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HomeMy WebLinkAboutResolutions - 2023.04.20 - 38130 April 20, 2023 RESOLUTION #2023-2768 _ 23-69 Sponsored By: Gwen Markham Corporation Counsel - Oakland County v Teva National, et al. Chair and Members of the Board: WHEREAS Oakland County filed a lawsuit to address the public nuisance that is the Opioid Epidemic, which named, among other companies, the following four Defendants (“Settling Defendants”): 1. Teva Pharmaceuticals Industries Ltd. (a prescription opioids manufacturer); 2. Allergan Finance, LLC (a prescription opioids manufacturer); 3. CVS Health Corp. and CVS Pharmacy, Inc. (a prescription opioids distributor); and 4. Walmart, Inc. (a prescription opioids distributor); and WHEREAS the Settling Defendants have negotiated proposed national settlement agreements (“Proposed Settlements”) with the State Attorneys General, and a Plaintiff Executive Committee- designated negotiating committee that represents approximately 4,000 local governments that have brought lawsuits similar to Oakland County’s lawsuit; and WHEREAS the Proposed Settlements contain significant equitable and monetary relief, including: 1. An agreement to pay (a) up to $3.34 billion over the next 13 years by Teva; (b) up to $2.02 billion over 7 years by Allergan; (c) $4.9 billion over the next ten years by CVS; and (d) $2.74 billion within six years by Walmart. The bulk of each of these payments will be dedicated to funding abatement and prevention strategies associated with the opioids public nuisance; 2. An agreement by Teva and Allergan to abide by strict limitations on their marketing, promotion, sale, and distribution of opioids, including a ban on (a) promotion and lobbying; (b) rewarding or disciplining employees based on volume of opioid sales; and (c) funding or grants to third parties; 3. An agreement by CVS and Walmart to implement changes in how they handle opioids, including requirements addressing: their compliance structures; pharmacist judgment; diversion prevention; suspicious order monitoring; and reporting on red-flag processes, as well as blocked and potentially problematic prescribers; and WHEREAS Oakland County previously executed Participation Agreements for the Distributor and Janssen Settlements, which have conferred and continue to confer valuable benefits; and WHEREAS the Proposed Settlements each contain a “default” allocation method where settlement funds that are allocated to a particular state to resolve the claims asserted by state and local governments within that state are allocated as follows: • 15% of settlement proceeds paid under the Proposed Settlements are allocable to the State; • 15% of the settlement proceeds are allocable to local governments; • 70% of the settlement proceeds are allocable to an opioid abatement fund; and WHEREAS the Proposed Settlements enable the state and local governments within a State to negotiate alternative allocation methods to the “default” allocation method referenced above; and WHEREAS Oakland County desires to enter into an alternative allocation method which allocates settlement funds on a 50/50 basis to: 1. Participating Local Governments who have elected to participate in the Proposed Settlements; and 2. the State of Michigan. WHEREAS Oakland County previously executed the Michigan State-Subdivision Agreement for Allocation of Distributor Settlement Agreement and Janssen Settlement Agreement, which allocated funds attributed to the State of Michigan in a streamlined and equitable manner. NOW THEREFORE BE IT RESOLVED that Oakland County authorizes the execution of Participation Agreements for: (1) the Master Settlement Agreement with Teva Pharmaceuticals Industries Ltd.; (2) the Master Settlement Agreement with Allergan Finance, LLC; (3) the Master Settlement Agreement with CVS Health Corp. and CVS Pharmacy, Inc.; and (4) the Master Settlement Agreement with Walmart, Inc., each of which are listed and available to the public at https://nationalopioidsettlement.com. Specimen copies of the material terms of the participation agreements are attached as Exhibit A to this resolution. Oakland County also authorizes the execution of a new Michigan State-Subdivision Agreement For Allocation of Allergan, Teva, CVS, and Walmart Settlement Agreements substantially similar to the proposed agreement attached as Exhibit B. Oakland County also authorizes execution of a similar state-subdivision agreement to the extent that it provides a substantially similar allocation of settlement or bankruptcy proceeds obtained from opioids litigation with any other entity. For the avoidance of doubt, Oakland County also authorizes its continued participation in the Distributor Settlement Agreement, the Janssen Settlement Agreement, and the Michigan State- Subdivision Agreement for the Allocation of Distributor Settlement Agreement and Janssen Settlement Agreement, all previously executed. Chair, the following Commissioners are sponsoring the foregoing Resolution: Gwen Markham. Date: April 20, 2023 David Woodward, Commissioner Date: April 24, 2023 Hilarie Chambers, Deputy County Executive II Date: April 24, 2023 Lisa Brown, County Clerk / Register of Deeds COMMITTEE TRACKING 2023-04-12 Finance Committee - Recommend to Board 2023-04-20 Full Board - Adopt Motioned by Commissioner Robert Hoffman seconded by Commissioner Michael Gingell to adopt the attached Resolution: Oakland County v Teva National, et al.. Yes: David Woodward, Michael Spisz, Michael Gingell, Penny Luebs, Karen Joliat, Kristen Nelson, Christine Long, Robert Hoffman, Philip Weipert, Marcia Gershenson, Janet Jackson, William Miller III, Yolanda Smith Charles, Charles Cavell, Brendan Johnson, Ajay Raman (16) No: None (0) Abstain: None (0) Absent: Gary McGillivray, Gwen Markham, Angela Powell (3) Passed ATTACHMENTS 1. Ex. A - Participation Agreements 2. Ex. B - MSSA STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Lisa Brown, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on April 20, 2023, with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the seal of the Circuit Court at Pontiac, Michigan on Thursday, April 20, 2023. Lisa Brown, Oakland County Clerk / Register of Deeds EXHIBIT A K-1 Exhibit K Subdivision and Special District 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 Agreement dated November 22, 2022 (“Teva Settlement”), and acting through the undersigned authorized official, hereby elects to participate in the Teva Settlement, release all Released Claims against all Released Entities, and agrees as follows. 1. The Governmental Entity is aware of and has reviewed the Teva Settlement, understands that all terms in this Election and Release have the meanings defined therein, and agrees that by this Election, the Governmental Entity elects to participate in the Teva Settlement as provided therein. 2. Following the execution of this Settlement Participation Form, the Governmental Entity shall comply with Section III.B of the Teva Settlement regarding Cessation of Litigation Activities. 3. The Governmental Entity shall, within 14 days of the Reference Date and prior to the filing of the Consent Judgment, file a request to dismiss with prejudice any Released Claims that it has filed. With respect to any Released Claims pending in In re National Prescription Opiate Litigation, MDL No. 2804, the Governmental Entity authorizes the Plaintiffs’ Executive Committee to execute and file on behalf of the Governmental Entity a Stipulation of Dismissal With Prejudice substantially in the form found at [website link to national settlement website to be provided]. 4. The Governmental Entity agrees to the terms of the Teva Settlement pertaining to Subdivisions as defined therein. 