HLS 20RS-56 ORIGINAL 2020 Regular Session HOUSE BILL NO. 389 BY REPRESENTATIVE ECHOLS FUNDS/FUNDING: Provides for the disbursement of monies received in settlements from opioid manufacturers 1 AN ACT 2To enact Subpart M of Part II-A of Chapter 1 of Subtitle I of Title 39 of the Louisiana 3 Revised Statutes of 1950, to be comprised of R.S. 39:100.41 through 100.43, relative 4 to the disbursement of monies received from opioid settlements; to establish the 5 Louisiana Opioid Settlement Fund; to provide for administration of the fund; to 6 provide for specific uses of the fund; to provide for reporting requirements; and to 7 provide for related matters. 8Be it enacted by the Legislature of Louisiana: 9 Section 1. Subpart M of Part II-A of Chapter 1 of Subtitle I of Title 39 of the 10Louisiana Revised Statutes of 1950, comprised of R.S. 39:100.41 through 100.43, is hereby 11enacted to read as follows: 12 SUBPART M. LOUISIANA OPIOID SETTLEMENT FUND 13 §100.41. Louisiana Opioid Settlement Fund; purpose; program administration 14 A. There is hereby created in the state treasury, as a special fund, the 15 "Louisiana Opioid Settlement Fund", hereinafter referred to as the "fund". 16 B. The monies in the fund shall be used exclusively to grant funding to 17 entities for the purpose of providing opioid education, overdose prevention efforts, 18 and addiction research, treatment, and recovery as specified in Subsection F of this 19 Section. Page 1 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 20RS-56 ORIGINAL HB NO. 389 1 C. After compliance with the requirements of Article VII, Section 9(B) of 2 the Constitution of Louisiana relative to the Bond Security and Redemption Fund, 3 all monies received by the state from any judgment, settlement, assessment of a civil 4 or criminal penalty, or otherwise collected as a result of a case or cause of action 5 against a manufacturer of opioids or any other responsible person brought to recover 6 monies expended or anticipated to be expended by the state or damages incurred by 7 the state in connection with the manufacturing, marketing, distribution, or sale of 8 opioids shall be deposited into the fund. 9 D. Monies in the fund shall be invested in the same manner as monies in the 10 general fund. Interest earned on investment of monies in the fund shall be credited 11 to the fund. Unexpended and unencumbered monies in the fund at the end of the 12 fiscal year shall remain in the fund. 13 E. The University of Louisiana at Monroe, in conjunction with the 14 University of Louisiana at Monroe College of Pharmacy, shall be the administrator 15 of the fund, hereinafter referred to as the "administrator". Monies in the fund shall 16 be appropriated to the University of Louisiana at Monroe to administer the funds to 17 eligible applicants in the form of grants. The administrator shall establish criteria for 18 eligibility. 19 F. Funds shall be disbursed by the administrator as follows: 20 (1) Twenty percent of the funds shall be used for prevention efforts 21 including: 22 (a) Education, addiction, and overdose prevention programs in public and 23 private colleges and universities and public and private elementary and secondary 24 schools. 25 (b) Continuing medical education for medical providers. 26 (c) Training for medical students and residents at Louisiana State University 27 Health Sciences Center in New Orleans, Louisiana State University Health Sciences 28 Center in Shreveport, Tulane University School of Medicine, and Edward Via 29 College of Osteopathic Medicine in Louisiana. The amount of funds disbursed Page 2 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 20RS-56 ORIGINAL HB NO. 389 1 pursuant to this Subparagraph shall be prorated based on the number of medical 2 students and residents. 3 (2) Fifty percent of the funds shall be used to address the current opioid 4 crisis including: 5 (a) Rehabilitation and treatment services, including those provided by the 6 Louisiana Department of Public Safety & Corrections, corrections services. 7 (b) Drug courts. 8 (c) Counseling services and training. 9 (d) Opioid antagonist training. 10 (e) Medication assisted treatment education. 11 (f) Law enforcement operations, including those conducted by sheriffs, state 12 police, and municipal police. 13 (3) Thirty percent of the funds shall be used for addiction and treatment 14 research and development of opioid alternatives including: 15 (a) Non-addictive pharmaceutical research. 