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05-17-2021 Agenda Packet BOCPERSON COUNTY BOARD OF COUNTY COMMISSIONERS MEETING AGENDA 304 South Morgan Street, Room 215 Roxboro, NC 27573-5245 336-597-1720 Fax 336-599-1609 May 17, 2021 9:00am This meeting will convene in the County Office Building Auditorium. CALL TO ORDER………………………………………………….. Chairman Powell INVOCATION PLEDGE OF ALLEGIANCE DISCUSSION/ADJUSTMENT/APPROVAL OF AGENDA INFORMAL COMMENTS The Person County Board of Commissioners established a 10-minute segment which is open for informal comments and/or questions from citizens of this county on issues, other than those issues for which a public hearing has been scheduled. The time will be divided equally among those wishing to comment. It is requested that any person who wishes to address the Board, register with the Clerk to the Board prior to the meeting. ITEM #1 DISCUSSION/ADJUSTMENT/APPROVAL OF CONSENT AGENDA A.Budget Amendments #16 and #17 (pgs. 3-4), B.Home & Community Care Block Grant Funding Revision 2020-2021 for the Dept. of Social Services for a total of $38,627 for In-Home Aid Level II and III Personal Care (pgs 5-6), andC.Timberlake Firefighters’ Relief Fund Board of Trustees Appointment (pg 7) 1 NEW BUSINESS: ITEM #2 (pg 8) Broadband Update – RiverStreet Networks ………………………. Katherine Cathey ITEM #3 (pg 9) Advanced Technology Center for PCC ………………………….. Dr. Pamela Senegal ITEM #4 (pgs 10-60) Resolution Approving the Memorandum of Agreement between the State of North Carolina and Local Governments on Proceeds Relating to the Settlement of Opioid Litigation ……………………………Heidi York ITEM #5 (pgs 61-78) Falls Watershed Regulations – Interim Alternative Implementation Approach Possible Projects ……………… Lori Oakley & John Hill ITEM #6 (pg79) Presentation of the Fiscal Year 2021-2022 Proposed Budget ……………. Heidi York CHAIRMAN’S REPORT MANAGER’S REPORT COMMISSIONER REPORTS/COMMENTS CLOSED SESSION #1 A motion to enter into Closed Session per General Statute 143-318.11(a)(4) for the purpose of discussion of matters relating to the location or expansion of industries or other businesses in the area served by the public body, including agreement on a tentative list of economic development incentives that may be offered by the public body in negotiations with the following individuals permitted to attend: County Manager, Heidi York, Clerk to the Board, Brenda Reaves, Economic Development Director, Sherry Wilborn and County Attorney, Ellis Hankins. Note: All Items on the Agenda are for Discussion and Action as deemed appropriate by the Board. 2 5/17/2021 Dept./Acct No.Department Name Amount Incr / (Decr) EXPENDITURES General Fund General Government 8,998 Public Safety 1,034 Human Services 318,309 Culture & Recreation 4,686 Self-Funded Health Insurance Fund 1,418,208 Transfer to Other Funds 426,041 REVENUES General Fund Intergovernmental Revenue 318,109 Sales Tax Distribution 1,844,249 Other Revenue 6,158 Fund Balance Appropriation 8,760 EXPENDITURES Capital Investment Fund 426,041 REVENUES Capital Investment Fund Transfer from General Fund/Sch Sales Tax 426,041 Explanation: BUDGET AMENDMENT Receipt of insurance claims for damage to EMS ambulance ($1,034) and for repairs to various parks and replacement of the IT generator due to the 2021 ice storm ($4,924); appropriate CARES Act funds for cameras and wireless microphone equipment for Commissioner meetings in PCOB auditorium ($7,000) and GoTo Assist Remote Support costs paid for November 2020 through February 2021 ($1,760); utilizing remaining sales tax estimates for FY21 to support high claims expense in the Self-Funded Health insurance Fund ($1,418,208) and transfer the set- aside portion of sales tax to the CIF Fund for schools ($426,041); recognizing State funds received for the Communicable Disease Grant in the Health Department ($316,279); making necessary adjustments for the Crisis and Duke Energy Neighbor Programs in DSS ($1,830); and recognizing donation in DSS for the Foster Care Program ($200). BA‐163 5/17/2021 Dept./Acct No.Department Name Amount Incr / (Decr) EXPENDITURES General Fund General Government 70,395 Public Safety 218,384 Transportation 17,781 Human Services 23,338 Economic & Physical Development 4,151 Contingency (334,049) Explanation: BUDGET AMENDMENT Transferring budget reserved in Contingency-Compression Study (-$193,502) to department salary and fringe benefit line items ($192,502) that were impacted by Phase III of the Compression Study for the current year; transferring budget from Contingency-Parental Leave (-$15,547) for EMS Overtime ($12,547) and IT Part-time ($3,000); and transferring budget from Contingency-COVID 19 Leave (-$125,000) for impacts to EMS Overtime ($125,000). BA‐174 5 6 AGENDA ABSTRACT Meeting Date: May 17, 2021 Agenda Title: Timberlake Firefighters’ Relief Fund Board of Trustees Appointment Summary of Information: The Firefighters’ Relief Fund and Rescue Squad Worker's Relief Fund programs are designed to financially assist firefighter and rescue personnel in the event of line of duty injury or death. It may also be used for supplemental retirement, educational benefits and to purchase other insurance/pension plans. A local Firefighters' Relief Fund Board of Trustee's shall be elected/appointed to control the local funds. The Firefighters' Relief Fund Board of Trustee's is comprised of five (5) people: two shall be elected by the fire department and shall either be a resident of the fire district or an active or retired member of the fire department; two shall be elected by the County governing body (or by the City governing body, if located inside the City), and members appointed pursuant to this section shall be residents of the fire district; and one shall be appointed by the Insurance Commissioner. The member appointed pursuant to this section shall be either a resident of the fire district or an active or retired member of the fire department. One of the local relief fund board members will be chosen to serve as the Firefighters' Relief Fund Treasurer. The state provides a bond to cover Treasurers of local Firefighters' Relief Funds. The Timberlake Volunteer Fire Department Chief, Jason Fletcher, and the Deputy Chief/President Timberlake Fire & Rescue Relief Fund, Todd Lane, request that the Board of Commissioners appoint the following resident of their fire district to their Firefighters’ Relief Fund Board of Trustees: Alan Woody 244 Ashley Ave. Timberlake, NC 27583 (336) 364-7480 Recommended Action: Appoint Alan Woody as one of the two Commissioner representatives to replace Thomas Drumwright whom retired due to health. Submitted By: Keith Duncan, County Fire Marshal 7 AGENDA ABSTRACT Meeting Date: May 17, 2021 Agenda Title: Broadband Update – RiverStreet Networks Summary of Information: RiverStreet Networks will provide an update regarding their current deployment of broadband service across Person County as well as their future goals for broadband service expansion. Bill Shillito, Business Development Manager for RiverStreet Networks, will present information on the following topics: Woodland, Mt. Tirzah, Bethel Hill and Bushy Fork towers and public wi-fi hotspots are fully operational. Currently in the process of establishing the final public wi-fi hotspot (Uptown Roxboro location). Leasing space on Oak Lane Tower (owned by American Tower) near Hyco Lake. Constructing new tower in southeastern Person County. Recommended Action: Receive and discuss information provided in presentation. Submitted By: Katherine M. Cathey, Assistant County Manager 8 AGENDA ABSTRACT Meeting Date: May 17, 2021 Agenda Title: Advanced Technology Center (ATC) for PCC Summary of Information: Update on plans underway to identify funding in support of ATC for economic and workforce development in the region. Recommended Action: Commitment to continued progress on ATC funding model as presented. Submitted By: Dr. Pamela G. Senegal 9 AGENDA ABSTRACT Meeting Date: May 17, 2021 Agenda Title: Resolution Approving the Memorandum of Agreement between the State of North Carolina and Local Governments on Proceeds Relating to the Settlement of Opioid Litigation Summary of Information: Person County is one of seventy-six counties that have joined state and national litigation efforts by filing lawsuits against companies for the manufacturing, marketing, promotion, and distribution of prescription opioid drugs. Working with the State, we are hopeful that a National Settlement Agreement will be forthcoming along with proceeds from a related bankruptcy resolution. The proposed NC Memorandum of Agreement governs how NC would use its share of opioid settlement funds to be transparent and accountable. Under the NC Memorandum of Agreement all settlement funds would be directed as follows: 15% to the State (for strategies to address the epidemic) 80% to local governments through a formula developed by attorneys involved in the national litigation (for strategies to support programs and services to address the epidemic) An additional 5% into an incentive fund for any county in which all municipalities within the county with a population of 30,000 or more also signs the NC Memorandum of Agreement (Note: Person County will receive the additional 5% but Roxboro should still be requested to agree to the MOA to avoid a reduction in funds in the future) These potential settlements and resolutions could bring as much as $850 million to North Carolina over an 18-year period to support state and local efforts to address the epidemic. Counties are being asked to sign the Resolution of Agreement as soon as possible to increase the percentage of opioid settlement funds that come to North Carolina. Recommended Action: Receive the information and adopt the Resolution in Support of the Memorandum of Agreement. Submitted By: Heidi York, County Manager 10 A RESOLUTION BY THE COUNTY OF PERSON APPROVING THE MEMORANDUM OF AGREEMENT (MOA) BETWEEN THE STATE OF NORTH CAROLINA AND LOCAL GOVERNMENTS ON PROCEEDS RELATING TO THE SETTLEMENT OF OPIOID LITIGATION WHEREAS, as of 2019, the opioid epidemic had taken the lives of more than 16,500 North Carolinians, torn families apart, and ravaged communities from the mountains to the coast; and WHEREAS, the COVID-19 pandemic has compounded the opioid crisis, increasing levels of drug misuse, addiction, and overdose death; and WHEREAS, the Centers for Disease Control and Prevention estimates the total "economic burden" of prescription opioid misuse alone in the United States is $78.5 billion a year, including the costs of healthcare, lost productivity, addiction treatment, and criminal justice involvement; and WHEREAS, certain counties and municipalities in North Carolina joined with thousands of local governments across the country to file lawsuit against opioid manufacturers and pharmaceutical distribution companies and hold those companies accountable for their misconduct; and WHEREAS, representatives of local North Carolina governments, the North Carolina Association of County Commissioners, and the North Carolina Department of Justice have negotiated and prepared a Memorandum of Agreement (MOA) to provide for the equitable distribution of any proceeds from a settlement of national opioid litigation to the State of North Carolina and to individual local governments; and WHEREAS, Local Governments and the State of North Carolina anticipate a settlement in the national opioid litigation to be forthcoming; and WHEREAS, by signing onto the MOA, the state and local governments maximize North Carolina’s share of opioid settlement funds to ensure the needed resources reach communities, once a negotiation is finalized, as quickly, effectively, and directly as possible; and WHEREAS, it is advantageous to all North Carolinians for local governments, including Person County and its citizens, to sign onto the MOA and demonstrate solidarity in response to the opioid epidemic, and to maximize the share of opioid settlement funds received both in the state and this county to help abate the harm; and WHEREAS, the MOA directs substantial resources over multiple years to local governments on the front lines of the opioid epidemic while ensuring that these resources are used in an effective way to address the crisis. 11 NOW, THEREFORE BE IT RESOLVED, Person County Board of Commissioners hereby approves the Memorandum of Agreement Between the State of North Carolina and Local Governments on Proceeds Relating to the Settlement of Opioid Litigation, and any subsequent settlement funds that may come into North Carolina as a result of the opioid crisis. Furthermore, Person County authorizes the County Manager (or County Attorney) take such measures as necessary to comply with the terms of the MOA and receive any settlement funds, including executing any documents related to the allocation of opioid settlement funds and settlement of lawsuits related to this matter. Be it further resolved copies of this resolution and the signed MOA be sent to opioiddocs@ncdoj.gov as well as forwarded to the North Carolina Association of County Commissioners at communications@ncacc.org. Adopted this the 17th day of May 2021. __________________________________________ Gordon Powell, Chairman Person County Board of Commissioners ATTEST: ________________________________ Brenda B. Reaves, Clerk to the Board (SEAL)   12 1 MEMORANDUM OF AGREEMENT BETWEEN THE STATE OF NORTH CAROLINA AND LOCAL GOVERNMENTS ON PROCEEDS RELATING TO THE SETTLEMENT OF OPIOID LITIGATION Contents Background Statement .....................................................................................................................3 Statement of Agreement ..................................................................................................................4 A. Definitions............................................................................................................................4 B. Allocation of Settlement Proceeds 1. Method of distribution .............................................................................................5 2. Overall allocation of funds.......................................................................................5 3. Allocation of funds between Local Governments ...................................................5 4. Municipal allocations a. Local Governments receiving payments ......................................................6 b. Municipality may direct payments to county ...............................................6 5. Use of funds for opioid remediation activities .........................................................6 6. Relationship of this MOA to other agreements and resolutions ..............................6 C. Payment of Litigating and Non-Litigating Parties ...............................................................6 D. Special Revenue Fund 1. Creation of special revenue fund .............................................................................6 2. Procedures for special revenue fund ........................................................................6 3. Interest earned on special revenue fund ...................................................................7 E. Opioid Remediation Activities 1. Limitation on use of funds .......................................................................................7 2. Opportunity to cure inconsistent expenditures ........................................................7 3. Consequences of failure to cure inconsistent expenditures .....................................7 4. Annual meeting of counties and municipalities within each county .......................7 5. Use of settlement funds under Option A and Option B a. Option A.......................................................................................................8 b. Option B .......................................................................................................8 6. Process for drawing from special revenue funds a. Budget item or resolution required ..............................................................9 b. Budget item or resolution details .................................................................9 7. Coordination group ..................................................................................................9 F. Auditing, Compliance, Reporting, and Accountability 1. Audits under Local Government Budget and Fiscal Control Act ............................9 2. Audits under other acts and requirements ................................................................9 3. Audit costs ...............................................................................................................9 13 2 4. Access to persons and records .................................................................................9 5. Preservation of records ..........................................................................................10 6. Reporting a. Annual financial report required ................................................................10 b. Annual financial report timing and contents ..............................................10 c. Reporting to statewide opioid settlement dashboard .................................10 d. Copy to NCDOJ of any additional reporting .............................................11 e. Compliance and non-compliance ...............................................................11 7. Collaboration..........................................................................................................11 G. County Incentive Fund .......................................................................................................11 H. Effectiveness 1. When MOA takes effect ........................................................................................12 2. Amendments to MOA a. Amendments to conform to final national documents ...............................12 b. Coordination group ....................................................................................12 c. No amendments to allocation between local governments ........................12 d. General amendment power ........................................................................12 3. Acknowledgement .................................................................................................12 4. When MOA is no longer in effect ..........................................................................12 5. Application of MOA to settlements and bankruptcy resolutions...........................12 6. Applicable law and venue ......................................................................................13 7. Scope of MOA .......................................................................................................13 8. No third party beneficiaries ...................................................................................13 9. No effect on authority of parties ............................................................................13 10. Signing and execution of MOA .............................................................................13 Signature Pages Exhibits A. High-Impact Opioid Abatement Strategies Under Option A ...............................................1 B. Additional Opioid Remediation Activities Under Option B ...............................................3 C. Collaborative Strategic Planning Process Under Option B ...............................................14 D. Coordination Group ...........................................................................................................16 E. Annual Financial Report ....................................................................................................19 F. Impact Information ............................................................................................................20 G. Local Government Allocation Proportions ........................................................................22 14 3 Background Statement Capitalized terms not defined below have the meanings set forth in the Definitions section of the Statement of Agreement. WHEREAS, the State of North Carolina (the “State”), North Carolina counties and municipalities, and their people have been harmed by misconduct committed by certain entities that engage in or have engaged in the manufacture, marketing, promotion, distribution, or dispensing of an opioid analgesic (“Pharmaceutical Supply Chain Participants”); and WHEREAS, certain North Carolina counties and municipalities, through their counsel, and the State, through its Attorney General, are separately engaged in ongoing investigations, litigation and settlement discussions seeking to hold Pharmaceutical Supply Chain Participants accountable for the damage caused by their misconduct; and WHEREAS, the State and the Local Governments share a common desire to abate and alleviate the impacts of the misconduct described above throughout North Carolina and in its local communities; and WHEREAS, while the Local Governments and the State recognize the sums which may be available from the aforementioned litigation will likely be insufficient to fully abate the public health crisis caused by the opioid epidemic, they share a common interest in dedicating the most resources possible to the abatement effort; and WHEREAS, settlements resulting from the investigations and litigation with Johnson & Johnson, AmerisourceBergen, Cardinal Health, and McKesson are anticipated to take the form of a National Settlement Agreement; and WHEREAS, this Memorandum of Agreement (“MOA”) is intended to facilitate compliance by the State and by the Local Governments with the terms of the National Settlement Agreement and, to the extent appropriate, in other settlements related to the opioid epidemic reached by the state of North Carolina; and WHEREAS, North Carolina’s share of settlement funds from the National Settlement Agreement will be maximized only if all North Carolina counties, and municipalities of a certain size, participate in the settlement; and WHEREAS, the National Settlement Agreement will set a default allocation between each state and its political subdivisions unless they enter into a state-specific agreement regarding the distribution and use of settlement amounts (a “State-Subdivision Agreement”); and WHEREAS, this MOA is intended to serve as such a State-Subdivision Agreement under the National Settlement Agreement; and WHEREAS, the aforementioned investigations and litigation have caused some Pharmaceutical Supply Chain Participants to declare bankruptcy, and it may cause additional entities to declare bankruptcy in the future; and 15 4 WHEREAS, this MOA is also intended to serve as a State-Subdivision Agreement under resolutions of claims concerning alleged misconduct in manufacture, marketing, promotion, distribution, or dispensing of an opioid analgesic entered in bankruptcy court that provide for payments (including payments through a trust) to both the State and North Carolina counties and municipalities and allow for the allocation between a state and its political subdivisions to be set through a state-specific agreement (“Bankruptcy Resolutions”); and WHEREAS, specifically, this MOA is intended to serve under the Bankruptcy Resolution concerning Purdue Pharma L.P. as a statewide abatement agreement, and under this MOA, a statewide abatement agreement is a type of State-Subdivision Agreement. Statement of Agreement The parties hereto agree as follows: A. Definitions As used in this MOA: The terms “Bankruptcy Resolution,” “MOA,” “Pharmaceutical Supply Chain Participant,” “State,” and “State-Subdivision Agreement” are defined in the recitals to this MOA. “Coordination group” refers to the group described in Section E.7 below. “County Incentive Fund” is defined in Section G below. “Governing Body” means (1) for a county, the county commissioners of the county, and (2) for a municipality, the elected city council, town council, board of commissioners, or board of aldermen for the municipality. “Incentive Eligible Local Government” is defined in Section G below. “Local Abatement Funds” are defined in Section B.2 below. “Local Government” means all counties and municipalities located within the geographic boundaries of the State of North Carolina that have chosen to sign on to this MOA. “MDL Matter” means the matter captioned In re: National Prescription Opiate Litigation, MDL 2804 pending in the United States District Court for the Northern District of Ohio. “MDL Parties” means all parties who participated in the matter captioned In re: National Prescription Opiate Litigation, MDL 2804 pending in the United States District Court for the Northern District of Ohio as Plaintiffs. 16 5 “National Settlement Agreement” means a national opioid settlement agreement with the Parties and one or all of the Settling Defendants concerning alleged misconduct in manufacture, marketing, promotion, distribution, or dispensing of an opioid analgesic. “Opioid Settlement Funds” shall mean all funds allocated by the National Settlement Agreement and any Bankruptcy Resolutions to the State or Local Governments for purposes of opioid remediation activities or restitution, as well as any repayment of those funds and any interest or investment earnings that may accrue as those funds are temporarily held before being expended on opioid remediation strategies. Not included are funds made available in the National Settlement Agreement or any Bankruptcy Resolutions for the payment of the Parties’ litigation expenses or the reimbursement of the United States Government. “Parties” means the State of North Carolina and the Local Governments. “Settling Defendants” means Johnson & Johnson, AmerisourceBergen, Cardinal Health, and McKesson, as well as their subsidiaries, affiliates, officers, and directors named in a National Settlement Agreement. “State Abatement Fund” is defined in Section B.2 below. B. Allocation of Settlement Proceeds 1. Method of distribution. Pursuant to the National Settlement Agreement and any Bankruptcy Resolutions, Opioid Settlement Funds shall be distributed directly to the State and to Local Governments in such proportions and for such uses as set forth in this MOA, provided Opioid Settlement Funds shall not be considered funds of the State or any Local Government unless and until such time as each annual distribution is made. 2. Overall allocation of funds. Opioid Settlement Funds shall be allocated as follows: (i) 15% directly to the State (“State Abatement Fund”), (ii) 80% to abatement funds established by Local Governments (“Local Abatement Funds”), and (iii) 5% to a County Incentive Fund described in Section G below. 3. Allocation of funds between Local Governments. The Local Abatement Funds shall be allocated to counties and municipalities in such proportions as set forth in Exhibit G, attached hereto and incorporated herein by reference, which is based upon the MDL Matter’s Opioid Negotiation Class Model. The proportions shall not change based on population changes during the term of the MOA. However, to the extent required by the terms of the National Settlement Agreement, the proportions set forth in Exhibit G shall be adjusted: (i) to provide no payment from the National Settlement Agreement to any listed county or municipality that does not participate in the National Settlement Agreement; and (ii) to provide a reduced payment from the National Settlement Agreement to any listed county or municipality that signs onto the National Settlement Agreement after the initial participation deadline. 4. Municipal allocations. Within counties and municipalities: 17 6 a. Local Governments receiving payments. The proportions set forth in Exhibit G provide for payments directly to (i) all North Carolina counties, (ii) North Carolina municipalities with populations over 75,000 based on the United States Census Bureau’s Vintage 2019 population totals, and (iii) North Carolina municipalities who are also MDL Parties as of January 1, 2021. b. Municipality may direct payments to county. Any municipality allocated a share in Exhibit G may elect to have its share of current or future annual distributions of Local Abatement Funds instead directed to the county or counties in which it is located. Such an election may be made by January 1 each year to apply to the following fiscal year. If a municipality is located in more than one county, the municipality’s funds will be directed based on the MDL Matter’s Opioid Negotiation Class Model. 5. Use of funds for opioid remediation activities. This MOA requires that except as related to the payment of the Parties’ litigation expenses and the reimbursement of the United States Government, all Opioid Settlement Funds, regardless of allocation, shall be utilized only for opioid remediation activities. 6. Relationship of this MOA to other agreements and resolutions. All Parties acknowledge and agree the National Settlement Agreement will require a Local Government to release all its claims against the Settling Defendants to receive Opioid Settlement Funds. All Parties further acknowledge and agree based on the terms of the National Settlement Agreement, a Local Government may receive funds through this MOA only after complying with all requirements set forth in the National Settlement Agreement to release its claims. This MOA is not a promise from any Party that any National Settlement Agreement or Bankruptcy Resolution will be finalized or executed. C. Payment of Litigating and Non-Litigating Parties No Party engaged in litigating the MDL Matter shall receive a smaller payment than a similarly situated non-litigating Party, other than as based on the Allocation Proportions in Exhibit G or based on the eligibility criteria for payments from the County Incentive Fund as provided by Section G below. D. Special Revenue Fund 1. Creation of special revenue fund. Every Local Government receiving Opioid Settlement Funds shall create a separate special revenue fund, as described below, that is designated for the receipt and expenditure of the Opioid Settlement Funds. 2. Procedures for special revenue fund. Funds in this special revenue fund shall not be commingled with any other money or funds of the Local Government. The funds in the 18 7 special revenue fund shall not be used for any loans or pledge of assets, unless the loan or pledge is for an opioid remediation purpose consistent with the terms of this MOA and adopted under the process described in Section E.6 below. Although counties or municipalities may make contracts with or grants to a nonprofit, charity, or other entity, counties or municipalities may not assign to another entity their rights to receive payments from the national settlement or their responsibilities for funding decisions. 3. Interest earned on special revenue fund. The funds in the special revenue fund may be invested, consistent with the investment limitations for local governments, and may be placed in an interest-bearing bank account. Any interest earned on the special revenue fund must be used in a way that is consistent with this MOA. E. Opioid Remediation Activities. 1. Limitation on use of funds. Local Governments shall expend Opioid Settlement Funds only for opioid-related expenditures consistent with the terms of this MOA and incurred after the date of the Local Government’s execution of this MOA, unless execution of the National Settlement Agreement requires a later date. 2. Opportunity to cure inconsistent expenditures. If a Local Government spends any Opioid Settlement Funds on an expenditure inconsistent with the terms of this MOA, the Local Government shall have 60 days after discovery of the expenditure to cure the inconsistent expenditure through payment of such amount for opioid remediation activities through budget amendment or repayment. 3. Consequences of failure to cure inconsistent expenditures. If a Local Government does not make the cure required by Section E.2 above within 60 days, (i) future Opioid Fund payments to that Local Government shall be reduced by an amount equal to the inconsistent expenditure, and (ii) to the extent the inconsistent expenditure is greater than the expected future stream of payments to the Local Government, the Attorney General may initiate a process up to and including litigation to recover and redistribute the overage among all eligible Local Governments. The Attorney General may recover any litigation expenses incurred to recover the funds. Any recovery or redistribution shall be distributed consistent with Sections B.3 and B.4 above. 4. Annual meeting of counties and municipalities within each county. Each county receiving Opioid Settlement Funds shall hold at least one annual meeting with all municipalities in the Local Government’s county invited in order to receive input as to proposed uses of the Opioid Settlement Funds and to encourage collaboration between local governments both within and beyond the county. These meetings shall be open to the public. 5. Use of settlement funds under Option A and Option B. Local Governments shall spend Opioid Settlement Funds from the Local Abatement Funds on opioid remediation activities using either or both of the processes described as Option A and Option B below, unless the relevant National Settlement Agreement or Bankruptcy Resolution further limit the spending. 