080-23 - Resolution - ILA with Salish Behavioral Health for Opioid Settlement FundsDocuSign Envelope ID: 98C198DD-9296-4EB6-969E-2CC57EAD04BB
RESOLUTION NO. 080-23
A RESOLUTION OF THE CITY OF PORT ORCHARD, WASHINGTON, AUTHORIZING THE
MAYOR TO EXECUTE AN INTERLOCAL AGREEMENT WITH SALISH BEHAVIORAL
HEALTH ADMINISTRATIVE SERVICES ORGANIZATION TO ADMINISTER OPIOID
SETTLEMENT FUNDS.
WHEREAS, in 2022, the City Council authorized the City's participation the settlement of the
multi -district litigation matters brought against opioid pharmaceutical supply chain participants, and a
result of the City's participation, the City is entitled to payment of approximately $184,485.60 over the
next seven (7) years; and
WHEREAS, the settlement funds are for opioid abatement, including opioid education,
treatment and remediation of impacts that opioids have had in the Port Orchard community; and
WHEREAS, the City desires to contract with health and human services experts to utilize these
funds in an efficient and effective way; and
WHEREAS, the Salish Behavioral Health Administrative Services Organization (SBH-ASO), a result
of a partnership of Kitsap, Clallam, and Jefferson Counties formed under the state Community Mental
Health Act, RCW 71.24, to establish, and operate a comprehensive community mental health system
within the three -county area, administered by the Kitsap County Department of Human Services, has
proposed a cooperative arrangement by which SBH-ASO provides qualifying services within the City
through the use of the City's settlement funds; and
WHEREAS, the City Council finds that a partnership with SBH-ASO for these purposes is in the
best interest of the City and the health and public safety of its residents; now, therefore;
THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, WASHINGTON, HEREBY RESOLVES AS
FOLLOWS:
THAT: It is the intent of the Port Orchard City Council that the recitals set forth above are
hereby adopted and incorporated as findings in support of this Resolution.
THAT: The Mayor is authorized to execute an Interlocal Agreement similar to the form
attached hereto as Exhibit A, in a form acceptable to the City Attorney.
PASSED by the City Council of the City of Port Orchard, SIGNED by the Mayor and attested by the
City Clerk in authentication of such passage this 25`" day of July 2023.
ATTEST:
Jen e Floyd, CMC, eputy City Clerk
FDOCUSigned by:
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Robert Putaansuu, Mayor
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DocuSign Envelope ID: 98C198DD-9296-4EB6-969E-2CC57EAD04BB
1NTERLOCAL AGREEMENT BETWEEN
CITY OF PORT ORCHARD
AND
SALISH BEHAVIORAL HEALTH ADMINISTRATIVE SERVICES ORGANIZATION
Contract No. 062-23
This Agreement is made between the City of Port Orchard ("City"), on the one hand, and
Salish Behavioral Health Administrative Services Organization ("SBH-ASO"), through Kitsap
County, its administrative entity, on the other, (collectively "Parties") for the purpose of
administering monetary amounts allocated to the City resulting from settlements with and/or
litigation against opioid pharmaceutical supply chain participants. The Parties to this Agreement
mutually agree to the terms contained herein.
RECITALS
A. The City is a Participating Local Government to the One Washington
Memorandum of Understanding Between Washington Municipalities (One WA MOU), a copy
of which is attached hereto as Attachment A and fully incorporated herein.
B. The City is also a Participant to the Allocation Agreement Covering the
Allocation of Funds Paid by the Settling Opioid Distributors in Washington State, a copy of
which is attached hereto as Attachment B and fully incorporated herein (Allocation Agreement).
C. The City anticipates receipt of other funds resulting from settlements with and/or
litigation against opioid pharmaceutical supply chain participants.
D. Funds allocated to the City pursuant to the One WA MOU, the Allocation
Agreement, and from other settlements with and/or litigation against opioid pharmaceutical
supply chain participants shall be collectively referred to herein as "Opioid Funds."
