Item Report

Item Number: H.3. 
 
 
CITY COUNCIL REPORT 
 
SUBJECT: 
Settlement Participation Agreements – National Opioid Settlements (Purdue Direct 
Settlement and Secondary Manufacturers Settlements) 
MEETING DATE: 
September 9, 2025 
 
TO: 
Mayor and Council 
FROM: 
George Good , Chief of Social Impact  
REVIEWED: 
Reyes Medrano Jr., City Manager 
 
PURPOSE: 
The Emergency Preparedness Department is requesting approval of participation agreements related to two 
national opioid settlements: (1) the Purdue Direct Settlement with Purdue Pharma, L.P., the Sackler Family, and 
related entities, and (2) the Secondary Manufacturers Settlements with Alvogen, Amneal, Apotex, Hikma, 
Indivior, Mylan (Viatris), Sun, and Zydus. 
 
BACKGROUND: 
National opioid settlements have been negotiated to provide funds to states and local governments to 
remediate the impacts of the opioid epidemic. 
 
The Purdue Direct Settlement arises from Purdue Pharma’s bankruptcy proceedings and resolves claims against 
Purdue, the Sacklers, and other related parties. Local governments, including Tolleson, are eligible to participate 
through execution of a subdivision participation and release form. 
 
The Secondary Manufacturers Settlements are separate agreements resolving litigation against eight 
pharmaceutical manufacturers. By executing a combined participation and release form, Tolleson becomes a 
participating subdivision and is eligible for distribution of settlement funds allocated under Arizona’s “One 
Arizona” Distribution Agreement. 
 
Failure to participate would render Tolleson ineligible to directly receive settlement proceeds and could reduce 
Arizona’s total allocation. 
 
DISCUSSION: 
Participation requires execution of the respective Participation and Release Forms. These agreements provide 
for the release of related claims and establish Tolleson’s eligibility to receive direct settlement payments. 
Settlement proceeds are restricted to approved uses consistent with opioid remediation programs as defined 
in the settlement agreements. 
 
The City Attorney has reviewed the settlement terms. Execution of both agreements ensures Tolleson’s 
eligibility for maximum potential recovery of funds to assist in addressing the local impacts of the opioid crisis. 
 
BUDGET IMPACT:

Settlement proceeds received will be restricted funds and must be used solely for approved opioid remediation 
purposes. There is no negative impact to the City’s General Fund. 
 
RECOMMENDATION: 
Staff recommends approval of participation in both settlements. 
 
ATTACHMENTS: 
1. 
07 30 25 - Purdue Direct Settlement - CL-1730569 - Opioids Implementation Administrator 
2. 
09 09 25 Secondary Manufacturers Settlements - CL-1761676 - Opioids Implementation Administrator