16 (b) Alternative pain management strategies. 17 G. Any funds distributed to an entity that remain unexpended or 18 unencumbered at the end of the fiscal year shall be available for use in the 19 subsequent fiscal year by the entity pursuant to its grant agreement. 20 H. Monies appropriated from the fund are in addition to, and separate from, 21 any other monies appropriated or allocated to any postsecondary education 22 management board. Allocations from this fund shall not be included in the Board of 23 Regents' funding formula calculation, nor shall it supplant any state general fund 24 allocation provided to institutions. The availability of monies from the fund shall not 25 in any way substitute, limit, or otherwise affect the allocation of any funds otherwise 26 available to those institutions under state or federal laws. 27 §100.42. Nonmonetary opioid settlements; administration 28 Any prescription medicine received by the state from any judgment, 29 settlement, assessment of civil or criminal penalty, or otherwise collected as a result Page 3 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 20RS-56 ORIGINAL HB NO. 389 1 of a case or cause of action against a manufacturer of opioids or any other 2 responsible person brought to recover monies expended or anticipated to be 3 expended by the state or damages incurred by the state in connection with the 4 manufacturing, marketing, distribution, or sale of opioids shall be administered by 5 the University of Louisiana at Monroe in conjunction with the University of 6 Louisiana at Monroe College of Pharmacy. The University of Louisiana at Monroe 7 shall establish a procedure for distribution of the prescription medicine. 8 §100.43. Reporting requirements 9 In accordance with Part II of Chapter 13 of Title 24 of the Louisiana Revised 10 Statutes of 1950, the University of Louisiana at Monroe shall submit an annual 11 report to the Joint Legislative Committee on the Budget no later than August 1st of 12 each year. The report shall include, at a minimum, information from the previous 13 fiscal year on the number of grant applications received, amounts of grant funding 14 distributed, and recipients of the funding. DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] HB 389 Original 2020 Regular Session Echols Abstract: Establishes the La. Opioid Settlement Fund for monies received from opioid settlements and provides for uses of the fund. Proposed law establishes the La. Opioid Settlement Fund and requires that all monies received by the state from any opioid settlement be deposited into the fund. Proposed law provides that the University of Louisiana at Monroe (ULM), in conjunction with the ULM College of Pharmacy, shall be the administrator of the fund and shall disburse the funds as follows: (1)20% shall be used for prevention efforts including: (a)Education, addiction, and overdose prevention programs in colleges, universities, and elementary and secondary schools. (b)Continuing medical education for medical providers. (c)Training for medical students and residents. (2)50% shall be used to address the current opioid crisis including: Page 4 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 20RS-56 ORIGINAL HB NO. 389 (a)Rehabilitation and treatment services, including those provided by the Dept. of Public Safety & Corrections, corrections services. (b)Drug courts. (c)Counseling services and training. (d)Opioid antagonist training. (e)Medication assisted treatment education. (f)Law enforcement operations, including those conducted by sheriffs, state police, and municipal police. (3)30% shall be used for addiction and treatment research and development of opioid alternatives including: (a)Non-addictive pharmaceutical research. (b)Alternative pain management strategies. Proposed law provides that ULM, in conjunction with the ULM College of Pharmacy, shall administer any prescription medicine by the state from any opioid settlement and shall establish a procedure for distribution. Proposed law requires ULM to submit an annual report to Joint Legislative Committee on the Budget that includes information on grant applications received, funding distributed, and recipients of the funding. (Adds R.S. 39:100.41-100.43) Page 5 of 5 CODING: Words in struck through type are deletions from existing law; words underscored are additions.