing providers. 4. Provide community support services, including social and legal services, to assist in deinstitutionalizing persons with OUD and any co-occurring SUD/MH conditions, co- usage, and/or co-addiction. 5. Support or expand peer-recovery centers, which may include support groups, social events, computer access, or other services for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 6. Provide employment training or educational services for persons in treatment for or recovery from OUD and any co-occurring SUD/MH conditions, co-usage, and/or co- addiction. 7. Identify successful recovery programs such as physician, pilot, and college recovery programs, and provide support and technical assistance to increase the number and capacity of high-quality programs to help those in recovery. 8. Engage non-profits, faith-based communities, and community coalitions to support people in treatment and recovery and to support family members in their efforts to manage the opioid user in the family. 9. Provide training and development of procedures for government staff to appropriately interact and provide social and other services to current and recovering opioid users, including reducing stigma. 10. Support stigma reduction efforts regarding treatment and support for persons with OUD, including reducing the stigma on effective treatment. C. CONNECT PEOPLE WHO NEED HELP TO THE HELP THEY NEED (CONNECTIONS TO CARE) Provide connections to care for people who have — or are at risk of developing — OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction through evidence- based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1. Ensure that health care providers are screening for OUD and other risk factors and know how to appropriately counsel and treat (or refer if necessary) a patient for OUD treatment. 2. Support Screening, Brief Intervention and Referral to Treatment(SBIRT) programs to reduce the transition from use to disorders. 3. Provide training and long-term implementation of SBIRT in key systems (health, schools, colleges, criminal justice, and probation), with a focus on youth and young adults when transition from misuse to opioid disorder is common. 3 4. Purchase automated versions of SBIRT and support ongoing costs of the technology. 5. Support training for emergency room personnel treating opioid overdose patients on post-discharge planning, including community referrals for MAT, recovery case management or support services. 6. Support hospital programs that transition persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, or persons who have experienced an opioid overdose, into community treatment or recovery services through a bridge clinic or similar approach. 7. Support crisis stabilization centers that serve as an alternative to hospital emergency departments for persons with OUD and any co-occurring SUD/MH conditions, co- usage, and/or co-addiction or persons that have experienced an opioid overdose. 8. Support the work of Emergency Medical Systems, including peer support specialists, to connect individuals to treatment or other appropriate services following an opioid overdose or other opioid-related adverse event. 9. Provide funding for peer support specialists or recovery coaches in emergency depailinents, detox facilities, recovery centers, recovery housing, or similar settings; offer services, supports, or connections to care to persons with OUD and any co- occurring SUD/MH conditions, co-usage, and/or co-addiction or to persons who have experienced an opioid overdose. 10. Provide funding for peer navigators, recovery coaches, care coordinators, or care managers that offer assistance to persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction or to persons who have experienced on opioid overdose. 11. Create or support school-based contacts that parents can engage with to seek immediate treatment services for their child; and support prevention, intervention, treatment, and recovery programs focused on young people. 12. Develop and support best practices on addressing OUD in the workplace. 13. Support assistance programs for health care providers with OUD. 14. Engage non-profits and the faith community as a system to support outreach for treatment. 15. Support centralized call centers that provide information and connections to appropriate services and supports for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 16. Create or support intake and call centers to facilitate education and access to treatment, prevention, and recovery services for persons with OUD and any co- occurring SUD/MH conditions, co-usage, and/or co-addiction. 4 17. Develop or support a National Treatment Availability Clearinghouse — a multistate/nationally accessible database whereby health care providers can list locations for currently available in-patient and out-patient OUD treatment services that are accessible on a real-time basis by persons who seek treatment. D. ADDRESS THE NEEDS OF CRIMINAL-JUSTICE-INVOLVED PERSONS Address the needs of persons with OUD and any co-occurring SUD/MH conditions, co- usage, and/or co-addiction who are involved — or are at risk of becoming involved — in the criminal justice system through evidence-based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1. Support pre-arrest or post-arrest diversion and deflection strategies for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including established strategies such as: a. Self-referral strategies such as the Angel Programs or the Police Assisted Addiction Recovery Initiative (PAARI); b. Active outreach strategies such as the Drug Abuse Response Team (DART) model; c. "Naloxone Plus" strategies, which work to ensure that individuals who have received naloxone to reverse the effects of an overdose are then linked to treatment programs or other appropriate services; d. Officer prevention strategies, such as the Law Enforcement Assisted Diversion (LEAD) model; e. Officer intervention strategies such as the Leon County, Florida Adult Civil Citation Network or the Chicago Westside Narcotics Diversion to Treatment Initiative; f. Co-responder and/or alternative responder models to address OUD-related 911 calls with greater SUD expertise and to reduce perceived barriers associated with law enforcement 911 responses; or g. County prosecution diversion programs, including diversion officer salary, only for counties with a population of 50,000 or less. Any diversion services in matters involving opioids must include drug testing, monitoring, or treatment. 2. Support pre-trial services that connect individuals with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction to evidence-informed treatment, including MAT, and related services. 3. Support treatment and recovery courts for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, but only if these courts provide referrals to evidence-informed treatment, including MAT. 5 4. Provide evidence-informed treatment, including MAT, recovery support, or other appropriate services to individuals with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction who are incarcerated in jail or prison. 5. Provide evidence-informed treatment, including MAT, recovery support, or other appropriate services to individuals with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction who are leaving jail or prison have recently left jail or prison, are on probation or parole, are under community corrections supervision, or are in re-entry programs or facilities. 6. Support critical time interventions (CTI), particularly for individuals living with dual- diagnosis OUD/serious mental illness, and services for individuals who face immediate risks and service needs and risks upon release from correctional settings. 7. Provide training on best practices for addressing the needs of criminal-justice- involved persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction to law enforcement, correctional, or judicial personnel or to providers of treatment, recovery, case management, or other services offered in connection with any of the strategies described in this section. E. ADDRESS THE NEEDS OF PREGNANT OR PARENTING WOMEN AND THEIR FAMILIES, INCLUDING BABIES WITH NEONATAL ABSTINENCE SYNDROME Address the needs of pregnant or parenting women with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, and the needs of their families, including babies with neonatal abstinence syndrome, through evidence-based, evidence-informed, or promising programs or strategies that may include,but are not limited to, the following: 1. Support evidence-based, evidence-informed, or promising treatment, including MAT, recovery services and supports, and prevention services for pregnant women — or women who could become pregnant—who have OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, and other measures to educate and provide support to families affected by Neonatal Abstinence Syndrome. 2. Provide training for obstetricians or other healthcare personnel that work with pregnant women and their families regarding treatment of OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 3. Provide training to health care providers who work with pregnant or parenting women on best practices for compliance with federal requirements that children born with Neonatal Abstinence Syndrome get referred to appropriate services and receive a plan of safe care. 4. Provide enhanced support for children and family members suffering trauma as a result of addiction in the family; and offer trauma-informed behavioral health treatment for adverse childhood events. 6 5. Offer enhanced family supports and home-based wrap-around services to persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including but not limited to parent skills training. 6. Support for Children's Services — Fund additional positions and services, including supportive housing and other residential services, relating to children being removed from the home and/or placed in foster care due to custodial opioid use. PART TWO: PREVENTION F. PREVENT OVER-PRESCRIBING AND ENSURE APPROPRIATE PRESCRIBING AND DISPENSING OF OPIOIDS Support efforts to prevent over-prescribing and ensure appropriate prescribing and dispensing of opioids through evidence-based, evidence-informed, or promising programs or strategies that may include,but are not limited to, the following: 1. Training for health care providers regarding safe and responsible opioid prescribing, dosing, and tapering patients off opioids. 2. Academic counter-detailing to educate prescribers on appropriate opioid prescribing. 3. Continuing Medical Education (CME) on appropriate prescribing of opioids. 4. Support for non-opioid pain treatment alternatives, including training providers to offer or refer to multi-modal, evidence-informed treatment of pain. 5. Support enhancements or improvements to Prescription Drug Monitoring Programs (PDMPs), including but not limited to improvements that: a. Increase the number of prescribers using PDMPs; b. Improve point-of-care decision-making by increasing the quantity, quality, or format of data available to prescribers using PDMPs or by improving the interface that prescribers use to access PDMP data, or both; or c. Enable states to use PDMP data in support of surveillance or intervention strategies, including MAT referrals and follow-up for individuals identified within PDMP data as likely to experience OUD. 6. Development and implementation of a national PDMP — Fund development of a multistate/national PDMP that permits information sharing while providing appropriate safeguards on sharing of private health information, including but not limited to: a. Integration of PDMP data with electronic health records, overdose episodes, and decision support tools for health care providers relating to OUD. 7 b. Ensuring PDMPs incorporate available overdose/naloxone deployment data, including the United States Department of Transportation's Emergency Medical Technician overdose database. 7. Increase electronic prescribing to prevent diversion or forgery. 8. Educate Dispensers on appropriate opioid dispensing. G. PREVENT MISUSE OF OPIOIDS Support efforts to discourage or prevent misuse of opioids through evidence-based, evidence- informed, or promising programs or strategies that may include, but are not limited to, the following: 1. Corrective advertising or affirmative public education campaigns based on evidence. 2. Public education relating to drug disposal. 3. Drug take-back disposal or destruction programs. 4. Fund community anti-drug coalitions that engage in drug prevention efforts. 5. Support community coalitions in implementing evidence-informed prevention, such as reduced social access and physical access, stigma reduction — including staffing, educational campaigns, support for people in treatment or recovery, or training of coalitions in evidence-informed implementation, including the Strategic Prevention Framework developed by the U.S. Substance Abuse and Mental Health Services Administration (SAMHSA). 6. Engage non-profits and faith-based communities as systems to support prevention. 7. Support evidence-informed school and community education programs and campaigns for students, families, school employees, school athletic programs, parent- teacher and student associations, and others. 8. School-based or youth-focused programs or strategies that have demonstrated effectiveness in preventing drug misuse and seem likely to be effective in preventing the uptake and use of opioids. 9. Support community-based education or intervention services for families, youth, and adolescents at risk for OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 10. Support evidence-informed programs or curricula to address mental health needs of young people who may be at risk of misusing opioids or other drugs, including emotional modulation and resilience skills. 11. Support greater access to mental health services and supports for young people, including services and supports provided by school nurses or other school staff, to 8 address mental health needs in young people that (when not properly addressed) increase the risk of opioid or other drug misuse. H. PREVENT OVERDOSE DEATHS AND OTHER HARMS Support efforts to prevent or reduce overdose deaths or other opioid-related harms through evidence-based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1. Increase availability and distribution of naloxone and other drugs that treat overdoses for first responders, overdose patients, opioid users, families and friends of opioid users, schools, community navigators and outreach workers, drug offenders upon release from jail/prison, or other members of the general public. 2. Provision by public health entities of free naloxone to anyone in the community, including but not limited to provision of intra-nasal naloxone in settings where other options are not available or allowed. 3. Training and education regarding naloxone and other drugs that treat overdoses for first responders, overdose patients, patients taking opioids, families, schools, and other members of the general public. 4. Enable school nurses and other school staff to respond to opioid overdoses, and provide them with naloxone, training, and support. 5. Expand, improve, or develop data tracking software and applications for overdoses/naloxone revivals. 6. Public education relating to emergency responses to overdoses. 7. Public education relating to immunity and Good Samaritan laws. 8. Educate first responders regarding the existence and operation of immunity and Good Samaritan laws. 9. Expand access to testing and treatment for infectious diseases such as HIV and Hepatitis C resulting from intravenous opioid use. 10. Support mobile units that offer or provide referrals to treatment, recovery supports, health care, or other appropriate services to persons that use opioids or persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 11. Provide training in treatment and recovery strategies to health care providers, students, peer recovery coaches, recovery outreach specialists, or other professionals that provide care to persons who use opioids or persons with OUD and any co- occurring SUD/MH conditions, co-usage, and/or co-addiction. 12. Support screening for fentanyl in routine clinical toxicology testing. 9 PART THREE: OTHER STRATEGIES I. FIRST RESPONDERS In addition to items C8, D1 through D7, H1, H3, and H8, support the following: 1. Current and future law enforcement expenditures relating to the opioid epidemic. 2. Educate law enforcement or other first responders regarding appropriate practices and precautions when dealing with fentanyl or other drugs. J. LEADERSHIP, PLANNING AND COORDINATION Support efforts to provide leadership, planning, and coordination to abate the opioid epidemic through activities, programs, or strategies that may include, but are not limited to, the following: 1. Community regional planning to identify goals for reducing harms related to the opioid epidemic, to identify areas and populations with the greatest needs for treatment intervention services, or to support other strategies to abate the opioid epidemic described in this opioid abatement strategy list. 2. A government dashboard to track key opioid-related indicators and supports as identified through collaborative community processes. 3. Invest in infrastructure or staffing at government or not-for-profit agencies to support collaborative, cross-system coordination with the purpose of preventing overprescribing, opioid misuse, or opioid overdoses, treating those with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, supporting them in treatment or recovery, connecting them to care, or implementing other strategies to abate the opioid epidemic described in this opioid abatement strategy list. 4. Provide resources to staff government oversight and management of opioid abatement programs. K. TRAINING In addition to the training referred to in various items above, support training to abate the opioid epidemic through activities, programs, or strategies that may include, but are not limited to, the following: 1. Provide funding for staff training or networking programs and services to improve the capability of government, community, and not-for-profit entities to abate the opioid crisis. 