5. By agreeing to the terms of the Teva Settlement and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning after the Effective Date. 6. The Governmental Entity agrees to use any monies it receives through the Teva Settlement solely for the purposes provided therein. 7. The Governmental Entity submits to the jurisdiction of the court in the Governmental Entity’s state where the Consent Judgment is filed for purposes limited to that court’s K-2 role as provided in, and for resolving disputes to the extent provided in, the Teva Settlement. 8. The Governmental Entity has the right to enforce the Teva Settlement as provided therein. 9. The Governmental Entity, as a Participating Subdivision or Participating Special District, hereby becomes a Releasor for all purposes in the Teva Settlement, including but not limited to all provisions of Section V (Release), 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 Teva Settlement are intended by Released Entitles and the Governmental Entity 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 Teva 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 or Participating Special District as set forth in the Teva Settlement. 11. In connection with the releases provided for in the Teva 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 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 Effective Date, 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 Teva Settlement. K-3 12. Nothing herein is intended to modify in any way the terms of the Teva Settlement, to which Governmental Entity hereby agrees. To the extent this Election and Release is interpreted differently from the Teva Settlement in any respect, the Teva Settlement controls. I have all necessary power and authorization to execute this Election and Release on behalf of the Governmental Entity. Signature: __________________________ Name: __________________________ Title: __________________________ Date: __________________________ K-1 EXHIBIT K Subdivision and Special District 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 Agreement dated November 22, 2022 (“Allergan Settlement”), and acting through the undersigned authorized official, hereby elects to participate in the Allergan Settlement, release all Released Claims against all Released Entities, and agrees as follows. 1. The Governmental Entity is aware of and has reviewed the Allergan Settlement, understands that all terms in this Election and Release have the meanings defined therein, and agrees that by this Election, the Governmental Entity elects to participate in the Allergan Settlement as provided therein. 2. Following the execution of this Settlement Participation Form, the Governmental Entity shall comply with Section III.B of the Allergan Settlement regarding Cessation of Litigation Activities. 3. The Governmental Entity shall, within fourteen (14) days of the Reference Date and prior to the filing of the Consent Judgment, file a request to dismiss with prejudice any Released Claims that it has filed. With respect to any Released Claims pending in In re National Prescription Opiate Litigation, MDL No. 2804, the Governmental Entity authorizes the MDL Plaintiffs’ Executive Committee to execute and file on behalf of the Governmental Entity a Stipulation of Dismissal With Prejudice substantially in the form found at [link to national settlement website page to be provided]. 4. The Governmental Entity agrees to the terms of the Allergan Settlement pertaining to Subdivisions and Special Districts as defined therein. 5. By agreeing to the terms of the Allergan Settlement and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning after the Effective Date. 6. The Governmental Entity agrees to use any monies it receives through the Allergan Settlement solely for the purposes provided therein. K-2 7. The Governmental Entity submits to the jurisdiction of the court in the Governmental Entity’s state where the Consent Judgment is filed for purposes limited to that court’s role as provided in, and for resolving disputes to the extent provided in, the Allergan Settlement. 8. The Governmental Entity has the right to enforce the Allergan Settlement as provided therein. 9. The Governmental Entity, as a Participating Subdivision or Participating Special District, hereby becomes a Releasor for all purposes in the Allergan Settlement, including, but not limited to, all provisions of Section V (Release), and along with all departments, agencies, divisions, boards, commissions, Subdivisions, districts, instrumentalities of any kind and attorneys, and any person in their 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, 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 in bringing, 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 Allergan Settlement are intended 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 Allergan 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 or Participating Special District as set forth in the Allergan Settlement. 11. In connection with the releases provided for in the Allergan 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 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 Effective Date, 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 K-3 materially affect the Governmental Entities’ decision to participate in the Allergan Settlement. 12. Nothing herein is intended to modify in any way the terms of the Allergan Settlement, to which the Governmental Entity hereby agrees. To the extent this Settlement Participation Form is interpreted differently from the Allergan Settlement in any respect, the Allergan Settlement controls. I have all necessary power and authorization to execute this Settlement Participation Form on behalf of the Governmental Entity. Signature: _____________________________ Name: _____________________________ Title: _____________________________ Date: _____________________________ K-1 EXHIBIT K1 Subdivision Participation and Release 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 December 2, 2022 (“CVS Settlement”), and acting through the undersigned authorized official, hereby elects to participate in the CVS Settlement, release all Released Claims against all Released Entities, and agrees as follows. 1.The Governmental Entity is aware of and has reviewed the CVS Settlement, understands that all terms in this Participation and Release Form have the meanings defined therein, and agrees that by executing this Participation and Release Form, the Governmental Entity elects to participate in the CVS Settlement and become a Participating Subdivision as provided therein. 2.The Governmental Entity shall promptly, and in any event no later than 14 days after the Reference Date and prior to the filing of the Consent Judgment, dismiss with prejudice any Released Claims that it has filed. With respect to any Released Claims pending in In re National Prescription Opiate Litigation, MDL No. 2804, the Governmental Entity authorizes the Plaintiffs’ Executive Committee to execute and file on behalf of the Governmental Entity a Stipulation of Dismissal with Prejudice substantially in the form found at [website link to national settlement website to be provided]. 3.The Governmental Entity agrees to the terms of the CVS Settlement pertaining to Participating Subdivisions as defined therein. 4.By agreeing to the terms of the CVS Settlement and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning after the Effective Date. 5.The Governmental Entity agrees to use any monies it receives through the CVS Settlement solely for the purposes provided therein. 6.The Governmental Entity submits to the jurisdiction of the court in the Governmental Entity’s state where the Consent Judgment is filed for purposes limited to that court’s role 1 As of December 8, 2022. K-2 as provided in, and for resolving disputes to the extent provided in, the CVS 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 CVS Settlement. 