Sonoma County will use millions of dollars awarded as part of a legal settlement with opioid manufacturers and distributors for treatment and education programs.
The county Board of Supervisors voted unanimously at its Feb. 11 meeting to steer the bulk of its roughly $43 million share from the nationwide settlement into an array of use-related programs, including treatment and prevention, and the potential development of a campus to treat mental health and substance abuse disorders.
The county has received $12.7 million and is expected to receive another $31 million over the next 14 years, including another $3.5 million that is expected to be awarded later this year. The amount could increase as other settlements are finalized.
The money is part of a $26 billion settlement reached in 2021 with some of the nation’s largest pharmaceutical companies and drug distributors to resolve multiple lawsuits brought by states, cities and counties. The lawsuits accused the companies of seeking to maximize sales and profits from opioids, including fentanyl, while concealing the risk of addiction.
“The opioid crisis is complex, and these drugs have done significant harm to our community,” said Supervisor Lynda Hopkins, chair of the Board of Supervisors. “The settlement funds will allow for a much-needed opportunity for expansion of extensive education, outreach, care and community services.”
Settlement fund continues to grow
The 2021 settlement involved deals with distributors McKesson, Cardinal Health, and AmerisourceBergen, and manufacturers Janssen Pharmaceuticals Inc. and its parent company Johnson & Johnson.
Additional settlements reached in 2022 have yet to be calculated into the fund’s total. Those involved legal deals with pharmacy chains Walgreens, CVS and Walmart and manufacturers Allergan and Teva.
The combined legal settlements established an Opioid Settlement Fund that the companies will pay into through 2038. The money must be used in ways related to mitigating the opioid crisis the companies were accused of contributing to.
Kroger and Hikma Pharmaceuticals also reached tentative settlements in 2023 that could increase the amount the county receives.
“The opioid crisis is complex, and these drugs have done significant harm to our community. The settlement funds will allow for a much-needed opportunity for expansion of extensive education, outreach, care and community services.” Supervisor Lynda Hopkins
Consulting company McKinsey & Company agreed to a separate settlement for $650 million in 2024 for their work helping companies promote their drugs.
Another, and the largest single settlement, was reached with the Sackler family, former owners of Purdue Pharma, in January, after delays finalizing that legal matter because of bankruptcy and other liability issues. The family also agreed to give up control of the company.
“Purdue, under the Sacklers’ leadership, invented, manufactured, and aggressively marketed opioid products for decades, fueling waves of addiction and overdose deaths across the country,” California Attorney General Rob Bonta said in a news release at the time.
How the money might be used
Cities that were part of the lawsuits can opt to keep control of the use of their award, or let the county manage their portion. In Sonoma County, the cities of Rohnert Park and Sonoma and the town of Windsor opted to let the county allocate their funds.
The Board of Supervisors voted to earmark $11.6 million for programs involving treatment, prevention, education, rehabilitation and harm reduction. The money will be distributed after receiving public proposals for which programs to invest in.
Another $3.8 million will be used to apply for a matching state grant that would fund a 64-bed residential treatment center for people with severe mental health illness and substance abuse.
The county will also hire a full-time counselor for three years to help run county-managed programs, including youth outreach and education.
About 76% of overdoses in Sonoma County in 2023 were because of opioids, with 90% of those deaths attributed to fentanyl. County officials say Sonoma ranks 27th out of the 58 counties in California for per-capita overdose death rates.