2. Invest in infrastructure and staffing for collaborative cross-system coordination to prevent opioid misuse, prevent overdoses, and treat those with OUD and any co- occurring SUD/MH conditions, co-usage, and/or co-addiction, or implement other 10 strategies to abate the opioid epidemic described in this opioid abatement strategy list (e.g., health care, primary care, pharmacies, PDMPs, etc.). L. RESEARCH Support opioid abatement research that may include, but is not limited to, the following: 1. Monitoring, surveillance, and evaluation of programs and strategies described in this opioid abatement strategy list. 2. Research non-opioid treatment of chronic pain. 3. Research on improved service delivery for modalities such as SBIRT that demonstrate promising but mixed results in populations vulnerable to opioid use disorders. 4. Research on innovative supply-side enforcement efforts such as improved detection of mail-based delivery of synthetic opioids. 5. Expanded research on swift/certain/fair models to reduce and deter opioid misuse within criminal justice populations that build upon promising approaches used to address other substances (e.g. Hawaii HOPE and Dakota 24/7). 6. Research on expanded modalities such as prescription methadone that can expand access to MAT. 11 EXHIBIT B Local County Government %Allocation Adams County Adams County 0.1638732475% Hatton Lind Othello Ritzville Washtucna County Total: 0.1638732475% Asotin County Asotin County 0.4694498386% Asotin Clarkston County Total: 0.4694498386% Benton County Benton County 1.4848831892% Benton City Kennewick 0.5415650564% Prosser Richland 0.4756779517% West Richland 0.0459360490% County Total: 2.5480622463% Chelan County Chelan County 0.7434914485% Cashmere Chelan Entiat Leavenworth Wenatchee 0.2968333494% County Total: 1.0403247979% Clallam County Clallam County 1.3076983401% Forks Port Angeles 0.4598370527% Sequim County Total: 1.7675353928% *** - Local Government appears in multiple counties B-1 EXHIBIT B Local County Government %Allocation Clark County Clark County 4.5149775326% Battle Ground 0.1384729857% Camas 0.2691592724% La Center Ridgefield Vancouver 1.7306605325% Washougal 0.1279328220% Woodland*** Yacolt County Total: 6.7812031452% Columbia County Columbia County 0.0561699537% Dayton Starbuck County Total: 0.0561699537% Cowlitz County Cowlitz County 1.7226945990% Castle Rock Kalama Kelso 0.1331145270% Longview 0.6162736905% Woodland*** County Total: 2.4720828165% Douglas County Douglas County 0.3932175175% Bridgeport Coulee Dam*** East Wenatchee 0.0799810865% Mansfield Rock Island _ Waterville County Total: 0.4731986040% Ferry County Ferry County 0.1153487994% Republic County Total: 0.1153487994% *** - Local Government appears in multiple counties B-2 EXHIBIT B Local County Government %Allocation Franklin County Franklin County 0.3361237144% Connell Kahlotus _ Mesa Pasco 0.4278056066% County Total: 0.7639293210% Garfield County Garfield County 0.0321982209% Pomeroy County Total: 0.0321982209% Grant County Grant County 0.9932572167% Coulee City Coulee Dam*** Electric City Ephrata George Grand Coulee Hartline Krupp Mattawa Moses Lake 0.2078293909% Quincy Royal City Soap Lake Warden Wilson Creek County Total: 1.2010866076% *** - Local Government appears in multiple counties B-3 EXHIBIT B Local County Government %Allocation Grays Harbor County Grays Harbor County 0.9992429138% Aberdeen 0.2491525333% Cosmopolis Elma Hoquiam McCleary Montesano Oakville Ocean Shores Westport County Total: 1.2483954471% Island County Island County 0.6820422610% Coupeville Langley Oak Harbor 0.2511550431% County Total: 0.9331973041% Jefferson County Jefferson County 0.4417137380% Port Townsend County Total: 0.4417137380% *** - Local Government appears in multiple counties B-4 EXHIBIT B Local County Government %Allocation King County King County 13.9743722662% Algona Auburn*** 0.2622774917% Beaux Arts Village Bellevue 1.1300592573% Black Diamond Bothell*** 0.1821602716% Burien 0.0270962921% Carnation Clyde Hill Covington 0.0118134406% Des Moines 0.1179764526% Duvall Enumclaw*** 0.0537768326% Federal Way 0.3061452240% Hunts Point Issaquah 0.1876240107% Kenmore 0.0204441024% Kent 0.5377397676% Kirkland 0.5453525246% Lake Forest Park 0.0525439124% Maple Valley 0.0093761587% Medina Mercer Island 0.1751797481% Milton*** Newcastle 0.0033117880% Normandy Park North Bend Pacific*** Redmond 0.4839486007% Renton 0.7652626920% Sammamish 0.0224369090% SeaTac 0.1481551278% Seattle 6.6032403816% Shoreline 0.0435834501% Skykomish Snoqualmie 0.0649164481% Tukwila 0.3032205739% Woodinville 0.0185516364% Yarrow Point County Total: 26.0505653608% *** - Local Government appears in multiple counties B-5 EXHIBIT B Local County Government %Allocation Kitsap County Kitsap County_ _ 2.6294133668% Bainbridge Island 0.1364686014% Bremerton 0.6193374389% Port Orchard 0.1009497162% Poulsbo 0.0773748246% County Total: 3.5635439479% Kittitas County Kittitas County 0.3855704683% Cle Elum Ellensburg 0.0955824915% Kittitas Roslyn South Cle Elum County Total: 0.4811529598% Klickitat County Klickitat County 0.2211673457% Bingen Goldendale White Salmon County Total: 0.2211673457% Lewis County Lewis County 1.0777377479% Centralia 0.1909990353% Chehalis Morton Mossyrock _ Napavine Pe Ell Toledo Vader Winlock County Total: 1.2687367832% *** - Local Government appears in multiple counties B-6 EXHIBIT B Local County Government %Allocation Lincoln County Lincoln County 0.1712669645% Almira Creston Davenport Harrington Odessa Reardan Sprague Wilbur County Total: 0.1712669645% Mason County Mason County 0.8089918012% Shelton 0.1239179888% County Total: 0.9329097900% Okanogan County Okanogan County 0.6145043345% Brewster Conconully Coulee Dam*** Elmer City Nespelem Okanogan Omak Oroville Pateros Riverside Tonasket Twisp Winthrop County Total: 0.6145043345% Pacific County Pacific County 0.4895416466% Ilwaco Long Beach Raymond South Bend County Total: 0.4895416466% *** - Local Government appears in multiple counties B-7 EXHIBIT B Local County Government %Allocation Pend Oreille County Pend Oreille County 0.2566374940% Cusick _ lone Metaline Metaline Falls Newport County Total: 0.2566374940% Pierce County Pierce County 7.2310164020% Auburn*** 0.0628522112% Bonney Lake 0.1190773864% Buckley Carbonado DuPont Eatonville Edgewood 0.0048016791% Enumclaw*** 0.0000000000% Fife 0.1955185481% Fircrest Gig Harbor 0.0859963345% Lakewood 0.5253640894% Milton*** Orting Pacific*** Puyallup 0.3845704814% Roy Ruston South Prairie Steilacoom Sumner 0.1083157569% Tacoma 3.2816374617% University Place 0.0353733363% Wilkeson County Total: 12.0345236870% San Juan County San Juan County 0.2101495171% Friday Harbor County Total: 0.2101495171% *** - Local Government appears in multiple counties B-8 EXHIBIT B Local County Government %Allocation Skagit County Skagit County 1.0526023961% Anacortes 0.1774962906% Burlington 0.1146861661% Concrete Hamilton La Conner Lyman Mount Vernon _ 0.2801063665% Sedro-Woolley 0.0661146351% County Total: 1.6910058544% Skamania County Skamania County 0.1631931925% North Bonneville Stevenson County Total: 0.1631931925% Snohomish County Snohomish County 6.9054415622% Arlington 0.2620524080% Bothell*** 0.2654558588% Brier Da rrington Edmonds 0.3058936009% Everett 1.9258363241% Gold Bar Granite Falls Index Lake Stevens 0.1385202891% Lynnwood 0.7704629214% Marysville 0.3945067827% Mill Creek 0.1227939546% Monroe 0.1771621898% Mountlake Terrace 0.2108935805% Mukilteo 0.2561790702% Snohomish 0.0861097964% Stanwood Sultan Woodway County Total: 11.8213083387% *** - Local Government appears in multiple counties B-9 EXHIBIT B Local County Government %Allocation Spokane County Spokane County 5.5623859292% Airway Heights Cheney 0.1238454349% Deer Park Fairfield Latah Liberty Lake 0.0389636519% Medical Lake Millwood Rockford Spangle Spokane 3.0872078287% Spokane Valley 0.0684217500% Waverly County Total: 8.8808245947% Stevens County Stevens County 0.7479240179% Chewelah Colville Kettle Falls Marcus Northport Springdale County Total: 0.7479240179% Thurston County Thurston County 2.3258492094% Bucoda Lacey 0.2348627221% Olympia 0.6039423385% Rainier Tenino Tu mwater 0.2065982350% Yelm County Total: 3.3712525050% Wahkiakum County Wahkiakum County 0.0596582197% Cathlamet County Total: 0.0596582197% *** - Local Government appears in multiple counties B-10 EXHIBIT B Local County Government %Allocation Walla Walla County Walla Walla County 0.5543870294% College Place Prescott _ Waitsburg Walla Walla 0.3140768654% County Total: 0.8684638948% Whatcom County Whatcom County 1.3452637306% Bellingham 0.8978614577% Blaine Everson Ferndale 0.0646101891% Lynden 0.0827115612% Nooksack Sumas County Total: 2.3904469386% Whitman County Whitman County 0.2626805837% Albion Colfax Colton Endicott Farmington Garfield LaCrosse Lamont Malden Oakesdale Palouse Pullman 0.2214837491% Rosalia St.John Tekoa Uniontown County Total: 0.4841643328% *** - Local Government appears in multiple counties B-11 EXHIBIT B Local County Government %Allocation Yakima County Yakima County 1.9388392959% Grandview 0.0530606109% Granger Harrah Mabton Moxee Naches Selah Sunnyside 0.1213478384% Tieton Toppenish Union Gap Wapato Yakima 0.6060410539% Zillah County Total: 2.7192887991% *** - Local Government appears in multiple counties B-12 EXHIBIT 4 Non-Exhaustive List of Expenditures that Qualify as Opioid Remediation (Exhibit E of the Global Settlement) FINAL AGREEMENT 3.25.22 EXHIBIT E List of Opioid Remediation Uses Schedule A Core Strategies States and Qualifying Block Grantees shall choose from among the abatement strategies listed in Schedule B. However,priority shall be given to the following core abatement strategies ("Core Strategies").14 A. NALOXONE OR OTHER FDA-APPROVED DRUG TO REVERSE OPIOID OVERDOSES 1. Expand training for first responders, schools, community support groups and families; and 2. Increase distribution to individuals who are uninsured or whose insurance does not cover the needed service. B. MEDICATION-ASSISTED TREATMENT ("MAT") DISTRIBUTION AND OTHER OPIOID-RELATED TREATMENT 1. Increase distribution of MAT to individuals who are uninsured or whose insurance does not cover the needed service; 2. Provide education to school-based and youth-focused programs that discourage or prevent misuse; 3. Provide MAT education and awareness training to healthcare providers, EMTs, law enforcement, and other first responders; and 4. Provide treatment and recovery support services such as residential and inpatient treatment, intensive outpatient treatment, outpatient therapy or counseling, and recovery housing that allow or integrate medication and with other support services. 14 As used in this Schedule A,words like"expand,""fund,""provide"or the like shall not indicate a preference for new or existing programs. E-1 FINAL AGREEMENT 3.25.22 C. PREGNANT & POSTPARTUM WOMEN 1. Expand Screening, Brief Intervention, and Referral to Treatment ("SBIRT') services to non-Medicaid eligible or uninsured pregnant women; 2. Expand comprehensive evidence-based treatment and recovery services, including MAT, for women with co- occurring Opioid Use Disorder("OUD") and other Substance Use Disorder("SUD")/Mental Health disorders for uninsured individuals for up to 12 months postpartum; and 3. Provide comprehensive wrap-around services to individuals with OUD, including housing, transportation,job placement/training, and childcare. D. EXPANDING TREATMENT FOR NEONATAL ABSTINENCE SYNDROME ("NAS") 1. Expand comprehensive evidence-based and recovery support for NAS babies; 2. Expand services for better continuum of care with infant- need dyad; and 3. Expand long-term treatment and services for medical monitoring of NAS babies and their families. E. EXPANSION OF WARM HAND-OFF PROGRAMS AND RECOVERY SERVICES 1. Expand services such as navigators and on-call teams to begin MAT in hospital emergency departments; 2. Expand warm hand-off services to transition to recovery services; 3. Broaden scope of recovery services to include co-occurring SUD or mental health conditions; 4. Provide comprehensive wrap-around services to individuals in recovery, including housing, transportation,job placement/training, and childcare; and 5. Hire additional social workers or other behavioral health workers to facilitate expansions above. E-2 FINAL AGREEMENT 3.25.22 F. TREATMENT FOR INCARCERATED POPULATION 1. Provide evidence-based treatment and recovery support, including MAT for persons with OUD and co-occurring SUD/MH disorders within and transitioning out of the criminal justice system; and 2. Increase funding for jails to provide treatment to inmates with OUD. G. PREVENTION PROGRAMS 1. Funding for media campaigns to prevent opioid use (similar to the FDA's "Real Cost" campaign to prevent youth from misusing tobacco); 2. Funding for evidence-based prevention programs in schools; 3. Funding for medical provider education and outreach regarding best prescribing practices for opioids consistent with the 2016 CDC guidelines, including providers at hospitals (academic detailing); 4. Funding for community drug disposal programs; and 5. Funding and training for first responders to participate in pre-arrest diversion programs, post-overdose response teams, or similar strategies that connect at-risk individuals to behavioral health services and supports. H. EXPANDING SYRINGE SERVICE PROGRAMS 1. Provide comprehensive syringe services programs with more wrap-around services, including linkage to OUD treatment, access to sterile syringes and linkage to care and treatment of infectious diseases. I. EVIDENCE-BASED DATA COLLECTION AND RESEARCH ANALYZING THE EFFECTIVENESS OF THE ABATEMENT STRATEGIES WITHIN THE STATE E-3 FINAL AGREEMENT 3.25.22 Schedule B Approved Uses Support treatment of Opioid Use Disorder(OUD) and any co-occurring Substance Use Disorder or Mental Health(SUD/MH) conditions through evidence-based or evidence-informed programs or strategies that may include,but are not limited to, the following: PART ONE: TREATMENT A. TREAT OPIOID USE DISORDER(OUD) Support treatment of Opioid Use Disorder("OUD") and any co-occurring Substance Use Disorder or Mental Health("SUD/MH") conditions through evidence-based or evidence- informed programs or strategies that may include,but are not limited to, those that:15 1. Expand availability of treatment for OUD and any co-occurring SUD/MH conditions, including all forms of Medication-Assisted Treatment("MAT') approved by the U.S. Food and Drug Administration. 2. Support and reimburse evidence-based services that adhere to the American Society of Addiction Medicine ("ASAM") continuum of care for OUD and any co- occurring SUD/MH conditions. 3. Expand telehealth to increase access to treatment for OUD and any co-occurring SUD/MH conditions, including MAT, as well as counseling, psychiatric support, and other treatment and recovery support services. 4. Improve oversight of Opioid Treatment Programs ("OTPs")to assure evidence- based or evidence-informed practices such as adequate methadone dosing and low threshold approaches to treatment. 5. Support mobile intervention, treatment, and recovery services, offered by qualified professionals and service providers, such as peer recovery coaches, for persons with OUD and any co-occurring SUD/MH conditions and for persons who have experienced an opioid overdose. 6. Provide treatment of trauma for individuals with OUD (e.g., violence, sexual assault, human trafficking, or adverse childhood experiences) and family members (e.g., surviving family members after an overdose or overdose fatality), and training of health care personnel to identify and address such trauma. 7. Support evidence-based withdrawal management services for people with OUD and any co-occurring mental health conditions. 15 As used in this Schedule B,words like"expand,""fund,""provide"or the like shall not indicate a preference for new or existing programs. E-4 FINAL AGREEMENT 3.25.22 8. Provide training on MAT for health care providers, first responders, students, or other supporting professionals, such as peer recovery coaches or recovery outreach specialists, including telementoring to assist community-based providers in rural or underserved areas. 9. Support workforce development for addiction professionals who work with persons with OUD and any co-occurring SUD/MH conditions. 10. Offer fellowships for addiction medicine specialists for direct patient care, instructors, and clinical research for treatments. 11. Offer scholarships and supports for behavioral health practitioners or workers involved in addressing OUD and any co-occurring SUD/MH or mental health conditions, including, but not limited to, training, scholarships, fellowships, loan repayment programs, or other incentives for providers to work in rural or underserved areas. 12. Provide funding and training for clinicians to obtain a waiver under the federal Drug Addiction Treatment Act of 2000 ("DATA 2000")to prescribe MAT for OUD, and provide technical assistance and professional support to clinicians who have obtained a DATA 2000 waiver. 13. Disseminate of web-based training curricula, such as the American Academy of Addiction Psychiatry's Provider Clinical Support Service—Opioids web-based training curriculum and motivational interviewing. 14. Develop and disseminate new curricula, such as the American Academy of Addiction Psychiatry's Provider Clinical Support Service for Medication— Assisted Treatment. B. SUPPORT PEOPLE IN TREATMENT AND RECOVERY Support people in recovery from OUD and any co-occurring SUD/MH conditions through evidence-based or evidence-informed programs or strategies that may include, but are not limited to, the programs or strategies that: 1. Provide comprehensive wrap-around services to individuals with OUD and any co-occurring SUD/MH conditions, including housing, transportation, education, job placement,job training, or childcare. 