Minutes 06/25/2024 - Laserfiche WebLink

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June 25, 2024  The proposed ordinance appropriates the revenue to the FY 2024 Public Utilities Fund budget. Financial Impact:  Budgeted revenues and expenditures in the Public Utilities fund will be increased. Recommended Action:  Adoption of the ordinance. Next Steps Following Council Action:  The Finance Department will make the necessary budget adjustments. 1. Dr. William Dodson, 801 Mimosa Road, asked that there be more transparency of why funds are being transferred. Motion by Mr. Hugel, and seconded by Mr. Tillage, to adopt the following ordinance, and was adopted by the following vote: Councilman Hugel asked for an update on the repairs to the sewer transfer stations.  “ORDINANCE ACCEPTING $1,040,000 OF WATER AND WASTEWATER RATE REVENUES AND APPROPRIATING SAID AMOUNT IN THE FY 2024 PUBLIC UTLITY FUND TO COVER ‘PUMP AND HAUL’ SEWER SYSTEM EXPENDITURES.” Ayes: Hugel, Lucas-Burke, Tillage, Whitaker, Glover Nays: None 24 - 182 - Adoption of a resolution of the Portsmouth City Council approving the City’s participation in the proposed settlement of opioid-related claims against Kroger and its related corporate entitles, and directing the City Manager, City Attorney, and/or the City’s outside counsel to execute the documents necessary to effectuate the City’s participation in the settlements. Background:  The City of Portsmouth was one of several Virginia localities to file suit against entities engaged in the manufacture, marketing, promotion, distribution, and dispensing of opioids.  The Commonwealth of Virginia and other states recently reached a global settlement of claims against Kroger and its affiliated entities. The settlement will result in Kroger paying approximately $1.4 billion over several years (the “Settlement Funds”).  The Commonwealth will distribute funds from the Kroger settlement in accordance with the existing Settlement Allocation Memorandum of Understanding with the Commonwealth and other Virginia localities (the “Settlement MOU”). City Council approved the Settlement MOU by Resolution R-21-24 adopted on August 10, 2021. Discussion:  In order to participate in the Commonwealth’s settlement and receive distributions of a portion of the Kroger Settlement Funds, City Council must approve the settlement by August 12, 2024, and the City must provide a release of claims against the Kroger entities.  Settlement Funds will be distributed over a period of years in accordance with the Kroger Settlement terms and the Settlement MOU. Financial Impact:  The City will receive settlement funds over a period of years. The settlement funds must be used to address opioid-related issues (as provided in the Settlement MOU). Recommended Action:  Adoption of the Resolution.