19 8 a. Option A. i. Without any additional strategic planning beyond the meeting described in Section E.4 above, Local Governments may spend Opioid Settlement Funds from the list of High-Impact Opioid Abatement Strategies attached as Exhibit A. This list is a subset of the initial opioid remediation strategies listed in the National Settlement Agreement. ii. Exhibit A may be modified as set forth in Exhibit D below; provided, however, that any strategy listed on Exhibit A must be within the list of opioid remediation activities for the then-current National Settlement Agreement. Opioid remediation activities undertaken under a previously authorized strategy list may continue if they were authorized at the time of the Local Government’s commitment to spend funds on that activity. b. Option B. i. A Local Government that chooses to participate in additional voluntary, collaborative, strategic planning may spend Opioid Settlement Funds from the broader list of categories found in Exhibit B. This list contains all the initial opioid remediation strategies listed in the National Settlement Agreement. ii. Before spending any funds on any activity listed in Exhibit B, but not listed on Exhibit A, a Local Government must first engage in the collaborative strategic planning process described in Exhibit C. This process shall result in a report and non-binding recommendations to the Local Government’s Governing Body described in Exhibit C (right-hand column). iii. A Local Government that has previously undertaken the collaborative strategic planning process described in Exhibit C and wishes to continue implementing a strategy listed in Exhibit B, but not listed in Exhibit A, shall undertake a new collaborative strategic planning process every four years (or more often if desired). iv. A Local Government that has previously undertaken the collaborative strategic planning process described in Exhibit C that wishes to implement a new strategy listed in Exhibit B but not listed in Exhibit A, shall undertake a new collaborative strategic planning process. v. Two or more Local Governments may undertake a single collaborative strategic planning process resulting in a report and recommendations to all of the Local Governments involved. 20 9 6. Process for drawing from special revenue funds. a. Budget item or resolution required. Opioid Settlement Funds can be used for a purpose when the Governing Body includes in its budget or passes a separate resolution authorizing the expenditure of a stated amount of Opioid Settlement Funds for that purpose or those purposes during a specified period of time. b. Budget item or resolution details. The budget or resolution should (i) indicate that it is an authorization for expenditure of opioid settlement funds; (ii) state the specific strategy or strategies the county or municipality intends to fund pursuant to Option A or Option B, using the item letter and/or number in Exhibit A or Exhibit B to identify each funded strategy, and (iii) state the amount dedicated to each strategy for a stated period of time. 7. Coordination group. A coordination group with the composition and responsibilities described in Exhibit D shall meet at least once a year during the first three years that this MOA is in effect. Thereafter, the coordination group shall meet at least once every three years until such time as Opioid Settlement Funds are no longer being spent by Local Governments. F. Auditing, Compliance, Reporting, and Accountability 1. Audits under Local Government Budget and Fiscal Control Act. Local Governments’ Opioid Settlement Funds are subject to financial audit by an independent certified public accountant in a manner no less than what is required under G.S. 159-34. Each Local Government must file an annual financial audit of the Opioid Settlement Funds with the Local Government Commission. If any such audit reveals an expenditure inconsistent with the terms of this MOA, the Local Government shall immediately report the finding to the Attorney General. 2. Audits under other acts and requirements. The expenditure of Opioid Settlement Funds is subject to the requirements of the Local Government Budget and Fiscal Control Act, Chapter 159 of the North Carolina General Statutes; Local Government Commission rules; the Federal Single Audit Act of 1984 (as if the Opioid Settlement Funds were federal funds); the State Single Audit Implementation Act; Generally Accepted Government Auditing Standards; and all other applicable laws, rules, and accounting standards. For expenditures for which no compliance audit is required under the Federal Single Audit Act of 1984, a compliance audit shall be required under a compliance supplement approved by the coordination group. 3. Audit costs. Reasonable audit costs that would not be required except for this Section F may be paid by the Local Government from Opioid Settlement Funds.. 4. Access to persons and records. During and after the term of this MOA, the State Auditor and Department of Justice shall have access to persons and records related to this MOA and expenditures of Opioid Settlement Funds to verify accounts and data affecting fees or 21 10 performance. The Local Government manager/administrator is the point of contact for questions that arise under this MOA. 5. Preservation of records. The Local Government must maintain, for a period of at least five years, records of Opioid Settlement Fund expenditures and documents underlying those expenditures, so that it can be verified that funds are being or have been utilized in a manner consistent with the National Settlement Agreement, any Bankruptcy Resolutions, and this MOA. 6. Reporting. a. Annual financial report required. In order to ensure compliance with the opioid remediation provisions of the National Settlement Agreement, any Bankruptcy Resolutions, and this MOA, for every fiscal year in which a Local Government receives, holds, or spends Opioid Settlement Funds, the county or municipality must submit an annual financial report specifying the activities and amounts it has funded. b. Annual financial report timing and contents. The annual financial report shall be provided to the North Carolina Attorney General by emailing the report to opioiddocs@ncdoj.gov, within 90 days of the last day of the state fiscal year covered by the report. Each annual financial report must include the information described on Exhibit E. c. Reporting to statewide opioid settlement dashboard. Each Local Government must provide the following information to the statewide opioid settlement dashboard within the stated timeframes: i. The budget or resolution authorizing the expenditure of a stated amount of Opioid Settlement Funds for a specific purpose or purposes during a specified period of time as described in Section E.6.b above (within 90 days of the passage of any such budget or resolution); ii. If the Local Government is using Option B, the report(s) and non-binding recommendations from collaborative strategic planning described in Section E.5.b.ii above and Exhibit C (right hand column) (within 90 days of the date the report and recommendations are submitted to the local governing body for consideration); iii. The annual financial reports described in Section F.6.a and Exhibit E (within 90 days of the end of the fiscal year covered by the report); and iv. The impact information described in Exhibit F (within 90 days of the end of the fiscal year covered by the report). The State will create an online portal with instructions for Local Governments to report or upload each of these four items by electronic means. 22 11 d. Copy to NCDOJ of any additional reporting. If the National Settlement Agreement or any Bankruptcy Resolutions require that a Local Government file, post, or provide a report or other document beyond those described in this MOA, or if any Local Government communicates in writing with any national administrator or other entity created or authorized by the National Settlement Agreement or any Bankruptcy Resolutions regarding the Local Government’s compliance with the National Settlement Agreement or Bankruptcy Resolutions, the Local Government shall email a copy of any such report, document, or communication to the North Carolina Department of Justice at opioiddocs@ncdoj.gov. e. Compliance and non-compliance. i. Every Local Government shall make a good faith effort to comply with all of its reporting obligations under this MOA, including the obligations described in Section F.6.c above. ii. A Local Government that engages in a good faith effort to comply with its reporting obligations under Section F.6.c but fails in some way to report information in an accurate, timely, or complete manner shall be given an opportunity to remedy this failure within a reasonable time. iii. A Local Government that does not engage in a good faith effort to comply with its reporting obligations under this MOA, or that fails to remedy reporting issues within a reasonable time, may be subject to action for breach of contract. iv. Notwithstanding anything to the contrary herein, a Local Government that is in substantial compliance with the reporting obligations in this MOA shall not be considered in breach of this MOA or in breach of contract. 7. Collaboration. The State and Local Governments must collaborate to promote effective use of Opioid Settlement Funds, including through the sharing of expertise, training, technical assistance. They will also coordinate with trusted partners to collect and share information about successful regional and other high-impact strategies and opioid treatment programs. G. County Incentive Fund A Local Government receiving Settlement Proceeds pursuant to Section B.4.a shall be an Incentive Eligible Local Government if every municipality in the Local Government's county with population of at least 30,000 has executed this MOA by October 1, 2021, but no later than any such deadline set in the National Settlement Agreement for the highest possible participation in incentive structures for North Carolina. Each Incentive Eligible Local Government shall receive a share of the 5% County Incentive Fund set forth in Section B.2.iii, distributed pro rata among only Incentive Eligible Local Governments as set forth in Exhibit G. For purposes of the calculations required by this Section, populations will be based on United States Census Bureau's Vintage 2019 population totals, and a municipality with populations in multiple counties will be counted only toward the county which has the largest share of that municipality’s population. 23 12 H. Effectiveness 1. When MOA takes effect. This MOA shall become effective at the time a sufficient number of Local Governments have joined the MOA to qualify this MOA as a State-Subdivision Agreement under the National Settlement Agreement or any Bankruptcy Resolution. If this MOA does not thereby qualify as a State-Subdivision Agreement, this MOA will have no effect. 2. Amendments to MOA. a. Amendments to conform to final national documents. The Attorney General, with the consent of a majority vote from a group of Local Government attorneys appointed by the Association of County Commissioners, may initiate a process to amend this MOA to make any changes required by the final provisions of the National Settlement Agreement or any Bankruptcy Resolution. The Attorney General’s Office will provide written notice of the necessary amendments to all the previously joining parties. Any previously joining party will have a two- week opportunity to withdraw from the MOA. The amendments will be effective to any party that does not withdraw. b. Coordination group. The coordination group may make the changes authorized in Exhibit D. c. No amendments to allocation between Local Governments. Notwithstanding any other provision of this MOA, the allocation proportions set forth in Exhibit G may not be amended. d. General amendment power. After execution, the coordination group may propose other amendments to the MOA, subject to the limitation in Section H.2.c above. Such amendments will take effect only if approved in writing by the Attorney General and at least two-thirds of the Local Governments who are Parties to this MOA. In the vote, each Local Government Party will have a number of votes measured by the allocation proportions set forth in Exhibit G. 3. Acknowledgement. The Parties acknowledge that this MOA is an effective and fair way to address the needs arising from the public health crisis due to the misconduct committed by the Pharmaceutical Supply Chain Participants. 4. When MOA is no longer in effect. This MOA is effective until one year after the last date on which any Opioid Settlement Funds are being spent by Local Governments pursuant to the National Settlement Agreement and any Bankruptcy Resolution. 5. Application of MOA to settlements and bankruptcy resolutions. This MOA applies to all settlements under the National Settlement Agreement with the Settling Defendants and any Bankruptcy Resolutions. The Parties agree to discuss the use, as the Parties may deem appropriate in the future, of the settlement terms set out herein (after any necessary 24 13 amendments) for resolutions with Pharmaceutical Supply Chain Participants not covered by the National Settlement Agreement or a Bankruptcy Resolution. 6. Applicable law and venue. Unless required otherwise by the National Settlement Agreement or a Bankruptcy Resolution, this MOA shall be interpreted using North Carolina law and any action related to the provisions of this MOA must be adjudicated by the Superior Court of Wake County. If any provision of this MOA is held invalid by any court of competent jurisdiction, this invalidity does not affect any other provision which can be given effect without the invalid provision. 7. Scope of MOA. The Parties acknowledge that this MOA does not excuse any requirements placed upon them by the terms of the National Settlement Agreement or any Bankruptcy Resolution, except to the extent those terms allow for a State-Subdivision Agreement to do so. 8. No third party beneficiaries. No person or entity is intended to be a third party beneficiary of this MOA. 9. No effect on authority of parties. Nothing in this MOA shall be construed to affect or constrain the authority of the Parties under law. 10. Signing and execution of MOA. This MOA may be signed and executed simultaneously in any number of counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same agreement. A signature transmitted by facsimile or electronic image shall be deemed an original signature for purposes of executing this MOA. Each person signing this MOA represents that he or she is fully authorized to enter into the terms and conditions of, and to execute, this MOA, and that all necessary approvals and conditions precedent to his or her execution have been satisfied. (Signature pages follow.) 25 Signature pages will be structured as one page for the State of North Carolina, followed by separate signature pages for each county. These signature pages will also include blanks for the county’s municipalities. To avoid having 101 signature pages in the middle of this file, the signature pages are in a separate document. 26 Exhibits, page 1 EXHIBIT A TO NC MOA: HIGH-IMPACT OPIOID ABATEMENT STRATEGIES (“OPTION A” List) In keeping with the National Settlement Agreement, opioid settlement funds may support programs or services listed below that serve persons with Opioid Use Disorder (OUD) or any co-occurring Substance Use Disorder (SUD) or mental health condition. As used in this list, the words “fund” and “support” are used interchangeably and mean to create, expand, or sustain a program, service, or activity. 1. Collaborative strategic planning. Support collaborative strategic planning to address opioid misuse, addiction, overdose, or related issues, including staff support, facilitation services, or any activity or combination of activities listed in Exhibit C to the MOA (collaborative strategic planning). 2. Evidence-based addiction treatment. Support evidence-based addiction treatment consistent with the American Society of Addiction Medicine’s national practice guidelines for the treatment of opioid use disorder – including Medication-Assisted Treatment (MAT) with any medication approved for this purpose by the U.S. Food and Drug Administration – through Opioid Treatment Programs, qualified providers of Office-Based Opioid Treatment, Federally Qualified Health Centers, treatment offered in conjunction with justice system programs, or other community-based programs offering evidence-based addiction treatment. This may include capital expenditures for facilities that offer evidence-based treatment for OUD. (If only a portion of a facility offers such treatment, then only that portion qualifies for funding, on a pro rata basis.) 