Counties receive first payments from opioid settlement
Click here to review your county’s estimated total allocation from both settlements.
On Feb. 25, 2022, Attorney General Daniel Cameron announced the finalization of a $26 billion national settlement with Cardinal Health, McKesson, and AmerisourceBergen – three major pharmaceutical distributors in the U.S. (Distributors) – and Johnson & Johnson (J&J), which manufactured and marketed opioids. The agreement stems from the companies’ roles in creating and fueling the opioid epidemic.
Of that $26 billion, Kentucky is slated to receive $478.1 million to be paid out in installments through 2038. In collaboration with the Attorney General’s office, KACo worked to ensure that counties receive their fair share of the settlement dollars to support addiction treatment and recovery services.
Counties and cities will receive half of the state’s allocation, approximately $239 million, less funds set aside for payment of fees to the attorneys that represented local governments in the litigation.
How much will my county receive?
Counties should receive a total of seven payments this month (Dec. 2022), including two from the Distributor’s settlement and five from the J&J settlement:
- For the Distributor’s settlement, counties will receive two payments in Dec. 2022, then a payment each year from 2023 through 2038.
- For the J&J settlement, counties will receive the first five payments upfront in Dec. 2022, then a payment each year from 2026 through 2031.
Click here to see your county’s estimated payments for 2022.
Click here to see your county’s estimated annual payments from 2022 to 2038.
Accounting and use of funds
KACo recommends that these funds be placed in a separate special account/fund.
According to the terms of the settlement and KRS 15.291 and 15.293, the settlement funds may only be used for specific purposes. You can view a list of those acceptable purposes here.
Stay tuned for informational webinar opportunities hosted by KACo about the proper expenditure of settlement funds and best practices.
Please reach out to KACo General Counsel, Tim Sturgill - firstname.lastname@example.org.