City Council votes to sue opioid manufacturers
11/15/2018, 6 a.m.
Richmond City Council Tuesday night declared a legal war on major manufacturers of addictive opioid pain medications that allegedly have made the city’s public safety costs balloon and resulted in the overdose deaths or hospitalization of thousands of city residents in the past 10 years.
In a 9-0 voted, the council directed City Attorney Allen L. Jackson to file one or more lawsuits against Purdue Pharma, creator of OxyContin, and other opioid manufacturers who allegedly spent years claiming their products were not addictive and sold huge amounts of medication that could not be justified by the number of patients.
Councilwoman
Ellen F. Robertson, 6th District, spearheaded the resolution to allow the city to join dozens of states and hundreds of cities and counties across the country that are pursuing similar damage claims.
Ms. Robertson and other council members cited the extra spending the city has had to undertake, notably for police and ambulance service, to deal with the ongoing opioid crisis.
Mr. Jackson was given a Dec. 31 deadline to get a federal lawsuit underway. He said the city would hire outside lawyers to conduct the research and file the suit, noting that he has received numerous requests from attorneys eager to have Richmond join their list of government clients who already are in court.
Ms. Robertson is the first council member to push the idea.
She noted that the City of Richmond did not get involved in the litigation against the major tobacco companies over the illnesses, premature deaths and other problems their addictive cigarettes, snuff and other products cause and did not benefit in the settlement that has generated billions of dollars in payments to Virginia and other states.
She said that a similar situation seems to be developing in the litigation involving opioid manufacturers and the promotion of products manufacturers allegedly knew to be addictive long before making that public.
By filing its own suit and possibly joining other litigation, the city government would be in a position to benefit, she said, if the manufacturers settle or are found grossly negligent at trial in their distribution of the medications.
In other business, City Council:
• Kept the real estate tax rate at $1.20 per $100 of assessed value, despite an average 7 percent surge in private property values in the city and even larger increases in a few areas of the city. The vote to bypass a state law that would have forced a cut in the tax rate was expected after the council’s approval in May of a budget built on $1.20 per $100, the lowest rate since Richmond began imposing a property tax in 1870 to support the new city public school system.
The unanimous vote, though, represented a rejection of Richmond Schools Superintendent Jason Kamras’ call for a 10-cent increase in the real estate tax rate to generate more money for school operations and maintenance.
• Followed an administration recommendation to end a program allowing businesses to pay their license taxes in installments, effective Jan. 1, 2019. That will mean all businesses must pay the full amount of taxes due by March 1. Businesses that don’t pay in full would be denied a business license. Council members were told more than 3,000 city businesses were issued business licenses last year after paying the first installment, but then failed to pay the second installment. City Finance Director John Wack said the city had to spend time chasing the businesses for a collective $6.5 million.
• Avoided a decision on whether to allow Stone Brewing Co. to tear down the historic Intermediate Terminal Building, 3101 E. Main St. on the riverfront after Mayor Levar M. Stoney withdrew two ordinances to allow demolition at the company’s request.
• Cleared the way for people to be charged when the city picks up and disposes of their dog, cat or other companion animal. The service previously had been provided without cost.
• Beefed up the ordinance regarding cruelty to animals to increase the restrictions on tying up dogs and to make it easier to charge people who abuse animals.
• Approved Richmond Redevelopment and Housing Authority’s request to issue $16 million in bonds to support development of a 139-unit apartment complex at 1125 Commerce Road. The new complex agreed to include affordable or lower rent apartments and to accept Housing Choice Vouchers for some apartments to gain an RRHA commitment to induce the bonds.
• Postponed action on a proposal to kill bike lanes planned on Brook Road and on renaming the Boulevard in honor of Arthur Ashe Jr.