Berks County to receive $16.3 million from nationwide opioid settlement

by David Kostival

With a national opioid overdose crisis raging out of control for more than 20 years, it was almost inevitable that pharmaceutical companies and drug distributors would eventually be forced to take responsibility. A landmark $26 billion settlement agreement was recently reached between the National Prescription Opiate Litigation Plaintiff’s Executive Committee and the three big drug distributors – McKesson Corporation, Cardinal Health, Inc. and AmeriSource Bergen Corporation – as well as opioid manufacturer Johnson & Johnson.

The settlement is the first of its kind which will distribute funds directly to the state and local municipalities specifically for opioid relief programs. The agreement reached calls for Johnson and Johnson to pay $5 billion over 9 years and prohibits the company from manufacturing or selling opioids for 10 years. The three drug distributors will pay $21 billion over 18 years.

Thousands of local governments will benefit from the settlement, which requires distributed funds to be used primarily for opioid remediation, and not restitution. The settlement came because of years of advocacy from the Plaintiff’s Executive Community (PEC), working on behalf of more than 3,300 community clients.

The PEC negotiation team issued the following statement: “We arrived at this moment after years of work by community leaders across the country who committed themselves to seeking funds they need to combat the opioid epidemic. The bottom line from this news is that help is on the way for first responders and healthcare workers on the front lines of this public health crisis.

While nothing can truly make whole what was lost in this country, what we can do is ensure that thousands of communities nationwide have the tools they need to prevent the opioid epidemic from taking more lives.”

The Pennsylvania settlement amount is $1,070,609,642, which is being distributed among the Pennsylvania counties which opted to join in the agreement negotiated by state Attorney General Josh Shapiro.

On March 29, Berks County held a press conference to announce the county will receive more than $16.3 million over the next 20 years. County officials have stressed that the settlement funds are meant for opioid abatement efforts and are not a windfall for the county coffers. The funds cannot be put into the general fund to pay expenses or wages. The funds coming to Berks County will be managed by the Council on Chemical Abuse (COCA). COCA Executive Director Stanley Papademetriou told the county commissioners that a strategy for using the funds is being developed.

“While the settlement offers some guidance, we think we have come up with a good strategy,” he said. Papademetriou added that the plan will be reviewed and updated every year to be certain COCA is making the best use of the funds. He also told the commissioners that the opioid crisis is not just a city problem and called it a community problem. “The funds should be used to provide services to every part of the community in a dignified and equitable manner,” Papademetriou said.

Berks County Commissioner Christian Y. Leinbach praised COCA for developing relationships with a variety of partners. “I don’t think there is any other entity, including the county commissioners, who could better administer these dollars,” Leinbach said. The settlement identifies approved abatement uses, which include: • Providing treatment of opioid use and co-occurring disorders • Supporting people in treatment and recovery • Providing connections to care • Supporting criminal justice involved persons • Addressing needs of pregnant or parenting women, including babies with neonatal abstinence syndrome • Preventing misuse of opioids • Ensuring the appropriate prescribing of opioids • Preventing deaths/providing harm reduction • Supporting first responders • Supporting leadership and planning coordination • Training • Research

County Commissioner Kevin Barnhardt said the settlement has been a long time coming and that the money will be a tremendous value to the community.

The next issue will feature an article written by Berks County’s First Assistant Solicitor, Cody Kauffman, regarding the proposed nationwide opioid settlement agreements with pharmaceutical distributors McKesson, Cardinal Health, & AmerisourceBergen and manufacturer Janssen Pharmaceuticals, Inc. The article will provide background on the opioid settlements and will discuss the potential impact of the settlements on Berks County. The article will further highlight how the settlement funds will be administered, what the funds can be used for, and when the funds are expected to be received by the County.

TODAY THERE’S HOPE

for affordable and accessible life-saving treatment. Hoy hay esperanza para un tratamiento a bajo costo y accesible que salve vidas

When it comes to addiction, every second counts.

Today, there’s hope for saving a life with NARCAN®. Berks County residents have access to free NARCAN® opioid overdose reversal kits.

There’s hope for recovery, too. Residents have access to safe, affordable, and accessible drug and alcohol treatment options right here in Berks. Virtual telehealth options are also available. Cuando se trata de adicción, cada segundo cuenta.

Hoy, existe la esperanza de salvar una vida con NARCAN®. Los residentes del condado de Berks tienen acceso a kits gratuitos de reversión de sobredosis de opioides NARCAN®.

También hay esperanza de recuperación. Los residentes tienen acceso a opciones de tratamiento de drogas y alcohol seguras, asequibles y accesibles aquí mismo en Berks. También se encuentran disponibles opciones de telesalud virtual.

Paid for with PA taxpayer dollars.