7.The Governmental Entity has the right to enforce the CVS Settlement as provided therein. 8.The Governmental Entity, as a Participating Subdivision, hereby becomes a Releasor for all purposes in the CVS Settlement, including without limitation all provisions of Section XI (Release), 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 CVS Settlement are intended by the 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 CVS Settlement shall be a complete bar to any Released Claim. 9.The Governmental Entity hereby takes on all rights and obligations of a Participating Subdivision as set forth in the CVS Settlement. 10.In connection with the releases provided for in the CVS 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 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 Effective Date, 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 CVS Settlement. K-3 11.Nothing herein is intended to modify in any way the terms of the CVS Settlement, to which Governmental Entity hereby agrees. To the extent this Participation and Release Form is interpreted differently from the CVS Settlement in any respect, the CVS Settlement controls. I have all necessary power and authorization to execute this Participation and Release Form on behalf of the Governmental Entity. Signature: _____________________________ Name: _____________________________ Title: _____________________________ Date: _____________________________ K-1 EXHIBIT K Subdivision 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 November 14, 2022 (“Walmart Settlement”), and acting through the undersigned authorized official, hereby elects to participate in the Walmart Settlement, release all Released Claims against all Released Entities, and agrees as follows. 1. The Governmental Entity is aware of and has reviewed the Walmart Settlement, understands that all terms in this Election and Release have the meanings defined therein, and agrees that by this Election, the Governmental Entity elects to participate in the Walmart Settlement and become a Participating Subdivision as provided therein. 2. The Governmental Entity shall promptly, and in any event within 14 days of the Effective Date and prior to the filing of the Consent Judgment, dismiss with prejudice any Released Claims that it has filed. With respect to any Released Claims pending in In re National Prescription Opiate Litigation, MDL No. 2804, the Governmental Entity authorizes the Plaintiffs’ Executive Committee to execute and file on behalf of the Governmental Entity a Stipulation of Dismissal With Prejudice substantially in the form found at https://nationalopioidsettlement.com/wp-content/uploads/2023/01/form-of-Master- Stipulation-of-Dismissal.pdf. 3. The Governmental Entity agrees to the terms of the Walmart Settlement pertaining to Subdivisions as defined therein. 4. By agreeing to the terms of the Walmart Settlement and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning after the Effective Date. 5. The Governmental Entity agrees to use any monies it receives through the Walmart Settlement solely for the purposes provided therein. 6. The Governmental Entity submits to the jurisdiction of the court in the Governmental Entity’s state where the Consent Judgment is filed for purposes limited to that court’s role as provided in, and for resolving disputes to the extent provided in, the Walmart Settlement. K-2 7. The Governmental Entity has the right to enforce the Walmart Settlement as provided therein. 8. The Governmental Entity, as a Participating Subdivision, hereby becomes a Releasor for all purposes in the Walmart Settlement, including but not limited to all provisions of Section X (Release), 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 Walmart Settlement are intended by the 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 Walmart Settlement shall be a complete bar to any Released Claim. 9. In connection with the releases provided for in the Walmart 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 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 Effective Date, 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 Walmart Settlement. 10. Nothing herein is intended to modify in any way the terms of the Walmart Settlement, to which Governmental Entity hereby agrees. To the extent this Election and Release is interpreted differently from the Walmart Settlement in any respect, the Walmart Settlement controls. K-3 I have all necessary power and authorization to execute this Election and Release on behalf of the Governmental Entity. Signature: Name: Title: Date: EXHIBIT B MICHIGAN STATE-SUBDIVISION AGREEMENT FOR ALLOCATION OF ALLERGAN, TEVA, CVS, AND WALMART SETTLEMENT AGREEMENTS The People of the State of Michigan and its communities have been harmed by misfeasance, nonfeasance, and malfeasance committed by certain entities within the pharmaceutical industry. The conduct of such Pharmaceutical Entities has caused, or contributed to the existence of, a public nuisance associated with the opioid public health epidemic. The State, through its Attorney General, and Litigating Local Governments, through their elected representatives and counsel, are separately engaged in litigation seeking to hold the Pharmaceutical Entities accountable for the damage caused by their misfeasance, nonfeasance, and malfeasance by seeking compensation for past damages and imposing the equitable remedy of nuisance abatement. The State and Litigating Local Governments litigated their claims in their proprietary, sovereign, and quasi-sovereign capacities. To allocate monetary payments received from these Pharmaceutical Entities, the State and Litigating Local Governments agree to the following State-Subdivision Agreement: I. Definitions As used in this Memorandum of Understanding (“MOU”): A. “Administrative Fund” is 0.3% of the Local Government Share. B. “Actual Attorney Fees” are the aggregate contingent fees paid to a Local Litigating Attorney for work performed for a Litigating Local Government for the Settlements and associated litigation, based on a Litigating Local Government’s Actual Total Recovery. This does not include any fee payments for common benefit work as defined by the Settlements. C. “Actual Total Recovery” is the aggregated monetary recovery that an individual Litigating Local Government receives, based on that Litigating Local Government’s Final Allocation Percentage and aggregate Local Government Share. D. “De minimis-share Local Government” is a Participating Local Government whose Final Allocation Percentage is less than .0083%. Page 2 of 8 E. “Final Allocation Percentage” is a Participating Local Government’s Allocation Percentage as modified by the Litigation Adjustment. Attached as Exhibit A is the Final Allocation Percentage for each Local Government. F. “Litigating Local Government Attorneys” are the law firms who were retained by the Litigating Local Governments. G. “Litigating Local Government Attorney Fee Fund” (“LLGAFF”) is an annually adjusted percentage of the Local Government Share set aside for Projected Attorney Fee installment payments. H. “Litigating Local Governments” are the entities indicated as litigating in Exhibit C of this agreement. I. “Litigation Adjustment” is an adjustment applied to the Preliminary Allocation Percentage. J. “Local Government Share” is the portion of the Settlement Payments payable to Participating Local Governments pursuant to this State-Subdivision Agreement. K. “Local Governments” are the entities located within the geographic boundaries of the State of Michigan and identified in the Exhibits that identify the eligible Local Governments of each