E. The SBH-ASO administers behavioral health services and programs pursuant to
chapters 71.24 and 71.05 RCW within the Olympic Community of Health Region regional
service area established under RCW 74.09.870.
F. The City seeks to designate SBH-ASO as the Opioid Abatement Council pursuant
to Section CA.h of the One WA MOU and pursuant to Section 15 of the Allocation Agreement
for the purposes of receiving, managing, distributing, and administering Opioid Funds allocated
to the City consistent with the Approved Purposes set forth in the One WA MOU and consistent
with the purposes set forth in Section 8 of the Allocation Agreement.
G. This Agreement is made pursuant to the Interlocal Cooperation Act, Chapter
39.34 RCW.
H. This Agreement does not contemplate a joint budget.
I. This Agreement does not contemplate the joint acquisition of property by the
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parties. At termination, each party will remain the sole owner of its own property.
AGREEMENT
1. The foregoing Recitals A through I are true and correct and are incorporated
herein by reference as if fully set forth herein.
2. The City hereby designates SBH-ASO as the Opioid Abatement Council pursuant
to Section CA.h of the One WA MOU and pursuant to Section 15 of the Allocation Agreement
to oversee allocation, distribution, expenditures, and dispute resolution of Opioid Funds allocated
to the City consistent with the Approved Purposes set forth in the One WA MOU and Allocation
Agreement and consistent with the purposes set forth in Section 8 of the Allocation Agreement
(collectively "Approved Purposes").
3. The City shall pay over to SBH-ASO those Opioid Funds distributed to the City
or authorize that Opioid Funds allocated to the City be paid over directly to SBH-ASO.
4. SBH-ASO shall maintain Opioid Funds in a separate fund and Opioid Funds shall
not be comingled with other funds received by SBH-ASO from HCA or other sources.
5. Ten percent (10%) of Opioid Funds received by SBH-ASO will be reserved, on
an annual basis, for administrative costs related to managing, distributing, and administering
Opioid Funds consistent with Approved Purposes. SBH-ASO will provide an annual accounting
for actual costs and any reserved funds that exceed actual costs will be reallocated to Approved
Purposes.
6. Opioid Funds will be subject to mechanisms for auditing and reporting to provide
public accountability and transparency. All records related to the receipt and expenditure of
Opioid Funds shall be maintained for no less than five (5) years and such records shall be
available for review by the Parties to this Agreement, government oversight authorities, and the
public. Each party shall be responsible for its own compliance with the Washington Public
Records Act, chapter 42.56 RCW (as may be amended). This Agreement, once executed, will be
a "public record" subject to production to a third party if it is requested under the chapter 42.56
RCW.
7. SBH-ASO will be responsible for the following actions with respect to Opioid
Funds:
a. Overseeing distribution of Opioid Funds to programs and services within the City
for Approved Purposes.
b. Preparing annual expenditure reports for compliance with Approved Purposes.
C. Reporting and making publicly available all decisions on Opioid Fund allocation
applications, distributions, and expenditures by SBH-ASO.
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d. Developing and maintaining a centralized public dashboard or other repository for
the publication of expenditure data for expenditures of Opioid Funds by SBH-ASO,
which it shall update at least annually.
e. If necessary, require and collect additional outcome -related data to evaluate the
use of Opioid Funds.
f. Hearing complaints by the City regarding alleged failure to (1) use Opioid Funds
for Approved Purposes or (2) comply with reporting requirements.
8. If any Party to this Agreement believes another Party violated the terms of this
Agreement, the WA One MOU, and/or the Allocation Agreement, the aggrieved Party may seek
judicial enforcement of the terms of this Agreement, the WA One MOU, and/or the Allocation
Agreement. The Parties hereby stipulate that venue of any action shall be Thurston County
Superior Court in accordance with RCW 4.12.080. Prior to filing any such action, the alleging
Party shall first provide the alleged offending Party notice of the alleged violation(s) and a
reasonable opportunity to cure the alleged violation(s). In such an enforcement action, any
alleging Party or alleged offending Party may be represented by their respective public entity in
accordance with Washington law.