3. Recovery support services. Fund evidence-based recovery support services, including peer support specialists or care navigators based in local health departments, social service offices, detention facilities, community-based organizations, or other settings that support people in treatment or recovery, or people who use drugs, in accessing addiction treatment, recovery support, harm reduction services, primary healthcare, or other services or supports they need to improve their health or well-being. 4. Recovery housing support. Fund programs offering recovery housing support to people in treatment or recovery, or people who use drugs, such as assistance with rent, move-in deposits, or utilities; or fund recovery housing programs that provide housing to individuals receiving Medication-Assisted Treatment for opioid use disorder. 5. Employment-related services. Fund programs offering employment support services to people in treatment or recovery, or people who use drugs, such as job training, job skills, job placement, interview coaching, resume review, professional attire, relevant courses at community colleges or vocational schools, transportation services or transportation vouchers to facilitate any of these activities, or similar services or supports. 6. Early intervention. Fund programs, services, or training to encourage early identification and intervention for children or adolescents who may be struggling with problematic use of drugs or mental health conditions, including Youth Mental Health 27 Exhibits, page 2 First Aid, peer-based programs, or similar approaches. Training programs may target parents, family members, caregivers, teachers, school staff, peers, neighbors, health or human services professionals, or others in contact with children or adolescents. 7. Naloxone distribution. Support programs or organizations that distribute naloxone to persons at risk of overdose or their social networks, such as Syringe Service Programs, post-overdose response teams, programs that provide naloxone to persons upon release from jail or prison, emergency medical service providers or hospital emergency departments that provide naloxone to persons at risk of overdose, or community-based organizations that provide services to people who use drugs. Programs or organizations involved in community distribution of naloxone may, in addition, provide naloxone to first responders. 8. Post-overdose response team. Support post-overdose response teams that connect persons who have experienced non-fatal drug overdoses to addiction treatment, recovery support, harm reduction services, primary healthcare, or other services or supports they need to improve their health or well-being. 9. Syringe Service Program. Support Syringe Service Programs operated by any governmental or nongovernmental organization authorized by section 90-113.27 of the North Carolina General Statutes that provide syringes, naloxone, or other harm reduction supplies; that dispose of used syringes; that connect clients to prevention, treatment, recovery support, behavioral healthcare, primary healthcare, or other services or supports they need; or that provide any of these services or supports. 10. Criminal justice diversion programs. Support pre-arrest or post-arrest diversion programs, or pre-trial service programs, that connect individuals involved or at risk of becoming involved in the criminal justice system to addiction treatment, recovery support, harm reduction services, primary healthcare, prevention, or other services or supports they need, or that provide any of these services or supports. 11. Addiction treatment for incarcerated persons. Support evidence-based addiction treatment, including Medication-Assisted Treatment with at least one FDA-approved opioid agonist, to persons who are incarcerated in jail or prison. 12. Reentry Programs. Support programs that connect incarcerated persons to addiction treatment, recovery support, harm reduction services, primary healthcare, or other services or supports they need upon release from jail or prison, or that provide any of these services or supports. 28 Exhibits, page 3 EXHIBIT B TO NC MOA: Additional Opioid Remediation Activities (“OPTION B” List) This list shall be automatically updated to match the list of approved strategies in the most recent National Settlement Agreement. PART ONE: TREATMENT A. TREAT OPIOID USE DISORDER (OUD) Support treatment of Opioid Use Disorder (OUD) and any co-occurring Substance Use Disorder or Mental Health (SUD/MH) conditions through evidence-based or evidence-informed programs or strategies that may include, but are not limited to, the following:1 1. Expand availability of treatment for OUD and any co-occurring SUD/MH conditions, including all forms of Medication-Assisted Treatment (MAT) approved by the U.S. Food and Drug Administration. 2. Support and reimburse evidence-based services that adhere to the American Society of Addiction Medicine (ASAM) continuum of care for OUD and any co-occurring SUD/MH conditions. 3. Expand telehealth to increase access to treatment for OUD and any co-occurring SUD/MH conditions, including MAT, as well as counseling, psychiatric support, and other treatment and recovery support services. 4. Improve oversight of Opioid Treatment Programs (OTPs) to assure evidence-based or evidence- informed practices such as adequate methadone dosing and low threshold approaches to treatment. 5. Support mobile intervention, treatment, and recovery services, offered by qualified professionals and service providers, such as peer recovery coaches, for persons with OUD and any co-occurring SUD/MH conditions and for persons who have experienced an opioid overdose. 6. Treatment of trauma for individuals with OUD (e.g., violence, sexual assault, human trafficking, or adverse childhood experiences) and family members (e.g., surviving family members after an overdose or overdose fatality), and training of health care personnel to identify and address such trauma. 7. Support evidence-based withdrawal management services for people with OUD and any co- occurring mental health conditions. 1 As used in this Exhibit B, words like “expand,” “fund,” “provide” or the like shall not indicate a preference for new or existing programs. 29 Exhibits, page 4 8. Training on MAT for health care providers, first responders, students, or other supporting professionals, such as peer recovery coaches or recovery outreach specialists, including telementoring to assist community-based providers in rural or underserved areas. 9. Support workforce development for addiction professionals who work with persons with OUD and any co-occurring SUD/MH conditions. 10. Fellowships for addiction medicine specialists for direct patient care, instructors, and clinical research for treatments. 11. Scholarships and supports for behavioral health practitioners or workers involved in addressing OUD and any co-occurring SUD or mental health conditions, including but not limited to training, scholarships, fellowships, loan repayment programs, or other incentives for providers to work in rural or underserved areas. 12. Provide funding and training for clinicians to obtain a waiver under the federal Drug Addiction Treatment Act of 2000 (DATA 2000) to prescribe MAT for OUD, and provide technical assistance and professional support to clinicians who have obtained a DATA 2000 waiver. 13. Dissemination of web-based training curricula, such as the American Academy of Addiction Psychiatry’s Provider Clinical Support Service-Opioids web-based training curriculum and motivational interviewing. 14. Development and dissemination of new curricula, such as the American Academy of Addiction Psychiatry’s Provider Clinical Support Service for Medication-Assisted Treatment. B. SUPPORT PEOPLE IN TREATMENT AND RECOVERY Support people in treatment for or recovery from OUD and any co-occurring SUD/MH conditions through evidence-based or evidence-informed programs or strategies that may include, but are not limited to, the following: 1. Provide comprehensive wrap-around services to individuals with OUD and any co-occurring SUD/MH conditions, including housing, transportation, education, job placement, job training, or childcare. 2. Provide the full continuum of care of treatment and recovery services for OUD and any co- occurring SUD/MH conditions, including supportive housing, peer support services and counseling, community navigators, case management, and connections to community-based services. 3. Provide counseling, peer-support, recovery case management and residential treatment with access to medications for those who need it to persons with OUD and any co-occurring SUD/MH conditions. 4. Provide access to housing for people with OUD and any co-occurring SUD/MH conditions, including supportive housing, recovery housing, housing assistance programs, training for housing providers, or recovery housing programs that allow or integrate FDA-approved medication with other support services. 30 Exhibits, page 5 5. Provide community support services, including social and legal services, to assist in deinstitutionalizing persons with OUD and any co-occurring SUD/MH conditions. 6. Support or expand peer-recovery centers, which may include support groups, social events, computer access, or other services for persons with OUD and any co-occurring SUD/MH conditions. 7. Provide or support transportation to treatment or recovery programs or services for persons with OUD and any co-occurring SUD/MH conditions. 8. Provide employment training or educational services for persons in treatment for or recovery from OUD and any co-occurring SUD/MH conditions. 9. Identify successful recovery programs such as physician, pilot, and college recovery programs, and provide support and technical assistance to increase the number and capacity of high-quality programs to help those in recovery. 10. Engage non-profits, faith-based communities, and community coalitions to support people in treatment and recovery and to support family members in their efforts to support the person with OUD in the family. 11. Training and development of procedures for government staff to appropriately interact and provide social and other services to individuals with or in recovery from OUD, including reducing stigma. 12. Support stigma reduction efforts regarding treatment and support for persons with OUD, including reducing the stigma on effective treatment. 13. Create or support culturally appropriate services and programs for persons with OUD and any co-occurring SUD/MH conditions, including new Americans. 14. Create and/or support recovery high schools. 15. Hire or train behavioral health workers to provide or expand any of the services or supports listed above. C. CONNECT PEOPLE WHO NEED HELP TO THE HELP THEY NEED (CONNECTIONS TO CARE) Provide connections to care for people who have – or at risk of developing – OUD and any co- occurring SUD/MH conditions through evidence-based or evidence-informed programs or strategies that may include, but are not limited to, the following: 1. Ensure that health care providers are screening for OUD and other risk factors and know how to appropriately counsel and treat (or refer if necessary) a patient for OUD treatment. 2. Fund Screening, Brief Intervention and Referral to Treatment (SBIRT) programs to reduce the transition from use to disorders, including SBIRT services to pregnant women who are uninsured or not eligible for Medicaid. 31 Exhibits, page 6 3. Provide training and long-term implementation of SBIRT in key systems (health, schools, colleges, criminal justice, and probation), with a focus on youth and young adults when transition from misuse to opioid disorder is common. 4. Purchase automated versions of SBIRT and support ongoing costs of the technology. 5. Expand services such as navigators and on-call teams to begin MAT in hospital emergency departments. 6. Training for emergency room personnel treating opioid overdose patients on post-discharge planning, including community referrals for MAT, recovery case management or support services. 7. Support hospital programs that transition persons with OUD and any co-occurring SUD/MH conditions, or persons who have experienced an opioid overdose, into clinically-appropriate follow-up care through a bridge clinic or similar approach. 8. Support crisis stabilization centers that serve as an alternative to hospital emergency departments for persons with OUD and any co-occurring SUD/MH conditions or persons that have experienced an opioid overdose. 9. Support the work of Emergency Medical Systems, including peer support specialists, to connect individuals to treatment or other appropriate services following an opioid overdose or other opioid- related adverse event. 10. Provide funding for peer support specialists or recovery coaches in emergency departments, detox facilities, recovery centers, recovery housing, or similar settings; offer services, supports, or connections to care to persons with OUD and any co-occurring SUD/MH conditions or to persons who have experienced an opioid overdose. 11. Expand warm hand-off services to transition to recovery services. 12. Create or support school-based contacts that parents can engage with to seek immediate treatment services for their child; and support prevention, intervention, treatment, and recovery programs focused on young people. 13. Develop and support best practices on addressing OUD in the workplace. 14. Support assistance programs for health care providers with OUD. 15. Engage non-profits and the faith community as a system to support outreach for treatment. 16. Support centralized call centers that provide information and connections to appropriate services and supports for persons with OUD and any co-occurring SUD/MH conditions. D. ADDRESS THE NEEDS OF CRIMINAL-JUSTICE-INVOLVED PERSONS Address the needs of persons with OUD and any co-occurring SUD/MH conditions who are involved in, are at risk of becoming involved in, or are transitioning out of the criminal justice 32 Exhibits, page 7 system through evidence-based or evidence-informed programs or strategies that may include, but are not limited to, the following: 1. Support pre-arrest or pre-arraignment diversion and deflection strategies for persons with OUD and any co-occurring SUD/MH conditions, including established strategies such as: a. Self-referral strategies such as the Angel Programs or the Police Assisted Addiction Recovery Initiative (PAARI); b. Active outreach strategies such as the Drug Abuse Response Team (DART) model; c. “Naloxone Plus” strategies, which work to ensure that individuals who have received naloxone to reverse the effects of an overdose are then linked to treatment programs or other appropriate services; d. Officer prevention strategies, such as the Law Enforcement Assisted Diversion (LEAD) model; e. Officer intervention strategies such as the Leon County, Florida Adult Civil Citation Network or the Chicago Westside Narcotics Diversion to Treatment Initiative; or f. Co-responder and/or alternative responder models to address OUD-related 911 calls with greater SUD expertise. 2. Support pre-trial services that connect individuals with OUD and any co-occurring SUD/MH conditions to evidence-informed treatment, including MAT, and related services. 3. Support treatment and recovery courts that provide evidence-based options for persons with OUD and any co-occurring SUD/MH conditions. 4. Provide evidence-informed treatment, including MAT, recovery support, harm reduction, or other appropriate services to individuals with OUD and any co-occurring SUD/MH conditions who are incarcerated in jail or prison. 5. Provide evidence-informed treatment, including MAT, recovery support, harm reduction, or other appropriate services to individuals with OUD and any co-occurring SUD/MH conditions who are leaving jail or prison, have recently left jail or prison, are on probation or parole, are under community corrections supervision, or are in re-entry programs or facilities. 6. Support critical time interventions (CTI), particularly for individuals living with dual-diagnosis OUD/serious mental illness, and services for individuals who face immediate risks and service needs and risks upon release from correctional settings. 7. Provide training on best practices for addressing the needs of criminal-justice-involved persons with OUD and any co-occurring SUD/MH conditions to law enforcement, correctional, or judicial personnel or to providers of treatment, recovery, harm reduction, case management, or other services offered in connection with any of the strategies described in this section. 