R-26-12RESOLUTION NO. R-26-12
A RESOLUTION APPROVING THE CITY'S PARTICIPATION IN THE PROPOSED
COMBINED SETTLEMENT AGREEMENT RESOLVING OPIOID-RELATED CLAIMS
AGAINST ASSOCIATED PHARMACIES, INC. (AND AMERICAN ASSOCIATED
PHARMACIES); J M SMITH CORPORATION; LOUISIANA WHOLESALE DRUG
COMPANY, INC.; MORRIS AND DICKSON CO.; NORTH CAROLINA MUTUAL
WHOLESALE DRUG COMPANY, INC.; AND UNITED NATURAL FOODS, INC.
(INCLUDING ITS SUBSIDIARIES SUPERVALU AND ADVANTAGE LOGISTICS)
(COLLECTIVELY REFERRED TO AS THE SIX REMNANT DEFENDANTS), AND
DIRECTING THE EXECUTION OF DOCUMENTS NECESSARY TO EFFECTUATE THE
CITY'S PARTICIPATION IN THE SETTLEMENTS
WHEREAS, the opioid epidemic that has cost thousands of human lives across the country also
impacts the City of Fairfax (the "City") by adversely impacting the delivery of emergency medical, law
enforcement, criminal justice, mental health and substance abuse services, and other City services; and
WHEREAS, the City has been required and will continue to be required to allocate substantial
taxpayer dollars, resources, staff energy and time to address the damage the opioid epidemic has caused
and continues to cause its citizens; and
WHEREAS, a settlement proposal has been negotiated that will cause six opioids defendants,
Associated Pharmacies, Inc. (and American Associated Pharmacies); J M Smith Corporation; Louisiana
Wholesale Drug Company, Inc.; Morris and Dickson Co.; North Carolina Mutual Wholesale Drug
Company, Inc.; and United Natural Foods, Inc. (including its subsidiaries SuperValu and Advantage
Logistics) (collectively, the "Six Remnant Defendants") to pay approximately $97,625,000 nationwide
to resolve opioid-related claims by state subdivisions against them; and
WHEREAS, the City will be entitled to a portion of the settlement proceeds despite not having
filed suit against any of the Six Remnant Defendants; and
WHEREAS, the City's suit seeks recovery of the public funds previously expended and to be
expended in the future to abate the consequences and harms of the opioid epidemic; and
WHEREAS, the City's outside opioid litigation counsel has recommended that the City
participate in the Six Remnant Defendants settlement in order to recover its share of the funds that the
Manufacturers settlements would provide; and
WHEREAS, the City Attorney has reviewed the available information about this matter and
concurs with the recommendation of outside counsel.
NOW THEREFORE BE IT RESOLVED that the City Council hereby, on behalf of the City,
approves of the City's participation in the proposed settlement of opioid-related claims against the Six
Remnant Defendants and their related corporate entities, and directs the City Attorney and/or the City
Manager as necessary to execute the documents necessary to effectuate the City's participation in the
settlement, including the required release of claims against the Six Remnant Defendants.
Adopted this 14th day of April, 2026.
Mayor
ATTEST:
City
Vote:
Councilmember Amos
Aye
Councilmember Bates
Aye
Councilmember Hall
Aye
Councilmember Hardy -Chandler
Aye
Councilmember McQuillen
Aye
Councilmember Peterson
Aye