2. Provide the full continuum of care of treatment and recovery services for OUD and any co-occurring SUD/MH conditions, including supportive housing,peer support services and counseling, community navigators, case management, and connections to community-based services. 3. Provide counseling,peer-support, recovery case management and residential treatment with access to medications for those who need it to persons with OUD and any co-occurring SUD/MH conditions. E-5 FINAL AGREEMENT 3.25.22 4. Provide access to housing for people with OUD and any co-occurring SUD/MH conditions, including supportive housing, recovery housing, housing assistance programs, training for housing providers, or recovery housing programs that allow or integrate FDA-approved mediation with other support services. 5. Provide community support services, including social and legal services, to assist in deinstitutionalizing persons with OUD and any co-occurring SUD/MH conditions. 6. Support or expand peer-recovery centers, which may include support groups, social events, computer access, or other services for persons with OUD and any co-occurring SUD/MH conditions. 7. Provide or support transportation to treatment or recovery programs or services for persons with OUD and any co-occurring SUD/MH conditions. 8. Provide employment training or educational services for persons in treatment for or recovery from OUD and any co-occurring SUD/MH conditions. 9. Identify successful recovery programs such as physician, pilot, and college recovery programs, and provide support and technical assistance to increase the number and capacity of high-quality programs to help those in recovery. 10. Engage non-profits, faith-based communities, and community coalitions to support people in treatment and recovery and to support family members in their efforts to support the person with OUD in the family. 11. Provide training and development of procedures for government staff to appropriately interact and provide social and other services to individuals with or in recovery from OUD, including reducing stigma. 12. Support stigma reduction efforts regarding treatment and support for persons with OUD, including reducing the stigma on effective treatment. 13. Create or support culturally appropriate services and programs for persons with OUD and any co-occurring SUD/MH conditions, including new Americans. 14. Create and/or support recovery high schools. 15. Hire or train behavioral health workers to provide or expand any of the services or supports listed above. C. CONNECT PEOPLE WHO NEED HELP TO THE HELP THEY NEED (CONNECTIONS TO CARE) Provide connections to care for people who have—or are at risk of developing—OUD and any co-occurring SUD/MH conditions through evidence-based or evidence-informed programs or strategies that may include,but are not limited to, those that: E-6 FINAL AGREEMENT 3.25.22 1. Ensure that health care providers are screening for OUD and other risk factors and know how to appropriately counsel and treat (or refer if necessary) a patient for OUD treatment. 2. Fund SBIRT programs to reduce the transition from use to disorders, including SBIRT services to pregnant women who are uninsured or not eligible for Medicaid. 3. Provide training and long-term implementation of SBIRT in key systems (health, schools, colleges, criminal justice, and probation), with a focus on youth and young adults when transition from misuse to opioid disorder is common. 4. Purchase automated versions of SBIRT and support ongoing costs of the technology. 5. Expand services such as navigators and on-call teams to begin MAT in hospital emergency departments. 6. Provide training for emergency room personnel treating opioid overdose patients on post-discharge planning, including community referrals for MAT, recovery case management or support services. 7. Support hospital programs that transition persons with OUD and any co-occurring SUD/MH conditions, or persons who have experienced an opioid overdose, into clinically appropriate follow-up care through a bridge clinic or similar approach. 8. Support crisis stabilization centers that serve as an alternative to hospital emergency departments for persons with OUD and any co-occurring SUD/MH conditions or persons that have experienced an opioid overdose. 9. Support the work of Emergency Medical Systems, including peer support specialists, to connect individuals to treatment or other appropriate services following an opioid overdose or other opioid-related adverse event. 10. Provide funding for peer support specialists or recovery coaches in emergency departments, detox facilities, recovery centers, recovery housing, or similar settings; offer services, supports, or connections to care to persons with OUD and any co-occurring SUD/MH conditions or to persons who have experienced an opioid overdose. 11. Expand warm hand-off services to transition to recovery services. 12. Create or support school-based contacts that parents can engage with to seek immediate treatment services for their child; and support prevention, intervention, treatment, and recovery programs focused on young people. 13. Develop and support best practices on addressing OUD in the workplace. E-7 FINAL AGREEMENT 3.25.22 14. Support assistance programs for health care providers with OUD. 15. Engage non-profits and the faith community as a system to support outreach for treatment. 16. Support centralized call centers that provide information and connections to appropriate services and supports for persons with OUD and any co-occurring SUD/MH conditions. D. ADDRESS THE NEEDS OF CRIMINAL JUSTICE-INVOLVED PERSONS Address the needs of persons with OUD and any co-occurring SUD/MH conditions who are involved in, are at risk of becoming involved in, or are transitioning out of the criminal justice system through evidence-based or evidence-informed programs or strategies that may include,but are not limited to, those that: 1. Support pre-arrest or pre-arraignment diversion and deflection strategies for persons with OUD and any co-occurring SUD/MH conditions, including established strategies such as: 1. Self-referral strategies such as the Angel Programs or the Police Assisted Addiction Recovery Initiative ("PAARI"); 2. Active outreach strategies such as the Drug Abuse Response Team ("DART')model; 3. "Naloxone Plus" strategies, which work to ensure that individuals who have received naloxone to reverse the effects of an overdose are then linked to treatment programs or other appropriate services; 4. Officer prevention strategies, such as the Law Enforcement Assisted Diversion ("LEAD")model; 5. Officer intervention strategies such as the Leon County, Florida Adult Civil Citation Network or the Chicago Westside Narcotics Diversion to Treatment Initiative; or 6. Co-responder and/or alternative responder models to address OUD-related 911 calls with greater SUD expertise. 2. Support pre-trial services that connect individuals with OUD and any co- occurring SUD/MH conditions to evidence-informed treatment, including MAT, and related services. 3. Support treatment and recovery courts that provide evidence-based options for persons with OUD and any co-occurring SUD/MH conditions. E-8 FINAL AGREEMENT 3.25.22 4. Provide evidence-informed treatment, including MAT, recovery support,harm reduction, or other appropriate services to individuals with OUD and any co- occurring SUD/MH conditions who are incarcerated in jail or prison. 5. Provide evidence-informed treatment, including MAT, recovery support,harm reduction, or other appropriate services to individuals with OUD and any co- occurring SUD/MH conditions who are leaving jail or prison or have recently left jail or prison, are on probation or parole, are under community corrections supervision, or are in re-entry programs or facilities. 6. Support critical time interventions ("CTI"),particularly for individuals living with dual-diagnosis OUD/serious mental illness, and services for individuals who face immediate risks and service needs and risks upon release from correctional settings. 7. Provide training on best practices for addressing the needs of criminal justice- involved persons with OUD and any co-occurring SUD/MH conditions to law enforcement, correctional, or judicial personnel or to providers of treatment, recovery, harm reduction, case management, or other services offered in connection with any of the strategies described in this section. E. ADDRESS THE NEEDS OF PREGNANT OR PARENTING WOMEN AND THEIR FAMILIES, INCLUDING BABIES WITH NEONATAL ABSTINENCE SYNDROME Address the needs of pregnant or parenting women with OUD and any co-occurring SUD/MH conditions, and the needs of their families, including babies with neonatal abstinence syndrome ("NAS"), through evidence-based or evidence-informed programs or strategies that may include,but are not limited to, those that: 1. Support evidence-based or evidence-informed treatment, including MAT, recovery services and supports, and prevention services for pregnant women—or women who could become pregnant—who have OUD and any co-occurring SUD/MH conditions, and other measures to educate and provide support to families affected by Neonatal Abstinence Syndrome. 2. Expand comprehensive evidence-based treatment and recovery services, including MAT, for uninsured women with OUD and any co-occurring SUD/MH conditions for up to 12 months postpartum. 3. Provide training for obstetricians or other healthcare personnel who work with pregnant women and their families regarding treatment of OUD and any co- occurring SUD/MH conditions. 4. Expand comprehensive evidence-based treatment and recovery support for NAS babies; expand services for better continuum of care with infant-need dyad; and expand long-term treatment and services for medical monitoring of NAS babies and their families. E-9 FINAL AGREEMENT 3.25.22 5. Provide training to health care providers who work with pregnant or parenting women on best practices for compliance with federal requirements that children born with NAS get referred to appropriate services and receive a plan of safe care. 6. Provide child and family supports for parenting women with OUD and any co- occurring SUD/MH conditions. 7. Provide enhanced family support and child care services for parents with OUD and any co-occurring SUD/MH conditions. 8. Provide enhanced support for children and family members suffering trauma as a result of addiction in the family; and offer trauma-informed behavioral health treatment for adverse childhood events. 9. Offer home-based wrap-around services to persons with OUD and any co- occurring SUD/MH conditions, including, but not limited to,parent skills training. 10. Provide support for Children's Services—Fund additional positions and services, including supportive housing and other residential services,relating to children being removed from the home and/or placed in foster care due to custodial opioid use. PART TWO: PREVENTION F. PREVENT OVER-PRESCRIBING AND ENSURE APPROPRIATE PRESCRIBING AND DISPENSING OF OPIOIDS Support efforts to prevent over-prescribing and ensure appropriate prescribing and dispensing of opioids through evidence-based or evidence-informed programs or strategies that may include,but are not limited to, the following: 1. Funding medical provider education and outreach regarding best prescribing practices for opioids consistent with the Guidelines for Prescribing Opioids for Chronic Pain from the U.S. Centers for Disease Control and Prevention, including providers at hospitals (academic detailing). 2. Training for health care providers regarding safe and responsible opioid prescribing, dosing, and tapering patients off opioids. 3. Continuing Medical Education(CME) on appropriate prescribing of opioids. 4. Providing Support for non-opioid pain treatment alternatives, including training providers to offer or refer to multi-modal, evidence-informed treatment of pain. 5. Supporting enhancements or improvements to Prescription Drug Monitoring Programs ("PDMPs"), including, but not limited to, improvements that: E-10 FINAL AGREEMENT 3.25.22 1. Increase the number of prescribers using PDMPs; 2. Improve point-of-care decision-making by increasing the quantity, quality, or format of data available to prescribers using PDMPs,by improving the interface that prescribers use to access PDMP data, or both; or 3. Enable states to use PDMP data in support of surveillance or intervention strategies, including MAT referrals and follow-up for individuals identified within PDMP data as likely to experience OUD in a manner that complies with all relevant privacy and security laws and rules. 6. Ensuring PDMPs incorporate available overdose/naloxone deployment data, including the United States Department of Transportation's Emergency Medical Technician overdose database in a manner that complies with all relevant privacy and security laws and rules. 7. Increasing electronic prescribing to prevent diversion or forgery. 8. Educating dispensers on appropriate opioid dispensing. G. PREVENT MISUSE OF OPIOIDS Support efforts to discourage or prevent misuse of opioids through evidence-based or evidence-informed programs or strategies that may include,but are not limited to, the following: 1. Funding media campaigns to prevent opioid misuse. 2. Corrective advertising or affirmative public education campaigns based on evidence. 3. Public education relating to drug disposal. 4. Drug take-back disposal or destruction programs. 5. Funding community anti-drug coalitions that engage in drug prevention efforts. 6. Supporting community coalitions in implementing evidence-informed prevention, such as reduced social access and physical access, stigma reduction—including staffing, educational campaigns, support for people in treatment or recovery, or training of coalitions in evidence-informed implementation, including the Strategic Prevention Framework developed by the U.S. Substance Abuse and Mental Health Services Administration ("SAMHSA"). 7. Engaging non-profits and faith-based communities as systems to support prevention. E-11 FINAL AGREEMENT 3.25.22 8. Funding evidence-based prevention programs in schools or evidence-informed school and community education programs and campaigns for students, families, school employees, school athletic programs,parent-teacher and student associations, and others. 9. School-based or youth-focused programs or strategies that have demonstrated effectiveness in preventing drug misuse and seem likely to be effective in preventing the uptake and use of opioids. 10. Create or support community-based education or intervention services for families, youth, and adolescents at risk for OUD and any co-occurring SUD/MH conditions. 11. Support evidence-informed programs or curricula to address mental health needs of young people who may be at risk of misusing opioids or other drugs, including emotional modulation and resilience skills. 12. Support greater access to mental health services and supports for young people, including services and supports provided by school nurses, behavioral health workers or other school staff, to address mental health needs in young people that (when not properly addressed) increase the risk of opioid or another drug misuse. H. PREVENT OVERDOSE DEATHS AND OTHER HARMS (HARM REDUCTION) Support efforts to prevent or reduce overdose deaths or other opioid-related harms through evidence-based or evidence-informed programs or strategies that may include, but are not limited to, the following: 1. Increased availability and distribution of naloxone and other drugs that treat overdoses for first responders, overdose patients, individuals with OUD and their friends and family members, schools, community navigators and outreach workers, persons being released from jail or prison, or other members of the general public. 2. Public health entities providing free naloxone to anyone in the community. 3. Training and education regarding naloxone and other drugs that treat overdoses for first responders, overdose patients, patients taking opioids, families, schools, community support groups, and other members of the general public. 4. Enabling school nurses and other school staff to respond to opioid overdoses, and provide them with naloxone, training, and support. 5. Expanding, improving, or developing data tracking software and applications for overdoses/naloxone revivals. 6. Public education relating to emergency responses to overdoses. E-12 FINAL AGREEMENT 3.25.22 7. Public education relating to immunity and Good Samaritan laws. 8. Educating first responders regarding the existence and operation of immunity and Good Samaritan laws. 9. Syringe service programs and other evidence-informed programs to reduce harms associated with intravenous drug use, including supplies, staffmg, space,peer support services, referrals to treatment, fentanyl checking, connections to care, and the full range of harm reduction and treatment services provided by these programs. 10. Expanding access to testing and treatment for infectious diseases such as HIV and Hepatitis C resulting from intravenous opioid use. 11. Supporting mobile units that offer or provide referrals to harm reduction services, treatment, recovery supports, health care, or other appropriate services to persons that use opioids or persons with OUD and any co-occurring SUD/MH conditions. 12. Providing training in harm reduction strategies to health care providers, students, peer recovery coaches, recovery outreach specialists, or other professionals that provide care to persons who use opioids or persons with OUD and any co- occurring SUD/MH conditions. 13. Supporting screening for fentanyl in routine clinical toxicology testing. PART THREE: OTHER STRATEGIES I. FIRST RESPONDERS In addition to items in section C, D and H relating to first responders, support the following: 1. Education of law enforcement or other first responders regarding appropriate practices and precautions when dealing with fentanyl or other drugs. 