33 Exhibits, page 8 E. ADDRESS THE NEEDS OF PREGNANT OR PARENTING WOMEN AND THEIR FAMILIES, INCLUDING BABIES WITH NEONATAL ABSTINENCE SYNDROME Address the needs of pregnant or parenting women with OUD and any co-occurring SUD/MH conditions, and the needs of their families, including babies with neonatal abstinence syndrome (NAS), through evidence-based or evidence-informed programs or strategies that may include, but are not limited to, the following: 1. Support evidence-based or evidence-informed treatment, including MAT, recovery services and supports, and prevention services for pregnant women – or women who could become pregnant – who have OUD and any co-occurring SUD/MH conditions, and other measures to educate and provide support to families affected by Neonatal Abstinence Syndrome. 2. Expand comprehensive evidence-based treatment and recovery services, including MAT, for uninsured women with OUD and any co-occurring SUD/MH conditions for up to 12 months postpartum. 3. Training for obstetricians or other healthcare personnel that work with pregnant women and their families regarding treatment of OUD and any co-occurring SUD/MH conditions. 4. Expand comprehensive evidence-based treatment and recovery support for NAS babies; expand services for better continuum of care with infant-need dyad; expand long-term treatment and services for medical monitoring of NAS babies and their families. 5. Provide training to health care providers who work with pregnant or parenting women on best practices for compliance with federal requirements that children born with Neonatal Abstinence Syndrome get referred to appropriate services and receive a plan of safe care. 6. Child and family supports for parenting women with OUD and any co-occurring SUD/MH conditions. 7. Enhanced family supports and child care services for parents with OUD and any co-occurring SUD/MH conditions. 8. Provide enhanced support for children and family members suffering trauma as a result of addiction in the family; and offer trauma-informed behavioral health treatment for adverse childhood events. 9. Offer home-based wrap-around services to persons with OUD and any co-occurring SUD/MH conditions, including but not limited to parent skills training. 10. Support for Children’s Services – Fund additional positions and services, including supportive housing and other residential services, relating to children being removed from the home and/or placed in foster care due to custodial opioid use. 34 Exhibits, page 9 PART TWO: PREVENTION F. PREVENT OVER-PRESCRIBING AND ENSURE APPROPRIATE PRESCRIBING AND DISPENSING OF OPIOIDS Support efforts to prevent over-prescribing and ensure appropriate prescribing and dispensing of opioids through evidence-based or evidence-informed programs or strategies that may include, but are not limited to, the following: 1. Fund medical provider education and outreach regarding best prescribing practices for opioids consistent with Guidelines for Prescribing Opioids for Chronic Pain from the U.S. Centers for Disease Control and Prevention, including providers at hospitals (academic detailing). 2. Training for health care providers regarding safe and responsible opioid prescribing, dosing, and tapering patients off opioids. 3. Continuing Medical Education (CME) on appropriate prescribing of opioids. 4. Support for non-opioid pain treatment alternatives, including training providers to offer or refer to multi-modal, evidence-informed treatment of pain. 5. Support enhancements or improvements to Prescription Drug Monitoring Programs (PDMPs), including but not limited to improvements that: a. Increase the number of prescribers using PDMPs; b. Improve point-of-care decision-making by increasing the quantity, quality, or format of data available to prescribers using PDMPs, by improving the interface that prescribers use to access PDMP data, or both; or c. Enable states to use PDMP data in support of surveillance or intervention strategies, including MAT referrals and follow-up for individuals identified within PDMP data as likely to experience OUD in a manner that complies with all relevant privacy and security laws and rules. 6. Ensuring PDMPs incorporate available overdose/naloxone deployment data, including the United States Department of Transportation’s Emergency Medical Technician overdose database in a manner that complies with all relevant privacy and security laws and rules. 7. Increase electronic prescribing to prevent diversion or forgery. 8. Educate Dispensers on appropriate opioid dispensing. G. PREVENT MISUSE OF OPIOIDS Support efforts to discourage or prevent misuse of opioids through evidence-based or evidence- informed programs or strategies that may include, but are not limited to, the following: 35 Exhibits, page 10 1. Fund media campaigns to prevent opioid misuse. 2. Corrective advertising or affirmative public education campaigns based on evidence. 3. Public education relating to drug disposal. 4. Drug take-back disposal or destruction programs. 5. Fund community anti-drug coalitions that engage in drug prevention efforts. 6. Support community coalitions in implementing evidence-informed prevention, such as reduced social access and physical access, stigma reduction – including staffing, educational campaigns, support for people in treatment or recovery, or training of coalitions in evidence-informed implementation, including the Strategic Prevention Framework developed by the U.S. Substance Abuse and Mental Health Services Administration (SAMHSA). 7. Engage non-profits and faith-based communities as systems to support prevention. 8. Fund evidence-based prevention programs in schools or evidence-informed school and community education programs and campaigns for students, families, school employees, school athletic programs, parent-teacher and student associations, and others. 9. School-based or youth-focused programs or strategies that have demonstrated effectiveness in preventing drug misuse and seem likely to be effective in preventing the uptake and use of opioids. 10. Create or support community-based education or intervention services for families, youth, and adolescents at risk for OUD and any co-occurring SUD/MH conditions. 11. Support evidence-informed programs or curricula to address mental health needs of young people who may be at risk of misusing opioids or other drugs, including emotional modulation and resilience skills. 12. Support greater access to mental health services and supports for young people, including services and supports provided by school nurses, behavioral health workers or other school staff, to address mental health needs in young people that (when not properly addressed) increase the risk of opioid or other drug misuse. H. PREVENT OVERDOSE DEATHS AND OTHER HARMS (HARM REDUCTION) Support efforts to prevent or reduce overdose deaths or other opioid-related harms through evidence-based or evidence-informed programs or strategies that may include, but are not limited to, the following: 1. Increase availability and distribution of naloxone and other drugs that treat overdoses for first responders, overdose patients, individuals with OUD and their friends and family members, individuals at high risk of overdose, schools, community navigators and outreach workers, persons being released from jail or prison, or other members of the general public. 2. Public health entities that provide free naloxone to anyone in the community. 36 Exhibits, page 11 3. Training and education regarding naloxone and other drugs that treat overdoses for first responders, overdose patients, patients taking opioids, families, schools, community support groups, and other members of the general public. 4. Enable school nurses and other school staff to respond to opioid overdoses, and provide them with naloxone, training, and support. 5. Expand, improve, or develop data tracking software and applications for overdoses/naloxone revivals. 6. Public education relating to emergency responses to overdoses. 7. Public education relating to immunity and Good Samaritan laws. 8. Educate first responders regarding the existence and operation of immunity and Good Samaritan laws. 9. Syringe service programs and other evidence-informed programs to reduce harms associated with intravenous drug use, including supplies, staffing, space, peer support services, referrals to treatment, fentanyl checking, connections to care, and the full range of harm reduction and treatment services provided by these programs. 10. Expand access to testing and treatment for infectious diseases such as HIV and Hepatitis C resulting from intravenous opioid use. 11. Support mobile units that offer or provide referrals to harm reduction services, treatment, recovery supports, health care, or other appropriate services to persons that use opioids or persons with OUD and any co-occurring SUD/MH conditions. 12. Provide training in harm reduction strategies to health care providers, students, peer recovery coaches, recovery outreach specialists, or other professionals that provide care to persons who use opioids or persons with OUD and any co-occurring SUD/MH conditions. 13. Support screening for fentanyl in routine clinical toxicology testing. PART THREE: OTHER STRATEGIES I. FIRST RESPONDERS In addition to items in sections C, D, and H of this Exhibit relating to first responders, support the following: 1. Educate law enforcement or other first responders regarding appropriate practices and precautions when dealing with fentanyl or other drugs. 2. Provision of wellness and support services for first responders and others who experience secondary trauma associated with opioid-related emergency events. 37 Exhibits, page 12 J. LEADERSHIP, PLANNING AND COORDINATION Support efforts to provide leadership, planning, coordination, facilitation, training and technical assistance to abate the opioid epidemic through activities, programs, or strategies that may include, but are not limited to, the following: 1. Statewide, regional, local, or community regional planning to identify root causes of addiction and overdose, goals for reducing harms related to the opioid epidemic, and areas and populations with the greatest needs for treatment intervention services; to support training and technical assistance; or to support other strategies to abate the opioid epidemic described in this opioid abatement strategy list. 2. A dashboard to share reports, recommendations, or plans to spend Opioid Settlement Funds; to show how Opioid Settlement Funds have been spent; to report program or strategy outcomes; or to track, share, or visualize key opioid-related or health-related indicators and supports as identified through collaborative statewide, regional, local, or community processes. 3. Invest in infrastructure or staffing at government or not-for-profit agencies to support collaborative, cross-system coordination with the purpose of preventing overprescribing, opioid misuse, or opioid overdoses, treating those with OUD and any co-occurring SUD/MH conditions, supporting them in treatment or recovery, connecting them to care, or implementing other strategies to abate the opioid epidemic described in this opioid abatement strategy list. 4. Provide resources to staff government oversight and management of opioid abatement programs. K. TRAINING In addition to the training referred to throughout this document, support training to abate the opioid epidemic through activities, programs, or strategies that may include, but are not limited to, the following: 1. Provide funding for staff training or networking programs and services to improve the capability of government, community, and not-for-profit entities to abate the opioid crisis. 2. Support infrastructure and staffing for collaborative cross-system coordination to prevent opioid misuse, prevent overdoses, and treat those with OUD and any co-occurring SUD/MH conditions, or implement other strategies to abate the opioid epidemic described in this opioid abatement strategy list (e.g., health care, primary care, pharmacies, PDMPs, etc.). L. RESEARCH Support opioid abatement research that may include, but is not limited to, the following: 1. Monitoring, surveillance, data collection, and evaluation of programs and strategies described in this opioid abatement strategy list. 2. Research non-opioid treatment of chronic pain. 38 Exhibits, page 13 3. Research on improved service delivery for modalities such as SBIRT that demonstrate promising but mixed results in populations vulnerable to opioid use disorders. 4. Research on novel harm reduction and prevention efforts such as the provision of fentanyl test strips. 5. Research on innovative supply-side enforcement efforts such as improved detection of mail- based delivery of synthetic opioids. 6. Expanded research on swift/certain/fair models to reduce and deter opioid misuse within criminal justice populations that build upon promising approaches used to address other substances (e.g. Hawaii HOPE and Dakota 24/7). 7. Epidemiological surveillance of OUD-related behaviors in critical populations including individuals entering the criminal justice system, including but not limited to approaches modeled on the Arrestee Drug Abuse Monitoring (ADAM) system. 8. Qualitative and quantitative research regarding public health risks and harm reduction opportunities within illicit drug markets, including surveys of market participants who sell or distribute illicit opioids. 9. Geospatial analysis of access barriers to MAT and their association with treatment engagement and treatment outcomes. 39 Exhibits, page 14 EXHIBIT C to NC MOA: COLLABORATIVE STRATEGIC PLANNING PROCESS UNDER OPTION B ACTIVITY NAME ACTIVITY DETAIL CONTENT OF REPORT & RECOMMENDATIONS A Engage diverse stakeholders Engage diverse stakeholders, per "ITEM A DETAIL" below, throughout the collaborative strategic planning process Report on stakeholder engagement per "ITEM A DETAIL" below B Designate facilitator Designate a person or entity to facilitate the strategic collaborative planning process. Consider a trained, neutral facilitator. Identify the facilitator C Build upon any related planning Build upon or coordinate with prior or concurrent planning efforts that address addiction, drug misuse, overdose, or related issues, including but not limited to community health assessments. Report any related planning efforts you will build upon or coordinate with D Agree on shared vision Agree on a shared vision for positive community change, considering how strategic investments of Opioid Settlement Funds have the potential to improve community health and well-being and address root causes of addiction, drug misuse, overdose, and related issues Report on shared vision for positive community change E Identify key indicator(s) Identify one or more population-level measures to monitor in order to gauge progress towards the shared vision. (The NC Opioid Action Plan Data Dashboard contains several such measures.) Report on the key indicators selected F Identify and explore root causes Explore root causes of addiction, drug misuse, overdose, and related issues in the community, using quantitative data as well as stakeholder narratives, community voices, the stories of those with lived experience, or similar qualitative information Report on root causes as described G Identify and evaluate potential strategies Identify potential strategies to address root causes or other aspects of the opioid epidemic; identify these strategies (by letter or number) on EXHIBIT A or EXHIBIT B, and consider the effectiveness of each strategy based on available evidence Identify and evaluate potential strategies H Identify gaps in existing efforts For each potential strategy identified (or for favored strategies), survey existing programs, services, or supports that address the same or similar issues; and identify gaps or shortcomings Report on survey of and gaps in existing efforts I Prioritize strategies Prioritize strategies, taking into account your shared vision, analysis of root causes, evaluation of each strategy, and analysis of gaps in existing efforts Report on prioritization of strategies J Identify goals, measures, and evaluation plan For each strategy (or favored strategy), develop goals and an evaluation plan that includes at least one process measure (How much did you do?), at least one quality measure (How well did you do it?), and at least one outcome measure (Is anyone better off?) Report on goals, measures, and evaluation plan for each chosen strategy K Consider ways to align strategies For each potential strategy identified (or for favored strategies), consider opportunities to braid Opioid Settlement Funds with other funding streams; develop regional solutions; form strategic partnerships; or to pursue other creative solutions Report on opportunities to align strategies as described L Identify organizations Identify