The Impact of Opioid Settlements on New Jersey’s Mental Health and Addiction Services

For decades now, the impact of opioids has rippled through neighborhoods, affecting individuals of all ages and backgrounds. While efforts have been made across the country at the local, state, and federal levels to combat the opioid epidemic, the most consequential of these efforts may have come in 2022 when, as part of a nationwide settlement, major pharmaceutical companies agreed to pay billions of dollars in fines to states across the United States, including New Jersey.

In this blog, we will talk more about the landmark opioid settlement case, how it will affect New Jersey residents, and how Discovery Institute is doing its part to help combat not just the opioid epidemic but addiction and mental health as a whole.

Combating the Opioid Epidemic

As we touched on in the introduction, in what was deemed a landmark case back in 2022, the state of New Jersey reached an agreement with four major pharmaceutical companies that will see the state get over $1 billion in settlement funds through 2038. These opioid epidemic settlement funds will be directed toward state and local programs with a focus on treatment, prevention, and various initiatives designed to tackle the opioid epidemic head-on.

new jersey drug settlement

With this money, the state of New Jersey can take significant steps in strengthening mental health and addiction services statewide including addiction treatment, mental health support, and preventive services allowing residents better and more accessible access to quality care.

About the Opioid Settlements

Over the past several years, in particular, the federal government has begun holding opioid manufacturers, distributors, and pharmacies accountable for decades of dangerous and reckless manufacturing and distributing of opioids nationwide.

While the opioid epidemic affected millions of people and their families and continues to do so, cases like this allow communities to try and heal as well as prevent future addiction and mental health crises.

In the case of this specific opioid settlement, the over $1 billion issued to the state of New Jersey was paid out by major pharmaceutical companies including Johnson & Johnson, McKesson, Cardinal Health, AmerisourceBergen, Mallinckrodt, Allergan, CVS, Teva, Walgreens, and Walmart.

This unprecedented settlement has provided the state of NJ with the unique and rare opportunity to invest in strategies that can reduce addiction rates, prevent overdoses, and, most importantly, support the recovery process for those in need.

Historical Context: How Opioids Affect NJ Residents

opioid epidemic

While, unfortunately, New Jersey was not the only state to be adversely affected by the opioid epidemic, the opioid crisis has hit the state particularly hard over the last 20 years or so, especially as it relates to overdose deaths.

Substances such as prescription painkillers, heroin, and fentanyl have wreaked havoc on the state of New Jersey and its residents resulting in an influx of not just opioid use disorder but also mental health issues and even opioid-related deaths.

As a result, the state has been stretched thin when it comes to mental health and addiction services, leading to an increase in ER visits, hospitalizations, and the need for specialized treatment programs.

Arguably the hardest-hit areas have been minority and economically disadvantaged communities that may not have the resources to seek private treatment options, instead having to rely on those previously underfunded and overcrowded state-run programs.

Why is New Jersey Receiving Opioid Settlement Money?

The fact that New Jersey was struck by the opioid epidemic, especially in those particularly vulnerable communities we just mentioned played a major role in not just the state receiving a payout from the settlement but also such a large one. The settlement was not just a way for the pharmaceutical companies to take responsibility for their actions but also to help the states and communities affected to recover.

In the case of New Jersey specifically, the funds the state received from the settlement are intended to be used to address both the immediate and long-term needs of those affected by mental health and addiction as it relates to opioids.

With over $1 billion of settlement money, the state can properly fund and even expand its programs statewide that offer addiction treatment, mental health services, and community-based prevention.

How Will the Opioid Settlement Money Be Used?

So we talked about how the settlement came about and how much the state of New Jersey will be getting. You may be asking yourself, “But how exactly is the money going to be used?”

Well, let’s take a deeper look at that:

  • Treatment Programs – A portion of the funds will go towards expanding access to treatment programs for individuals struggling with opioid use disorder. This includes support for medication-assisted treatment (MAT), counseling, and other recovery-focused services.
  • Mental Health ResourcesMental health issues often coexist with addiction. As a result, New Jersey plans to direct funds towards mental health services including increasing access to counseling and mental health treatment.
  • Prevention and Education – Some of the settlement money will be dedicated to prevention programs, particularly in schools and community centers to prevent addiction before it begins.
  • Community Support Services – Along those lines, another priority will be to expand existing community-based services such as housing, employment, and peer support initiatives that address the social factors that often accompany addiction.
  • Data Collection – The state also plans to invest in data collection and research initiatives with the goal of better understanding and combating the opioid crisis. Money will be allocated to support studies on the effectiveness of different treatment models, as well as data-driven approaches to identifying and addressing new trends in substance use.

What Else Is New Jersey Doing to Prevent Opioid Overdose?

In addition to using settlement funds to improve addiction treatment and mental health services, New Jersey has implemented various strategies specifically aimed at preventing opioid overdoses.

One strategy in particular that the state is implementing is the widespread availability of naloxone, a life-saving medication that can reverse the effects of an opioid overdose. By making naloxone widely available and easily accessible to not just first responders and healthcare providers, but also those throughout the community, the state can help cut down on the number of fatal overdoses, thus allowing more people the opportunity to recover.

opioid epidemic

Another way in which the state is actively preventing opioid overdoses is by educating healthcare providers about responsible opioid prescribing practices. While many people use and abuse opioids for recreational purposes, a significant amount of those negatively affected by the opioid crisis were also people who were medically prescribed opioids and taking them only as medically directed. Through continuing education and new guidelines, the state is working to ensure that opioids are prescribed safely and only when necessary, reducing the risk of misuse among patients, whether intentional or accidental.

Opioid Overdoses Are Preventable

Thanks to the continued efforts of medical and treatment professionals, as well as public health officials, opioid-related overdoses are becoming more and more preventable. Not just in the state of New Jersey but throughout the United States, communities are not just actively increasing access to treatment and mental health services but also making overdose-reversing medications such as naloxone widely accessible.

Particularly in New Jersey, it’s that community involvement that has made such a big difference when it comes to the cutting down of opioid overdoses. In addition to those medical and treatment professionals and public health officials, local organizations and nonprofits play an essential role in reaching out to at-risk individuals, offering support and resources, and creating awareness around addiction recovery.

The good news, too, is that thanks to the funding from the settlement, the state of New Jersey will be able to help these organizations not just continue to do what they are doing but also expand their reach, thus increasing their impact throughout the state.

Thanks To the Opioid Epidemic Settlement, Discovery Institute Can Help Save Even More Lives

The opioid epidemic settlement presents the state of New Jersey with a historic opportunity to create a robust support system for those affected by opioid addiction. By focusing on treatment, prevention, community support, and mental health services, the state aims to bring lasting improvements to its healthcare and addiction treatment infrastructure.

At Discovery Institute, we have long been at the forefront of helping fight the opioid epidemic through our comprehensive addiction treatment programs. Now, with additional support from the opioid epidemic settlement, we can continue those efforts and reach even more people who need treatment.

opioid epidemic

We offer several treatment services to help in every step of your recovery journey including detox, inpatient and outpatient treatment, relapse prevention, and an alumni program featuring vocational services.

For more information on our addiction services, or to learn how you or a loved one can get on the road to recovery, contact us today.