2. Provision of wellness and support services for first responders and others who experience secondary trauma associated with opioid-related emergency events. J. LEADERSHIP, PLANNING AND COORDINATION Support efforts to provide leadership,planning, coordination, facilitations, training and technical assistance to abate the opioid epidemic through activities, programs, or strategies that may include,but are not limited to, the following: 1. Statewide, regional, local or community regional planning to identify root causes of addiction and overdose, goals for reducing harms related to the opioid epidemic, and areas and populations with the greatest needs for treatment E-13 FINAL AGREEMENT 3.25.22 intervention services, and to support training and technical assistance and other strategies to abate the opioid epidemic described in this opioid abatement strategy list. 2. A dashboard to (a) share reports, recommendations, or plans to spend opioid settlement funds; (b) to show how opioid settlement funds have been spent; (c)to report program or strategy outcomes; or(d) to track, share or visualize key opioid- or health-related indicators and supports as identified through collaborative statewide, regional, local or community processes. 3. Invest in infrastructure or staffing at government or not-for-profit agencies to support collaborative, cross-system coordination with the purpose of preventing overprescribing, opioid misuse, or opioid overdoses, treating those with OUD and any co-occurring SUD/MH conditions, supporting them in treatment or recovery, connecting them to care, or implementing other strategies to abate the opioid epidemic described in this opioid abatement strategy list. 4. Provide resources to staff government oversight and management of opioid abatement programs. K. TRAINING In addition to the training referred to throughout this document, support training to abate the opioid epidemic through activities,programs, or strategies that may include, but are not limited to, those that: 1. Provide funding for staff training or networking programs and services to improve the capability of government, community, and not-for-profit entities to abate the opioid crisis. 2. Support infrastructure and staffing for collaborative cross-system coordination to prevent opioid misuse, prevent overdoses, and treat those with OUD and any co- occurring SUD/MH conditions, or implement other strategies to abate the opioid epidemic described in this opioid abatement strategy list (e.g., health care, primary care,pharmacies, PDMPs, etc.). L. RESEARCH Support opioid abatement research that may include, but is not limited to, the following: 1. Monitoring, surveillance, data collection and evaluation of programs and strategies described in this opioid abatement strategy list. 2. Research non-opioid treatment of chronic pain. 3. Research on improved service delivery for modalities such as SBIRT that demonstrate promising but mixed results in populations vulnerable to opioid use disorders. E-14 FINAL AGREEMENT 3.25.22 4. Research on novel harm reduction and prevention efforts such as the provision of fentanyl test strips. 5. Research on innovative supply-side enforcement efforts such as improved detection of mail-based delivery of synthetic opioids. 6. Expanded research on swift/certain/fair models to reduce and deter opioid misuse within criminal justice populations that build upon promising approaches used to address other substances (e.g., Hawaii HOPE and Dakota 24/7). 7. Epidemiological surveillance of OUD-related behaviors in critical populations, including individuals entering the criminal justice system, including,but not limited to approaches modeled on the Arrestee Drug Abuse Monitoring ("ADAM") system. 8. Qualitative and quantitative research regarding public health risks and harm reduction opportunities within illicit drug markets, including surveys of market participants who sell or distribute illicit opioids. 9. Geospatial analysis of access barriers to MAT and their association with treatment engagement and treatment outcomes. E-15 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: September 6, 2022 Department Director Approval: Check all that apply: ❑ consent ❑ old business ® new business ❑ public hearing ❑ information ❑ admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Motion Consideration: Expo Expansion Project Commerce Award Change of Scope GOVERNING LEGISLATION: Sections 209 and 703 of the Public Works and Economic Development Act of 1965, as amended (42 U.S.C. § 3121 et seq.) (PWEDARCW) PREVIOUS COUNCIL ACTION TAKEN: • On March 8, 2016, Council heard a report from Community Attributes, Inc. (CAI) on the Retail Improvement Study, as well as the Tourism Enhancement Study. • On August 16, 2016, Council authorized staff to move forward with the analysis of six potential tourism enhancement projects. • On December 20, 2016, Council heard a report from CAI on an update to the Tourism Enhancement Study, including analysis of the six projects approved by Council as well as the Plante's Ferry expansion and the HUB Complex. • On July 10, 2018, Council approved a motion to limit future discussions of this topic to the fairgrounds and stadium district, a sports complex, and CenterPlace west lawn expansion. • On August 14, 2018, Council heard an administrative report which went into greater detail on the economic analysis of the fairgrounds and stadium district, a sports complex, and CenterPlace west lawn expansion. • On April 9, 2019, Council heard an administrative report that updated Council on the status of the Council preferred alternatives including the Expo Expansion at the Fairgrounds. • On May 26, 2020, Council heard an update on tourism venues and projects, including financial benefits and impacts of the Expo Expansion at the Fairgrounds. • On September 22 and October 20, 2020, Council and staff discussed a capital request for the Expo Expansion project, and there was Council consensus on October 20, 2020, to include it on the 2021 State Legislative Agenda, with a capital request of$4 million in state funds toward the Expo Expansion project. • On November 17, 2020, the Council adopted the State Legislative Agenda that included the Expo Expansion project. • On May 18, 2021, the City was awarded $750,000 appropriation from the WA State Legislature towards the Expo Expansion project. • On August 24, 2021, the Council allocated $1.0 million toward the Expo Expansion project in the Capital Reserve Fund 312. • On October 19, 2021, the Council authorized the City Manager to apply for the ARPA Tourism grant for the Expo Expansion project in conjunction with Spokane County. • On December 7, 2021, the Council authorized the City Manager to increase the ARPA Tourism grant request from $3.0 million to $4.25 million to account for funding from Spokane County that was unable to be directed towards the Expo Expansion project. Page 1 of 3 • On December 14, 2021, City Council approved the allocation of $3.5 million of Lodging Tax funds from Fund #104 (Hotel Motel Tax Tourism Facilities) to the Expo Expansion project. • On February 15, 2022, City Council received an Information Item in the agenda packet that detailed the improvements needed to Avista Stadium as part of new Major League Baseball requirements. • On February 22, 2022, City Council directed staff to withdraw an application to the Economic Development Administration for financial assistance for the building due to increased costs associated with the project. • On April 19, 2022, City Council heard a presentation from Chris Duff, President of the Spokane Indians organization detailing the ball club's history and activities within the community. • On June 30, City Council toured Avista Stadium to learn more about the facilities and the specific areas needing improvements. BACKGROUND: The City's 2021 State Legislative Agenda included a request for a $4 million allocation to the Spokane County Expo Center Expansion Project that at the time was estimated to cost $10 million. On May 18, 2021, the City was awarded $750,000 from the legislature for the project. Only a limited amount of funds (less than 5%) could be used for design purposes. The City actively pursued this project as means of improving the hospitality and tourism environment as the region was suffering from the impacts of Covid 19. Various funding opportunities were investigated which resulted in the City Council designating $1 million towards design efforts, a $3.5 million award from the Lodging Tax Process, and an application to the federal Economic Development Administration (EDA) for a funding opportunity through the American Rescue Plan Act Travel, Tourism and Outdoor Recreation grant program (ARPA Tourism). On January 12, 2022, the City entered into a contract with OAC Services, Inc. for project management and owner's representative services for the Expo Expansion project. In response to the EDA's comment regarding cost estimates and conversations with OAC, the City requested OAC to review the 2018 cost estimates used in the EDA grant application. OAC estimated, based on construction market conditions at the beginning of 2022, that the project cost had increased at least $4 million, resulting in a then cost of the Expo Expansion project of at least $14 million. Prices have escalated since that time and the current cost of the project is unknown. On February 22, 2022, City Council directed staff to withdraw the EDA grant application and to further study the Expo Center as part of an overall update to the City's 2017 Tourism Study. Concurrently, the City became aware of the need for upgrades to Avista Stadium that are required by Major League Baseball as part of the changes to the minor league. The Spokane Indians have been selected to participate in a longer season, but that status is dependent on modifications to the facility for enhanced player experiences. These include revised player clubhouses, dining areas, workout and weight rooms, new score board, improved lighting, and other amenities. These enhancements need to be completed by 2025 or the Indians' participation at this level will be in jeopardy. A recent economic evaluation of the Spokane Indians operation estimates their economic impact on the region at $26.8 million in total spending, 239 jobs, and $1.5 million in sales and hotel/motel tax revenues. The City needs to decide whether to decline the $750,000 legislative award for the project or to redirect the award to the Avista Stadium improvements through a change of scope process through the Department of Commerce. Staff has researched the change of scope process and has had discussions with Senator Padden regarding this possibility and it appears to be a viable Page 2 of 3 option. Staff is seeking Council's direction on the disposition of this award. If authorized by Council, staff will move forward with the change of scope process in coordination with Spokane County and the Spokane Indians. OPTIONS: 1. Notify the Department of Commerce that the City no longer has a need for the $750,000 2021 Legislative Award due to the financial constraints of the current construction environment's impact of moving the Expo Expansion Center project forward. 2. Work with the Department of Commerce, Spokane County, and the Spokane Indians on a change of scope process to redirect this award to specific stadium improvements. RECOMMENDED ACTION OR MOTION: Based on the considerations above, staff recommends Council move to authorize the City Manager to move forward on a change of scope process through the Department of Commerce to reallocate the 2021 Legislative Award of $750,000 to the Avista Stadium Improvements. BUDGET/FINANCIAL IMPACTS: None at this time. STAFF CONTACT: John Hohman, PE, City Manager ATTACHMENTS: None Page 3 of 3 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: September 6, 2022 Department Director Approval: ❑ Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Homeless Program Update GOVERNING LEGISLATION: NA PREVIOUS COUNCIL ACTION TAKEN: NA BACKGROUND: The Homeless & Housing Coordinator (H&H) and Outreach team have been working to engage unhoused individuals in our community and connect them to services, to respond to community concerns, and to better understand the scope and emergent trends of homelessness in our community. Below is a summary of those efforts. Point In Time (PIT) Data This year's PIT count found a total of 1,757 homeless people in Spokane County, 823 of which were unhoused. This represents a 35% increase of unsheltered homelessness since the last PIT count in 2020. These numbers do not include anyone who may be couch-surfing, living in a hotel, doubled-up, or in similar situations. According to the PIT data, 13% of unsheltered respondents indicated they were last housed in Spokane Valley, which is in line with our internal estimates of 100-120 unsheltered individuals within our City at any given time. Additionally, 74% of all those counted were last living in Spokane County at the time they became homeless. During the PIT count this year, 80 individuals were counted within Spokane Valley. This is a significant increase from the 27 individuals counted (23 of which were counted at a Spokane Valley Partners event) in Spokane Valley the last time the PIT count was undertaken in 2020. City of Spokane Valley Data Collection In May of this year two new data collection tools were created in coordination with the City's GIS Analyst. These tools are currently being used by the Homeless Outreach team. The first is a survey tool used to track information about the people we are encountering, where we are encountering them, and in what types of situations. The second tool is for tracking camps, trash, and vehicles for follow-up by code enforcement, SCOPE volunteers, or clean-up crews. Using these tools our Outreach Specialist has tracked every contact she has made since the applications came online. In the first six months of this year (January — July), the Outreach Specialist has recorded 292 total contacts. Police Department and Homeless Outreach In December 2021 the City entered into an agreement with Spokane Valley Partners to provide a full-time Outreach Specialist working in our community. This position works closely with the H&H Coordinator and is focused on contacting and connecting unhoused individuals to available services, as well as responding to requests for services from residents and businesses. The City's dedicated homeless Outreach Officer and Outreach Specialist work together on a daily basis. This innovative pairing provides a combination of social service expertise and law enforcement Page 1 of 4 capabilities in a single outreach team. This allows the City of Spokane Valley to better handle the complex challenges in our unhoused population. Two bike patrol officers were added in late June and will operate through August. While these officers are not specifically focused on homelessness, there is significant overlap with the Outreach team's work, and the two teams often work in tandem. The bike officers have helped to patrol known hot spots that the Outreach team has identified but is not always able to cover on a consistent basis. Trends and Challenges The Outreach team has seen an increase in homelessness in Spokane Valley, including those living in vehicles. This observation coincides with our data that also shows an increase in homelessness region-wide. With this increase, we have seen an influx of unhoused people loitering and sleeping in parks and restrooms. While most of the people we encounter were last housed in Spokane Valley, we are also seeing more people who are from outside the City come to our community. As numbers rise region-wide, and the City of Spokane changes its approach to remove or dissuade camping, Spokane Valley we'll continue to see spillover. This is expected to increase as 1) the City of Spokane opens the new shelter on Trent that abuts the City of Spokane Valley, and 2) as Camp Hope is disbanded. We know a number of vehicles and individuals from Spokane Valley are currently staying at Camp Hope, and we anticipate when it is broken up there will be some influx into our community. The scourge of fentanyl is having a significant impact in our community. Both cheap and highly addictive, fentanyl has become the drug of choice for many people who live on our streets. Burnt foil and other related drug paraphernalia are common in public restrooms and other public locations and camps. The easy accessibility of fentanyl has been a major contributor to the problems we encounter daily. Outside agencies that own property within our City boundaries, such as DNR, Union Pacific Railroad, and DOT are not enforcing existing no-camping rules on their properties. This has meant that our Outreach team is regularly tasked with enforcement and follow-up on their properties. The City's legal team has been leading conversations with these outside entities to find solutions and compel action on their behalf. Spokane County contracts with providers for outreach services that are partially funded by recording fees collected in the City. Unfortunately, these contracts do not specify or require that outreach be performed within the City of Spokane Valley. We have had direct conversations with providers who have told us they have no obligation to serve Valley residents, despite the funding our City provides for the work. Finally, additional challenges we face are related to service availability and location. There are no options for long-term parking or pet care for those entering stabilization or treatment. Giving up a pet or vehicle to enter treatment is not an option for many of the people we encounter. All existing shelter options are in the City of Spokane, which is a major deterrent for many of the people we encounter who are in the Valley either because this is their home, or because they intentionally want to avoid Spokane. Additionally, many existing shelters do not allow couples to stay together, pets, or vehicle/RV parking. These restrictions put many people we