organizations and agencies with responsibility to implement each strategy; and identify the human, material, and capital resources to implement each strategy Identify organizations and needs to implement each strategy 40 Exhibits, page 15 M Develop budgets and timelines Develop a detailed global budget for each strategy with anticipated expenditures, along with timelines for completing components of each strategy Report budgets and timelines for each strategy N Offer recommen- dations Offer recommendations to local governing body (e.g., the county board, city council, or other local governing body) Report recommendations to governing body ITEM A DETAIL: STAKEHOLDER INVOLVEMENT STAKE- HOLDERS DESCRIPTION CONTENT OF REPORT & RECOMMENDATIONS A- 1 Local officials County and municipal officials, such as those with responsibility over public health, social services, and emergency services Report stakeholder involvement (who and how involved in process) A- 2 Healthcare providers Hospitals and health systems, addiction professionals and other providers of behavioral health services, medical professionals, pharmacists, community health centers, medical safety net providers, and other healthcare providers same as above A- 3 Social service providers Providers of human services, social services, housing services, and community health services such as harm reduction, peer support, and recovery support services same A- 4 Education and employment service providers Educators, such as representatives of K-12 schools, community colleges, and universities; and those providing vocational education, job skills training, or related employment services same A- 5 Payers and funders Health care payers and funders, such as managed care organizations, prepaid health plans, LME-MCOs, private insurers, and foundations same A- 6 Law enforcement Law enforcement and corrections officials same A- 7 Employers Employers and business leaders same A- 8 Community groups Community groups, such as faith communities, community coalitions that address drug misuse, groups supporting people in recovery, youth leadership organizations, and grassroots community organizations same A- 9 Stakeholders with "lived experience" Stakeholders with "lived experience," such as people with addiction, people who use drugs, people in medication-assisted or other treatment, people in recovery, people with criminal justice involvement, and family members or loved ones of the individuals just listed same A- 10 Stakeholders reflecting diversity of community Stakeholders who represent the racial, ethnic, economic, and cultural diversity of the community, such as people of color, Native Americans, members of the LGBTQ community, and members of traditionally unrepresented or underrepresented groups same 41 Exhibits, page 16 EXHIBIT D TO NC MOA: COORDINATION GROUP COMPOSITION The Coordination Group shall consist of the following twelve members: Five Local Government Representatives • Four appointed by the North Carolina Association of County Commissioners including: • One county commissioner • One county manager • One county attorney • One county local health director or consolidated human services director • One municipal manager appointed by the North Carolina League of Municipalities Four Experts Appointed by the Department of Health and Human Services • Four appointed by the Secretary of the Department of Health and Human Services, having relevant experience or expertise with programs or policies to address the opioid epidemic, or with behavioral health, public health, health care, harm reduction, social services, or emergency services. One Expert Appointed by the Attorney General • One appointed by the Attorney General of North Carolina from the North Carolina Department of Justice or another state agency, having drug policy or behavioral health experience or expertise. Two Experts Appointed by Legislative Leaders • One representative from the University of North Carolina School of Government with relevant expertise appointed by the Speaker of the North Carolina House of Representatives. • One representative from the board or staff of the North Carolina Institute of Medicine with relevant expertise appointed by the President Pro Tem of the North Carolina Senate. The coordination group may appoint a non-voting administrator to convene meetings and facilitate the work of the coordination group. The administrator will not be paid from the Opioid Settlement Funds distributed under this MOA. Appointees shall have relevant experience or expertise with programs or policies to address the opioid epidemic, behavioral health, public health, health care, social services, emergency services, harm reduction, management of local government, or other relevant areas. Those responsible for making appointments to the coordination group are encouraged to appoint individuals who reflect the diversity of North Carolina, taking into consideration the need for geographic diversity; urban and rural perspectives; representation of people of color and 42 Exhibits, page 17 traditionally underrepresented groups; and the experience and perspective of persons with “lived experience.” Those responsible for making appointments may appoint a successor or replace a member at any time. Members of the coordination group serve until they resign or are replaced by the appointer. Eight members of the coordination group constitutes a quorum. RESPONSIBILITIES a. As provided in Section F.2 of the MOA, where no compliance audit would be required under the Federal Single Audit Act of 1984 for expenditures of Opioid Settlement Funds, a compliance audit shall be required under a compliance supplement established by a vote of at least 8 members of the coordination group. The compliance supplement shall address, at least, procedures for determining: i. Whether the Local Government followed the procedural requirements of the MOA in ordering the expenditures. ii. Whether the Local Government’s expenditures matched one of the types of opioid-related expenditures listed in Exhibit A of the MOA (if the Local Government selected Option A) or Exhibit B of the MOA (if the Local Government selected Option B). iii. Whether the Local Government followed the reporting requirements in the MOA. iv. Whether the Local Government (or sub-recipient of any grant or loan, if applicable) utilized the awarded funds for their stated purpose, consistent with this MOA and other relevant standards. v. Which processes (such as sampling) shall be used: i. To keep the costs of the audit at reasonable levels; and ii. Tailor audit requirements for differing levels of expenditures among different counties. b. The coordination group may, by a vote of at least 8 members, propose amendments to the MOA as discussed in Section H of the MOA or modify any of the following: i. The high-impact strategies discussed in Section E.5 of the MOA and described in Exhibit A to the MOA; ii. The collaborative strategic planning process discussed in Section E.5 of the MOA and described in Exhibit C to the MOA; iii. The annual financial report discussed in Section F.4 of the MOA and described in Exhibit E to the MOA; iv. The impact information discussed in Section F.4 of the MOA and described in Exhibit F to the MOA; or v. Other information reported to the statewide opioid dashboard. 43 Exhibits, page 18 c. The coordination group may, by consensus or by vote of a majority of members present and voting, work with the parties to this MOA, the North Carolina Association of County Commissioners, the North Carolina League of Municipalities, other associations, foundations, non-profits, and other government or nongovernment entities to provide support to Local Governments in their efforts to effectuate the goals and implement the terms of this MOA. Among other activities, the coordination group may coordinate, facilitate, support, or participate in any of the following activities: i. Providing assistance to Local Governments in identifying, locating, collecting, analyzing, or reporting data used to help address the opioid epidemic or related challenges, including data referred to in Exhibit F; ii. Developing resources or providing training or technical assistance to support Local Governments in addressing the opioid epidemic and carrying out the terms of this MOA; iii. Developing pilot programs, trained facilitators, or other resources to support the collaborative strategic planning process described in this MOA; iv. Developing and implementing a voluntary learning collaborative among Local Governments and others to share best practices in carrying out the terms of this MOA and addressing the opioid epidemic, including in-person or virtual convenings or connections; v. Developing voluntary leadership training programs for local officials on strategies to address the opioid epidemic, opportunities for Local Governments to harness the ongoing transition to value-based healthcare, and other relevant topics; vi. Taking other actions that support Local Governments in their efforts to effectuate the goals and implement the terms of this MOA but do not in any way change the terms of this MOA or the rights or obligations of parties to this MOA. 44 Exhibits, page 19 EXHIBIT E TO NC MOA: ANNUAL FINANCIAL REPORT Each annual financial report must include the following financial information: 1. The amount of Opioid Settlement Funds in the special revenue fund at the beginning of the fiscal year (July 1). 2. The amount of Opioid Settlement Funds received during the fiscal year. 3. The amount of Opioid Settlement Funds disbursed or applied during the fiscal year, broken down by funded strategy (with any permissible common costs prorated among strategies). 4. The amount of Opioid Settlement Funds used to cover audit costs as provided in Section F.3 of this MOA. 5. The amount of Opioid Settlement Funds in the special revenue fund at the end of the fiscal year (June 30). All Local Governments that receive two-tenths of one percent (0.2 percent) or more of the total Local Government Allocation as listed in Exhibit G shall provide the following additional information: 6. For all Opioid Settlement Funds disbursed or applied during the fiscal year as reported in item 3 above, a single breakdown of the total amount disbursed or applied for all funded strategies during the fiscal year into the following categories: a. Human resource expenditures. b. Subcontracts, grants, or other payments to sub-recipients involved in implementing of the funded strategies listed item 4 above. c. Operational expenditures. d. Capital expenditures. e. Other expenditures. 7. With respect to item 6.b above, the Local Government shall provide the following information for any sub-recipient that receives ten percent or more of the total amount that the Local Government disbursed or applied during the fiscal year: a. The name of the sub-recipient. b. The amount received by the sub-recipient during the fiscal year. c. A very brief description of the goods, services, or other value provided by the sub-recipient (for example, “addiction treatment services” or “peer-support services” or “syringe service program” or “naloxone purchase”). The coordination group may clarify or modify specifications for this annual financial report as provided in Exhibit D. 45 Exhibits, page 20 EXHIBIT F TO NC MOA: IMPACT INFORMATION Within 90 days of the end of any fiscal year in which a Local Government expends Opioid Settlement Funds, the Local Government shall report impact information for each strategy that it funded with Opioid Settlement Funds during that fiscal year (“funded strategy”), using the STANDARD FORM or the SHORT FORM for each funded strategy. The STANDARD FORM is recommended to all Local Governments for all funded strategies. However, Local Governments may use the SHORT FORM as follows: • All Local Governments that receive less than 0.2 percent (two-tenths of one percent) of the total Local Government Allocation as shown on Exhibit G may use the SHORT FORM for all funded strategies. • All Local Governments that receive 0.2 percent (two-tenths of one percent) or more but less than 0.3 percent (three-tenths of one percent) of the total Local Government Allocation as shown on Exhibit G must use the STANDARD FORM for the funded strategy that received the largest amount of settlement funds during the fiscal year and may use the SHORT FORM for all other funded strategies. • All Local Governments that receive 0.3 percent (three-tenths of one percent) or more but less than 0.4 percent (four-tenths of one percent) of the total Local Government Allocation as shown on Exhibit G must use the STANDARD FORM for the two funded strategies that received the largest amount of settlement funds during the fiscal year and may use the SHORT FORM for all other funded strategies. STANDARD FORM 1. County or municipality and fiscal year covered by this report. 2. Name, title, and organization of person completing this report. 3. Name of funded strategy, letter and/or number of funded strategy on Exhibit A or Exhibit B to the MOA, and number and date of resolution(s) authorizing expenditure of settlement funds on funded strategy. 4. Brief progress report describing the funded strategy and progress made during the fiscal year. Recommended length: approximately one page (250 words). 5. Brief success story from a person who has benefitted from the strategy (de-identified unless the person has agreed in writing to be identified). Recommended length: approximately one page (250 words). 6. One or more process measures, addressing the question, “How much did you do?” Examples: number of persons enrolled, treated, or served; number of participants trained; units of naloxone or number of syringes distributed. 7. One or more quality measures, addressing the question, “How well did you do it?” Examples: percentage of clients referred to care or engaged in care; percentage of staff with 46 Exhibits, page 21 certification, qualification, or lived experience; level of client or participant satisfaction shown in survey data. 8. One or more outcome measures, addressing the question, “Is anyone better off?” Examples: number or percentage of clients with stable housing or employment; self-reported measures of client recovery capital, such as overall well-being, healthy relationships, or ability to manage affairs; number or percentage of formerly incarcerated clients receiving community services or supports within X days of leaving jail or prison. 9. In connection with items 6, 7, and 8 above, demographic information on the participation or performance of people of color and other historically marginalized groups. The State will provide counties and municipalities with recommended measures and sources of data for common opioid remediation strategies such as those listed in Exhibit A. Counties or municipalities that have engaged in collaborative strategic planning are encouraged to use the measures for items 6 through 8 above identified through that process. SHORT FORM 1. County or municipality and fiscal year covered by this report. 2. Name, title, and organization of person completing this report. 3. Name of funded strategy, letter and/or number of funded strategy on Exhibit A or Exhibit B to the MOA, and number and date of resolution(s) authorizing expenditure of settlement funds on strategy. 4. Brief progress report describing the funded strategy and progress made on the funded strategy during the fiscal year. Recommended length: approximately one-half to one page (125-250 words). 