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<br /> <br />1 <br /> <br />APPENDIX 2 <br /> <br />Cost Reimbursement Procedure <br /> <br />1. Additional defined terms: <br /> <br />a) Costs means the reasonable amounts paid for the attorney and other City Attorney and <br />County Counsel staff time for individuals employed by a Plaintiff Subdivision at the <br />contractual rate, inclusive of benefits and overhead, together with amounts paid for court <br />reporters, experts, copying, electronic research, travel, vendors, and the like, which were <br />paid or incurred (i) prior to July 21, 2021 in litigation against any Opioid Defendant <br />and/or (ii) in negotiating and drafting this CA Distributor Allocation Agreement. Costs <br />does not include attorneys’ fees, costs, or expenses incurred by private contingency fee <br />counsel. No part of the CA Abatement Accounts Fund will be used to reimburse Costs. <br /> <br />b) First Claims Date means October 1, 2023 or when all applications for reimbursement of <br />Costs, in whole or in part, from funds available under Section X and Exhibit R of the <br />Distributor Settlement Agreement or Section XI and Exhibit R of the Janssen Settlement <br />Agreement, have been finally determined under the provisions of those agreements, <br />whichever comes first. <br /> <br />c) Special Master means a retired judicial officer or former public lawyer, not presently <br />employed or retained by a Plaintiff Subdivision, who will aggregate, review, and <br />determine the reasonable Costs to be awarded to each Plaintiff Subdivision that submits a <br />claim for reimbursement of Costs. The Special Master will be selected by a majority vote <br />of the votes cast by Plaintiff Subdivisions, with each such subdivision having one vote. <br /> <br />d) Plaintiff Subdivision Committee means the committee of Plaintiff Subdivisions that will <br />review and approve the invoices submitted by the Special Master reflecting his or her <br />reasonable time and expenses. <br /> <br />2. Cost Reimbursement to Plaintiff Subdivision <br /> <br />a) Purpose. Substantial resources have been expended to hold Opioid Defendants <br />accountable for creating and profiting from the opioid crisis, and this effort has been a <br />significant catalyst in creating a National Opioid Settlement with Distributors, Johnson & <br />Johnson, and others. <br /> <br />b) Claims Procedure. <br /> <br />i. If a Plaintiff Subdivision is eligible to seek reimbursement of Costs, in whole or in <br />part, from funds available under Section X or Exhibit R of the Distributor <br />Settlement Agreement or Section XI or Exhibit R of the Janssen Settlement <br />Agreement, it must first make a timely application for reimbursement from such <br />funds. To allow sufficient time for determination of those applications, no claim for <br />310