contact in situations that make it challenging for them to access existing shelter options. Accomplishments The Outreach team has been successful in getting 36 people this year to enter stabilization for withdrawal management and treatment, 21 people into shelter, or 5 into housing. Getting Page 2 of 4 individuals to trust the team and accept interventions is the result of relationship building and continual efforts by the Outreach team. The City maintains contracts with several shelters to provide bed space for individuals contacted in Spokane Valley, one for women at Hope House, and the other for men at Truth Ministries. We have received 48 SVexpress requests for service so far in 2022. Responding to these requests for service is part of what accounts for the 68,400 pounds of trash removed between January and July of this year. The data tracking apps we have developed are important tools for mapping and follow-up for camp, trash, and abandoned vehicle removal. These apps are critical for helping us understand the scope and details around who is experiencing homelessness and where in our community. Developing partnerships has been a major focus for the program this year.We have been working with the Chamber of Commerce to create materials for businesses and provide regular outreach events. We have developed relationships with various providers, from transitional housing providers like Reclaim Project and Family Promise, to mental health and addiction service providers like Pioneer Human Services and Frontier Behavioral Health. Relationships we are building with affordable housing developers like Community Frameworks and the Spokane Housing Authority will be key to meeting housing goals outlined in the Housing Action Plan. The partnership with the SVPD and agencies like State Parks and DNR has been critical to our ability to successfully respond to issues related to homelessness in our community. The partnership between an Outreach Specialist and Homeless Outreach Officer is unique in our region. Where neighboring cities must deal with police and outreach workers that often have conflictual relationships and are working at cross-purposes, we have been successful in getting these two key components of an effective homeless response program to work together and complement what each provides individually. Representing the City of Spokane Valley and its interests in regional discussion around homelessness has been another goal for the program in 2022. The City has four representatives on the County's HCDAC board. Council member Woodard, community members Tom Hormel and Amanda Tainio, and the H&H Coordinator all serve on this board that is responsible for distributing County funds to homeless service providers. With his role on this board, the H&H coordinator has been able to advocate for contractual changes that will ensure outreach and service grants are utilized within Spokane Valley rather than focused in the City of Spokane. The H&H coordinator also serves as co-chair for one of the Continuum of Care's (CoC) standing sub- committees, as well as a member of the CoC's RFP review committee, and Governance Review committee. The City of Spokane Valley was represented in recent regional discussions focused on how to spend ARPA and Department of Commerce funds. The Community Homeless Action Plan (CHAP) is under development, and currently being reviewed internally before it will be shared with community stakeholders for feedback. This comprehensive plan is intended to outline the goals and strategies for addressing homelessness in our community, from keeping people housed in the first place whenever possible, to mitigating for the impacts that are associated with homelessness, to reducing the number of unhoused residents in our community. These accomplishments represent positive steps in our City's response to the complex and growing problem of homelessness. Moving forward we will continue to build relationships with providers and collect data about the scope and nature of homelessness in our community. As we gain a better understanding of what homelessness looks like in our community, we will continue to seek partnerships and develop resources that can target the needs where they exist. We will continue to respond to residents' and businesses' requests for service and mitigate for the impacts Page 3 of 4 of homelessness wherever possible. While we work to address the short-term impacts of homelessness, we will also continue to seek and advocate for long-term solutions that can stem the growing tide of homelessness in the City of Spokane Valley. With these efforts we believe we can continue to make progress around issues of homelessness and help improve the quality of life for every resident in the City of Spokane Valley. OPTIONS: NA RECOMMENDED ACTION OR MOTION: NA BUDGET/FINANCIAL IMPACTS: NA STAFF CONTACT: Eric Robison, Housing and Homeless Coordinator ATTACHMENTS: Housing and Homeless Program PowerPoint, pdf of Officer Pratt's contact tracking spreadsheet for 7/18-7/28. Page 4 of 4 it 1611--,1111. kiii 4 Ak..411 11. H 0 U S I n and , ,_ III 11164.071110 Homeless Program Update September 6, 2022 Eric Robison, Housing and Homeless Coordinator Al& Amanda Boyer, Outreach Specialist Josh Pratt, Homeless Outreach Officer PIT Top Line Counts Trendline 2000 1757 1800 1559 1600 1242 1272 1245 1309 1400 1229 1185 1149 1030 1034 1090 1200 1134 981 1072 1070 1055 934 loon 970 994 952 994 1018 992 902 935 823 800 809 600 541 400 310 315 200 157 172 138 130 155 132 172 138 0 1/29/2009 1/28/2010 1/23/2011 1/26/2012 1/2 /3013 1/23/2014 1/29/2015 1/28/2016 1/26/2017 1/25/2018 1/24/2019 1/23/2020 1/28/2021 2/24/2022 Total Sheltered Unsheltered Total Counted Unsheltered 2022 YES NO Did you live in Spokane County Point-of-Origin before you became homeless? Question 1: 530 Respondents Question 2: 320 Respondents 74)‘11 ��li 4� Have long have you been in Spokane? If yes, select what area you lived in 1-3 Years 120 23% Spokane? 4-6 Years 59 11% 7-9 Years 39 8% 10+ Years 299 58% Sleeping Locations • • • • Outdoor encampment 260 32% • . • Street or Sidewalk 213 26% Vehicle / Boat / RV 155 19% ....•° Under bridge/overpass 93 11% Other 55 7% Park 33 4% Spokane Spokane County City of Spokane Valley Abandoned Building 9 1% Bus, train station, airport 5 1% 250.00 2000.00 1800.00 200.00 1600.00 7 0 1400.00 x v 150.00 1200.00 f0 Housing 1000.008 0Afford y 100.0o 800.00 0Index & 6000 0 50.00 400.00 Point- in - 200.00 Time 0.00 0.00 0 m 0 0 N N m M d d V Ln n co Co 01 O O 0 IN IN N 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 N N N N N N N N N N N N N N N N N N N N N N N N N N N m .-i m .-1 m .-i m .-I In .-I m .- m .-I In .-1 m .- m .-I In .-1 m .-I m .-I �HAI* -PIT 4 EP City of 4 Spokane --.4 Valley Data _.. _, _, Collection , .z.__-. 5 0 Arc6144urvey123 — ❑ X X Intake Survey \ Intakes First Name Intakes Last Name Date of Birth ( Wednesday,January 1,1975 0 Su rvey 12 3 Income Type ABD Social Security Employment/Other None Estimation of your monthly income Received Client Services? Did this person receive any direct client assistance? Yes No Race? White Hispanic ethnicity Black/African American Asian 1of1 6 • About 37% of respondents reported having some sort of income • 62% of respondents were last housed in Spokane Valley before becoming homeless. What we have • 22% were last housed somewhere else in Spokane County • 9% were last housed somewhere else in WA state, and earned so far • 6.5% were last housed somewhere outside of WA. • About 8% of those contacted had a minor child in their custody • Approximately 86% of those surveyed either self-reported or were observed to have some sort of issue with substance use, with only slightly more (89%) self-reporting or having some sort of observable mental health condition • For 66% of those that responded, their current experience with homelessness was not their first, and 61% had been homeless for more than a year. 103 ArcGIS QuickCapture — ❑ X X Homeless Data Collection... 0 Homelessness Collection e, 0 W V � 0 M i Abndlernty Occupied 1 OthrVcle QuickCapture 0 o. „,.., .7 RV Abnd Veh Garbage l 0 a. , . Vandalism Other — Links 0 r 8 • Used to track and share locations of occupied camps, abandoned camps, and trash or abandoned vehicles Quick Capture • App can be shared with SVPD, State Parks, etc. to increase coverage, and with Geiger work crew to coordinate cleanup • Map stores locations, images, and overlaps with survey tool location information 9 • tyy�_ °k 4 fi ip-�� d'�4L���� • ), �f 1',9� 'W f :?, 5 ;.. Y L i'.i '1 ' 1.k �"'-� °'f i.JJ•'o. 1 L.a } r- -1�'.Aii Y t :1 tr,�f .:< r;� N� •1#� ~ .. i` - -' '"' j.• 't• '! 'Y � `>�. ,+ "g4ir} L Pv J7a �' �' eY C 4r aa• F ,...:,..,.: -..:...„.'_-''.':7,...quier, :41.,.. , .1' •./. 4,1'i t :. 1". --.—.,:f• k.3 ",. ' ' , ,I-- r . , iir, .V.,, :,, \ 1 1 . ,,14 i\, ::f C' 1 _ ____......,. ' IT ` '..., w:,- TT ,, F^fi 3r -.. 0. ° °'1 .. ' pie�• a 4 ioHt.i.'...::..' r T _Z ., • �,z . 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Jy a . r .: � r w. .sue �rF l �' '4:� ,�+ f a�f � a , i 10 • Outreach Officer (Jan — August) O 1 ,262 citizen contacts O 516 unsheltered contacts PO I i ce o 416 individuals provided services 0 269 radio calls handled Department o 422 total unlawful camping calls generated • Bike patrol (end of June to July — about 5 Stats weeks) O 170 citizen contacts O 30 arrests O 54 unsheltered contacts O 75 radio calls handled • Weeks of July 18-28 Excel data tracking (attached) 11 • Increasing homelessness and associated requests for services/assistance — lack of capacity to provide adequate response • Lack of enforcement by outside agencies on their Challenges property • Lack of needed services located in our community • Lack of long-term parking and pet care for those willing to access services • Lack of viable options to offer, from affordable housing to emergency housing to Transitional Parking 12 • 36 people taken to stabilization, 21 to shelter, and 5 housed • Received 48 SVexpress requests for service • 68,400 pounds of trash removed (not possible to determine exactlyhow much from homeless-related clean-ups vs. regular illegal dumpin • Contracted with Spokane Valley Partners to provide a FT Outreach Accomplishments Specialist responding to Spokane Valley needs • Develop and deploy data tracking apps, including partnership with SVPD S o Far This Year and State Parks • Developing business outreach materials in partnership with Chamber of Commerce • Participation in regional bodies to represent CoSV interests in homelessness response • Organized a record count for this year's PIT • Developing partnerships with providers and affordable housing developers • Creation of the Community Homeless Action Plan (CHAP) — now going through internal review before seeking stakeholder input 13 Questions ? Date Radio Admitted Notes Location Time U-Camp Services Refusals Cites/Arrests CC's Shelter Stabilization Housed calls drug Use 2022-10092000-404 N Sullivan Rd-citz compl- 7/18/2022 Other 0.5 0 0 0 0 0 0 0 0 1 0 u campers on property,checked area,GOA 2022-10092019-323 N Sullivan Rd-responded to loc and obsd veh parked across multiple 7/18/2022 Other 0.5 0 0 0 0 3 0 0 0 1 0 stalls and no one around.no return on VIN. while checking veh subj returned with bill of sale,veh was originally out of ID.no evid of crime 2022-10092026-2122 N Pines Rd-responded and spoke with ,appeared to be in shock from news of family member possibly passing away.reached out to G unit and 7/18/2022 Other 1 0 1 1 0 3 0 0 0 1 0 explained situation.she does not want to go to shelter or to facility to speak with anyone. i contacted the crisis line and provided her number.i stood by why they contacted via phone. 2022-10092079-2114 N Pines Rd-responded 7/18/2022 Other 0.5 0 0 0 0 0 0 0 0 0 0 to area and checked camp,appears abandoned and put in request for trash pick up 2022-10092085-Broadway/Sullivan- responded to loc per citz req from City Hall for 7/18/2022 Other 0.75 1 1 1 0 1 0 0 0 1 0 welfare check homeless subj.contacted and stood by while he got his property out of the roadway. 2022-10089358-2nd/Havana-responded to loc and checked up on in van.still had 7/18/2022 Other 1.5 1 1 1 0 1 0 0 0 0 0 not moved and stated he was now out of gas. provided courtesy ride to Maverick and purchased 2.5 gallons of gas for him to get vehicle started and moved. 2022-10092168-Fancher/Mansfield- contacted (1-18-78)and (9-17- 80)staying in white Buick(CCE0947).stated 7/18/2022 Other 1 2 2 0 0 2 0 0 0 0 2 homeless for approx 3 years,both are currently using.Boyer completed assesment for intake.provided business cards and will follow up to discuss stabilization 2022-10092449-18723 E Cataldo-responded 7/19/22 Other 0.5 1 0 0 0 1 0 0 0 0 1 to loc and spoke with he has moved some of his belongings off the property.will f/u tomorrow. 2022-10092455-contacted (1-30-79)in 7/19/2022 Sullivan Park 0.5 1 0 0 0 2 0 0 0 0 0 park,not sleeping.still living out of veh,now has the Ford Focus.working full time. provided water and lunches 2022-10092464-7202 E Sprague-r/c for perbot and obsd (4-21-67)outside of Benjamin Moore paints,recognized from 7/19/2022 Other 1.25 1 1 0 1 2 0 0 0 1 1 previous contacts.warrant was already confirmed,detained without incident.advd him he was trespassed from original loc of Enterprise Rental Cars for life. 7/19/2022 Other 0.5 0 0 0 0 1 0 0 0 0 0 2022-10092500-stopped by Stabilization Center to check on 2022-10092486-4th/Chronicle-responded to loc and contacted (3-12-72)who is staying in the trailer,she is currently working 7/19/2022 Other 1 1 0 0 0 2 0 0 0 1 and was previously on DOT property and was advd to move to street.i explained the 24 hour parking ordinance and we discussed options for her trailer.i got an updated phone number for her of(509)514-0468. 2022-10092556-622 N Farr Rd-recd call of subj looking for services at transitional living 7/19/2022 Other 1 0 0 0 0 1 0 0 0 1 0 house.responded and met (20 yrs old), discussed options and put him in contact with recruiter for local business. 2022-10092566-229 S Sullivan-responded to the loc and spoke with (12-2-70)who stated that she had no where to go and wanted to go to a shelter.we made multiple 7/19/2022 Other 1 0 1 1 0 1 0 0 0 1 0 phone calls and set up arrangements and when we were getting ready to leave she changed her mind.i provided my business card as well as Outreach's and advd her to call when she is ready. 2022-10092622-Indiana/Hutchinson- responded to bc and contacted (3-2- 54)in marron van(B780054).he is still living in van and has blue Ford p/u(C56440B)and now 7/19/2022 Other 0.75 1 1 1 0 4 0 0 0 0 1 tan cadillac(AJR6221)that is also his.he does not live in the other vehicles.he stated he is still waiting to get into local senior apartments.not engaged in any other services.i educated on parking ordinance 2022-10092661-contacted (5-23-90) and (4-14-93)in womens restroom at park, refused to come out stating he 7/19/2022 Balfour Park 1 2 2 2 0 2 0 0 0 0 2 was using the restroom,after approx 5 minutes he exited.i checked both for warrants and was negative.had both remove property and leave bathroom 2022-10092664-225 S Sullivan-r/c for perbot, 7/19/2022 Other 0.25 0 0 0 0 1 0 0 0 0 0 checked area,unable to loc.contacted comp, subj GOA 2022-10093048-Fancher/Mansfield- contacted (1-18-78)and (9-17- 7/20/2022 Other 0.5 2 0 0 0 2 0 0 0 0 2 80)staying in white Buick(CCE0947).still in same loc,trash all over area and human waste.advd they needed to leave the area and could not camp there. 2022-10093050-E Maxwell Ave/N Pierce Rd- patrol req to f/u with subjs on radio call looking for resources.reponded to loc and recognized (1-27-01)and (9-17- 96)staying in their wht GMC truck(C18305Z) 7/20/2022 Other 0.5 2 2 0 0 2 0 0 0 1 1 had previous contact and got them into Family Promise,they checked in and left after 2 or so days.they have not reached back out,both have income,and they do not want to go back to a shelter. 2022-10093079-contacted and in park in front of bathrooms,again educated 7/20/2022 Balfour Park 1 2 2 0 0 2 0 0 0 1 2 of local u camp ordinance.neither seem to care and stated that if she gets arrested she will just come right back. 2022-10093106-Main/Felts-contacted staying in veh(288ZTI),very 64,reached out to BHU for follow up.she stated that people 7/20/2022 Other 1 1 1 0 are listening and speaking to her through her car radio and that local witches are doing voodoo on her using wifi signals.provided water and a bus pass.discussed hope house womens shelter for her. 2022-10093123-9717 E Sprague Ave-recd call from business owner about veh trespassing on prop,check of the plate(BRZ6129)returned 7/20/2022 Other 1.5 2 2 0 1 3 0 0 0 1 2 with (9-2-95)having a stat 2 warrant. Bike patrol responded and contacted . he was detained w/o incident.i spoke with both and (5-5-96)about stabilization.provided business cards to both. 2022-10093193-Spokane Valley Partners- 7/20/2022 Other 2 0 0 0 0 2 0 0 0 1 0 recd call from staff for drugs turned in, completed rpt and booked for destruction. 2022-10095574-contacted (1-18-00) and (7-25-84)in 5th Wheel towed by white F250(ID K0797T).stated they are trying 7/25/2022 Other 1 3 0 0 0 5 0 0 0 1 3 to get to Montana.spoke with on property and advised all parties that they needed to be off the property by this afternoon and anyone still on property would be trespassed. 2022-10095582-1204 N Barker Rd-contacted 7/25/2022 Other 0.5 2 2 2 0 2 0 0 0 1 2 (7 12 64)and (4 4 61)staying on property in 5th wheel.advised that they needed to vacate the property. 2022-10095583-622 N Farr Rd-p/u and took him to his job interview at Huntwood Cabinets.picked him up and had discussion 7/25/2022 Other 2 0 0 0 0 2 0 0 0 0 0 about new housing options,transportedto The Way Out Shelter to tour the facility.assisted with completing application and dropped back off at house.provided(2)bus passes. 2022-10095690-recd call from Senske about 7/25/2022 Balfour Park 0.75 2 2 2 0 3 0 0 0 1 0 subjects in park and in restroom.contacted (12-4-91)and (2-4-86).warned both of unlawful camping ordinance. 