LCO 5024 \\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01163-R01- SB.docx 1 of 6 General Assembly Raised Bill No. 1163 January Session, 2023 LCO No. 5024 Referred to Committee on PUBLIC SAFETY AND SECURITY Introduced by: (PS) AN ACT AUTHORIZING THE USE OF OPIOID SETTLEMENT FUNDS TO PROVIDE MUNICIPAL POLICE OFFICERS WITH OPIOID ANTAGONISTS. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Section 17a-674c of the general statutes is repealed and the 1 following is substituted in lieu thereof (Effective July 1, 2023): 2 (a) There is established an Opioid Settlement Fund which shall be a 3 separate nonlapsing fund administered by the committee. 4 (b) Any moneys intended to address opioid use, related disorders or 5 the impact of the opioid epidemic that are received by the state from 6 any judgment, consent decree or settlement paid by any defendant, 7 which is finalized on or after July 1, 2021, related to the production, 8 distribution, dispensing and other activities related to opioids shall be 9 deposited into the fund. Moneys remaining in the fund at the end of a 10 fiscal year shall not revert to the General Fund. 11 (c) Notwithstanding any provision of subsection (b) of this section, 12 if the commissioner and the Attorney General certify that the purposes 13 Bill No. 1163 LCO 5024 {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01163- R01-SB.docx } 2 of 6 of such judgment, consent decree or settlement are inconsistent with 14 the intent of the provisions of this section and sections 17a-674d to 17a-15 674f, inclusive, the commissioner and Attorney General (1) shall report 16 in writing to the committee such certification, including any 17 identification by the commissioner and Attorney General of an 18 alternate fund or account and explanation of the reasons for depositing 19 such moneys in such alternate fund or account, and (2) may deposit 20 such moneys into such alternate fund or account. The commissioner 21 and Attorney General shall jointly report, in accordance with the 22 provisions of section 11-4a, to the joint standing committee of the 23 General Assembly having cognizance of matters relating to public 24 health regarding the intended use of such moneys in such alternate 25 fund or account prior to allocating such moneys for other purposes. 26 (d) Beginning on December 31, 2022, and annually thereafter, the 27 State Treasurer shall report the following to the committee: 28 (1) An inventory of fund investments as of the most recent fiscal 29 year; and 30 (2) The net income earned by the fund in the most recent fiscal year. 31 (e) Moneys in the fund shall be spent only for the following 32 substance use disorder abatement purposes, in accordance with the 33 controlling judgment, consent decree or settlement, as confirmed by 34 the Attorney General's review of such judgment, consent decree or 35 settlement and upon the approval of the committee and the Secretary 36 of the Office of Policy and Management: 37 (1) State-wide, regional or community substance use disorder needs 38 assessments to identify structural gaps and needs to inform 39 expenditures from the fund; 40 (2) Infrastructure required for evidence-based substance use 41 disorder prevention, treatment, recovery or harm reduction programs, 42 services and supports; 43 Bill No. 1163 LCO 5024 {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01163- R01-SB.docx } 3 of 6 (3) Programs, services, supports and resources for evidence-based 44 substance use disorder prevention, treatment, recovery or harm 45 reduction; 46 (4) Evidence-informed substance use disorder prevention, 47 treatment, recovery or harm reduction pilot p rograms or 48 demonstration studies that are not evidence-based, but are approved 49 by the committee as an appropriate use of moneys for a limited period 50 of time as specified by the committee, provided the committee shall 51 assess whether the evidence supports funding such programs or 52 studies or whether it provides a basis for funding such programs or 53 studies with an expectation of creating an evidence base for such 54 programs and studies; 55 (5) Evaluation of effectiveness and outcomes reporting for substance 56 use disorder abatement infrastructure, programs, services, supports 57 and resources for which moneys from the fund have been disbursed, 58 including, but not limited to, impact on access to harm reduction 59 services or treatment for substance use disorders or reduction in drug-60 related mortality; 61 (6) One or more publicly available data interfaces managed by the 62 commissioner to aggregate, track and report data on (A) substance use 63 disorders, overdoses and drug-related harms, (B) spending 64 recommendations, plans and reports, and (C) outcomes of programs, 65 services, supports and resources for which moneys from the fund were 66 disbursed; 67 (7) Research on opioid abatement, including, but not limited to, 68 development of evidence-based