New Jersey To Get $508M From Opioid Settlements

By Christian Wade | The Center Square contributor, The Center Square New Jersey

May 5, 2023

(The Center Square) — New Jersey's cities and towns are on board with several multi-billion settlements against drug companies over their alleged role in the opioid crisis.

That's according to Gov Phil Murphy, who says all of the state's county and local governments have agreed to the terms of a nationwide settlement with CVS, Walgreens, Walmart, and drug makers Teva Pharmaceuticals and Allergan, to resolve claims they helped fuel a wave of addiction that has claimed hundreds of thousands of lives.

Murphy said under the terms of the settlements, how much each state will receive depends on the level of participation among eligible county and municipal governments.

New Jersey has now achieved 100% participation, which he said the state would be eligible for the maximum payout from the settlements, or $508.1 million.

Murphy said, "large corporations and drug makers profited from the pain and struggle of our communities" as thousands of New Jerseyans have lost their lives to opioid-related overdoses in the past several years.

"While this settlement does not bring our loved ones back, it will bring resources to the state that will support programs and initiatives that save lives," he said in a statement.

New Jersey is among dozens of states that have signed onto multiple settlements aimed at resolving claims about drug makers' and retailers' roles in the opioid crisis.

That includes a Walmart settlement with more than 40 states in November to resolve allegations that it improperly dispensed OxyContin and other powerful prescription opioids at its retail pharmacies. New Jersey is getting about $75 million from the settlement.

The state is also getting $641 million from a $26 billion multi-state settlement with Johnson and Johnson, and three of the nation’s largest drug distributors to resolve claims by states and local governments that the companies helped fuel a wave of addiction.

Like many states, New Jersey is still grappling with a wave of opioid addiction exacerbated by the COVID-19 pandemic. There were 2,893 confirmed overdose deaths reported in New Jersey in 2022, according to the state Department of Health. Many of them were linked to fentanyl, a deadly synthetic opioid.

"No amount of money can bring back the lives lost or undo the suffering caused by the addiction epidemic," Attorney General Matthew Platkin said in a statement, "but the funding we receive will provide critical support through prevention, treatment, and recovery services and programs that help us heal and move forward."

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