9. Nothing in this MOU shall be interpreted to waive the right of any Party to seek
judicial relief for conduct occurring outside the scope of this Agreement that violates any
Washington law. In such an action, the alleged offending Party may be represented by their
respective public entities in accordance with Washington law. In the event of a conflict, any
Party may seek outside representation to defend itself against such an action.
10. This Agreement is subject to the terms and conditions of the interlocal agreement
establishing the SBH-ASO (KC-279-19, as it may be amended or superseded from time to time),
except that in the event of an inconsistency between this Agreement and the interlocal agreement
establishing the SBH-ASO, unless otherwise provided, the inconsistency is resolved by giving
precedence in the following order:
a. Applicable Federal and Washington State Statutes and Regulations.
b. All terms and conditions in this Agreement, including the One WA MOU and the
Allocation Agreement.
c. The interlocal agreement establishing the SBH-ASO (KC-279-19, as it may be
amended or superseded from time to time).
d. Any other material incorporated herein by written reference.
11. This Agreement may be executed in two or more counterparts, each of which
shall be deemed an original, but all of which shall constitute one and the same instrument. The
Parties agree not to deny the legal effect or enforceability of this Agreement solely because it is
in electronic form or because an electronic record was used in its formation. The Parties agree
not to object to the admissibility of this Agreement in the form of an electronic record, or a paper
copy of an electronic document, or a paper copy of a document bearing an electronic signature,
on the grounds that it is an electronic record or electronic signature or that it is not in its original
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form or is not an original.
12. This Agreement shall take effect upon the date of its full execution and shall
expire on the date that the Interlocal Agreement establishing the SBH-ASO expires (designated
as Kitsap County contract number KC-279-19, as it may be amended or superseded from time to
time).
13. Each Party represents that all procedures necessary to authorize such Party's
execution of this Agreement have been performed and that the person signing for such Party has
been authorized to execute this Agreement.
14. Once fully executed, this Agreement shall be filed by SBH-ASO, through Kitsap
County, with the Kitsap County Auditor. The City shall list the Agreement on the City's website.
15. The parties shall keep and maintain all records required by law in connection with
the performance of this Agreement.
16. The parties signed this Agreement in the State of Washington. The laws of the
United States and the State of Washington govern this Agreement, as if applied to transactions
agreed upon and to be performed wholly within the State of Washington. No Party shall argue or
assert that any state law other than Washington law applies to the governance or construction of
this Agreement.
17. This agreement may be amended to address distribution of additional funds
received from settlements with and/or litigation against opioid pharmaceutical supply chain
participants. Any amendment must be in writing and must be signed by each party.
18. The parties may withdraw from this Agreement and terminate participation under
this Agreement at any time, subject to the survival of any duty, obligation, or liability it incurred
prior to the effective date of termination, and provided that (a) the terminating party provides
written notification to the other party of the terminating party's intention to withdraw at least 60
days prior to the proposed effective date of such termination.
19. Any notices required to be given shall be in writing and delivered to the following
parties at the following addresses:
Port Orchard Mayor SBH-ASO
216 Prospect Street Director, Kitsap County Department of Human
Port Orchard, WA 98366 Services as Administrator of SBH-ASO
614 Division Street, MS-23
Port Orchard, WA 98366
20. The invalidity or unenforceability of any provision hereof shall in no way affect
the validity or enforceability of any other provision. Failure to insist upon strict compliance with
any terms, covenants, or conditions of this Agreement shall not be deemed a waiver of such, nor
shall any waiver or relinquishment of such right or power at any time be taken to be a waiver of
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any other breach.
Approved this 251h day of July 2023
CITY OF PORT ORCHARD
DoSigned by:
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Robert Putaansuu, Mayor
Attest:
Brandy Wallace, MMC, City Clerk
Approved this day of , 2023
SALISH BEHAVIORAL HEALTH
ADMINISTRATIVE SERVICES ORGANIZATION
Mark Ozias, Chair
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