STATE OF DEPARTMENT OF JUSTICE   BRAD D. SCHIMEL 114 East, State Capitol ATTORNEY GENERAL P.O. Box 7857 Madison, WI 53707-7857 Paul W. Connell 608/266-1221 Deputy Attorney General TTY 1-800-947-3529

Delanie M. Breuer Chief of Staff

January 22, 2018

SENT VIA INTERDEPARTMENTAL MAIL

The Honorable The Honorable Melissa Sargent Room 418 North, State Capitol Room 321 North, State Capitol

The Honorable Debra Kolste The Honorable Room 8 North, State Capitol Room 322 West, State Capitol

The Honorable The Honorable Room 109 North, State Capitol Room 114 North, State Capitol

The Honorable The Honorable Jimmy Anderson Room 304 West, State Capitol Room 9 North, State Capitol

The Honorable Dave Considine The Honorable Room 303 West, State Capitol Room 120 North, State Capitol

The Honorable The Honorable Steve Doyle Room 119 North, State Capitol Room 124 North, State Capitol

The Honorable Terese Berceau The Honorable Room 104 North, State Capitol Room 128 North, State Capitol

The Honorable JoCasta Zamarripa The Honorable Amanda Stuck Room 112 North, State Capitol Room 4 West, State Capitol

The Honorable The Honorable Josh Zepnick 118 North, State Capitol Room 7 North, State Capitol

The Honorable Chris Taylor The Honorable David Crowley Room 306 West, State Capitol Room 5 North, State Capitol

State of January 22, 2018 Page 2

The Honorable The Honorable Tim Carpenter Room 420 North, State Capitol Room 109 South, State Capitol

The Honorable David Bowen The Honorable Lena C. Taylor Room 3 North, State Capitol Room 5 South, State Capitol

The Honorable The Honorable Janis Ringhand Room 113 North, State Capitol Room 3 South, State Capitol

The Honorable Dana Wachs The Honorable Fred Risser Room 107 North, State Capitol Room 130 South, State Capitol

The Honorable The Honorable Jon Erpenbach Room 307 West, State Capitol Room 7 South, State Capitol

The Honorable The Honorable Kathleen Vinehout Room 11 North, State Capitol Room 108 South, State Capitol

The Honorable Eric Genrich The Honorable Janet Bewley Room 320 West, State Capitol Room 126 South, State Capitol

The Honorable Jennifer Shilling The Honorable Dave Hansen Room 206 South, State Capitol Room 106 South, State Capitol

Re: Response to your letter of January 17, 2018

Dear Members of the State Legislature:

Thank you for your letter of January 17, 2018, related to the opioid epidemic and the litigation surrounding this issue. As a nationwide leader in the battle against this problem, I am delighted to provide you with the following information and discuss my plan going forward. I also would welcome the opportunity to meet with any member in person to discuss this issue.

Upon taking office in 2015, I made the opioid epidemic my number one priority. This should come as no surprise since in my nearly 30-year law enforcement career, I have not seen a public safety and health crisis as far reaching as the current drug epidemic. In 2016 alone, 827 Wisconsinites died from drug overdose deaths. That’s

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why Wisconsin joined 40 other states in a bipartisan effort to investigate the major opioid manufacturers.

In September 2017, this bipartisan multi-state investigation made public the fact that it had served investigative subpoenas, also known as Civil Investigative Demands, on the major opioid manufacturers: Endo, Janssen, Teva/Cephalon, Allergan, and Purdue Pharma. We have demanded documents and information from these companies and their related entities to determine if they engaged in unlawful practices in marketing and selling opioids.

Historically, multi-state investigations like this one have led to substantial recoveries for participating states due to the states’ broad investigative authority and ability to negotiate with companies and avoid the delays and costs associated with litigation. State attorneys general have the authority to serve subpoenas and obtain documents and information without many of the procedural hurdles and discovery challenges faced in any major litigation.

Needless to say, if the coalition of states determines a lawsuit is necessary, I will pursue this strategy. However, filing a lawsuit now will likely lead to delay tactics and endless litigation that could last many years. For example, in 2014, the City of Chicago filed a lawsuit against the very same manufacturers we are investigating. Today, the city’s case is stayed pending a decision as to whether the city will be consolidated as part of the growing Multidistrict Litigation. Meanwhile, the city faces mounting costs related to heroin overdoses with no end in sight.

As a participant in the recent successful multi-state investigations of Volkswagen and Wells Fargo, I feel confident that the investigative route we are currently taking with the opioid manufacturers will result in better outcomes for the State of Wisconsin than we would receive if we pursued action on our own. This also is the wisest use of state resources at this point in time. Multi-state investigations allow us the ability to both prepare for litigation while pursuing the possibility of a settlement. The unified voice of more than 40 states cannot be ignored by the opioid manufacturers and I intend to bring a meaningful and prompt resolution for the citizens of our state.

At DOJ, in addition to litigation, we have been using all the tools on our belt to fight this epidemic: prevention, enforcement, public awareness, and treatment.

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Since April 2015, we’ve safely collected and disposed of more than 330,000 pounds of unused prescription medications, preventing their potential misuse and abuse. We’ve arrested and prosecuted countless drug dealers in all corners of our state, stopping deadly drugs from flowing into our communities. For instance, on September 18, 2017, the Division of Criminal Investigation arrested 18 individuals and seized approximately 1.5 kilos of heroin, recovered over $100,000 in cash and took 18 firearms off of the street as part of just one single case in . We’ve focused on public awareness and our award-winning Dose of Reality campaign to end prescription painkiller abuse in Wisconsin is a national prevention model that is now being used in Georgia, Maine, Minnesota, and Nebraska. Wisconsin DOJ administers treatment courts in 51 counties and two tribes, providing alternatives to incarceration for non-violent drug offenders and giving folks the ability to turn their lives around. And, we’re working to expand treatment by also leading a 43-state lawsuit against Indivior, a manufacturer whose alleged antitrust scheme blocks generic competitors and artificially high prices for those seeking a medication assisted treatment for people addicted to heroin and opioids.

I promised to prioritize public safety over politics. While filing an individual lawsuit might serve my short term political interests, the litigation plan and additional harm reduction strategies we've employed for the last three years are in the best interest of Wisconsin and the countless victims of the state's opioid epidemic. I assure you, however, that if the time comes to litigate on behalf of our great state, I will dedicate all necessary resources to see that justice is done.

Very truly yours,

Brad D. Schimel Wisconsin Attorney General

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