2022-10095776-2nd/Havana-spoke with 7/25/2022 Other 0.25 0 0 0 0 1 0 0 0 1 0 comp,advd her that i was aware of the situation and the subj and the van.i would follow up tomorrow with him. 2022-10096126-i responded to the area and observed and inside bathroom with personal items sprawled throughout bathroom making it unable to citizens to 7/26/2022 Balfour Park 3 2 2 2 2 2 0 0 0 0 2 utilize.This has been an ongoing problem with multiple warnings and contacts.Both and were arrested for unlawful camping( cit#2A0211562)( cit #2A0211563) was booked and was released at scene. 2022-10096240-4th/Chronicle-contacted again who is staying in Coachman trailer.i contacted her last week and she had plans to move it friday but has still not moved 7/26/2022 Other 0.5 1 1 1 0 2 0 0 0 1 1 it.the trailer is in the right of way so it was tagged and tires chalked. i advised if it does not move and gets towed away only the registered owner can retrieve it and she doesnt even know who the R/O is.i will follow up tomorrow. 2022-10095776-2nd/Havana-responded to loc, has been contacted at least 3 times recently advising he needs to move his veh (BRE1348).a part to fix his van was purchased by outreach as well as gas provided for and he still hasnt moved.trash is piling up 7/26/2022 Other 0.75 1 1 1 0 1 0 0 0 1 1 around veh and he still has no plan to move the veh.i tagged the veh and chalked the tires for removal.i also explained that if the veh is not moved and gets towed it would only be released to the registered owner.Additionally i offered for him to go to a shelter today and he refused. 2022-10096284-Sprague/Havana-contacted in southwest parking lot working on 7/26/2022 Other 0.5 1 1 1 0 1 0 0 0 0 1 Blue van,he relapsed and was under the influence.he did not want to speak with us and did not want us around. 2022-10096281-7800 E Alki Ave-responded 7/26/2022 Other 0.75 0 0 0 0 0 0 0 0 1 0 to loc,located camp south of open dirt loc accesible through mobile home park along the fence.no one at the camp. 2022-10096310-N Flora Pit/E Euclid Ave-citz 7/26/2022 Other complaint about u campers along river.the area is State Parks land so will forward to the necessary entity. 2022-10096310-responded to area to check park for u campers,obsd grey Chevrolet (264YPG),plate returned sold to a (9-5- 60).a check of showed an alert to contact Frontier Behavioral Health if contacted.reached out to MH unit(G1)who 7/26/2022 Sullivan Park 2 1 0 0 0 2 0 0 0 0 0 advised that there was an order in place to detain. struggled to be detained and was verbally abusive threatening to"kick me in the nuts" but detained without incident and stood by until G1 arrived.SCRAPS contacted for her dog.i locked and secured her vehicle and placed her keys in her purse backpack which was transported with her. 2022-10096639-spoke with Senske yesterday 7/27/2022 Centerplace 0.25 0 0 0 0 0 0 0 0 0 0 who said they were having problems with someone sleeping in the bathrooms,checked area and no one located. 7/27/2022 Balfour Park 0.5 0 0 0 0 2 0 0 0 0 0 2022-10096643-checked park for u campers, none located 2022-10096650-E Main/N Felts-contacted sleeping in brown Chrysler Sebring w/ ID plate 7B89141 parked in right of way. 7/27/2022 Other 2.5 1 1 1 1 1 0 0 0 0 1 unregistered veh.arrested for unlawful camping and cited#2A0211564 and released at scene.she gathered her belongings. 2022-10096786-Sullivan/Broadway-checked area behind Walmart for u campers,located .want/warrant check revealed a local 7/27/2022 Other 2.5 1 1 0 1 1 0 0 0 0 1 stat 1 and stat 2 warant.he was detained and ultimately arrested.discussed stabilization and treament options after his court appearance. provided business cards.booked for warrants. 2022-10096861-4th/McKinnon-responded to area and observed had moved her trailer and vehs 2 blocks to the east.i advd her again that she had to remove the vehicles 7/27/2022 Other 0.5 2 0 0 0 2 0 0 0 0 2 from the roadway.i further educated her that it was unlawful for her to camp along the right of way in the city of spokane valley.i advised her i would follow up in morning and if she is still in the area she would be towed. 7/28/2022 Balfour Park 0.25 0 0 0 0 0 0 0 0 0 0 2022-10097186-checked park for u campers, none located 2022-10097180-assisted patrol with robbery 7/28/2022 Other 1 0 0 0 0 1 0 0 0 1 0 investigation 2022-10096650-10101 E Main-towed veh from right of way that had been moved 7/28/2022 Other 1.5 0 0 0 0 0 0 0 0 0 0 approx 3 feet from chalked tire mark.no registered owner and no one around vehicle. 24 hour notice had been removed from vehicle window. 7/28/2022 Other 0.5 0 0 0 0 0 0 0 0 0 0 2022-10097274-12323 E Riverside-checked area for u campers,none located 2022-10097285-2nd/Best-contacted (5-23-95)and (3-28-97)inside of 7/28/2022 Appleway 1 2 0 0 1 2 0 0 0 0 2 restroom.warned for unlawful camping and Trail explained ordinance as well as storage of personal property ordinance. was arrested by Ofcr Moore for her theft warrant. 2022-10097312-4th/Adams-contacted outside of suburban.she stated she has been there for approximately a year.waiting on ss card and for someone to help her fix her inoperable vehicle.she was connected with previously outreach and provided a gas card for veh.stated she will have veh moved by sunday.i explained the parking ordinance as 7/28/2022 Other 1 1 1 1 0 2 0 0 0 1 0 well as camping ordinance.i stated if still there tomorrow she will be tagged for removal and if still there monday she could be issued a citation and ultimately towed.spoke with at 14727 E 4th Ave who stated that the subjects in the bus were just visiting and will be gone by monday.i advd i would follow up on monday and tag the bus if it was still there and stated that it would be subject to tow 7/28/2022 Other 0.5 0 0 0 0 0 0 0 0 1 0 2022-10097350-15006 E 13th Ave-backed patrol on trouble unkown call 2022-10097377-Ermina Ave/Bowdish Rd- responded to loc obsd Green Subaru Impreza with ID plate K715741,had previous contact 7/28/2022 Other 0.5 0 0 0 0 0 0 0 0 1 0 with (6-14-83)in vehicle,trash is over flowing out of veh and no one is around it.not currently registered,i tagged and chalked tires for removal. 2022-10097432-26th Ave/Collins Rd-f/u on 7/28/2022 Other 0.5 0 0 0 0 0 0 0 0 0 0 trailer parked in right of way,veh has been moved along. 7/28/2022 Other 0.5 0 0 0 0 0 0 0 0 1 0 2022-10097445-4th/Koren-checked for u camper,GOA 2022-10096415-5th/McKinnon-tagged 7/28/2022 Other 1 0 0 0 0 0 0 0 0 1 0 vehicle and chalked tires for HULK removal 2022-10097475-McKinnon Rd/Granite Point Dr-obsd Tioga MH(AIK3107)around corner from u camp location yesterday at 4th/Koren. 7/28/2022 Other 0.5 0 0 0 0 0 0 0 0 0 0 no one in or around veh.no r/o and reg is from 2018.tagged veh for 24 hour notice and chalked tires. CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: September 6, 2022 Department Director Approval: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Potential Grant Opportunity-Electrification of Transportation Systems— Clean Energy Fund 5 GOVERNING LEGISLATION: RCW 35.77.010: Six Year Transportation Improvement Program PREVIOUS COUNCIL ACTION TAKEN: None BACKGROUND: On August 1, 2022, the Washington State Department of Commerce issued a Call for Projects for the Electrification of Transportation Systems (ETS) grant program. The ETS program is funded from the state's Clean Energy Fund. The program is intended to support eligible entities' participation in the state's clean energy transition by funding projects for early state transportation market electrification adoption and planning. Funding maybe used to identify, design, or install capital assets and/or infrastructure upgrades necessary to support electric vehicle charging infrastructure. Priority is given to applicants that aim to benefit communities with limited capacity or gaps within the existing electrification network, applicants that have not received electrification-related grants in the past, and to applicants that partner with local electricity providers. Critical program details are as follows: Available Funding $970,000 Award Range $100,000 - $150,000 (up to $400,000 if partnership exists) Match Requirements 5:1 (17% city match if partnered with a utility (i.e. Modern or Vera)) 1:1 (50% if submitted as standalone City application) Key Dates September 15— Phase 1 Intent to Apply applications due October 10 - Commerce will "encourage" or "discourage" applicants to submit a Phase 2 application for project funding. November 21 — Phase 2 applications due January 2023—Awards announced by end of month February 2023 — Contract negations start Contract Limits 24-36 months to execute the contract Submittal to ETS program's Phase 1 is mandatory if an applicant seeks to be considered under the funding requests for Phase 2. Staff recommends submitting a Phase 1 application to conduct early-stage development and planning needed to identify future infrastructure upgrades necessary to support the state's goal of providing equitable electric vehicle supply equipment (EVSE) to all Washington communities. The City would work with the electricity providers to develop a partnership to maximize the grant award potential. If awarded, this planning grant would be used to hire a consultant to complete the following tasks: • Coordinate with electricity providers to evaluate the existing EVSE network and long- term plans for utility purveyor(s) (i.e. inventory, capacity, goals). • Conduct public outreach seeking community input regarding wants, needs, challenges, opportunities, etc., including consideration of impacts to vulnerable communities disproportionately burdened by air pollution, climate change or lack of transportation systems. • Develop City goals and priorities regarding EVSE and associated infrastructure. • Identify recommended upgrades necessary to support increased electrical load from EV charging and EVSE infrastructure. The cost for the proposed planning work is estimated at $150,000. If the City is "encouraged" by Commerce to submit a Phase 2 application, staff would return to City Council for a motion consideration to apply for funding. The motion consideration would include a final estimated project cost and would further identify the recommended City match. OPTIONS: Discussion. RECOMMENDED ACTION OR MOTION: Council consensus for staff to submit a Phase 1 application, due September 15, 2022. BUDGET/FINANCIAL IMPACTS: A Phase 1 application does not have any financial impact. Should the City pursue a phase 2 application, due November 21, 2022, staff would return to Council for a motion consideration to apply to the ETS grant program. The City's financial responsibility would be identified at that time. STAFF CONTACT: Adam Jackson, P.E. — Engineer— Planning & Grants ATTACHMENTS: None CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: September 6, 2022 Department Director Approval: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Potential Grant Opportunity-Water Quality Combined Funding Program GOVERNING LEGISLATION: RCW 35.77.010: Six Year Transportation Improvement Program PREVIOUS COUNCIL ACTION TAKEN: • Annual adoption of the 6-year Transportation Improvement Program (TIP) BACKGROUND: On August 9, 2022, the Washington State Department of Ecology issued a Call for Projects for the Water Quality Combined Funding Program (WQC) for state fiscal year 2024. The application combines multiple funding programs into one application process where Ecology staff will evaluate each application received and separate them into respective funding pots. The following funding programs are available: • Clean Water State Revolving Fund — Loans - $250 million available • Stormwater Financial Assistance Program —State Grants - $35 million available • Clean Water Centennial Program —State Grants - $20 million available • Clean Water Act Section 319 — Federal Grants - $1.7 million available • Sewer Overflow & Stormwater Reuse Grants — Federal Grants - $11.4 million available The program timeline is contingent on the progress made by the state's legislative session starting in January 2023. Below is a summary of critical program dates: • Applications Due October 12, 2022 • Issue Draft Funding Award List January 20, 2023 • Final Funding Awards July 1, 2023 • Agreement Development July 2023 thru January 2024 • Start Work no later than April 2024 Potential City projects generally align mostly with the Stormwater Financial Assistance Program (SFAP) grants. Example projects include drywell retrofits/upgrades throughout the City and the Sprague Avenue Stormwater Improvement Project. The SFAP requires a 15% local match to an 85% Ecology funding award. Also, the City is eligible for the remaining programs, by rule, but general practice has led us to most often pursue the SFAP grant. The other programs have varying match requirements, ranging upwards to a 40% local match. In 2022, Ecology offered this funding opportunity for FY2023. Awards generally ranged between $100,000 and $400,000, while some agencies were awarded $1-$3 million. For this current call for projects (FY24), City staff will evaluate the program criteria and compare it to a potential project list. This list of projects, along with estimated costs, will be provided to Council for application consideration at a future meeting, likely September 20, 2022. OPTIONS: Discussion. RECOMMENDED ACTION OR MOTION: Council consensus for staff to pursue this grant opportunity and return to Council with a proposed list of project applications, including estimated costs. BUDGET/FINANCIAL IMPACTS: None at this time. The program's minimum city match of 15% will be quantified for a future Council meeting, likely September 20, when proposed projects and associated costs are identified and proposed for Council consideration. STAFF CONTACT: Adam Jackson, P.E. — Engineer— Planning & Grants ATTACHMENTS: None CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: September 6,2022. Department Director Approval: Check all that apply: ❑consent ❑old business ❑new business ❑public hearing ❑information ®admin.report ❑pending legislation ❑executive session AGENDA ITEM TITLE: Administrative report—proposed amendments to chapter 3.46 SVMC relating to agreements for consulting services. GOVERNING LEGISLATION: Chapter 3.46 SVMC. PREVIOUS COUNCIL ACTION TAKEN: 2015 adoption of chapter 3.46; 2017 amendments; 2019 amendment. BACKGROUND:The City adopted chapter 3.46 SVMC relating to the procurement process for consultant agreements in 2015 with several minor changes since then. These provisions were adopted with an intent to provide a process that allows the City to be good stewards of public funds while also retaining flexibility and efficiency through its contracting work. Notably,although there are state requirements for public works contracts and architectural and engineering contracts, there are no state requirements for consultant contracts. Thus, any limits are purely a City Council policy decision. Under Chapter 3.46 SVMC,where consultant contracts are expected to exceed$100,000,or if the contract is expected to be for more than a year, SVMC 3.46.010(B)requires a formal competitive selection process. For agreements between $15,000 and $100,000 and not longer than a year, SVMC 3.46.010(C)requires a less formal procurement process where the responsible department must get three or more proposals and select the lowest responsible bidder. Anything below $15,000 encourages, but does not require, a competitive process such as getting multiple proposals. The cost of these contracts to the City has gone up significantly in the past seven years, and the current dollar limits create barriers that cause significant delays without identifiable benefits for the City. Often, the cost to the City due to the time and effort by staff to put forward a formal competitive process is not equal to the value gained through that procurement process. The limit on a contract not exceeding one year is not required by state law and puts an artificial barrier without tangible benefit. Many projects that consultants work on for the City run longer than a year, making us engage in a full formal process that delays bringing necessary consultants on board. Staff is proposing that SVMC 3.46.010 be amended to raise the top threshold to $200,000,above which a formal competitive process would be required,and remove the one-year limitation entirely. If the contract is expected to be above $200,000,then a formal process would be required. For the next threshold,staff proposes to change this so that contracts between$25,000 and$200,000 would require staff to obtain three or more proposals,which can include use of the consultant roster. The limit of not exceeding one year would be removed as unnecessary, as would the requirement to take the lowest bidder. One of the most critical features of consultants is trying to find one with expertise in the task, and the lowest dollar response is not likely to result in getting a highly qualified consultant. The last threshold would be adjusted to consultant agreements below $25,000 such that a competitive process is encouraged,but not required,while still seeking to achieve maximum quality at minimum cost. The other proposed change is to SVMC 3.46.030, which would add an exemption to the procurement requirements for consultant contracts relating to litigation, or when litigation is reasonably anticipated. In these circumstances,the City is seeking high level expertise in a narrow specialty as quickly as possible to be able to protect the best interests of the City. In these types of scenarios,the City needs to be able to hire the most qualified people as soon as possible. OPTIONS: (1)Place on a future agenda for a first reading; or(2)take other action as appropriate. RECOMMENDED ACTION OR MOTION: Consensus to place on a future agenda for an ordinance first reading. BUDGET/FINANCIAL IMPACTS: None anticipated. STAFF CONTACT: Cary Driskell, City Attorney. ATTACHMENTS: Draft ordinance amending chapter 3.46 SVMC. DRAFT CITY OF SPOKANE VALLEY SPOKANE COUNTY,WASHINGTON ORDINANCE NO.22-XXX AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON,AMENDING