SENATE FLOOR VERSION - SB1275 SFLR Page 1 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SENATE FLOOR VERSION February 28, 2022 COMMITTEE SUBSTITUTE FOR SENATE BILL NO. 1275 By: Howard An Act relating to opioid abatement; amending 74 O.S. 2021, Sections 30.5 and 30.8, which relate to the Political Subdivisions Opioid Ab atement Grants Act; modifying scope of certain defined terms; deleting definition; revising criteria for allocatin g opioid grant awards to eligible participants ; providing for the reimbursement of attorney fees and allowable expenses associated with legal services agreements; requiring initial opioid grant awards to be listed on a distribution table; updating statutory language; and declaring an emergency . BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 74 O.S. 2021, Section 30.5, is amended to read as follows: Section 30.5. As used in the Political S ubdivisions Opioid Abatement Grants Act: 1. “Approved purpose” and “approved purposes” mean evidence- based, forward-looking strategies, programming and services used to: a. expand the availability of treatment for individuals affected by opioid use diso rders, co-occurring substance use disorders and mental health issues , SENATE FLOOR VERSION - SB1275 SFLR Page 2 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 b. develop, promote and provide evidence-based opioid use prevention strategies, c. provide opioid use disorder and co-occurring substance use disorder avoidance and awareness educatio n, d. decrease the oversupply of licit and illicit opioids, e. support recovery from addiction services performed by qualified and approp riately licensed providers, f. treat opioid use, abuse and disorders , including early intervention screening, counse ling and support, g. support individuals in treatment and recovery from opioid use, abuse and disorder, h. provide programs or services to c onnect individuals with opioid use, abuse or disorder, or who are at risk of developing opioid use disorder, co -occurring substance use disorder and mental health issues, with treatment and counseling programs and services, i. address the needs of individu als who are involved, or who are at risk of becoming involved, in the criminal justice system due to opioid use, abuse or disorder through programs or services in municipal and county criminal judicial systems, including prearrest and postarrest diversion programs, pretrial services and drug or recovery courts, SENATE FLOOR VERSION - SB1275 SFLR Page 3 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 j. address the needs of pregnant or parenting women wit h opioid use, abuse or disorder and their families , including babies with neo natal abstinence syndrome, k. address the needs of parents and care givers caring for babies with neonatal abstinence syndrome, l. support efforts to prevent overprescribing and ensure appropriate prescribing and dispensing of opioids, l. m. support efforts to discourage or prevent misuse of opioids, including the oversupp ly of licit and illicit opioids, m. n. support efforts to prevent or reduce overdose deaths or other opioid-related harms, including through increased availability and distribution of nalox one and other drugs that treat overdoses for use by first responders, persons who have experienced an overdose event, families, schools, community -based service providers, social workers and other members of the public, n. o. reimburse or fund law enforcem ent and emergency responder expenditures relating to the opioid epidemic, including costs of responding to emergency medical or police calls for service, equipment, treatment or response alternatives, mental health response training and training for law en forcement and SENATE FLOOR VERSION - SB1275 SFLR Page 4 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 emergency responders as to appropriate practices and precautions when dealing with opioids or individuals who are at risk of opioid overdose or death, o. p. reimburse attorney fees and allowable expenses directly related to opioid litigation incurred as part of legal services agreements entered into before May 21, 2020, q. support efforts to provide leadership, planning and coordination to abate the opioid epidemic throu gh activities, programs or strategies for prevention and recovery models, including regional intergovernmental efforts and not-for-profit agency suppor t, p. r. support education of youths regarding the dangers of opioid use, abuse and addiction, q. s. fund training relative to any approved purpose, r. t. monitor, surveil and eva luate opioid use, abuse or disorder, or s. u. provide opioid abatement as ide ntified by the Oklahoma Opioid Abatement Board as consistent with the purpose of this act the Political Subdivisions Opioid Abatement Grants Act . Provided that, such strategies, programming and services occurred on or after January 1, 2006 2015; 2. “Board” means the Oklahoma Opioid Abatement Board; SENATE FLOOR VERSION - SB1275 SFLR Page 5 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 3. “Eligible participant ” means any political subdiv ision or first responder organization that obtained legal representati on or participated in litigation with pharmaceutical supply chain participants prior to the effective date of this act impacted by the opioid crisis; 4. “First responder organization” means a nonprofit organization formed and in good standing under 501(c)(9) of the Internal Revenue Code , whose primary function is to benefit public safety employees; 5. “Nonapproved purpose” and “nonapproved purposes ” mean strategies, programming and services not falling within the definition of “approved purpose” approved purpose or “approved purposes” approved purposes as defined in this act section; 6. 