of the Settlements. L. “National Contingency Fee Fund” are the individual Contingency Fee Funds established in the Settlements to compensate Litigating Local Government Attorneys. M. “National Fund Administrator” is the Settlement Fund Administrator as defined by the Settlements. N. “Neutral Special Master” is an independent mediator selected by the State. O. “Opioid Remediation” is the term as defined by the Settlements. P. “Participating Local Governments” are the Local Governments who have signed a Participation Agreement for the Settlements. Q. “Parties” are the State and the Litigating Local Governments. The singular word “Party” shall mean either the State or Litigating Local Governments. R. “Pharmaceutical Entities” are the “Released Entities” as defined by the Settlements. Page 3 of 8 S. “Preliminary Allocation Percentage” is the percentage listed for a Participating Local Government in Exhibit B of this agreement. T. “Projected Attorney Fees” are the anticipated contingent fees paid to a Litigating Local Government Attorney for work performed for a Litigating Local Government for the Settlements and associated litigation, based on a Litigating Local Government’s Projected Total Recovery. This does not include any fee payments for common benefit work as defined by the Settlements. U. “Projected Total Recovery” is the aggregated monetary recovery that an individual Litigating Local Government is projected to receive based on that Litigating Local Government’s Final Allocation Percentage and aggregate Local Government Share. V. “Settlements” are the Allergan, Teva, CVS, and Walmart national settlement agreements related to opioids and entered by the State in December 2022. W. “Settlement Payments” are scheduled monetary payments received through the Settlements. X. “Special Circumstance Fund” is 5% of the Local Government Share. Y. “State” is the State of Michigan acting through its Attorney General or her designees. Z. “State Share” is the portion of the Settlement Payments payable to the State pursuant to this State-Subdivision Agreement. II. Terms 1. Participation in Settlements: The Parties agree that to participate in the Settlements, Local Governments must execute a Participation Agreement. 2. Opioid Remediation: All Settlement Payments shall be utilized by Participating Local Governments and the State for Opioid Remediation, except as otherwise allowed by the Settlements. A minimum of 70% of Settlement Payments must be used solely for future Opioid Remediation. Page 4 of 8 3. Distribution: Settlement Payments are allocated as follows: • 50% of Settlement Payments to the Local Government Share • 50% of Settlement Payments to the State Share 4. Local Government Share Offset: Prior to Participating Local Governments receiving their Final Allocation Percentage of the Local Government Share, amounts will be deducted for the following funds: • Administrative Fund • Litigating Local Government Attorney Fee Fund • Special Circumstance Fund 5. Litigation Adjustment: The Parties recognize that the Litigating Local Governments expended time, resources, and assumed risk in the pursuit of litigation against the Pharmaceutical Entities. In recognition of this commitment and contribution, the Litigating Local Governments are entitled to a Litigation Adjustment of 12%. 6. Accelerated Participation Payments: Prior to the distribution of the State Share, the National Fund Administrator shall allocate the Projected Total Recovery for all De minimis-share Local Governments from the State Share to those De minimis-share Local Governments. This allocation shall be made in the first Settlement Payment. In subsequent Settlement Payments, the National Fund Administrator shall direct distributions of all De minimis-share Local Governments to the State Share. 7. Non-Participant Reallocation: If a non-county Local Government does not participate in the Settlement, then that non-county Local Government’s share shall revert to the county(ies) in which it is located. If a county Local Government does not participate in the Settlements, that county’s share shall be reallocated to the Participating Local Governments. 8. Litigation Costs: To the extent that Litigating Local Government Attorneys receive cost reimbursement from the National Contingency Fee Fund, then such reimbursed costs shall be deducted from any remaining entitlement to costs as provided under individual retention agreements. Page 5 of 8 9. Attorney Fees: a. Attorney fee payments shall be paid from the LLGAFF, but only in years where Settlement Payments to the Local Government Share are greater than $0.00. b. Projected Attorney Fees shall be calculated as 15% of an individual Litigating Local Government’s Projected Total Recovery, as previously agreed upon in the Michigan State-Subdivision for the Distributor and Janssen Settlements. Projected Attorney Fees shall be paid in equal installments over the shorter of: (i) the first seven Settlement Payments; or (ii) the total number of Settlement Payments. c. Litigating Local Government Attorneys must apply to the National Contingency Fee Fund and seek the maximum allowable contribution to their fee. To the extent that a Litigating Local Government Attorney applies to the National Attorney Contingency Fee Fund and the National Attorney Contingency Fee Fund does not pay the Projected Attorney Fee annual installment payment, the LLGAFF shall pay the deficiency for that year. If a Litigating Local Government Attorney does not apply to the National Attorney Contingency Fee Fund, the LLGAFF shall not pay any deficiency. A Projected Attorney Fee payment from the LLGAFF may not exceed any restrictions in the Teva, Walmart, CVS, or Allergan Settlement Agreements, respectively, that restrict the amount of settlement funds that may be allocable to non-Opioid Remediation purposes from each of those settlements. d. Actual Attorney Fees shall be no greater than 15% of a Litigating Local Government’s Actual Total Recovery. e. If a Litigating Local Government’s Actual Total Recovery is less than the Projected Total Recovery, the Litigating Local Government Attorney shall return the amount received that is greater than 15% of the Litigating Local Government’s Actual Total Recovery. f. The Parties shall endeavor to reconcile any timing discrepancies between fee payments from the National Contingency Fee Fund and the LLGAFF to assure payment of a 15% Attorney Fee. 10. Special Circumstance Fund: An application to receive additional funding for any local impact of the opioid epidemic that is not captured by a Local Government’s Allocation Percentage may be submitted to Page 6 of 8 the Neutral Special Master for consideration. The Neutral Special Master will decide the additional funding to be paid, if any, to all applicants on an application-by-application basis. Any additional funding allocated under this paragraph shall only be paid from the Special Circumstance Fund. The deadline for initial applications shall be determined by the Michigan Department of Attorney General and reviewed for allocation determination by the Neutral Special Master. The allocation decisions of the Neutral Special Master shall be final and not appealable. Notwithstanding the foregoing, Local Governments may submit applications to revise the Special Circumstance Fund allocation determinations on March 29, 2030 to reflect changes in circumstances, and the Neutral Special Master may prospectively adjust the allocation of the Special Circumstance Fund at that time. Local Governments are limited to one application prior to the initial deadline and one subsequent application on March 29, 2030. Application to the Special Circumstance Fund may not be made with the express purpose of offsetting the Litigation Adjustment. The Neutral Special Master shall be paid solely from the Administrative Fund. 11. Allocation of Remaining Local Government Share: The remainder of the Local Government Share after offsets shall be distributed to Participating Local Governments in accordance with each Participating Local Government’s Final Allocation Percentage. 