Council approves participation in opioid-related settlement

Earlier this month, Suffolk City Council adopted a resolution allowing the City of Suffolk to participate in a proposed settlement of opioid-related claims against Kroger and related corporate entities.

As part of the council’s consent agenda during their July 2 meeting, members voted unanimously to take part in the multi-state opioid settlement, allowing funds to flow into the city to help educate the community on the dangers of drug abuse to help mitigate the damaging effects of opioid abuse.

The resolution sees Suffolk adopting the Virginia Opioid Abatement Fund and Settlement Allocation Memorandum of Understanding. The MOU establishes an allocation plan for opioid settlements within the commonwealth and also includes a formula for distributing the proceeds of opioid settlements based on a measure of harm per capita to communities across the state. Likewise, all 133 counties and cities in Virginia have signed the MOU.

This follows nationwide settlements being reached in 2021 to resolve opioid litigation brought by states and local political subdivisions against pharmaceutical distributors McKesson, Cardinal Health and AmerisourceBergen as well as manufacturer Janssen Pharmaceuticals, Inc and parent company Johnson & Johnson. In late 2022, agreements with pharmacy chains, CVS, Walgreens, and Walmart as well manufacturers Allergan and Teva were announced. By Jan. 2023, each of the pharmacy chains and manufacturers have confirmed a sufficient number of states agreed to the settlements to move forward. In Jan. 19, 2023, three national-level opioid settlements were approved by the Virginia state courts: McKinsey for $13 million, a nationwide agreement involving three wholesale prescription opioid medication distributors –McKesson, Cardinal Health and AmerisourceBergen– for a maximum of $21 billion, and Janssen Pharmaceutical for a nationwide maximum $5 billion.

Suffolk Deputy City Manager Azeez Felder says the resolution came to fruition after the city received a letter about the settlement from the Office of Virginia Attorney General Jason Miyares.

“To take part in the settlement, Suffolk City Council needed to approve the resolution at the July 2nd City Council meeting. The amount of money that will come to the Commonwealth of Virginia and its localities from the Kroger settlement depends on getting as many local government subdivisions as possible to participate,” Felder said.

The resolution also directs the City Attorney “to execute the documents necessary to effectuate the City’s participation in the Settlement.” Felder says that the city manager has “electronically signed a form to join the settlement” while the Virginia Attorney General’s office will “manage all further administration of the settlement.” Likewise, Felder discussed ways the funding will be used to help educate the Suffolk community on opioid abuse.

“This includes collaborating with Suffolk Public Schools, the Commonwealth Attorney’s Office, and the Western Tidewater Community Services Board on drug prevention education programs and treatment for residents with a substance use disorder,” he said. “Additionally, the 5th Judicial Circuit Recovery Court (Drug Court) and local substance use treatment centers play critical roles in treatment and recovery.”

On an overall payout to the city, Felder says there was “no amount specified as yet” due to the first step being focused on “securing locality participation in the Commonwealth.” Felder did confirm that payout will be stretched out for multiple years. As for what resources the funds can be used for, school-based prevention programs and community outreach efforts, in and outpatient treatment services, medication-assisted treatment (MAT), training for first responders and law enforcement on handling opioid incidents, public awareness campaigns and more were provided.

Sharing the South Hampton Roads regional perspective, Western Tidewater Community Services Board Associate Executive Director Brandon Rodgers says WTCSB is excited to see the collaboration between them, the cities of South Hampton Roads and Sentara, to bring much needed resources to communities in need. Noting their own plans, Rodgers says “frequent barriers” to accessing care for opioid and other substance use disorders include both transportation and education.

“In the proposed project, we’ll eliminate both barriers by bringing services on a mobile unit directly to those in need. Services include direct access to Medication Assisted Treatment, Assessment and Onboarding to outpatient and case management services at the CSB, Peer Support Services, and Prevention and Education Services to enhance community awareness,” Rodgers said. “This multi-layer approach to community-based care will help to build trust and make it easier for individuals to engage directly in the care that they need when they need it, without the additional burden of figuring out where to go and when.”

Rodgers continued, noting that the project follows feedback from town halls and listening sessions in the cities of South Hampton Roads, including Suffolk.

“It’s a great example of listening to community needs and transforming them into a vision that will directly impact each of the cities and their citizens,” he said. “We are extremely excited at WTCSB to be a part of every step of this process and to have another way to engage individuals with innovative ways to access care.”

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