SECTIONS 3.46.010 AND 3.46.030 OF THE SPOKANE VALLEY MUNICIPAL CODE RELATING TO THE SELECTION PROCESS OF SERVICE CONTRACTS,AND OTHER MATTERS RELATING THERETO. WHEREAS, the City of Spokane Valley previously adopted Spokane Valley Municipal Code sections 3.46.010 and 3.46.030 relating to the thresholds for service contracts with regard to the procurement process to be used; and WHEREAS,the City has considerable experience in identifying competitive, qualified,and cost- effective service contractors; and WHEREAS, the cost of services applicable to contracts entered into pursuant to chapter 3.46 SVMC has increased substantially since the original threshold amount was adopted at$100,000; and WHEREAS,these proposed amendments will allow increased efficiency and necessary flexibility while still protecting the best financial interest of the City and its citizens; and WHEREAS,the City Council has determined that is it appropriate and necessary to revise chapter 3.46 SVMC to increase efficiency for both staff and the public with which the City contracts; and WHEREAS,the City has determined that it is often necessary to quickly obtain services in support of ongoing or reasonably anticipated litigation that would otherwise be unduly delayed by engaging in a competitive procurement process, and where delays in obtaining necessary contractual services could be extremely detrimental to the City. NOW, THEREFORE, the City Council of the City of Spokane Valley, Washington ordains as follows: Section 1. Amendment. Spokane Valley Municipal Code sections 3.46.010 and 3.46.030 are hereby amended as follows: 3.46.010 Contracts for services A. Chapter 3.46 SVMC shall not apply to architectural and engineering services,the procurement of which is governed by Chapter 3.45 SVMC. B. When entering into a contract for services where the contract is 44 expected to exceed $4200,000-ef (2)expected to be greater than$15,000 and expected to be effective for more than one year,a competitive selection process shall be used. This process may include a"request for qualifications" or"request for proposals"process or formal competitive bidding procedures pursuant to SVMC 3.40.010. C. When entering into a contract for services where the contract is not expected to exceed$4200,000 but is expected to be greater than $25,000, is expected to be greater than $15,000, and is not expected to be effective for more than one year, the responsible department shall obtain three or more proposals for the services required, select the lowest responsible proposal, and maintain a record of the process followed. The responsible department may use the consultant roster pursuant to SVMC 3.46.020 to obtain proposals. Ordinance 22-0** Amending Chapter 3.46 SVMC — Service Agreements - 1 - DRAFT D. When entering into a contract for services where the contract is not expected to exceed $125,000, the responsible department is encouraged, but is not required,to use a competitive selection process, such as obtaining three proposals pursuant to SVMC 3.46.010(C). If a competitive process is not utilized, the responsible department shall seek to achieve maximum quality at minimum cost by making an award based on its experience and knowledge of the market. 3.46.030 Exception to selection processes A. Notwithstanding SVMC 3.46.010 and 3.46.020, when contracting for services which have historically and traditionally been considered professional services, such as attorneys and accountants, or when contracting for services in support of ongoing or reasonably anticipated litigation, the responsible department may,when determined to be in the best interest of the City,obtain such services by negotiation without going through a competitive procurement process. Such services significantly rely upon the quality of expertise provided,rather than the cost of service. B. If a situation should arise which requires immediate action on the part of the City to protect the best interests of the City or the health, safety or welfare of the citizens of the City, and where it is not possible to timely adhere to the procedures set forth in SVMC 3.46.010, the selection procedures set forth in Chapter 3.46 SVMC may,with prior approval of the city manager,be waived by the department director, and the contract may be awarded without following the procedures set forth in SVMC 3.46.010. The circumstances giving rise to such waiver shall be documented in writing within 14 days. Section 2. Other sections unchanged. All other provisions of chapter 3.46 SVMC not specifically referenced hereto shall remain in full force and effect. Section 3. Severability. If any section, sentence,clause or phrase of this Ordinance should be held to be invalid or unconstitutional by a court of competent jurisdiction,such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section,sentence,clause or phrase of this Ordinance. Section 4. Effective Date. This Ordinance shall be in full force and effect five days after publication of the Ordinance Summary. Passed this day of September,2022. Pam Haley,Mayor ATTEST: Christine Bainbridge, City Clerk Approved as to form: Office of the City Attorney Date of Publication: Effective Date: Ordinance 22-0** Amending Chapter 3.46 SVMC — Service Agreements - 2 - CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: September 6,2022 Department Director Approval: Check all that apply: ❑consent ❑old business ❑new business ❑public hearing ❑information ®admin.report ❑pending legislation ❑executive session AGENDA ITEM TITLE: Administrative report—proposed amendments to chapter 3.47 SVMC relating to purchase of goods,equipment, and supplies. GOVERNING LEGISLATION: Chapter 3.47 SVMC. PREVIOUS COUNCIL ACTION TAKEN: 2015 adoption of chapter 3.47 SVMC. BACKGROUND: In 2015, the City adopted chapter 3.47 SVMC relating to the procurement process for purchase of goods, equipment, and supplies, and it has not been amended since then. These provisions were adopted with an intent to provide a process that allows the City to be good stewards of public funds while also retaining flexibility and efficiency through its contracting work. Notably, although there are state requirements for public works contracts and architectural and engineering contracts, there are no state requirements for purchase of goods. Thus, any limits are purely a City Council policy decision. The threshold in SVMC 3.47.010(A) for having to use a formal competitive selection process is for any single item over$40,000. Pursuant to SVMC 3.47.020,the next threshold is for purchase of goods,equipment, and supplies equal to or less than $40,000 and greater than $15,000, which requires a less formal procurement process where the responsible department must get three or more quotes and select and purchase from the vendor with the lowest quote. Anything below $15,000 encourages, but does not require, a competitive process such as getting multiple proposals. The cost of acquisition of goods, equipment, and supplies to the City has gone up significantly in the past seven years, and the current limits create barriers that cause significant delays without identifiable benefits for the City. Often,the cost to the City due to the time and effort by staff to put forward a formal competitive process and delay in receiving the goods is not equal to the value gained through that procurement process. Staff is proposing that SVMC 3.47.010 be amended to raise the top threshold to $100,000, above which a formal competitive process would be required for purchase of goods,equipment, and supplies. The next threshold under SVMC 3.47.020 is proposed to change so that purchase of goods, equipment, and supplies between $25,000 and $100,000 would require staff to obtain three or more proposals, which can include use of the vendor list. The last threshold under SVMC 3.47.030 would be adjusted for purchase of goods, equipment, and supplies below $25,000 such that a competitive process is encouraged, but not required, while still seeking to achieve maximum quality at minimum cost. There is an additional minor change in each section to make them consistent with another recent Code change to chapter 3.48 SVMC relating to use of purchase orders, which was amended from $1,000 to $2,500. OPTIONS: (1)Place on a future agenda for a first reading;or(2)take other action as appropriate. RECOMMENDED ACTION OR MOTION: Consensus to place on a future agenda for an ordinance first reading. BUDGET/FINANCIAL IMPACTS: None anticipated. STAFF CONTACT: Cary Driskell, City Attorney. ATTACHMENTS: Draft ordinance amending chapter 3.47 SVMC relating to purchases of goods. Draft CITY OF SPOKANE VALLEY SPOKANE COUNTY,WASHINGTON ORDINANCE NO.22-XXX AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY WASHINGTON,AMENDING SECTIONS 3.47.010 THROUGH 3.47.030 OF THE SPOKANE VALLEY MUNICIPAL CODE RELATING TO THE SELECTION PROCESS FOR PURCHASE OF GOODS,EQUIPMENT,AND SUPPLIES; AND OTHER MATTERS RELATING THERETO. WHEREAS, the City of Spokane Valley previously adopted Spokane Valley Municipal Code sections 3.47.010 through 3.47.030 relating to the thresholds for purchase of goods,equipment,and supplies with regard to the procurement process to be used; and WHEREAS, the City has considerable experience in identifying vendors who will provide competitive pricing to the City for such items; and WHEREAS, the cost of goods, equipment, and supplies has increased substantially since the original thresholds were adopted; and WHEREAS,these proposed amendments will allow increased efficiency and necessary flexibility while still protecting the financial best interest of the City and its citizens; and WHEREAS,the City Council has determined that is it appropriate and necessary to revise chapter 3.47 SVMC to increase efficiency for both staff and the public with which the City contracts. NOW, THEREFORE, the City Council of the City of Spokane Valley, Washington ordains as follows: Section 1. Amendment. Spokane Valley Municipal Code sections 3.47.010 through 3.47.030 are hereby amended as follows: SVMC 3.47.010 Purchase of goods greater than $407080100,000. A. When making a purchase of goods, equipment, or supplies in excess of $4100,000, the responsible department shall,at least 13 days prior to purchasing such goods,publish a notice of request for bids stating the written specifications of the goods required and desire of the City to purchase such goods. The notice shall contain the written specifications, the date for submitting bids, and name and address of the City representative who can provide information on the request for bids. Upon receipt of the written bids, the City shall select and purchase the goods from the vendor submitting the lowest bid;provided,that such bid meets all specifications provided in the notice. When determining the lowest bid, the City may take into account sales tax revenues received by the City, shipping, and transportation costs.All purchases of goods in the amount of$42,500800 or more shall also comply with SVMC 3.48.030. B.For purposes of this section, the threshold limits shall only apply to a single good,piece of equipment, or supply item. SVMC 3.47.020 Purchase of goods equal to or less than $100,00040,008 and greater than $125,000. A. When making a purchase of goods,equipment, or supplies equal to or less than $4100,000,but greater than $425,000,the responsible department shall obtain three or more quotes for the goods, equipment, or Ordinance 22-0** Amending Chapter 3.47 SVMC —Purchase of Goods - 1 - Draft supplies required,select and purchase the goods from the vendor submitting the lowest quote,and maintain a record of the process followed. Alternatively,the department may utilize the vendor list and process set forth in Chapter 3.48 SVMC. The department may consider quotes by any vendor with which the City has a vendor account as one of the three required quotes. City staff may take verbal quotes and reduce them to writing. When determining the lowest quote, the City may take into account local sales tax revenues, shipping, and transportation costs. If less than three quotes are received,City staff shall not be required to resubmit for additional quotes, but shall select from the quotes submitted. All purchases of goods in the amount of$42,5004 or more shall also comply with SVMC 3.48.030. SVMC 3.47.030 Purchase of goods equal to or less than $425,000. When purchasing goods,equipment,or supplies in an amount equal to or less than$425,000,the responsible department is encouraged,but is not required, to use a competitive selection process, including obtaining three quotes pursuant to SVMC 3.47.020, or using the vendor list and process set forth in Chapter 3.48 SVMC. The responsible department shall contact vendors at least once annually to establish prices on common items that may be purchased in bulk. Such prices may be used when determining the threshold limits for purposes of this chapter. A City department may aggregate a group of common items so long as each of such items individually are less than $4-25,000. Any individual items greater than $4-25,000 shall be bid pursuant to SVMC 3.47.010 or 3.47.020. If a competitive process is not utilized,the responsible department shall seek to achieve maximum quality at minimum cost by making an award based on its experience and knowledge of the market.All purchases of goods in the amount of$42,5004 or more shall also comply with SVMC 3.48.030. Section 2. Other sections unchanged. All other provisions of chapter 3.47 SVMC not specifically referenced hereto shall remain in full force and effect. Section 3. Severability. If any section, sentence,clause or phrase of this Ordinance should be held to be invalid or unconstitutional by a court of competent jurisdiction,such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section,sentence,clause or phrase of this Ordinance. Section 4. Effective Date. This Ordinance shall be in full force and effect five days after publication of the Ordinance Summary. Passed this day of September,2022. ATTEST: Pam Haley,Mayor Christine Bainbridge, City Clerk Approved as to Form: Office of the City Attorney Date of Publication: Effective Date: Ordinance 22-0** Amending Chapter 3.47 SVMC —Purchase of Goods - 2 - CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: September 6,2022 Department Director Approval: Check all that apply: ❑consent ❑old business ❑new business ❑public hearing ❑information ®admin.report ❑pending legislation ❑executive session AGENDA ITEM TITLE:Administrative report—amendment to SVMC 2.35.010 relating to audit officer responsibilities. GOVERNING LEGISLATION: RCW 42.24.080; and SVMC 2.35.010. PREVIOUS COUNCIL ACTION TAKEN: Adoption of Ordinance 004 in December 2002, prior to formal effective date of incorporation of the City. BACKGROUND: As part of forming the City's operational structure following the vote to incorporate, the original Council adopted Ordinance 004 on December 3, 2002,regarding compliance with state audit requirements. The language states that the audit officer is required to perform all duties set forth in RCW 42.24.080. In reality, these extensive tasks require the effort of the entire Finance Department. The proposed amendment would reflect that the audit officer is responsible for ensuring compliance with the state audit requirements. These tasks could then be delegated to subordinates without there being an argument that doing so violates SVMC 2.35.010. This housekeeping change is not considered substantive, and instead would conform the Code to existing practices. OPTIONS: (1)Place on a future agenda for first reading;or(2)take other action as appropriate. RECOMMENDED ACTION OR MOTION: Consensus to place on a future agenda for first reading. BUDGET/FINANCIAL IMPACTS: Not applicable. STAFF CONTACT: Cary Driskell, City Attorney;Chelsie Taylor,Finance Director(and audit officer). ATTACHMENTS: Draft ordinance amending SVMC 2.35.010. Draft CITY OF SPOKANE VALLEY SPOKANE COUNTY,WASHINGTON ORDINANCE NO.22-XXX AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY WASHINGTON,AMENDING 2.35.010 OF THE SPOKANE VALLEY MUNICIPAL CODE RELATING TO THE FINANCE DIRECTOR AS AUDITING OFFICER,AND OTHER MATTERS RELATING THERETO. WHEREAS,RCW 42.24.080 requires cities to appoint of an auditing officer,which may be done by ordinance;and WHEREAS, the City of Spokane Valley previously adopted Spokane Valley Municipal Code 2.35.010 relating to the position and duties of the Finance Director,who also serves as the City's auditing officer; and WHEREAS, the auditing officer provides for certification and authentication of all claims presented against the City in preparation for state audits; and WHEREAS, there is no requirement in State law that the auditing officer personally perform the necessary tasks in preparation for certification and authentication by the auditing officer; and WHEREAS, it is more appropriate for certain auditing tasks to be delegated to other Finance Department employees,which can then be certified and authenticated by the auditing officer; and WHEREAS, SVMC 2.35.010 should be amended to ensure compliance with State law and to provide for more efficient operations. NOW, THEREFORE, the City Council of the City of Spokane Valley, Washington ordains as follows: Section 1. Amendment. Spokane Valley Municipal Code section 2.35.010 is hereby amended as follows: 2.35.010 Appointment The city council hereby appoints the finance director as the auditing officer. The auditing officer shall be responsible for ensuring compliance with is required to perform all duties set forth in RCW 42.24.080, including the authentication and certification of claims against the City of Spokane Valley. Section 2. Severability. If any section, sentence,clause or phrase of this Ordinance should be held to be invalid or unconstitutional by a court of competent jurisdiction,such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section,sentence,clause or phrase of this Ordinance. Section 3. Effective Date. This Ordinance shall be in full force and effect five days after publication of the Ordinance