12. Escrow Agent: An Escrow Agent shall be agreed upon by the State and a majority of the Litigating Local Governments to administer the distribution of the Local Government Share and all funds contained within it pursuant to this State-Subdivision Agreement. The Escrow Agent shall be entitled to a reasonable fee for their services, which shall be paid solely from the Administrative Fund. Alternatively, the Parties may explore whether the Escrow Agent’s role can be fulfilled by the Settlement Fund Administrator as that term is defined in the Settlements. 13. Reversion to Local Government Share: a. Any amounts remaining in the Administrative Fund shall remain in such fund until all anticipated administrative costs associated with implementation of this agreement have been paid, after which any remaining funds may revert to the Local Government Share for distribution to Participating Local Governments in accordance with their Final Allocation Percentage. Page 7 of 8 b. Any amounts remaining in the LLGAFF after paying the Projected Attorney Fee annual installment payment shall revert to the Local Government Share for distribution to Participating Local Governments in accordance with their Final Allocation Percentage. Any amount reverted to the Local Government Share shall be distributed no later than the next Settlement Payment. III. Other Terms and Conditions 1. Governing Law and Venue: This agreement will be governed by the laws of the State of Michigan. Any and all litigation arising under the agreement, unless otherwise specified in this agreement, will be instituted in either: (a) the Court that enters the Order if the matter deals with a matter covered by the Order and the Court retains jurisdiction; or (b) the appropriate State court in Michigan. 2. Modification: This agreement may only be modified by a written amendment between the appropriate Parties. No promises or agreements made after the execution of this agreement shall be binding unless expressly reduced to writing and signed by the Parties. 3. Execution in Counterparts: This agreement may be executed in any number of counterparts, each of which shall be deemed to be an original, but all of which together shall constitute one and the same instrument. 4. Assignment: The rights granted in this agreement may not be assigned or transferred by any Party without the prior written approval of the other Party. No Party shall be permitted to delegate its responsibilities or obligations under this agreement without the prior written approval of the other Parties. 5. Additional Documents: The Parties agree to cooperate fully and execute any and all supplementary documents and to take all additional actions which may be reasonably necessary or appropriate to give full force and effect to the basic terms and intent of this agreement. 6. Captions: The captions contained in this agreement are for convenience only and shall in no way define, limit, extend, or describe the scope of this agreement or any part of it. 7. Entire Agreement: This agreement, including any attachments, embodies the entire agreement of the Parties. There are no other provisions, terms, conditions, or obligations. This agreement Page 8 of 8 supersedes all previous oral or written communications, representations, or agreements on this subject. 8. Construction: The Parties hereto hereby mutually acknowledge and represent that they have been fully advised by their respective legal counsel of their rights and responsibilities under this agreement, that they have read, know, and understand completely the contents hereof, and that they have voluntarily executed the same. The Parties hereto further hereby mutually acknowledge that they have had input into the drafting of this agreement and that, accordingly, in any construction to be made of this agreement, it shall not be construed for or against any Party, but rather shall be given a fair and reasonable interpretation, based on the plain language of the agreement and the expressed intent of the Parties. 9. Capacity to Execute Agreement: The Parties represent and warrant that the individuals signing this agreement on their behalf are duly authorized and fully competent to do so. 10. Effectiveness: This agreement shall become effective on the date on which the last required signature is affixed to this agreement. Local Government Final Allocation Percentage Ada Township 0.0043760292% Adrian City 0.0339626660% Alcona County 0.0934630120% Alger County 0.0879526161% Algoma Township 0.0017535337% Allegan County 0.4616561194% Allen Park City 0.0642202609% Allendale Charter Township 0.0046474905% Alpena County 0.3552568075% Alpine Charter Township 0.0015193823% Ann Arbor City 0.2767977793% Antrim County 0.2666726546% Antwerp Township 0.0007847494% Arenac County 0.1805504891% Auburn Hills City 0.0703250556% Bangor Charter Township 0.0065282392% Baraga County 0.0830046065% Barry County 0.2587191476% Bath Charter Township 0.0321460332% Battle Creek City 0.2045817057% Bay City 0.0685863654% Bay County 1.2330105691% Bedford Township 0.0246542442% Benton Charter Township 0.0542117185% Benzie County 0.1559709002% Berkley City 0.0214483383% Berrien County 1.4353012866% Beverly Hills Village 0.0274893432% Big Rapids City 0.0146444451% Birmingham City 0.0616071651% Bloomfield Charter Township 0.1431441040% Branch County 0.3823020966% Brandon Charter Township 0.0178348199% Brighton Township 0.0006049341% Brownstown Charter Township 0.0618601336% Exhibit A - Final Allocation Percentage Rev. 2-28-23 1 of 8 Exhibit A - Final Allocation Percentage Local Government Final Allocation Percentage Burton City 0.0198287415% Byron Township 0.0085803473% Cadillac City 0.0592857184% Caledonia Charter Township 0.0027577830% Calhoun County 1.8505476605% Cannon Township 0.0033093395% Canton Charter Township 0.2635381672% Cascade Charter Township 0.0121186350% Cass County 0.4127455392% Charlevoix County 0.2142858041% Cheboygan County 0.3167238809% Chesterfield Charter Township 0.1262511644% Chippewa County 0.2680205692% Clare County 0.2799817433% Clawson City 0.0139497332% Clinton Charter Township 0.6524317943% Clinton County 0.5402669012% Coldwater City 0.0077283577% Commerce Charter Township 0.0198854362% Comstock Charter Township 0.0084518668% Cooper Charter Township 0.0009590766% Crawford County 0.2886253251% Davison Township 0.0088446355% Dearborn City 0.2996583319% Dearborn Heights City 0.1053620175% Delhi Charter Township 0.0196753105% Delta Charter Township 0.0405538922% Delta County 0.2604485158% Detroit City 7.1316532282% Dewitt Charter Township 0.0367701778% Dickinson County 0.2772929170% East Bay Township 0.0014646767% East Grand Rapids City 0.0207354059% East Lansing City 0.1928773141% Eastpointe City 0.1677249820% Eaton County 1.0040382409% Egelston Township 0.0059203305% Emmet County 0.1813256578% Emmett Charter Township 0.0081390406% Rev. 2-28-23 2 of 8 Exhibit A - Final Allocation Percentage Local Government Final Allocation Percentage Escanaba City 0.0181020848% Farmington City 0.0220247278% Farmington Hills City 0.1651189520% Fenton Charter Township 0.0018526954% Fenton City 0.0479607189% Ferndale City 0.0891131349% Flat Rock City 0.0171781967% Flint Charter Township 0.0255754903% Flint City 2.9548125615% Flushing Charter Township 0.0037431147% Fort Gratiot Charter Township 0.0094416381% Fraser City 0.0800906838% Frenchtown Charter Township 0.0488838534% Fruitport Charter Township 0.0129270962% Gaines