47 Exhibits, page 22 EXHIBIT G TO NC MOA: LOCAL GOVERNMENT ALLOCATION PROPORTIONS Counties: Alamance 1.378028967612490% Alexander 0.510007879580514% Alleghany 0.149090598929352% Anson 0.182192960366522% Ashe 0.338639188321974% Avery 0.265996766935006% Beaufort 0.477888434887858% Bertie 0.139468575095652% Bladen 0.429217809476617% Brunswick 2.113238507591200% Buncombe 2.511587857322730% Burke 2.090196827047270% Cabarrus 1.669573446626000% Caldwell 1.276301146194650% Camden 0.073036400412663% Carteret 1.128465593852300% Caswell 0.172920237524674% Catawba 2.072695222699690% Chatham 0.449814383077585% Cherokee 0.782759152904478% Chowan 0.113705596126821% Clay 0.224429948904576% Cleveland 1.119928027749120% Columbus 1.220936938986050% Craven 1.336860190247190% Cumberland 2.637299659634610% Currituck 0.186778551294444% Dare 0.533126731273811% Davidson 1.940269530393250% Davie 0.513147526867745% Duplin 0.382785147396895% Durham 1.797994362444460% Edgecombe 0.417101939026669% Forsyth 3.068450809484740% Franklin 0.500503643290578% Gaston 3.098173886907710% Gates 0.079567516632414% Graham 0.183484561708488% Granville 0.590103409340146% 48 Exhibits, page 23 Greene 0.123274818647799% Guilford 3.375015231147900% Halifax 0.453161173976264% Harnett 0.988980772198890% Haywood 0.803315110111045% Henderson 1.381595087040930% Hertford 0.206843050128754% Hoke 0.332485804570157% Hyde 0.027237354085603% Iredell 2.115931374540020% Jackson 0.507757731330674% Johnston 1.250887468217670% Jones 0.087966986994631% Lee 0.653115683614534% Lenoir 0.604282592625687% Lincoln 0.926833627125253% Macon 0.466767666100745% Madison 0.237776496104888% Martin 0.232882220579515% McDowell 0.587544576492856% Mecklenburg 5.038301259920550% Mitchell 0.309314151564137% Montgomery 0.226050543041193% Moore 0.971739112775481% Nash 0.845653639635102% New Hanover 2.897264892001010% Northampton 0.120996238921878% Onslow 1.644001364710850% Orange 1.055839419023090% Pamlico 0.119936151028001% Pasquotank 0.374816210815334% Pender 0.585749331860312% Perquimans 0.111833180344914% Person 0.403024296727131% Pitt 1.369008066415930% Polk 0.266142985954851% Randolph 1.525433986174180% Richmond 0.749132839979529% Robeson 1.359735343574080% Rockingham 1.365368837477560% Rowan 2.335219287913370% Rutherford 0.928941617994687% Sampson 0.619513740526226% Scotland 0.449148274209402% 49 Exhibits, page 24 Stanly 0.724974208589555% Stokes 0.623953112434303% Surry 1.410826706091650% Swain 0.281162928604502% Transylvania 0.497595509451435% Tyrrell 0.041440907207785% Union 1.466702679869700% Vance 0.536258255282162% Wake 4.902455667205510% Warren 0.106390583495122% Washington 0.074770720453604% Watauga 0.469675799939888% Wayne 0.970699333078804% Wilkes 1.997177160589100% Wilson 0.646470841490459% Yadkin 0.562147145073638% Yancey 0.382114976889272% Municipalities: Asheville 0.235814724255298% Canton 0.011453823221205% Cary 0.144151645370137% Charlotte 1.247483814366830% Concord 0.227455870287483% Durham 0.380405026684971% Fayetteville 0.309769055181433% Gastonia 0.257763823789835% Greensboro 0.527391696384329% Greenville 0.162656474659432% Henderson 0.032253478794181% Hickory 0.094875835682315% High Point 0.206428762905859% Jacksonville 0.095009869783840% Raleigh 0.566724612722679% Wilmington 0.119497493968465% Winston-Salem 0.494459923803644% 50 Opioid Litigation SettlementOverview 51 2 Issue and Litigation Background Counties are on the frontlines of the opioid epidemic, which has imposed significant and ongoing devastation throughout North Carolina. More than 16,000 lives have been lost and local governments have spent an untold amount of money on opioid-related costs for healthcare, criminal justice, and social services. Given the far-reaching impact of the opioid crisis, 76 counties and eight municipalities have filed lawsuits in federal court to hold accountable several companies involved in manufacturing, marketing, promoting, and distributing prescription opioid drugs. The federal cases, which include roughly 3,000 lawsuits from nearly every state have been consolidated into Multi-District Litigation (MDL). Local governments and the state are hopeful that a National Settlement Agreement with some of the companies involved in the MDL may be forthcoming, along with additional potential proceeds from a bankruptcy resolution involving opioid manufacturer Purdue Pharma. Under the national settlement and bankruptcy resolution (taken together), up to $850 million could be allocated to North Carolina to address the opioid epidemic. Settlement Fund Allocation Model The potential settlement money would be allocated among states based on population and the local impact of the opioid crisis, as determined by public health statistics related to opioid misuse. The potential payments would occur over an 18-year period. The allocation formula also includes an incentive that increases the payment amounts as more North Carolina counties and municipalities join the settlement. In anticipation of potential opioid settlement funds, the North Carolina Association of County Commissioners (NCACC) and the North Carolina Department of Justice (DOJ) have been working closely together over the past 18 months on a plan to maximize North Carolina’s share to ensure that resources reach communities as quickly, effectively, and directly as possible. Executive Summary 52 3 Memorandum of Agreement NCACC formed a Working Group comprised of five county commissioners, five county managers, five county attorneys and NCACC staff to collaborate with DOJ on a model to distribute potential settlement funds to all 100 counties to use on programs, services, and strategies to address the epidemic. The culmination of this collaborative work is the North Carolina Memorandum of Agreement (NC MOA), which governs how North Carolina would use its share of opioid settlement funds. Under the NC MOA, all opioid settlement funds would be directed as follows: • 15% to the state (which the General Assembly would have authority to appropriate on a wide range of strategies to address the epidemic) • 80% to local governments, including all 100 counties plus 17 municipalities, allocated among those counties and municipalities through a formula developed by attorneys representing local governments in national litigation • An additional 5% percent into an incentive fund for any county (and any municipality in that county slated to receive settlement funds) in which the county itself and every municipality with at least 30,000 residents (based on 2019 population totals) in the county signs the NC MOA The NC MOA also includes transparency and accountability measures for the use of opioid settlement funds by local governments, including special revenue funds subject to audit, annual financial and impact reports, and a public dashboard showing how they are using settlement funds to address the epidemic. Executive Summary November 2017 Summer 2017 2018-2019 September 2019 January 2020 March 2020 March - Present CCoouunnttiieess ccoonnssiiddeerr lleeggaall aaccttiioonn NNCCAACCCC ccoonnvveenneess NNaattiioonnaall CCoouunnsseellss,, LLooccaall CCoouunnsseellss,, CCoouunnttyy AAttttoorrnneeyyss,, NNCC DDOOJJ ––IInnffoorrmmaattiioonnaall MMeeeettiinngg NNCCAACCCC ccoonnttiinnuueess ttoo uuppddaattee CCoouunnttyy MMeemmbbeerrss,, SSttaayy iinn ttoouucchh wwiitthh NNaattiioonnaall CCoouunnsseellss aanndd NNCC DDOOJJ NNCC DDOOJJ rreeaacchheess oouutt ttoo NNCCAACCCC ffoorr mmoorree iinn--ddeepptthh ccoonnvveerrssaattiioonn aabboouutt tthhee NNCC ssttaattee sseettttlleemmeenntt 55--55--55 mmeeeettss rreegguullaarrllyy;; NNCCAACCCC ssttaaffff mmeeeettss mmoonntthhllyy // wweeeekkllyy wwiitthh NNCC DDOOJJ tteeaamm NNCCAACCCC PPrreessiiddeenntt AAuussttiinn aappppooiinnttss ssppeecciiaall OOppiiooiidd SSeettttlleemmeenntt CCoommmmiitttteeee ((55--55--55 CCmmttee..));; ccoommmmiitttteeee SSttaarrttss mmeeeettiinngg NNCCAACCCC ccoonnvveenneess ssppeecciiaall mmeeeettiinngg ––iinnvviitteess aallll 110000 CCoouunnttiieess ((CChhaaiirrss,, CCoouunnttyy AAttttoorrnneeyyss,, CCoouunnttyy MMaannaaggeerrss)) UUppddaattee bbyy NNaattiioonnaall CCoouunnsseell,, NNCC DDOOJJ MMeemmbbeerrss ccaallll ffoorr SSppeecciiaall NNCCAACCCC ccoommmmiitttteeee53 4 Counties are on the front lines of the opioid epidemic The opioid epidemic has taken the lives of more than 16,000 North Carolinians, torn families apart, and ravaged communities from the mountains to the coast. Just as we began to make progress in combatting the epidemic, the COVID-19 pandemic caused a new wave of isolation, despair, drug misuse and overdose death. Individuals, families, and entire communities continue to suffer. Counties are on the front lines of the opioid crisis, which has imposed significant and continuing costs on our healthcare, criminal justice, and social service systems. To respond to opioid related public health and safety needs, North Carolina counties and the State have had to draw mostly on taxpayer funds. 76 counties are part of national litigation to hold opioid drug companies accountable Given the far-reaching impact of the opioid crisis, the State along with 76 counties and 8 municipalities in North Carolina have filed lawsuits in federal court and launched investigations to hold accountable several companies involved in manufacturing, marketing, promoting, and distributing prescription opioid drugs. The federal cases have been consolidated for pretrial proceedings into a Multi-District Litigation (MDL) in Cleveland, Ohio. The opioid MDL consolidated roughly 3,000 lawsuits from nearly every state. The lawsuits allege that opioid manufacturers “grossly misrepresented the risks of long-term use of those drugs for persons with chronic pain,” and that pharmaceutical distribution companies “failed to properly monitor suspicious orders of those prescription drugs — all of which contributed to the current opioid epidemic.” Four companies, Johnson & Johnson, AmerisourceBergen, Cardinal Health, and McKesson, have announced their willingness to enter into a global settlement of the cases filed against them for a combined $26 billion. In preparation for a National Settlement Agreement, NCACC and DOJ joined forces to maximize funds to North Carolina Local governments and the State are hopeful that a National Settlement Agreement with these four companies may be forthcoming, with potentially more to follow. Importantly, the terms of the National Settlement Agreement will require, among other things, that most settlement funds received by the State and Local Governments be devoted to opioid remediation activities to the maximum extent possible. Additionally, local governments and the State anticipate that the ongoing bankruptcy proceedings of opioid manufacturer Purdue Pharma may be resolved before the end of the year with a settlement providing $4-5 billion from Purdue and the Sackler family to state and local governments nationwide. The bankruptcy court is expected to NCACC and NCDOJ Partnership 54 5 order these funds be used for opioid remediation activities. Under the national settlement and bankruptcy resolution (taken together), up to $850 million could be allocated to North Carolina for opioid remediation. The money will be allocated among states based on population and the local impact of the opioid crisis, based on several public health statistics related to opioid misuse. The precise amount will depend not only on the final terms of the National Settlement Agreement and bankruptcy resolutions, but also on whether North Carolina qualifies for incentive structures that increase the payment amounts as more counties and municipalities join the settlement. The expected settlements and bankruptcy resolution would involve this money being paid out over an 18-year period. The settlement payments would be front-loaded, so that more money is available sooner to local governments to remedy the opioid problems in their communities. As a result, payments in the first three years would be higher than the average annual payment. In anticipation of a National Settlement Agreement and Purdue bankruptcy resolution, the North Carolina Association of County Commissioners (NCACC) and the North Carolina Department of Justice (DOJ) have been working closely together over the past 18 months on a plan to maximize North Carolina’s share of settlement funds to ensure the resources reach communities as quickly, effectively, and directly as possible. To assist with this effort, NCACC formed a Working Group to collaborate with DOJ on an allocation model to distribute settlement funds to all 100 counties. NCACC Past President and Yadkin County Commissioner Kevin Austin appointed a special NCACC Opioid Settlement Committee to help craft settlement options in conjunction with NCACC staff. That committee, also known as the 5-5-5 Committee, consists of five County Commissioners, five County Managers, and five County Attorneys. NCACC and NCDOJ Partnership North Carolina Department of JusticeRepresentatives: • Swain Wood, First Assistant Attorney General and General Counsel • Kevin Anderson, Senior Deputy Attorney General and Director, Consumer Protection Division • Daniel Mosteller, Special Deputy Attorney General • Blake Thomas, Deputy General Counsel • Steve Mange, Senior Policy Counsel North Carolina Association of County CommissionersRepresentatives: • Kevin Leonard, Executive Director • kevin.leonard@ncacc.org • (919) 715-4369 • Amy Bason, Deputy Director and General Counsel • amy.bason@ncacc.org • (919) 715-1430 • Paige Worsham, Associate General Counsel • paige.worsham@ncacc.org • (919) 715-6245 55 6 NCACC, 5-5-5 Committee, and DOJ devised a pathbreaking MOA to bring opioid settlement funds directly to communities Working closely together, NCACC staff, the 5-5-5 Committee and representatives from DOJ developed the Memorandum of Agreement (MOA), which all counties and municipalities are urged to sign. This pathbreaking agreement recognizes the critical role of North Carolina counties in delivering human and social services to county residents. It directs substantial resources to local governments on the front lines of the opioid epidemic while ensuring that these resources are used in an effective way to address the epidemic. Opioid settlement funds will be distributed among local governments according to the National MDL Opioid Allocation Class Model, which is a formula developed by local governments’ attorneys that allocates funds in proportion to 5-5-5 Committee and North Carolina MOA County Commissioner Members • Jasmine Beach-Ferrara, Buncombe County Commissioner • Johnnie Carswell, Burke County Commissioner • Sally Greene, Orange County Commissioner • Reece Pyrtle, Rockingham County Commissioner • Ronnie Smith, Martin County Commissioner County Attorney Members • Ron Aycock, Special Counsel - Person County • Debra Bechtel, Catawba County Attorney • Misty Leland, Moore County Attorney • Mark Payne, Guilford County Attorney • Gordon Watkins, Forsyth County Attorney County Manager Members • Chris Coudriet, New Hanover County Manager • Dena Diorio, Mecklenburg County Manager • Becky Garland, Graham County Manager • Zee Lamb, Nash County Manager • Bobby Outten, Dare County Manager Graham Martin Dare Nash NewHanoverPerson Or an ge Moore Guilford Rockingham Forsyth MecklenburgCatawbaBuncombeBurke 56 7 where the opioid crisis is the most severe. The model accounts for the number of pills dispensed, number of opioid overdose deaths, and number of people suffering from opioid use disorder. A county’s allocation percentage will not change over the term of the MOA. Opioid settlement funds received in North Carolina from the national settlement will be allocated as follows: • 80% will go to Local Governments listed in the MOA to address the opioid epidemic, • 15% will go to the State of North Carolina, • and the remaining 5% will be used for a County Incentive Fund for any county (and any municipality in that county slated to receive settlement funds) in which the county itself and every municipality of a certain size signs the NC MOA. As explained in more detail below, all of these funds must be used only on opioid remediation activities. The North Carolina MOA requires collaboration among localities and stakeholder engagement to maximize community impact The MOA prescribes collaborative strategic planning and stakeholder involvement required for certain activities. Counties are required to hold annual meetings with municipalities within their borders to encourage collaboration and plan for permissible expenditures in the upcoming year. Local governments are also encouraged to engage in a strategic planning process to access additional expenditure options. The MOA also establishes a Coordination Group composed of local government representatives, state government representatives, and others with relevant expertise will meet periodically to help coordinate and guide Local Governments with their work under the MOA. The Coordination Group includes twelve total representatives as follows: • Five Local Government Representatives Four appointed by the North Carolina Association of County Commissioners including: • One county commissioner • One county manager • One county attorney • One county local health director or consolidated human services director One municipal manager appointed by the North Carolina League of Municipalities • Four Experts Appointed by the Department of Health and Human Services • Four appointed by the Secretary of the Department of Health and Human Services • One Expert Appointed by the Attorney General • One appointed by the Attorney General of North Carolina from the North Carolina Department of 5-5-5 Committee and North Carolina MOA 57 8 Justice or another state agency • Two Experts Appointed by Legislative Leaders • One representative from the University of North Carolina School of Government with relevant expertise appointed by the Speaker of the North Carolina House of Representatives • One representative from the board or