5. “Opioid funds” means all monetary amounts obta ined through a settlement or judgment by the Attorney General on behalf of the State of Oklahoma this state related to opioid litigation involving pharmaceutical supply chain participants, including the Purdue Political Subdivisions Fund but excluding all other funds received pursuant to the Purdue Settlement Agreement; 7. 6. “Opioid grant awards” means grants funded from the Oklahoma Opioid Abatement Revolving Fund, aw arded pursuant to the provisions of this act the Political Subdivisions Opioid Abatement Grants Act; SENATE FLOOR VERSION - SB1275 SFLR Page 6 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 8. 7. “Pharmaceutical supply chain ” means the process and channels through which controlled substances are manufactured, marketed, promoted, distributed o r dispensed; 9. 8. “Pharmaceutical supply chain participant” means any entity that engages in or has engaged in the manufacture, marketing, promotion, distribution or d ispensing of an opioid analgesic; 10. 9. “Political subdivision ” and “political subdivisions” have the same meaning as provided in subparagraphs a, b, c and d of paragraph 11 of Section 152 of Title 51 of the Oklahoma Statutes; 11. 10. “Purdue Political Subdivision Fund” means the Twelve Million Five Hundred Thousand Dollars ($12,500,000.0 0) plus any interest accrued thereon received from the Revive Oklahoma Health Foundation consisting of funds from the Purdue Settlement Agreement designed for distribu tion to political subdivisions which have executed a release of legal claims as required by the Purdue Settlement Agreement; and 12. 11. “Purdue Settlement Agreement” means the settlement agreement entered into by the State of Oklahoma this state and Purdue Pharma L.P., Purdue Pharma, Inc. and the Purdue Frederick Company on March 26, 2019, a nd approved by the Court on April 2, 2019. SECTION 2. AMENDATORY 74 O.S. 2021, Section 30.8, is amended to read as follows: SENATE FLOOR VERSION - SB1275 SFLR Page 7 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Section 30.8. A. 1. The Oklahoma Opioid Abatement Board shall conduct an initial disbursement of opioid grant awards to participating eligible participants. Such opioid grant awards shall be allocated amongst the different participati ng eligible participants based on the following criteria, giving equal weight to each criteria: a. the number of people per capita suffering from opioid use disorder in the participating political subdivision, or in the absence of such information, the opioid prescription rate in the political subdivision compared to the national average opio id prescription rate, b. the number of opioid overdose deaths in the participating political subdivision, and c. the amount of opioids distributed within the participating political subdivision , and d. the amount of attorney fees and allowable expenses associated with legal services agreemen ts directly related to opioid litigation incurred as part of legal services agreements entered into before May 21, 202 0. 2. Grant awards shall be subject to legal services agreements entered into by participating eligible participants based on the grant awards. SENATE FLOOR VERSION - SB1275 SFLR Page 8 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 3. Initial opioid grant awards as provided for in this subsection shall be listed in an opioid grant award allocation matrix distribution table reviewed and approved by the B oard to ensure that such awards adhere to the criteria as provided in this subsection adopted by the Board. B. Following the awarding of opioid grant awards pursuant to subsection A of this section, any remaining une ncumbered balance in the Oklahoma Opioid Abatement Revolving Fund shall be available to the Board to award as gra nts to eligible participants; provided such awards shall only be utilized by eligible partici pants for approved purposes. C. In the event an e ligible participant merges, dissolves or ceases to exist, any remaining allocations of an awarded opioid grant award in excess of Five Hundred Dollars ($500.00) shall be reallocated equitably based on the c omposition of the successor eligible participant o r the successor eligible participants . SECTION 3. It being immediately necessary for the preserv ation of the public peace, health or safety, an emergency is hereby declared to exist, by rea son whereof this act shall take effect and be in full force from and after its passage and approval. COMMITTEE REPORT BY: COMMITTEE ON HEALTH AND HUMAN SERVICES February 28, 2022 - DO PASS AS AMENDED