Township, Kent County 0.0089914131% Garden City 0.0360229820% Garfield Charter Township 0.0004066570% Genesee Charter Township 0.0129462245% Genesee County 2.0590679068% Genoa Township 0.0000756167% Georgetown Charter Township 0.0072026921% Gladwin County 0.2150307736% Gogebic County 0.0746722684% Grand Blanc Charter Township 0.0209833611% Grand Haven Charter Township 0.0112761850% Grand Haven City 0.0347728914% Grand Rapids Charter Township 0.0037568289% Grand Rapids City 1.3440310108% Grand Traverse County 0.9233801980% Grandville City 0.0278015743% Gratiot County 0.3525172203% Green Oak Township 0.0321695305% Grosse Ile Township 0.0214222891% Grosse Pointe Park City 0.0283111539% Grosse Pointe Woods City 0.0201749251% Hamburg Township 0.0339303208% Hamtramck City 0.1082345398% Harper Woods City 0.0302106475% Harrison Charter Township 0.1242049355% Rev. 2-28-23 3 of 8 Exhibit A - Final Allocation Percentage Local Government Final Allocation Percentage Hartland Township 0.0002916646% Hazel Park City 0.0439995757% Highland Charter Township 0.0175909627% Highland Park City 0.0233942274% Hillsdale County 0.4179678350% Holland Charter Township 0.0174327221% Holland City 0.0989468652% Holly Township 0.0024496552% Houghton County 0.2492720157% Huron Charter Township 0.0404726923% Huron County 0.1750661517% Independence Charter Township 0.0493200938% Ingham County 2.3910807430% Inkster City 0.0997567285% Ionia City 0.0268462855% Ionia County 0.5494312513% Iosco County 0.3597973006% Iron County 0.1234778975% Iron Mountain City 0.0102890430% Isabella County 0.6406629239% Jackson City 0.1975961131% Jackson County 0.6486601285% Kalamazoo Charter Township 0.0310860965% Kalamazoo City 0.2263063196% Kalamazoo County 2.2227072398% Kalkaska County 0.0983797692% Kent County 3.1145250537% Kentwood City 0.0850489860% Keweenaw County 0.0040439910% Lake County 0.0815750848% Lansing City 0.5944941436% Lapeer County 0.4730735299% Leelanau County 0.1385869500% Lenawee County 0.8823792954% Lenox Township 0.0066875918% Leoni Township 0.0054332410% Lincoln Charter Township 0.0106649534% Lincoln Park City 0.0949381273% Livingston County 1.4976536818% Rev. 2-28-23 4 of 8 Exhibit A - Final Allocation Percentage Local Government Final Allocation Percentage Livonia City 0.4479740966% Luce County 0.0715137352% Lyon Charter Township 0.0036024341% Mackinac County 0.0543490033% Macomb County 8.6511046551% Macomb Township 0.0646503489% Madison Heights City 0.0862367299% Manistee County 0.3495468254% Marion Township, Livingston County 0.0001188263% Marquette City 0.0187316345% Marquette County 0.6035274193% Mason County 0.2785770312% Mecosta County 0.1984658748% Melvindale City 0.0310542941% Menominee County 0.0944228353% Meridian Charter Township 0.0423078149% Midland City 0.1806420880% Midland County 0.3217601862% Milford Charter Township 0.0038407489% Missaukee County 0.0599227243% Monitor Charter Township 0.0026396387% Monroe Charter Township 0.0071543602% Monroe City 0.1256002278% Monroe County 1.7154393930% Montcalm County 0.6957834128% Montmorency County 0.0985848161% Mount Clemens City 0.0300567479% Mount Morris Charter Township 0.0148781594% Mount Pleasant City 0.0213788564% Mundy Charter Township 0.0090106554% Muskegon Charter Township 0.0215634933% Muskegon City 0.1044619233% Muskegon County 1.9100374032% Muskegon Heights City 0.0299042116% New Baltimore City 0.0287085237% Newaygo County 0.5231812721% Niles City 0.0348555605% Niles Township 0.0128680285% Northville Charter Township 0.0937410512% Rev. 2-28-23 5 of 8 Exhibit A - Final Allocation Percentage Local Government Final Allocation Percentage Norton Shores City 0.0419374121% Novi City 0.0875890282% Oak Park City 0.0620117462% Oakland Charter Township 0.0163938462% Oakland County 5.8535727114% Oceana County 0.2437642147% Oceola Township 0.0002160479% Ogemaw County 0.6231253016% Ontonagon County 0.0564870884% Orion Charter Township 0.0289580279% Osceola County 0.2155121864% Oscoda County 0.0586611524% Oshtemo Charter Township 0.0074328492% Otsego County 0.3179205988% Ottawa County 0.8861345094% Owosso City 0.0358761118% Oxford Charter Township 0.0131849087% Park Township, Ottawa County 0.0041475564% Pittsfield Charter Township 0.0284820374% Plainfield Charter Township 0.0087988887% Plymouth Charter Township 0.0369908346% Pontiac City 0.3368814739% Port Huron Charter Township 0.0086247881% Port Huron City 0.1557098020% Portage City 0.0586895466% Presque Isle County 0.1629846795% Redford Charter Township 0.1266652554% Riverview City 0.0288390774% Rochester City 0.0238536559% Rochester Hills City 0.0403860572% Romulus City 0.1043054582% Roscommon County 0.4301836680% Roseville City 0.2553592802% Royal Oak City 0.1551263540% Saginaw Charter Township 0.0413527002% Saginaw City 0.2574050901% Saginaw County 1.8052764386% Sanilac County 0.3884585223% Sault Ste. Marie City 0.1102861730% Rev. 2-28-23 6 of 8 Exhibit A - Final Allocation Percentage Local Government Final Allocation Percentage Schoolcraft County 0.0471801158% Scio Charter Township 0.0030790141% Shelby Charter Township 0.3026860745% Shiawassee County 0.8126041030% South Lyon City 0.0154738400% Southfield City 0.2350837642% Southfield Township 0.0000665064% Southgate City 0.0530873036% Spring Lake Township 0.0062120900% Springfield Charter Township 0.0026713434% St Clair County 2.2355271010% St Joseph County 0.2548942158% St. Clair Shores City 0.2031104044% Sterling Heights City 1.0536459782% Sturgis City 0.0358119958% Summit Township, Jackson County 0.0087972622% Superior Charter Township 0.0072444420% Taylor City 0.2249624195% Texas Charter Township 0.0031110081% Thomas Township 0.0075956313% Traverse City 0.0694748751% Trenton City 0.0287924922% Troy City 0.1410325234% Tuscola County 0.4964109876% Tyrone Township, Livingston County 0.0057576762% Union Charter Township 0.0000306095% Van Buren Charter Township 0.0769291491% Van Buren County 0.4558652989% Vienna Charter Township, Genesee County 0.0051656581% Walker City 0.0344878971% Warren City 1.3154129040% Washington Township, Macomb County 0.0483326054% Washtenaw County 2.6615292034% Waterford Charter Township 0.1306353444% Wayne City 0.0938477712% Wayne County 11.4087527346% West Bloomfield Charter Township 0.1567169672% Westland City 0.3653116491% Wexford County 0.3345381450% Rev. 2-28-23 7 of 8 Exhibit A - Final Allocation Percentage Local Government Final Allocation Percentage White Lake Charter Township 0.0349824061% Wixom City 0.0220746076% Woodhaven City 0.0341752498% Wyandotte City 0.0583665385% Wyoming City 0.1526406854% Ypsilanti Charter Township 0.0345854854% Ypsilanti City 0.0536952762% Zeeland Charter Township 0.0036753989% Blackman Charter Township 0.0000000000% Detroit Wayne Mental Health Authority 0.0000000000% Total 100.0000000000% Rev. 2-28-23 8 of 8 Local Government Preliminary Allocation Percentage Ada Township 0.0073233482% Adrian City 0.0568370128% Alcona County 0.0834491179% Alger County 0.0785291215% Algoma Township 0.0029345640% Allegan County 0.7725881935% Allen Park City 0.1074735355% Allendale Charter Township 0.0077776425% Alpena County 0.3171935781% Alpine Charter Township 0.0025427083% Ann Arbor City 0.4632250874% Antrim County 0.2381005845% Antwerp Township 0.0013132895% Arenac County 0.1612057938% Auburn Hills City 0.1176899978% Bangor Charter Township 0.0109251027% Baraga County 0.0741112558% Barry County 0.4329702358% Bath Charter Township 0.0537968516% Battle Creek City 0.3423704436% Bay City 0.1147802745% Bay County 1.1009022938% Bedford Township 0.0412592343% Benton Charter Township 0.0907240950% Benzie County 0.1392597323% Berkley City 0.0358941044% Berrien County 1.2815190059% Beverly Hills Village 0.0460038135% Big Rapids City 0.0245076907% Birmingham City 0.1031004819% Bloomfield