staff of the North Carolina Institute of Medicine with relevant expertise appointed by the President Pro Tem of the North Carolina Senate The North Carolina MOA helps ensure opioid-related strategies are effective and consistent with the National Settlement Agreement Under the MOA, local governments are required to deposit opioid settlement funds received in a special restricted revenue fund to account separately for the monies. The local government must include in its budget or pass a resolution authorizing the expenditure of opioid settlement funds, indicating the specific strategy it chose from the options outlined in the MOA. Local governments may expend funds only on opioid remediation activities, as consistent with strategies outlined in the National Settlement Agreement. The NC MOA offers local governments two options: • Under Option A, a local government may fund one or more strategies from a shorter list of evidence-based, high-impact strategies to address the epidemic, including many strategies already deployed at the county level. The Option A strategies include: • evidence-based addiction treatment • recovery support services • recovery housing • employment-related services • early intervention programs • naloxone distribution • post-overdose response teams • syringe service programs • criminal justice diversion programs • addiction treatment for incarcerated persons • reentry programs 5-5-5 Committee and North Carolina MOA 58 9 • Under Option B, a local government may fund one or more strategies from a longer list of strategies after engaging in a collaborative strategic planning process involving a diverse array of stakeholders at the local level (as detailed in Exhibit C to the MOA). The longer list of Option B strategies – the full range of strategies that will be allowed under a national settlement or bankruptcy resolution – involve multiple strategies falling into these broad categories: • Provide treatment for Opioid Use Disorder (OUD) • Support people in treatment and recovery and provide connections to care • Address the needs of criminal-justice-involved persons with OUD • Address the needs of pregnant or parenting women and their families • Prevent over-prescribing of opioids and misuse of opioids • Prevent overdose deaths and other harms (harm reduction) The North Carolina MOA includes measures to ensure transparency and track performance Local governments have annual financial and impact reporting and audit requirements under the MOA to ensure opioid settlement funds are spent consistent with permissible purposes: • Certain reports and resolutions from the local government’s governing body will be available for public access on a statewide opioid settlement dashboard. • For every fiscal year in which a local government receives, holds, or spends opioid settlement funds, the county or municipality must submit annual financial and impact reports specifying the activities and amounts it has funded. • The local government must maintain records of opioid settlement Fund expenditures and related documents for at least five years. • The State Auditor and Department of Justice shall have access to persons and records related to the MOA and expenditures of Opioid Settlement Fund to verify accounts and data affecting fees for performance. • The Local Government manager/administrator is the point of contact for questions that arise under the MOA. Please Act by Signing MOA In order to maximize North Carolina’s share of the national settlement and ensure that the funding continues, all counties and all municipalities above 10,000 in population need to sign the MOA between the State of North Carolina and Local Governments on proceeds relating to the Settlement of Opioid Litigation, as well as the eventual National Settlement Agreement. All North Carolina counties that sign on will receive a portion of opioid settlement funds, regardless of whether they 5-5-5 Committee and North Carolina MOA 59 10 are litigants in the national opioid litigation or filed a proof of claim in Purdue Pharma’s bankruptcy. Municipalities above 75,000 in population, and municipalities that previously filed litigation, will also receive funds directly. Smaller municipalities will benefit from the maximum possible level of funds being directed into their counties, and their counties are required by the agreement to work closely with all of their municipalities in making decisions about where to direct the funds. The national settlement agreement is expected to provide the highest benefits to state and local governments that have 100% participation in signing on to their state agreements and the National Settlement Agreement. Therefore, it is important that all counties and referenced municipalities sign on to this proposed agreement. It is advantageous to all North Carolinians for all local governments to sign onto the MOA and demonstrate solidarity in response to the opioid epidemic, and to maximize the share of opioid settlement funds received in the state to help abate the harm. 5-5-5 Committee and North Carolina MOA Kevin Leonard ExecutiveDirector kevin.leonard@ncacc.org (919) 715-4369 Amy Bason Deputy Director and General Counsel amy.bason@ncacc.org (919) 715-1430 Paige Worsham Associate General Counsel paige.worsham@ncacc.org (919) 715-6245 60 AGENDA ABSTRACT Meeting Date: May 17, 2021 Agenda Title: Falls Watershed Regulations – Interim Alternative Implementation Approach (IAIA) Possible Projects Summary of Information: In the summer of 2012, Person County adopted the Falls Watershed Stormwater Ordinance for New Development in the southern portion of Person County in order to comply with state watershed regulations. The regulations require adherence to two stages of nutrient reductions – Stage 1 and Stage 2. Since 2018, the Upper Neuse River Basin Association (UNRBA) has been exploring an alternative option for achieving compliance with Stage I Existing Development nutrient load reductions required by the Falls rules for watershed requirements and in early 2021, the Interim Alternative Implementation Approach (IAIA) was approved by the state. The IAIA does not utilize the traditional individual nutrient load (pounds of nitrogen and phosphorus) reduction based tracking system, but rather proposes an investment based compliance system focused on the entire watershed as an avenue to meet the required standards. In other words, rather than counting pounds reduced in individual jurisdictions the IAIA counts dollars invested into the overall health of the watershed. In November 2020, Person County Board of Commissioners voted to participate in the IAIA program, which includes an annual financial commitment of $114,394 over a 5-year period totaling $571,970. The start date for qualified projects or investments for the IAIA is July 1, 2021. Several county staff members from different departments recently met and identified three potential sites to meet the IAIA requirements, which include: “County Farm” site located off of Onnie Burton Road (Parcel A76-15) Land adjacent to the Rock Athletic Complex, formerly known as the “Sportsplex” (Parcels 118-18 and 118-10) Land adjacent to Hurdle Mills Park (Parcel A32-54) Each of these sites represent unique opportunities for the county to meet the IAIA requirements through the following eligible IAIA activities: Creation of parks, trails and paths with water quality benefits and a focus on environmental education Floodplain restoration and reconnection Stream and riparian buffer restoration and enhancement Pet waste pickup education and waste management stations 61 Benefits to the community from eligible IAIA projects include increased community involvement, improved community health and wellbeing and increased tourism levels and economic development opportunities that the proposed trails and greenspace would generate for the community. Staff is requesting that the Board select a site (or multiple sites) for FY 2021/2022 in order for staff to begin working on fulfilling the requirements of participation in the IAIA program. Staff recommends the selection of the “County Farm” site based on the number of eligible IAIA activities and the benefits that it will provide to the County. Recommended Action: Vote to select a site(s) in order to fulfill the County’s participation requirement in the IAIA program. Submitted by: Lori Oakley, Planning Director and John Hill, Recreation, Arts and Parks Director 62 Person  County’s Stormwater Obligation•In the summer of 2012, Person County adopted the Falls Watershed Stormwater Ordinance for New Developmentin the southern portion of Person County. •In 2018, the Upper Neuse River Basin Association (UNRBA) begin exploring alternative options for meeting the Stage 1 requirements of the stormwater regulations.  The Interim Alternative Implementation Approach (IAIA) was adopted earlier this year by the UNRBA and approved by the state.  It is the goal of Person County Government to satisfy it’s obligation to the North Carolina State Division of Water Quality’s Stormwater regulation requirements under the IAIA.•Person County is obligated to spend $114,394 per year for the next 5 years totaling $571,970.63 Person  County’s Stormwater Team Goals•Develop and implement IAIA project elements that will not only satisfy NCDWQ requirements but will also result in the following benefits for Person County and its citizens through the following eligible IAIA projects:•Development of ‘Green Space’ and recreational natural areas•Creation of trails and park amenities with a focus on environmental education•Creation of wildlife and natural environmental observation areas •Floodplain and riparian buffer restoration and enhancement•Land acquisition for public recreation and conservation•All expenses associated with the development, administration, and maintenance of these projects will be attributed to the IAIA program.64 Person  County’s Stormwater Team Goals•Positive outcomes from establishing creative IAIA eligible activities:•Increase community involvement while building the park infrastructure •Improve community health and wellness through increased greenspace •Increase tourism to capitalize on economic impact•Increase opportunities for economic development by improving community attractiveness and livability •“Have a little fun” while building relationships and creating a natural, experientialist culture while adding exposure to Person County65 Project option 1: County Farm site•More project opportunities to fulfill IAIA requirement.•Acquire access to the site.•Expenses associated with acquisition qualify for the IAIA.•Land will be future site of recreational green space and trail.•Fulfill IAIA elements with environmental education programs.•Fulfills  elements and action items of the Person County Recreation Comprehensive Master Plan that was adopted by commissions.66 Project option 2: Land Acquisition adjacent to the Rock Athletic Complex and Southern Middle School•Acquire approximately 7 acres of land adjacent to the Rock Athletic Complex and Southern Middle School.•Expenses associated with acquisition qualify for the IAIA.•Land will be future site of recreational green space and trail.•Fulfill IAIA elements with environmental education programs.•Fulfills elements and action items of the Person County Recreation Comprehensive Master Plan that was adopted by commissions.67 Project option 3: Hurdle Mills Land Acquisition•Acquire one acre of land adjacent to the Hurdle Mills Park.•Expenses associated with acquisition qualify for the IAIA.•Land will be future site of recreational green space and trail.•Fulfill IAIA elements with environmental education programs.•Fulfills  elements and action items of the Person County Recreation Comprehensive Master Plan that was adopted by commissions.68 Health and Wellness , Community, Tourism, Economic Development and Fun “All In One”69 Goal #1: Build Park Infrastructure through Community Involvement to Accomplish IAIA Requirement•Development of a multi‐use trail system, campsites, green space and environmental education amenities through partnerships with citizens, civic organizations, schools, scouts, and outdoor enthusiast groups, including:•Boy and Girls Scouts of Person County •Public School: projects, volunteer hours, environmental education, biology classes•Schools: athletic events•Eagle Scout and Gold Projects•Recreation, Arts, and Park Department events •Location for fundraising events for community civic organizations: Kiwanis, Rotary, Chamber of Commerce, Masons, Lions Club, Sertoma, Churches, and many more Person County clubs.•Sappony Tribal Council •Triangle Off‐Road Cyclist70 Goal #1: Build Park Infrastructure through Community Involvement to Accomplish IAIA Requirement71 Goal #2: Improve Community Health and Wellness through Increased Greenspace•Developing trails and other greenspace area improve community health by:•Encouraging individuals and groups to exercise and lead a healthy lifestyle•Helps to prevent chronic health issues such as high blood pressure, high cholesterol and diabetes, etc.•Improves general mood and attitude while increasing individual and community morale•Improves mental health and function•Helps to build social capital, sense of community worth and interpersonal relationships•Improves community mindfulness and creativity72 Goal #3: Increase Tourism to Capitalize on Economic Impact•Create amenities with low environmental impact and large tourism impact•Create a trail system that is multi purpose including: mountain biking, hiking, disc golf, etc. •Primitive camping areas along the Flat River•Areas for public river access support fishing, canoeing, kayaking, and paddle boarding•Create paddle trail to promote environmental and stormwater education •Construct a state registered site for Birding and Wildlife observation to promote ecotourism •Host Recreation, Arts, and Park Department tourism events that attract visitors to come spend their money through daytrips and overnight stays. Examples: professional/amateur mountain bike events, trail races, biathlons, paddle tours, fishing tournaments, professional disc golf tournaments •Maintain open field support areas to host festivals and other public events•Promote Person County as an outdoor experientialist tourism destination73 Tourism taking place around Person County Lets Not Miss Out on the opportunity!74 Tourism taking place around Person County Lets not miss out on the opportunity!75 Goal #4: Increase Opportunities for Economic Development by Improving Community Attractivenessand Livability •Create a Greenspace and Outdoor Recreation Culture that is the “In thing”•Before the pandemic, outdoor recreation was already growing in popularity. Covid‐19 made it huge!•Studies show that more recreational infrastructure increase the livability of a community.•Green space, parks, and recreational amenities increase property values to communities. •Economic Impact:  Day Tripper Average Spending ‐$203, Overnight Average Spending ‐$721 •Economic Development: Green Space and outdoor recreation attract companies and their workforce.•Building an outdoor recreational culture that attracts all generations of families and workers.•Surrounding community trends show a need for more greenspace and outdoor recreation.76 Goal 5: “Have a little Fun” while building relationships and creating a natural, experientialist culture while adding exposure to Person County Opportunities for exposure to Person County is vital for future growth.•Greenspace and outdoor events increase exposure to prospective residents and  companies looking to relocate.•There is a growing need for greenspace and outdoor recreation as the trend increases.•Location of the park is the perfect opportunity to attract people from Durham and Raleigh.•Building key relationships will increase exposure and opportunities for growth.•The locations are perfect opportunities to partner with nearby universities.77 Video Clips of Potential Tourism Programs Kayaking the Flat River below the ParkAnglers Ridge Trail, Danville VA78 AGENDA ABSTRACT Meeting Date: May 17, 2021 Agenda Title: Presentation of the Fiscal Year 2021-2022 Proposed Budget Summary of Information: North Carolina General Statutes require that on or before June 1, the manager present her recommended budget for the next fiscal year to the Board of Commissioners. An overview of the proposed budget will be given, along with copies of the budget document for Commissioners’ review. The schedule of the budget worksessions will also be presented based on the Board’s feedback. A Public Hearing on the budget is scheduled for June 7th with adoption of the budget planned for June 21st. Recommended Action: Receive the manager’s proposed budget. Submitted By: Heidi York, County Manager 79