Litigation Support Fund

*NOTE: This section includes amendments by emergency legislation that will expire on November 11, 2026. To view the text of this section after the expiration of all emergency and temporary legislation affecting this section, click this link: Permanent Version.* (a) There is established as a special fund the Litigation Support Fund (“Fund”), which shall be administered by the Office of the Attorney General in accordance with this section. (a-1) For the purposes of this section, the terms "recovery" and "recoveries" shall include funds obtained through court determinations or through the settlement of claims in which the Office of the Attorney General represents the District but shall not include funds obtained through an administrative proceeding or funds obligated to another source by federal law. (b) Revenue from the following sources shall be deposited into the Fund: (1) Subject to the provisions of subsection (b-1) of this section and the limitations of subsection (d)(3) of this section, and notwithstanding any other provision of District law, any recoveries from claims or litigation brought by the Office of the Attorney General on behalf of the District shall be deposited into the Fund, regardless of whether the amounts payable otherwise would have been required to be deposited into a different District fund, except, that: (A) Recoveries under § 1-325.391(b)(2), shall be deposited into the Subrogation Fund established by § 1-325.391(a); (B) Recoveries under § 1-623.32, shall be deposited into the Employees' Compensation Fund established by § 1-623.42(c); (C) Recoveries the Attorney General obtains as settlements or awards that include restitution, disgorgement, damages, or other monetary relief for individuals or entities for which the District is responsible for distribution, as well as any recoveries of related costs of distribution and any other recoveries in such amounts as may be necessary to distribute any monetary relief for individuals or entities for which the District is responsible for distribution, shall be deposited into the Attorney General Restitution Fund established by § 1-301.86c; (D) Recoveries the Attorney General obtains from owners under § 42-3651.06(j)(2), shall be deposited into the Tenant Receivership Abatement Fund established by § 1-301.86e; except, that when the deposit of such funds into the Tenant Receivership Abatement Fund would cause that fund's balance to exceed $2 million, the excess of such funds shall be deposited in the Fund; and (E) Recoveries under § 42-3111.01, shall be deposited into the Drug-, Firearm-, or Prostitution-Related Nuisance Abatement Fund established by that section. (2) Funds collected pursuant to § 1-350.02(a-4)(1); (3) Funds recovered from owners under § 42-3651.06(j)(2), and not deposited into the Tenant Receivership Abatement Fund, in accordance with § 1-301.86e(b)(1)(B); (4) Subject to the limitations of subsection (d)(3)(D) of this section, funds received pursuant to § 7-3221(b)(1) and (1A); and (5) The first $100,000 in fines imposed and collected pursuant to § 7-1675.01; and (6) The first $100,000 in fines imposed and collected pursuant to § 7-1671.08. (b-1)(1)(A) In any matter that a District of Columbia agency refers to the Attorney General for enforcement after the agency has conducted a significant investigation or brought an administrative enforcement action, or in any litigation or settlement in which a District of Columbia agency has provided significant support to the Attorney General in proving a violation of law, 50% of any recovery not specified in subsection (b)(1)(A) through (E) of this section shall be deposited into the Fund and the other 50% shall be deposited into any special fund, that, absent this section, would be required by law to receive recoveries for the claimed violation, or, if such a fund does not exist, into the General Fund. (B) Notwithstanding subparagraph (A) of this paragraph, the Attorney General and either the Mayor when the agency is a subordinate agency, or the agency and the Mayor when the agency is an independent agency, may agree on a different allocation of a recovery not specified in subsection (b)(1)(A) through (E) of this section, and such recovery shall be deposited into the Fund, any special fund established to receive recoveries for the claimed violation, and the General Fund in accordance with the agreed allocation. (2)(A) In any matter litigated or settled by the Attorney General under § 2-381.03, involving the funds of a District of Columbia agency, 50% of any recovery shall be deposited into the Fund and the other 50% shall be deposited into the General Fund. (B) Notwithstanding subparagraph (A) of this paragraph, the Attorney General and either the Mayor when the agency is a subordinate agency, or the agency and the Mayor when the agency is an independent agency, may agree on a different allocation of the recovery between the Fund and the General Fund. (c)(1) Money in the Fund shall be used for the following purposes: (A) Supporting general litigation expenses associated with prosecuting or defending litigation matters on behalf of the District of Columbia; (B) Funding staff positions, personnel costs, and employee retirement and separation incentives, up to a maximum amount of $7 million per year, and non-personnel costs related to administering any grant issued pursuant to the authority provided in §§ 1-301.88f(a) and § 1-301.88g(a); and (C) Crime reduction and violence interruption programming. (2) Beginning in Fiscal Year 2024, up to $9.7 million deposited into the Fund each fiscal year may be used for the purposes of crime reduction, violence interruption, and other public safety initiatives. (3) Repealed. (c-1) Repealed. (d)(1) Except as provided in paragraph (3) of this subsection, the money deposited into the Fund, and interest earned, shall not revert to the unrestricted fund balance of the General Fund of the District of Columbia at the end of any fiscal year or at any other time. (2) Subject to authorization in an approved budget and financial plan, any funds appropriated in the Fund shall be continually available without regard to fiscal year limitation. (3)(A) At the end of each fiscal year, any funds in excess of $23.5 million shall revert to the unrestricted fund balance of the General Fund of the District of Columbia. (B) Repealed. (C) Notwithstanding subparagraph (A) of this paragraph, amounts owed to an outside counsel contractor that are part of recoveries obtained on behalf of the District by the outside counsel contractor pursuant to a contingency fee contract shall be deposited into the Fund and may remain in the Fund until paid to the outside counsel contractor to satisfy costs and fees or transferred to another fund by the Office of the Attorney General to pay the outside counsel contractor. Money deposited into the Fund that is owed to an outside counsel contractor shall not count toward the $23.5 million limitation in subparagraph (A) of this paragraph or, to the extent separately appropriated, toward any limit on the Office of the Attorney General's annual spending authority. (d-1) The Attorney General shall transfer to the Opioid Abatement Fund, established by § 7-3221, at least 85% of any payment received prior to October 1, 2022, in settlement of the cases and settlements, judgments, and consent decrees specified in § 7-3221(b)(1) and (1A), that was deposited into the Fund, and at least 90% of any payment received thereafter. The Attorney General may elect to retain the remainder of each such payment in the Fund by providing the Mayor, Chief Financial Officer, and Council with written notice of the amount of the election and the relevant payment. In making this election, the Attorney General shall ensure compliance with all applicable settlement terms. (e) Repealed. (f) Repealed. (g) Repealed. (h) Notwithstanding any other provision of law, beginning in Fiscal Year 2025, the amounts received, less attorneys' fees, by the District in settlement of District of Columbia v. JUUL Labs, Inc. et al., Superior Court of the District of Columbia Case No. 2019 CA 007795 B, and deposited into the Fund pursuant to subsection (b)(1) of this section shall be allocated as follows: (1) 50% shall be used for the authorized purposes of the Fund, pursuant to subsection (c) of this section; and (2) 50% shall be transferred to the Tobacco Use Cessation Fund, established by § 7-736.05, to be used for the authorized purposes of that fund.