Charter Township 0.2395537286% Branch County 0.3413411577% Brandon Charter Township 0.0298468290% Brighton Township 0.0010123659% Brownstown Charter Township 0.1035238283% Exhibit B - Preliminary Allocation Percentage Rev. 2-28-23 1 of 8 Exhibit B - Preliminary Allocation Percentage Local Government Preliminary Allocation Percentage Burton City 0.0331836857% Byron Township 0.0143593354% Cadillac City 0.0992155073% Caledonia Charter Township 0.0046151897% Calhoun County 1.6522746969% Cannon Township 0.0055382276% Canton Charter Township 0.2353019350% Cascade Charter Township 0.0202807109% Cass County 0.3685228029% Charlevoix County 0.1913266108% Cheboygan County 0.2827891794% Chesterfield Charter Township 0.2112831498% Chippewa County 0.2393040796% Clare County 0.4685534972% Clawson City 0.0233450803% Clinton Charter Township 0.5825283878% Clinton County 0.4823811618% Coldwater City 0.0129335184% Commerce Charter Township 0.0332785651% Comstock Charter Township 0.0141443213% Cooper Charter Township 0.0016050286% Crawford County 0.2577011831% Davison Township 0.0148016255% Dearborn City 0.5014825529% Dearborn Heights City 0.1763248603% Delhi Charter Township 0.0329269168% Delta Charter Township 0.0678675252% Delta County 0.2325433177% Detroit City 6.3675475252% Dewitt Charter Township 0.0615354244% Dickinson County 0.2475829616% East Bay Township 0.0024511576% East Grand Rapids City 0.0347010017% East Lansing City 0.1722118876% Eastpointe City 0.2806901834% Eaton County 0.8964627151% Egelston Township 0.0099077587% Emmet County 0.3034511111% Emmett Charter Township 0.0136208021% Rev. 2-28-23 2 of 8 Exhibit B - Preliminary Allocation Percentage Local Government Preliminary Allocation Percentage Escanaba City 0.0161625757% Farmington City 0.0368587005% Farmington Hills City 0.2763289545% Fenton Charter Township 0.0031005125% Fenton City 0.0802629568% Ferndale City 0.1491321203% Flat Rock City 0.0287479606% Flint Charter Township 0.0428009530% Flint City 2.6382255013% Flushing Charter Township 0.0062641566% Fort Gratiot Charter Township 0.0158007179% Fraser City 0.1340329179% Frenchtown Charter Township 0.0818078358% Fruitport Charter Township 0.0216336824% Gaines Township, Kent County 0.0150472599% Garden City 0.0602849815% Garfield Charter Township 0.0006805464% Genesee Charter Township 0.0216656939% Genesee County 1.8384534882% Genoa Township 0.0001265457% Georgetown Charter Township 0.0120538094% Gladwin County 0.3598571100% Gogebic County 0.1249651212% Grand Blanc Charter Township 0.0351159584% Grand Haven Charter Township 0.0188708587% Grand Haven City 0.0581929367% Grand Rapids Charter Township 0.0062871075% Grand Rapids City 1.2000276882% Grand Traverse County 0.8244466054% Grandville City 0.0465263367% Gratiot County 0.3147475181% Green Oak Township 0.0538361746% Grosse Ile Township 0.0358505107% Grosse Pointe Park City 0.0473791255% Grosse Pointe Woods City 0.0337630289% Hamburg Township 0.0567828826% Hamtramck City 0.1811320680% Harper Woods City 0.0505579556% Harrison Charter Township 0.1108972638% Rev. 2-28-23 3 of 8 Exhibit B - Preliminary Allocation Percentage Local Government Preliminary Allocation Percentage Hartland Township 0.0004881050% Hazel Park City 0.0736339264% Highland Charter Township 0.0294387306% Highland Park City 0.0391505779% Hillsdale County 0.3731855670% Holland Charter Township 0.0291739126% Holland City 0.1655890102% Holly Township 0.0040995334% Houghton County 0.2225642997% Huron Charter Township 0.0361363324% Huron County 0.2929757372% Independence Charter Township 0.0825378903% Ingham County 2.1348935205% Inkster City 0.1669443281% Ionia City 0.0449276471% Ionia County 0.4905636172% Iosco County 0.3212475898% Iron County 0.1102481228% Iron Mountain City 0.0091866455% Isabella County 0.5720204678% Jackson City 0.1764251010% Jackson County 1.0855421077% Kalamazoo Charter Township 0.0520230321% Kalamazoo City 0.3787268993% Kalamazoo County 1.9845600355% Kalkaska County 0.1646399668% Kent County 2.7808259408% Kentwood City 0.1423307082% Keweenaw County 0.0067676775% Lake County 0.0728348971% Lansing City 0.5307983425% Lapeer County 0.7916953951% Leelanau County 0.1237383482% Lenawee County 0.7878386566% Lenox Township 0.0111917816% Leoni Township 0.0090926074% Lincoln Charter Township 0.0178479538% Lincoln Park City 0.1588803292% Livingston County 1.3371907873% Rev. 2-28-23 4 of 8 Exhibit B - Preliminary Allocation Percentage Local Government Preliminary Allocation Percentage Livonia City 0.3999768720% Luce County 0.0638515493% Lyon Charter Township 0.0060287256% Mackinac County 0.0909538431% Macomb County 7.7242005849% Macomb Township 0.1081932941% Madison Heights City 0.1443184148% Manistee County 0.3120953798% Marion Township, Livingston County 0.0001988576% Marquette City 0.0313476613% Marquette County 0.5388637672% Mason County 0.2487294921% Mecosta County 0.3321355122% Melvindale City 0.0519698104% Menominee County 0.1580179806% Meridian Charter Township 0.0708027402% Midland City 0.3023071472% Midland County 0.5384703258% Milford Charter Township 0.0064275489% Missaukee County 0.1002815458% Monitor Charter Township 0.0044174736% Monroe Charter Township 0.0119729252% Monroe City 0.2101937979% Monroe County 1.5316423152% Montcalm County 0.6212351900% Montmorency County 0.0880221572% Mount Clemens City 0.0503004024% Mount Morris Charter Township 0.0248988150% Mount Pleasant City 0.0357778255% Mundy Charter Township 0.0150794621% Muskegon Charter Township 0.0360868180% Muskegon City 0.1748185396% Muskegon County 1.7053905386% Muskegon Heights City 0.0500451306% New Baltimore City 0.0480441296% Newaygo County 0.4671261358% Niles City 0.0583312847% Niles Township 0.0215348319% Northville Charter Township 0.0836973671% Rev. 2-28-23 5 of 8 Exhibit B - Preliminary Allocation Percentage Local Government Preliminary Allocation Percentage Norton Shores City 0.0701828658% Novi City 0.1465815056% Oak Park City 0.1037775542% Oakland Charter Township 0.0274353387% Oakland County 5.2264042066% Oceana County 0.2176466203% Oceola Township 0.0003615593% Ogemaw County 0.5563618764% Ontonagon County 0.0504349004% Orion Charter Township 0.0484616785% Osceola County 0.1924215950% Oscoda County 0.0981702870% Oshtemo Charter Township 0.0124389806% Otsego County 0.2838576775% Ottawa County 1.4829589190% Owosso City 0.0600391920% Oxford Charter Township 0.0220651355% Park Township, Ottawa County 0.0069409957% Pittsfield Charter Township 0.0254303905% Plainfield Charter Township 0.0147250675% Plymouth Charter Township 0.0619046968% Pontiac City 0.3007870303% Port Huron Charter Township 0.0144337077% Port Huron City 0.2605826060% Portage City 0.0982178051% Presque Isle County 0.1455220353% Redford Charter Township 0.2119761371% Riverview City 0.0482626131% Rochester City 0.0399194381% Rochester Hills City 0.0675866509% Romulus City 0.0931298734% Roscommon County 0.3840925607% Roseville City 0.4273474490% Royal Oak City 0.2596061973% Saginaw Charter Township 0.0692043420% Saginaw City 0.4307711416% Saginaw County 1.6118539630% Sanilac County 0.3468379663% Sault Ste. Marie City 0.0984697973% Rev. 2-28-23 6 of 8 Exhibit B - Preliminary Allocation Percentage Local Government Preliminary Allocation Percentage Schoolcraft County 0.0789566063% Scio Charter Township 0.0051527746% Shelby Charter Township 0.5065495239% Shiawassee County 0.7255393777% South Lyon City 0.0258956950% Southfield City 0.3934160797% Southfield Township 0.0001112995% Southgate City 0.0888423705% Spring Lake Township 0.0103960225% Springfield Charter Township 0.0044705319% St Clair County 1.9960063402% St Joseph County 0.4265691571% St. Clair Shores City 0.3399081996% Sterling Heights City 0.9407553377% Sturgis City 0.0599318930% Summit Township, Jackson County 0.0147223455% Superior Charter