Kentucky Secures $110 Million Settlement to Tackle Opioid Crisis
In a significant development for the state’s ongoing battle against the opioid epidemic, Kentucky will receive $110 million in a settlement with one of the nation’s largest grocery retailers. The attorney general announced this major step on Thursday, emphasizing the funds will be allocated to combat addiction, a crisis that has devastated communities and contributed to some of the highest overdose death rates in the nation.
Attorney General Russell Coleman stated, “The grocery chain that sought our trust has allowed addiction to proliferate throughout the commonwealth, resulting in extensive pain and suffering.” He expressed hope that the settlement would aid in recovery and prevention efforts, underscoring the company’s commitment to “become part of the solution.”
The legal action against the grocery chain stemmed from allegations that its pharmacies played a role in exacerbating the opioid crisis. The lawsuit reported that approximately 444 million doses of opioids were distributed in Kentucky from 2006 to 2019, accounting for 11% of all prescription opioids sold in the state.
Coleman criticized the company’s lack of internal controls, stating there was “no serious system in place at Kroger to track or report suspicious activities” and that staff had not received training or guidelines to prevent misuse.
Thousands of lawsuits have been filed nationwide against various entities, including drug manufacturers and pharmacies, as governments seek accountability for the opioid crisis. The litigation highlights claims that these companies misrepresented drugs as nonaddictive and failed to adequately regulate their distribution.
In a promising development, Kentucky reported a nearly 10% decrease in drug overdose deaths in 2023, marking the second consecutive year of decline. However, leaders warn that the fight against addiction is ongoing, as nearly 2,000 Kentuckians still lost their lives to overdoses this past year.
The grocery chain has previously settled other opioid-related lawsuits, agreeing to pay up to $1.2 billion to various governments across the country. Coleman pointed out that Kentucky’s decision to pursue an independent lawsuit proved beneficial, as the state secured more funding than it would have by joining a multi-state settlement.
In addition, ongoing legal action against pharmacy benefit managers is anticipated as the next phase in addressing the opioid epidemic. Coleman has taken legal action against major pharmacy benefit managers for their roles in the distribution of opioid medications.
Of the settlement funds, approximately $16 million will go toward legal fees, while the remainder will be directed to combat opioid addiction through local initiatives. Half of the settlement amount will be distributed directly to cities and counties, with the rest allocated by a state commission to support front-line organizations fighting addiction.
Coleman highlighted the significance of these funds, stating, “This is real money doing real good across this commonwealth.” Furthermore, federal resources have been directed to Kentucky to bolster efforts against addiction, representing a united front in the battle to address this public health crisis.
