NC $1.5 Billion Opioid Settlement:  How Funds Will Be Distributed

North Carolina -- October 5, 2023: The opioid epidemic has left an indelible mark on the United States, including the state of North Carolina. In a significant development,

North Carolina is set to receive $1.5 billion in opioid settlement funds over the next 18 years, marking a crucial step toward addressing this ongoing crisis. This article explores the allocation of these funds, the settlement amount, and the specific distribution plan, which is poised to make a meaningful impact in the fight against opioid addiction.

The Settlement Amount

North Carolina's opioid settlement funds, totaling a staggering $1.5 billion, signify a significant financial windfall aimed at combatting the opioid crisis. The funds were secured through legal actions against pharmaceutical companies that were held accountable for their role in the proliferation of opioid addiction. This substantial sum offers hope and resources to a state that has been grappling with the devastating consequences of this crisis for years.

Distribution Framework

The distribution of the $1.5 billion in opioid settlement funds is carefully structured to maximize their effectiveness in addressing the various facets of the opioid epidemic. A notable aspect of this allocation is that 85% of the funds are designated for cities and counties to allocate to local programs. The remaining 15% is under the control of the state for distribution.

Local Program Allocation (85%)

The lion's share of the funds, equivalent to 85% of the $1.5 billion, is set to be allocated by cities and counties. This local control allows for a more granular approach to addressing the opioid crisis, as local authorities are better positioned to identify the unique needs and challenges within their communities. This distribution model recognizes the importance of community involvement and tailoring solutions to the specific circumstances of each region.

State-Controlled Allocation (15%)

The remaining 15% of the settlement funds are to be decided by the state. A recently passed budget outlines how this portion will be disbursed. Notably, the state has chosen to allocate this portion to various programs and facilities, with a focus on supporting county programs, healthcare facilities, and abstinence-based treatment centers.

Distribution Priorities

The recently passed budget provides clear guidance on the allocation of the 15% state-controlled funds, emphasizing the following priorities:

County Programs: A significant portion of the state-controlled funds will be channeled into county programs. These programs are vital in providing localized solutions, which can range from prevention and education initiatives to harm reduction strategies and access to treatment and recovery services.
Healthcare Facilities: The budget directs a portion of the funds towards healthcare facilities. This investment is expected to enhance healthcare infrastructure, support addiction treatment, and improve access to services for those grappling with opioid addiction.
Abstinence-Based Treatment Centers: The state's allocation also includes funding for abstinence-based treatment centers. These centers offer rehabilitation options that focus on sobriety and abstinence from opioids, providing another avenue of support for individuals seeking recovery.

North Carolina's receipt of $1.5 billion in opioid settlement funds is a significant milestone in the fight against the opioid epidemic. The allocation framework, with 85% directed to cities and counties and the remaining 15% under state control, recognizes the importance of localized solutions while also addressing broader state-level needs. The recently passed budget, which directs the state-controlled funds towards county programs, healthcare facilities, and abstinence-based treatment centers, reflects a commitment to a multifaceted approach to combating opioid addiction. 

WNCTimes