Township 0.0121236785% Taylor City 0.3764778630% Texas Charter Township 0.0052063171% Thomas Township 0.0127113988% Traverse City 0.0620311385% Trenton City 0.0481846521% Troy City 0.2360199679% Tuscola County 0.4432240961% Tyrone Township, Livingston County 0.0096355544% Union Charter Township 0.0000512255% Van Buren Charter Township 0.0686867403% Van Buren County 0.7628971716% Vienna Charter Township, Genesee County 0.0086448035% Walker City 0.0577159947% Warren City 1.1744758071% Washington Township, Macomb County 0.0808853142% Washtenaw County 2.3763653602% Waterford Charter Township 0.2186201385% Wayne City 0.0837926529% Wayne County 10.1863863702% West Bloomfield Charter Township 0.2622681115% Westland City 0.3261711153% Wexford County 0.2986947723% Rev. 2-28-23 7 of 8 Exhibit B - Preliminary Allocation Percentage Local Government Preliminary Allocation Percentage White Lake Charter Township 0.0585435626% Wixom City 0.0369421752% Woodhaven City 0.0571927749% Wyandotte City 0.0976772465% Wyoming City 0.2554463949% Ypsilanti Charter Township 0.0578793100% Ypsilanti City 0.0898598214% Zeeland Charter Township 0.0061508332% Blackman Charter Township 0.0000000000% Detroit Wayne Mental Health Authority 0.0000000000% Total 100.0000000003% Rev. 2-28-23 8 of 8 Local Government Litigating Local Government Ada Township Adrian City Alcona County Yes Alger County Yes Algoma Township Allegan County Allen Park City Allendale Charter Township Alpena County Yes Alpine Charter Township Ann Arbor City Antrim County Yes Antwerp Township Arenac County Yes Auburn Hills City Bangor Charter Township Baraga County Yes Barry County Bath Charter Township Battle Creek City Bay City Bay County Yes Bedford Township Benton Charter Township Benzie County Yes Berkley City Berrien County Yes Beverly Hills Village Big Rapids City Birmingham City Bloomfield Charter Township Branch County Yes Brandon Charter Township Brighton Township Brownstown Charter Township Exhibit C - Litigating Local Governments Rev. 2-28-23 1 of 8 Exhibit C - Litigating Local Governments Local Government Litigating Local Government Burton City Byron Township Cadillac City Caledonia Charter Township Calhoun County Yes Cannon Township Canton Charter Township Yes Cascade Charter Township Cass County Yes Charlevoix County Yes Cheboygan County Yes Chesterfield Charter Township Chippewa County Yes Clare County Clawson City Clinton Charter Township Yes Clinton County Yes Coldwater City Commerce Charter Township Comstock Charter Township Cooper Charter Township Crawford County Yes Davison Township Dearborn City Dearborn Heights City Delhi Charter Township Delta Charter Township Delta County Yes Detroit City Yes Dewitt Charter Township Dickinson County Yes East Bay Township East Grand Rapids City East Lansing City Yes Eastpointe City Eaton County Yes Egelston Township Emmet County Emmett Charter Township Rev. 2-28-23 2 of 8 Exhibit C - Litigating Local Governments Local Government Litigating Local Government Escanaba City Yes Farmington City Farmington Hills City Fenton Charter Township Fenton City Ferndale City Flat Rock City Flint Charter Township Flint City Yes Flushing Charter Township Fort Gratiot Charter Township Fraser City Frenchtown Charter Township Fruitport Charter Township Gaines Township, Kent County Garden City Garfield Charter Township Genesee Charter Township Genesee County Yes Genoa Township Georgetown Charter Township Gladwin County Gogebic County Grand Blanc Charter Township Grand Haven Charter Township Grand Haven City Grand Rapids Charter Township Grand Rapids City Yes Grand Traverse County Yes Grandville City Gratiot County Yes Green Oak Township Grosse Ile Township Grosse Pointe Park City Grosse Pointe Woods City Hamburg Township Hamtramck City Harper Woods City Harrison Charter Township Yes Rev. 2-28-23 3 of 8 Exhibit C - Litigating Local Governments Local Government Litigating Local Government Hartland Township Hazel Park City Highland Charter Township Highland Park City Hillsdale County Yes Holland Charter Township Holland City Holly Township Houghton County Yes Huron Charter Township Yes Huron County Independence Charter Township Ingham County Yes Inkster City Ionia City Ionia County Yes Iosco County Yes Iron County Yes Iron Mountain City Yes Isabella County Yes Jackson City Yes Jackson County Kalamazoo Charter Township Kalamazoo City Kalamazoo County Yes Kalkaska County Kent County Yes Kentwood City Keweenaw County Lake County Yes Lansing City Yes Lapeer County Leelanau County Yes Lenawee County Yes Lenox Township Leoni Township Lincoln Charter Township Lincoln Park City Livingston County Yes Rev. 2-28-23 4 of 8 Exhibit C - Litigating Local Governments Local Government Litigating Local Government Livonia City Yes Luce County Yes Lyon Charter Township Mackinac County Macomb County Yes Macomb Township Madison Heights City Manistee County Yes Marion Township, Livingston County Marquette City Marquette County Yes Mason County Yes Mecosta County Melvindale City Menominee County Meridian Charter Township Midland City Midland County Milford Charter Township Missaukee County Monitor Charter Township Monroe Charter Township Monroe City Monroe County Yes Montcalm County Yes Montmorency County Yes Mount Clemens City Mount Morris Charter Township Mount Pleasant City Mundy Charter Township Muskegon Charter Township Muskegon City Muskegon County Yes Muskegon Heights City New Baltimore City Newaygo County Yes Niles City Niles Township Northville Charter Township Yes Rev. 2-28-23 5 of 8 Exhibit C - Litigating Local Governments Local Government Litigating Local Government Norton Shores City Novi City Oak Park City Oakland Charter Township Oakland County Yes Oceana County Yes Oceola Township Ogemaw County Yes Ontonagon County Yes Orion Charter Township Osceola County Yes Oscoda County Oshtemo Charter Township Otsego County Yes Ottawa County Owosso City Oxford Charter Township Park Township, Ottawa County Pittsfield Charter Township Yes Plainfield Charter Township Plymouth Charter Township Pontiac City Yes Port Huron Charter Township Port Huron City Portage City Presque Isle County Yes Redford Charter Township Riverview City Rochester City Rochester Hills City Romulus City Yes Roscommon County Yes Roseville City Royal Oak City Saginaw Charter Township Saginaw City Saginaw County Yes Sanilac County Yes Sault Ste. Marie City Yes Rev. 2-28-23 6 of 8 Exhibit C - Litigating Local Governments Local Government Litigating Local Government Schoolcraft County Scio Charter Township Shelby Charter Township Shiawassee County Yes South Lyon City Southfield City Southfield Township Southgate City Spring Lake Township Springfield Charter Township St Clair County Yes St Joseph County St. Clair Shores City Sterling Heights City Yes Sturgis City Summit Township, Jackson County Superior Charter Township Taylor City Texas Charter Township Thomas Township Traverse City Yes Trenton City Troy City Tuscola County Yes Tyrone Township, Livingston County Union Charter Township Van Buren Charter Township Yes Van Buren County Vienna Charter Township, Genesee County Walker City Warren City Yes Washington Township, Macomb County Washtenaw County Yes Waterford Charter Township Wayne City Yes Wayne County Yes West Bloomfield Charter Township Westland City Yes Wexford County Yes Rev. 2-28-23 7 of 8 Exhibit C - Litigating Local Governments Local Government Litigating Local Government White Lake Charter Township Wixom City Woodhaven City Wyandotte City Wyoming City Ypsilanti Charter Township Ypsilanti City Zeeland Charter Township Blackman Charter Township Detroit Wayne Mental Health Authority Yes Total Rev. 2-28-23 8 of 8 State of Michigan By: _____________________________ Its: _____________________________ Fadwa Hammoud Chief Deputy Attorney General