WA opioid settlement with Wal-Mart means more than $1 million coming to Tri-Cities
One of the world’s largest companies will be paying $3.1 billion for their role in the opioid crisis, and millions from that settlement is coming to the Tri-Cities.
Washington Attorney General Bob Ferguson announced this week that in the coming months $62.6 million will be coming to Washington cities and counties from the state’s share of the opioid settlement with Wal-Mart.
The retailer is the second largest in the world and one of three major pharmacy chains, including CVS and Walgreens, to agree to multi-billion dollar settlements for their role in overprescribing opioid medication.
Wal-Mart agreed to the settlement last November. Ferguson said that local shares should be hitting coffers within months, according to the news release.
“This is real money that funds real resources that will save lives,” Ferguson said in the release. “But I am not done here. My office still litigates active cases, which we will use to hold all companies that fueled the opioid epidemic accountable. My team is working to bring even more money and resources back to affected Washington communities.”
Of that pot, more than $1 million will come directly to the Tri-Cities.
Unlike other settlements that will be paid out over a period of up to 18 years, Ferguson said 97% of the Wal-Mart settlement will be received within months.
Local settlement money
Half of the $62.6 million will be divided among cities and counties, and the other half allocated by the state Legislature.
The local funding will be distributed based on a percentage used for allotments from other opioid settlements. Altogether Benton and Franklin county receive just under 3.5% of the coffer.
Benton County will receive the largest share of this settlement at $465,000. Kennewick will be receiving $170,000, Richland will get $149,000 and West Richland will receive about $15,000.
That brings the total money from opioid settlements coming to Benton County and cities in it, to more than $11 million.
Franklin County will receive $105,000 and Pasco will get $134,000 from the Wal-Mart settlement. That brings Franklin’s cumulative total to $3.3 million.
Not all of that money will be readily available like the Wal-Mart settlement. Each agreement has its own terms, with some paying out immediately and others over the course of up to 18 years.
What is it used for?
The settlement money can be used for a narrow range of services related to recovering from the opioid crisis. Settlement spending under the Washington State Opioid Response plan includes helping pay for addiction treatment and prevention services, mental health and recovery initiatives, outreach efforts and more.
Much of the money is already being used to combat the fentanyl crisis.
Some of the previous earmarked spending is being guided locally by the Opioid Abatement Council, which will be administered through Greater Columbia Behavioral Health.
The council is made up of 19 Eastern Washington cities and councils that are combining their opioid settlement money to have a bigger impact.
A portion of the combined total from the 19 participants will be used to help pay for the upcoming recovery center.
They’re able to get more bang for their buck by working together than if they had decided to spend individual installments from other settlements that are just $27,000 annually in Franklin County’s case.
Benton County has spent just under $7 million buying the old Kennewick General Hospital building and a facility at the old Welch’s juice plant to house the Columbia Valley Center for Recovery.
The county is currently working out the contract with Comprehensive Healthcare to run the facilities. A contractor for the design-build process has also been selected, and construction is expected to begin later this year.
The design-build process means that once Comprehensive and the county are able to finalize a plan, the contractor can begin work on the sections they want opened first. The entire process is expected to take up to two years, with the possibility of some services able to come online sooner.
The state also receives a separate portion which is allocated by the legislature. In 2023 the Legislature spent $64 million from opioid payments, according to the release from Ferguson’s office.
Some of those projects included:
- $18.2 million for prevention, treatment and recovery support services to address and remediate the opioid epidemic.
- $15.4 million to tribes and urban Indian health programs for opioid and overdose response activities.
- $5 million for the Department of Health to expand the distribution of naloxone through overdose education and a distribution program.
- $4 million for the authority to provide short-term housing vouchers for individuals with substance use disorders.
A settlement with opioid manufacturer Teva will also see the state receiving 54,000 naloxone, or Narcan, kits which contain two doses each. Those are expected to be distributed in 2024 and 2025, according to Ferguson’s office.
