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4 <br /> <br /> <br />12. If my city or county signs onto the MN MOA, does that mean it automatically signs <br />onto the Settlements with the Distributors or J&J? <br /> <br />No. A city or county that signs the MN MOA is agreeing to a framework for how <br />settlement funds will flow in the event the Settlements become effective. However, the <br />city or county must separately sign on to the Settlements in order to receive payments <br />pursuant to the MN MOA. <br /> <br />13. If my city or county joins the Settlements, will we receive direct payments? <br /> <br />It depends. All counties that join are set to receive direct allocation under the terms of the <br />MN MOA, as well as all cities that join and meet the following eligibility criteria: <br /> <br /> Have a population of 30,000 or more, based on the U.S. Census Bureau’s Vintage <br />2019 population totals; <br /> Have funded or otherwise managed an established health care or treatment <br />infrastructure (e.g., health department or similar agency); or <br /> Have initiated litigation against the Distributors or J&J as of December 3, 2021. <br /> <br />The population threshold for non-litigating cities to receive a direct allocation of funds <br />recognizes that the efficient delivery of opioid abatement services is hindered if the funds <br />are divided into hundreds of small allocations. Even with potentially upwards of $300 <br />million coming into Minnesota, allocating funds among several hundred smaller cities and <br />towns would result in minimal payments for most subdivisions, in many cases less than a <br />few dollars a year. For that same reason, under the MN MOA cities allocated a share may <br />elect to have their full share or a portion of their share instead directed to the county in <br />which the city is located. <br /> <br />Although not all cities will receive a direct allocation of opioid abatement funds, those <br />cities will still benefit from the opioid remediation efforts that take place in their <br />communities. Moreover, under the MN MOA, each county receiving opioid settlement <br />funds must consult annually with the cities in the county regarding use of the settlement <br />funds. Finally, cities that are not eligible for a direct share may also request grants for <br />opioid remediation programs from the state’s opioid remediation fund, which are <br />distributed via the Opioid Epidemic Response Advisory Council and the Department of <br />Human Services. <br /> <br />14. If my city or county joins, how much money will we receive? <br /> <br />Under the terms of the MN MOA, local governments (including cities and counties) that <br />join the Settlements will directly receive 75% of the total abatement funds, divided among <br />the counties and eligible cities in the percentages reflected in Exhibit B to the MN MOA. <br />The percentages reflected in Exhibit B are based upon the MDL’s Opioid Negotiation Class <br />Model. Experts and attorneys representing local governments in the MDL developed the