Summary. Ordinance 22-0** Amending SVMC 2.35.010 —Audit Officer - 1 - Draft Passed this day of September, 2022. Pam Haley,Mayor ATTEST: Christine Bainbridge, City clerk Approved as to form: Office of the City Attorney Date of Publication: Effective Date: Ordinance 22-0** Amending SVMC 2.35.010 —Audit Officer - 2 - CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: September 9, 2022 Department Director Approval: Check all that apply: ❑ consent ❑ old business ❑ new business ❑ public hearing ❑ information ® admin. report ❑ pending legislation ❑ executive session AGENDA ITEM TITLE: Review of Potential and Pending Projects Worksheet and allocation of Capital Reserve Fund #312 reserves. GOVERNING LEGISLATION: n/a PREVIOUS COUNCIL ACTION TAKEN: Council last discussed the Potential and Pending Projects Worksheet at the June 14, 2022 Budget Workshop. BACKGROUND: Each year the City prepares an annual budget and in the 2023 Budget development cycle Council will ultimately have an opportunity to discuss the budget on eight separate occasions beginning with the June 14, 2022 Budget Workshop and ending with the scheduled November 8, 2022 budget adoption. As part of this process Council discusses the Potential and Pending Projects worksheet and prioritizes how money in Capital Reserve Fund #312 should be allocated. Discussion on the allocation of Fund #312 reserves occurred at the June 14, 2022 Budget Workshop where a draft allocation was presented to Council. The allocation spreadsheet showed that there was $5,747,804 available in Fund #312 after reducing the allocation to the Fair and Expo Expansion project by $950,000. The $950,000 from the Fair and Expo Expansion was proposed to be allocated to Balfour Park with the remaining $4,797,804 being held for repairs to City Hall. Any settlement received related to City Hall repairs would be used to replenish Fund #312 in the future. Councilmembers also discussed some other options, such as completing a restroom in the basement at City Hall and local road improvements. OPTIONS: Council discretion. RECOMMENDED ACTION OR MOTION: Council consensus on the allocation of Fund #312 funds, either as proposed or modified. BUDGET/FINANCIAL IMPACTS: This is one of the multitude of decisions that are part of the budget development process that will conclude with Council's scheduled November 8, 2022 adoption of the 2023 Budget STAFF CONTACT: John Hohman, City Manager, and Chelsie Taylor, Finance Director ATTACHMENTS: • Allocation Worksheet for Capital Reserve Fund #312 • Potential and Pending Projects Worksheet P:1City Clerk\Council Agendas-- USE DURING CC MEETINGS\2022\09-06-22\allocation of 2022 transfer to Fund 312 CITY OF SPOKANE VALLEY,WA 9/6/2022 Allocation of 2022 General Fund Transfer to Capital Reserve Fund #312 Remainder Left After 2021 Activity 1,182,535 New 2022 Sources of Funds: General Fund -2022 transfer of 2020 fund balance >50% 3,593,000 Transfer in -#310 in 2021 for extra interest earnings 3,600 Total 2022 additional sources 3,596,600 Less 2022 Allocations and Adjustment to Date: - Reduce Fair and Expo Center Expansion (950,000) - Adjustments to Capital Reserve Fund #312 financed projects that were previously underway (18,669) Total allocated/changes to allocations thus far (968,669) Remaining to be Allocated 5,747,804 Potential Allocation Concepts to be Discussed by Council - Balfour Park 950,000 - City Hall Repairs 4,597,804 - City Hall Basement Improvements 200,000 - Local Road Improvements 0 Total 5,747,804 Remaining to be Allocated 0 P:\1.General Governance\Budget\2023 Budget\018.014 Finance\Potential and Pending Projects CITY OF SPOKANE VALLEY,WA I 9/6/2022 I Pending I Potential Projects W orksheet illProject Financing Estimated Grant Financed City Financed Total Potential/ Fund 101 Fund 103 Fund 104 Fund 106 Fund 123 Fund 309 Fund 310 Fund 312 Fund 301/302 Fund 402/403 Project Secured Anticipated General Street Paths& Hotel/Motel Solid Waste Civic Facilities Parks Capital Civic Buildings Capital Stormwater Bond Cost Grants Grants Fund Fund Trails Tax Facilities Fund Replacement Project Capital Projects Reserve REET or:APA Financed Other Total Unfunded Completed or ln-progress: -Projects completed in prior years(see attached list on pg 2) 55,958,580 19,136,517 0 19,894 21,216 109,300 0 0 0 320,322 1,157,368 24,098,707 469,106 0 7,849,573 2,776,577 55,958,580 0 -Pavement Pres Program Fund#311(through 2021) N/A 8,576,753 0 10,744,573 972,64.4 0 0 5,659,336 2,^00,CCG 0 0 0 9,261,664 0 0 1,397,035 39,020,661 N/A Bridging the Valley Barker Road/BNSF Grade Separation* 24,671,321 21,041,000 0 0 0 0 0 0 0 0 0 1,421,321 2,209,000 0 0 0 24,671,321 0 -Pines Road Underpass* 39,666,385 33,135,100 2,345,868 1,200,000 0 0 0 0 0 0 0 2,985,417 0 0 0 0 39,666,385 0 a00,000 0 0 0 0 0 0 0 0 0 0 50Q000 0 0 0 0 590,000 0 -Sullivan&Trent Interchange<c 27,000,000 2,552,500 23,000,000 0 0 0 0 0 0 0 0 500,000 0 0 0 0 26,052,500 947,500 Barker Road corridor improvements Euclid to Spokaac Riv_. 3,216;266 2,187,462 0 0 0 0 0 0 0 0 0 269466 0 0 0 760,367 3,21C,2CG 0 -Barker/UP Railroad Crossing 1,849,000 1,271,397 0 0 0 0 0 0 0 0 0 577,603 0 0 0 0 1,849,000 0 -South Barker Corridor Projects 18,800,000 5,300,000 9,900,000 0 0 0 0 0 0 0 0 0 0 0 0 3,600,000 18,800,000 0 -Sullivan Park water line installation 539,000 126,100 0 0 0 0 0 0 0 0 0 412,900 0 0 0 0 539,000 0 -Improvements at proposed SCLD Balfour site 1,842,500 0 0 0 0 0 0 251,753 0 0 839,285 460,715 54,203 236,54.4 0 0 1,842,500 0 -Balfour Park development 3,875,023 0 0 0 0 0 0 0 0 0 0 3,875,023 0 0 0 0 3,875,023 0 -Fair and Expo Center Expansion(design) 9,982,000 750,000 0 0 0 0 3,500,000 0 0 0 0 50,000 0 0 0 0 4,300,000 5,682,000 -Spokane Valley River Loop Trail(design) 1,750,000 0 0 0 0 0 0 0 0 0 0 1,750,000 0 0 0 0 1,750,000 0 -School Zone Beacons 225,000 0 0 0 0 0 0 0 0 0 0 225,000 0 0 0 0 225,000 0 -Police Vehicle Replacements 1,400,000 0 0 0 0 0 0 0 0 0 0 1,400,000 0 0 0 0 1,400,000 0 -Sculpture Placement Costs 64,000 0 0 0 0 0 0 0 0 0 0 64,000 0 0 0 0 64,000 0 Future Construction: -Phase 2&3-Appleway Landscaping(Park to University) 3,000,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 3,000,000 -Park land acquisition 1,000,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,000,000 -Railroad Quiet Zones study 85,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 85,000 -Appleway Trail-Balfour to University 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 -Bridging the Valley -Earmark for future surprises/challenges N/A 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 N/A Total of Capital Projects 195,424,074 94,076,819 35,245,868 11,964,467 993,860 109,300 3,500,000 5,911,089 2,408,656 320,322 1,996,653 38,580,142 11,993,973 236,544 7,849,573 8,542,969 223,730,235 10,714,500 included in 6-year TIP Capital Reserve Fund#312 '1 Sources General Fund transfers-2013 through 2018 27,790,607 General Fund-2021 transfer of 2019 fund bal>50h 11,126,343 General Fund-2022 transfer of 2020 fund bal>50h 3,593,000 Developer contribution(Library District)-2013 3,180 Developer contribution(Library District)-2014 4,675 Net proceeds on sale of Carnahan properties-2018 373,397 Transfer in-#309(Flora land aquisition) 200,000 Transfer in-#310(excess fund balance) 38,752 Transfer in-#313(excess fund balance) 88,589 State funding to reimburse Flora Rd Property 1,000,000 Net proceeds on sale of Balfour riding arena-2021 109,403 44,327,946 Projects Completed in Prior Years 24,098,707 completed Barker Road/BNSF Grade Separation 1,421,321 in-progress Pines Road Underpass 3,485,417 in-progress Sullivan&Trent Interchange 500,000 in-progress Sullivan Park water line installation 412,900 in-progress Barker Road corridor improvements 837,059 in-progress Balfour Park development 3,875,023 in-progress Improvements at proposed SCLD Balfour site 460,715 in-progress Fair and Expo Center Expansion 50,000 in-progress Spokane Valley River Loop Trail 1,750,000 in-progress School Zone Beacons 225,000 in-progress Police Vehicle Replacements 1,400,000 in-prop Sculpture Placement Costs 64,000 s 38,580,142 Difference 5,747,804 Page 1 of 2 P:\1.General Governance\Budget\2023 Budget\018.014 Finance\Potential and Pending Projects CITY OF SPOKANE VALLEY,WA I 9/6/2022 I Pending I Potential Projects W orksheet illProject Financing Estimated Grant Financed City Financed Total Potential/ Fund 101 Fund 103 Fund 104 Fund 106 Fund 123 Fund 309 Fund 310 Fund 312 Fund 301/302 Fund 402/403 Project Secured Anticipated General Street Paths& Hotel/Motel Solid Waste Civic Facilities Parks Capital Civic Buildings Capital Stormwater Bond Cost Grants Grants Fund Fund Trails Tax Facilities Fund Replacement Project Capital Projects Reserve REET or:APA Financed Other Total Unfunded Capital Projects Completed in Prior Years: -Phase 1-Appleway Landscaping(Dora to Park) 261,993 0 0 0 0 0 0 0 0 0 0 261,993 0 0 0 0 261,993 0 -Business Route Signage 21,139 0 0 0 0 0 0 0 0 0 0 21,139 0 0 0 0 21,139 0 -Joint Site Design-Balfour Park/Library 57,601 0 0 0 0 0 0 0 0 0 0 57,601 0 0 0 0 57,601 0 -Sullivan Road West Bridge replacement 15,493,248 13,046,330 0 0 0 0 0 0 0 0 0 1,713,284 365,803 365,803 0 367,831 15,859,051 (365,803) -City Hall 14,104,025 0 0 0 0 0 0 0 0 0 1,157,368 5,097,084 0 0 7,849,573 0 14,104,025 0 -Sculpture siting at City Hall 46,760 0 0 0 0 0 0 0 0 0 0 46,760 0 0 0 0 46,760 0 -Appleway Trail-University to Pines(Completed) 1,614,679 0 0 0 0 59,300 0 59,300 0 0 0 1,452,026 103,303 103,303 0 50 1,777,282 (162,603) -Appleway Trail-Pines to Evergreen(Completed) 1,970,654 1,696,192 0 0 0 0 0 0 0 0 0 274,462 0 0 0 0 1,970,654 0 -Carnahan&8th-ROW acquisition 679,821 0 0 0 21,216 0 0 0 0 0 0 658,605 0 0 0 0 679,821 0 -Remove&reconstruct Euclid Ave(Flora to Barker) after County installation of sewer 2,927,167 0 0 0 0 0 0 0 0 0 0 1,743,537 0 0 0 1,183,630 2,927,167 0 -Bus stops and pedestrian crossings on Indiana Ave. 71,486 0 0 0 0 0 0 0 0 0 0 71,486 0 0 0 0 71,486 0 -SVPD land acquisition 226,680 0 0 0 0 0 0 0 0 0 226,680 0 0 0 0 226,680 0 -Transfer to Street O&M Fund#101 for 2019 operating deficit 907,000 0 0 0 0 0 0 0 0 0 0 907,000 0 0 0 0 907,000 0 -Transfer to Street O&M Fund#101 for 2020 operating deficit 1,364,706 0 0 0 0 0 0 0 0 0 0 1,364,706 0 0 0 0 1,364,706 0 -Appleway Trail-Sullivan to Corbin(CN 2018) 2,315,283 1,783,000 0 0 0 50,000 0 0 0 180,383 0 301,900 0 0 0 0 2,315,283 0 -Appleway Trail-amenities-University to Pines(CN 2019) 699,153 539,320 0 19,894 0 0 0 0 0 139,939 0 0 0 0 0 0 699,153 0 -Garland Ave Construction 1,475,240 0 0 0 0 0 0 0 0 0 0 800,396 0 0 0 674,844 1,475,240 0 -Flora park land acquisition 2,095,711 0 0 0 0 0 0 0 0 0 0 2,095,711 0 0 0 0 2,095,711 0 -Appleway Trail-Evergreen to Sullivan(CN 2020) 2,395,000 2,071,675 0 0 0 0 0 0 0 0 0 323,325 0 0 0 0 2,395,000 0 -Sullivan Park land acquisition 844,000 0 0 0 0 0 0 0 0 0 0 844,000 0 0 0 0 844,000 0 -Ponderosa land acquisition 1,583,326 0 0 0 0 0 0 0 0 0 0 1,583,326 0 0 0 0 1,583,326 0 -Flora&Montgomery Trailhead land acquisition 286,216 0 0 0 0 0 0 0 0 0 0 286,216 0 0 0 0 286,216 0 -Closing costs for Summerfield land donation 6,339 0 0 0 0 0 0 0 0 0 0 6,339 0 0 0 0 6,339 0 -Sprague Ave land acquisition 2,230,449 0 0 0 0 0 0 0 0 0 0 2,230,449 0 0 0 0 2,230,449 0 -Barker Road corridor improvements -Euclid to Trent 2,280,904 0 0 0 0 0 0 0 0 0 0 1,730,682 0 0 0 550,222 2,280,904 0 55,958,580 19,136,517 0 19,894 21,216 109,300 0 59,300 0 320,322 1,157,368 24,098,707 469,106 469,106 7,849,573 2,776,577 56,486,986 (528,406) Page 2 of 2 DRAFT ADVANCE AGENDA as of September 1,2022; 9:00 a.m. Please note this is a work in progress;items are tentative To: Council&Staff From: City Clerk,by direction of City Manager Re: Draft Schedule for Upcoming Council Meetings Sept 13,2022,Formal Meeting,6:00 p.m. [due Tue Sept 6] Proclamation: Constitution Week 1.PUBLIC HEARING#1: 2023 Budget: 2023 Revenues,Includes Property Taxes-Chelsie Taylor (10 minutes) 2.PUBLIC HEARING:TPA Formation-Mike Basinger (15 minutes) 3.First Reading Ordinance 22-016 Re TPA Formation-Mike Basinger (20 minutes) 4.Consent Agenda(claims,payroll,minutes;motion to set Budget Hearing for 10/11) (5 minutes) 5.First Reading Ordinance 22-017 Amending SVMC 3.46-Cary Driskell (5 minutes) 6.First Reading Ordinance 22-018 Amending SVMC 3.47-Cary Driskell (5 minutes) 7.First Reading Ordinance 22-019 Amending SVMC 2.35.010-Cary Driskell (5 minutes) 8.Motion Consideration:Gang Task Force Funding-Chief Ellis,Erik Lamb (10 minutes) 9.Motion Consideration:Poe Contract Amendment-Bill Helbig (10 minutes) 10.Admin Report: Street Vacation STV 2022-0002,Cameo Lofts-Lori Barlow (10 minutes) 11.Admin Report:Advance Agenda-Mayor Haley (5 minutes) [*estimated meeting: 100 mins] Sept 20,2022,Study Session,6:00 p.m. [due Tue Sept 13] ACTION ITEMS: 1. Second Reading Ordinance 22-016 Re TPA Formation-Mike Basinger (10 minutes) 2. Second Reading Ordinance 22-017 Amending SVMC 3.46-Cary Driskell (5 minutes) 3. Second Reading Ordinance 22-018 Amending SVMC 3.47-Cary Driskell (5 minutes) 4. Second Reading Ordinance 22-019 Amending SVMC 2.35.010-Cary Driskell (5 minutes) 5.First Reading Ordinance 22-020 Street Vacation STV 2022-0002,Cameo Lofts-Lori Barlow (5 minutes) NON-ACTION ITEMS: 6.Proposed Ordinance Adopting 2023 Property Taxes-Chelsie Taylor (10 minutes) 7.Outside Agency presentations(5 minutes each)-Dan Domrese (-110 minutes) 8.Advance Agenda-Mayor Haley (5 minutes) [*estimated meeting: 155 mins] Sept 27,2022,Formal Meeting Study Session,6:00 p.m. [due Tue Sept 20] Proclamation:Fire Prevention Week 1.Consent Agenda(claims,payroll,minutes;motion to set Budget Hearing for 10/11) (5 minutes) 2. Second Reading Ordinance 22-22-020 Street Vacation STV 2022-0002,Cameo Lofts-Lori Barlow (5 minutes) 3.Motion Consideration:Grant Opportunity:Water Quality Combined Funding Program-Adam Jackson (10 minutes) 4.Admin Report: SCOPE Presentation-Chris Conway SCOPE Director (15 minutes) 5.Admin Report: Sullivan/Trent Interchange Update-Gloria Mantz (10 minutes) 6.Admin Report: SVPD Update-Chief Ellis (10 minutes) 7.Admin Report:Fire Dept Monthly Report-Chief Soto (10 minutes) 8.Admin Report:Advance Agenda-Mayor Haley (5 minutes) 9.Info Only:Department Monthly Reports [*estimated meeting: 70 mins] October 4,2022,Study Session,6:00 p.m. [due Tue Sept 27] 1. Stormwater Utility Plan Update-Gloria Mantz (10 minutes) 2.City Manager Presentation of 2023 Preliminary Budget-John Hohman (30 minutes) 3.Advance Agenda-Mayor Haley (5 minutes) [*estimated meeting:45 mins] October 11,2022,Formal Meeting,6:00 p.m. [due Tue Oct 4] 1.PUBLIC HEARING#2:2023 Budget: Preliminary Budget (10 minutes) 2.First Reading Property Tax Ordinance 22- -Chelsie Taylor (10 minutes) 3.Consent Agenda(claims,payroll,minutes) (5 minutes) 4.Admin Report:2022 Budget Amendment-Chelsie Taylor (10 minutes) 5.Admin Report:Advance Agenda-Mayor Haley (5 minutes) [*estimated meeting:40 mins] Draft Advance Agenda 9/1/2022 8:51:06 AM Page 1 of 2 October 18,2022,Study Session,6:00 p.m. [due Tue Oct 11] 1.Advance Agenda—Mayor Haley (5 minutes) October 25,2022,Formal Meeting,6:00 p.m. [due Tue Oct 18] 1.PUBLIC HEARING: 2022 Budget Amendment—Chelsie Taylor (5 minutes) 2.First Reading Ordinance 22- Amending 2022 Budget—Chelsie Taylor (10 minutes) 3.Consent Agenda(claims,payroll,minutes) (5 minutes) 4. Second Reading Property Tax Ordinance 22- —Chelsie Taylor (10 minutes) 5.First Reading Ordinance 22- Adopting 2023 Budget—Chelsie Taylor (10 minutes) 6.Motion Consideration:Outside Agency Grant Awards—Dan Domrese (10 minutes) 7.Admin Report: Stormwater Utility Rates—Gloria Mantz (10 minutes) 8.Admin Report:Fire Dept Monthly Report—Chief Soto (10 minutes) 9.Admin Report:Advance Agenda—Mayor Haley (5 minutes) 10.Info Only:Department Monthly Reports [*estimated meeting: 75 mins] Nov 1,2022,Study Session,6:00 p.m. [due Tue Oct 25] 1.Advance Agenda—Mayor Haley (5 minutes) Nov 8,2022,Formal Meeting,6:00 p.m. [due Tue Nov 1] 1.PUBLIC HEARING#3: 2023 Budget—Chelsie Taylor (5 minutes) 2.Consent Agenda(claims,payroll,minutes) (5 minutes) 3. Second Reading Ordinance 22- Amending 2022 Budget—Chelsie Taylor (10 minutes) 4. Second Reading Ordinance 22- Adopting 2023 Budget—Chelsie Taylor (10 minutes) 5.Motion Consideration: Stormwater Utility Rates—Gloria Mantz (10 minutes) 6.Admin Report:LTAC Recommendations to Council—Chelsie Taylor (15 minutes) 7.Admin Report:Advance Agenda—Mayor Haley (5 minutes) 8.Info Only:Department Monthly Reports [*estimated meeting:60 mins] Nov 15,2022,Study Session,6:00 p.m. [due Tue Nov 8] 1.Advance Agenda—Mayor Haley (5 minutes) Nov 22,2022,Formal Meeting,6:00 p.m. [due Tue Nov 15] 1.Consent Agenda(claims,payroll,minutes) (5 minutes) 2.Admin Report:2023 Fee Resolution—Chelsie Taylor (10 minutes) 3.Admin Report:Advance Agenda—Mayor Haley (5 minutes) 4.Admin Report:Fire Dept Monthly Report—Chief Soto (10 minutes) 5.Info Only:Department Monthly Reports [*estimated meeting: mins] Nov 29,2022—meeting cancelled—Thanksj1iving holiday Dec 6,2022,Study Session,6:00 p.m. [due Tue Nov 29] 1.Advance Agenda—Mayor Haley (5 minutes) Dec 13,2022,Formal Meeting,6:00 p.m. [due Tue 6] 1.Consent Agenda(claims,payroll,minutes) (5 minutes) 2.Admin Report:Advance Agenda—Mayor Haley (5 minutes) Dec 20,2022,Study Session,6:00 p.m. [due Tue Nov 15] 1.Consent Agenda(claims,payroll,minutes) (5 minutes) 2.Admin Report:Advance Agenda—Mayor Haley (5 minutes) 3.Info Only:Department Monthly Reports [*estimated meeting: mins] *time for public or council comments not included OTHER PENDING AND/OR UPCOMING ISSUES/MEETINGS: Appleway Trail Amenities Mirabeau Park Forestry Mgmt. Residency Basement space Neighborhood Restoration SCRAPS Update Castle Park NLC Summit Nov 16-19 St.Illumination(owners,cost,location) CDBG Interlocal Park Lighting St.O&M Pavement Preservation Consolidated Homeless Grant Pavement Mgmt Funding Vehicle Wgt Infrastructure Impact Continuum of Care(info item) PFD Presentation Water Districts&Green Space Core Beliefs Resolution Property Tax Discussion Way Finding Sign Gov.Auth.Emergencies(info) Prosecutor Services Draft Advance Agenda 9/1/2022 8:51:06 AM Page 2 of 2