treatment, barriers to treatment, 69 nonopioid treatment of chronic pain and harm reduction, supply-side 70 enforcement; 71 (8) Documented expenses incurred in administering and staffing the 72 fund and the committee, and expenses, including, but not limited to, 73 legal fees, incurred by the state or any municipality in securing 74 Bill No. 1163 LCO 5024 {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01163- R01-SB.docx } 4 of 6 settlement proceeds, deposited in the fund as permitted by the 75 controlling judgment, consent decree or settlement; 76 (9) Documented expenses associated with managing, investing and 77 disbursing moneys in the fund; [and] 78 (10) Documented expenses, including legal fees, incurred by the 79 state or any municipality in securing settlement proceeds deposited in 80 the fund to the extent such expenses are not otherwise reimbursed 81 pursuant to a fee agreement provided for by the controlling judgment, 82 consent decree or settlement; and 83 (11) Provision of funds to municipal police departments for the 84 purpose of equipping police officers with opioid antagonists, with 85 priority given to departments that do not currently have a supply of 86 opioid antagonists. 87 (f) (1) For purposes of this section, the fund balance shall be 88 determined by the State Treasurer as of July first, annually. 89 (2) Except as permitted by subdivision (8) of subsection (e) of this 90 section, or unless otherwise required by court order to refund to the 91 federal government a portion of the proceeds, moneys in the fund shall 92 be used for prospective purposes and shall not be used to reimburse 93 expenditures incurred prior to July 1, 2022. 94 (3) Proceeds derived from any state settlement of claims against a 95 defendant shall be allocated and disbursed only to those municipalities 96 that execute an agreement to participate in such settlement and adhere 97 to the terms of such agreement, provided the allocation or 98 disbursement of such settlement proceeds for the benefit of persons 99 within municipalities that do not execute an agreement to participate 100 in such settlement or do not adhere to the terms of such agreement 101 shall not be precluded or limited. 102 (4) Governmental and nonprofit nongovernmental entities shall be 103 eligible to receive moneys from the fund for programs, services, 104 Bill No. 1163 LCO 5024 {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01163- R01-SB.docx } 5 of 6 supports and resources for prevention, treatment, recovery and harm 105 reduction. 106 (5) Subject to the provisions of subdivision (6) of this subsection, 107 fund disbursements shall be made by the commissioner upon approval 108 of the committee. The commissioner shall not make or refuse to make 109 any disbursement allowable under this subsection without the 110 approval of the committee. The commissioner shall adhere to the 111 committee's decisions regarding disbursement of moneys from the 112 fund, provided such disbursement is a permissible expenditure under 113 this section. The commissioner's role in the distribution of moneys 114 after the distribution has been approved by the committee and after 115 the review and approval required under subsection (e) of this section 116 shall be ministerial and shall not be discretionary. 117 (6) Moneys expended from the fund for the purposes set forth in 118 subsection (d) of this section shall be supplemental to, and shall not 119 supplant or take the place of, any other funds, including, but not 120 limited to, insurance benefits or local, state or federal funding, that 121 would otherwise have been expended for such purposes. The 122 commissioner shall not disburse moneys from the fund during any 123 fiscal year unless the Secretary of the Office of Policy and Management 124 transmits to the committee a letter verifying that funds appropriated 125 and allocated in such fiscal year's budget for substance use disorder 126 abatement infrastructure, programs, services, supports and resources 127 for prevention, treatment, recovery and harm reduction are in an 128 amount not less than the sum of the funds for such purposes 129 appropriated and allocated in the previous fiscal year's budget. As 130 used in this subdivision, "supplemental" means additional funding, 131 consistent with the provisions of this section, for substance use 132 disorder abatement infrastructure or a substance use disorder 133 abatement program, service, support or resource to ensure that 134 funding in the current fiscal year exceeds the sum of federal, state, and 135 local funds allocated in the previous fiscal year for such substance use 136 disorder abatement infrastructure, program, service, support or 137 Bill No. 1163 LCO 5024 {\\PRDFS1\SCOUSERS\FORZANOF\WS\2023SB-01163- R01-SB.docx } 6 of 6 resource. 138 This act shall take effect as follows and shall amend the following sections: Section 1 July 1, 2023 17a-674c PS Joint Favorable