Texas Opioid Settlement: What It Means for You

The opioid crisis has tragically impacted countless lives and communities across Texas. From 1999 to 2023, over 800,000 opioid-related overdose deaths occurred in the United States. Fortunately, a series of settlements have been reached with pharmaceutical companies, distributors, and retailers responsible for fueling this epidemic. Texas is expected to receive approximately $3.3 billion over 18 years from these national settlements. This influx of funds presents a crucial opportunity to address the opioid crisis head-on, offering hope for prevention, treatment, and recovery. But what does the Texas Opioid Settlement really mean for you, your family, and your community?

Understanding the Texas Opioid Settlement

Texas, along with numerous other states and local governments, has engaged in legal battles with over 20 companies, including opioid manufacturers like Purdue Pharma, Johnson & Johnson, Teva, and Endo, as well as distributors like AmerisourceBergen, Cardinal Health, and McKesson. These companies faced accusations of deceptive marketing practices, downplaying the addictive nature of opioids, and failing to properly monitor and control the distribution of these drugs.

These lawsuits have resulted in settlements totaling billions of dollars, with Texas’ share amounting to an estimated $3.3 billion. This money is earmarked to remediate the harms caused by the opioid crisis and support various initiatives across the state.

How the Funds Are Being Distributed

The Texas Opioid Settlement funds are being distributed according to a specific allocation plan, ensuring that the money reaches the communities and organizations that need it most. The distribution is divided as follows:

70% to the Opioid Abatement Trust Fund: This fund is managed by the Texas Treasury Safekeeping Trust Company (TTSTC) and is used to support various opioid abatement strategies.
15% to Participating Local Governments (Counties and Municipalities): These funds are directly allocated to counties and cities to address opioid-related harms within their jurisdictions.
15% to the State: These funds are allocated to state agencies to support opioid-related prevention and treatment programs.

The Opioid Abatement Fund Council (OAFC) plays a central role in overseeing the distribution of funds from the Opioid Abatement Trust Fund. The OAFC is responsible for developing and administering a grant-making program to allocate funds to various opioid abatement strategies.

Where is the Money Going? Approved Uses for Settlement Funds

The Texas Opioid Settlement funds are intended to be used for specific purposes related to opioid remediation. These “approved uses” cover a broad range of strategies, including:

Prevention: Initiatives aimed at preventing opioid use disorder, such as public awareness campaigns, school-based education programs, and early intervention services.
Treatment: Expanding access to evidence-based treatment for opioid use disorder, including medication-assisted treatment (MAT), counseling, and behavioral therapies.
Recovery: Supporting recovery services and programs, such as recovery housing, peer support groups, and employment assistance.
Harm Reduction: Implementing harm reduction strategies to reduce the negative consequences of opioid use, such as naloxone distribution programs and syringe service programs.
Support for First Responders: Providing resources and training to first responders, such as law enforcement officers and emergency medical personnel, to respond to opioid-related emergencies.
Criminal Justice Initiatives: Addressing the needs of individuals involved in the criminal justice system who have opioid use disorder, such as drug courts and treatment programs in correctional facilities.
Civil Legal Aid: Providing civil legal services to vulnerable Texans who have personally experienced harms from the opioid epidemic.

In late 2023, the OAFC approved a plan to award $75 million across three grant strategies, including $25 million to support naloxone distribution, $25 million to develop prevention and awareness education for students in K-12 and their caregivers, and $25 million to bolster the state’s peer-to-peer recovery workforce. Additionally, the OAFC approved a plan to distribute an estimated total of $166.7 million to 148 Texas hospital districts.

What This Means for You

The Texas Opioid Settlement has the potential to significantly improve the lives of individuals and communities affected by the opioid crisis. By increasing funding for prevention, treatment, and recovery services, the settlement can help to:

Reduce Overdose Deaths: Increased access to naloxone and other harm reduction strategies can save lives by reversing opioid overdoses.
Expand Treatment Access: More funding for treatment programs can help individuals with opioid use disorder get the care they need to recover.
Support Recovery: Recovery support services can help individuals maintain their sobriety and rebuild their lives.
Prevent Future Addiction: Prevention programs can educate young people about the risks of opioid use and prevent future generations from becoming addicted.
Strengthen Communities: By addressing the opioid crisis, the settlement can help to strengthen communities and improve the overall health and well-being of Texans.

How to Get Involved

While the distribution of funds is largely managed by state and local entities, there are ways for individuals and community members to get involved and ensure that the settlement funds are used effectively.

Stay Informed: Keep up-to-date on how the settlement funds are being spent in your community by following local news and attending public meetings.
Advocate for Change: Contact your elected officials and advocate for policies and programs that support opioid prevention, treatment, and recovery.
Support Local Organizations: Volunteer your time or donate to local organizations that are working to address the opioid crisis.
Share Your Story: If you or a loved one has been affected by the opioid crisis, consider sharing your story to raise awareness and reduce stigma.

Legal Options for Individuals Harmed by Opioids

If you or a loved one has suffered harm due to opioid addiction or overdose, you may have legal options available to you. You may be able to file a personal injury or wrongful death lawsuit against the pharmaceutical companies, distributors, or doctors who contributed to the opioid crisis.

Several law firms across Texas are currently handling opioid litigation cases. These attorneys can help you understand your legal rights and options and pursue compensation for your losses.

The Road Ahead

The Texas Opioid Settlement represents a significant step forward in addressing the opioid crisis in the state. With billions of dollars flowing into communities over the next two decades, there is a real opportunity to make a lasting impact on the lives of Texans affected by opioid addiction. By staying informed, getting involved, and advocating for change, we can ensure that these funds are used effectively to prevent future harm and support those who are struggling with opioid use disorder.