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DocuSign Envelope ID: B15AAEBD-74AB-4EFF-B97F-0776E33BOD86 <br />so long as such contingency fees do not exceed a total contingency fee of 15% of the total gross <br />recovery of the Plaintiff Subdivision pursuant to the Teva Settlement, inclusive of contingency <br />fees from the national Attorney Fee Fund and this State Back -Stop Agreement. Before seeking <br />fees or litigation costs and expenses from a State Back -Stop Agreement, private counsel <br />representing Plaintiff Subdivisions must first seek contingency fees and costs from the Attorney <br />Fee Fund or Cost Funds created under the Teva Settlement Agreement. Further, private counsel <br />may only seek reimbursement for litigation fees and costs that have not previously been <br />reimbursed through prior settlements or judgments. <br />To effectuate a State Back -Stop Agreement pursuant to this section, an agreement in the form of <br />Appendix 3 may be entered into by a Plaintiff Subdivision, private counsel, and the California <br />Office of the Attorney General. The California Office of the Attorney General shall, upon the <br />request of a Plaintiff Subdivision, execute any agreement executed by a Plaintiff Subdivision and <br />its private counsel if it is in the form of Appendix 3. The California Office of the Attorney <br />General will also consider requests from Plaintiff Subdivisions to execute and enter into <br />agreements presented in other forms. <br />For the avoidance of doubt, this agreement does not require a Plaintiff Subdivision to request or <br />enter into a State Back -Stop Agreement, and no State Back -Stop Agreement shall impose any <br />duty or obligation on the State of California or any of its agencies or officers, including without <br />limitation the Attorney General. <br />5. State and Subdivision Reporting <br />a) DHCS will prepare an annual written report regarding the State's use of funds from the <br />settlement until those funds are fully expended and for one year thereafter. These reports <br />will be made publicly available on the DHCS web site. <br />b) Each CA Participating Subdivision that receives payments of funds from the settlement <br />will prepare written reports at least annually regarding the use of those funds, until those <br />funds are fully expended and for one year thereafter. These reports will also include a <br />certification that all funds that the CA Participating Subdivision has received through the <br />settlement have been used in compliance with the Teva Settlement Agreement and this <br />CA Teva Allocation Agreement. The report will be in a form reasonably determined by <br />DHCS. Prior to specifying the form of the report DHCS will confer with representatives <br />of the Plaintiff Subdivisions. <br />c) The State and all CA Participating Subdivisions receiving CA Abatement Accounts <br />Funds will track all deposits and expenditures. Each such subdivision is responsible <br />solely for the CA Abatement Accounts Funds it receives. A county is not responsible for <br />oversight, reporting, or monitoring of CA Abatement Accounts Funds received by a city <br />within that county that receives direct payment. Unless otherwise exempt, Subdivisions' <br />expenditures and uses of CA Abatement Accounts Funds and other Settlement Funds will <br />be subject to the normal budgetary and expenditure process of the Subdivision. <br />