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$500K from drug settlements up for grabs

With payments for next 18 years, Franklin County looking for groups to use the funds

SARANAC LAKE — Franklin County has around half a million dollars it is ready to give to local organizations working in the field of addiction treatment, the product of several lawsuit settlements New York state has reached with the manufacturers, distributors and sellers of opioids.

Franklin County Community Services Director Suzanne Lavigne said organizations and agencies can apply for a piece of this funding from the Franklin County Community Services office by May 19 and the money will be distributed by June 30. She added that the allowed uses for this money are “very broad.”

In March 2019, state Attorney General Letitia James filed what she calls “the nation’s most extensive lawsuit to hold accountable the companies responsible for the opioid epidemic.”

The settlements the state reached with these companies let the companies not admit to wrongdoing, but required hundreds of millions of dollars in payments to the state, bringing in over $1.6 billion to the state.

In the next 18 years, that money will be distributed by James’ office and the state Office of Addiction Services and Supports to municipalities like Franklin County in varying amounts.

This year, Franklin County is receiving $512,876 and Lavigne said they are already getting that funding from the state.

It’s not taxpayer money. It’s money directly from the massive corporations responsible for producing and selling the drugs that fuel the opioid epidemic.

The state is requiring these funds be used for efforts related to substance use disorder treatment — recovery, harm reduction and prevention. Lavigne said this unique funding is a “historic opportunity” and the county is “open to all sorts of ideas” on how to use it.

“So many times, funds come into the county that have a very specified purpose and we can only go in that one avenue,” Lavigne said. “This has many, many options.”

She hopes money can be used to expand nursing services, expand services at the jail, support housing shelters like Samaritan House in Saranac Lake or “big projects” like creating housing opportunities for people with opioid use disorder.

Lavigne said faith-based organizations, youth organizations, community organizations and non-profits are eligible for part of the funds.

The state established an Opioid Settlement Fund Advisory Board in 2021 to oversee and make recommendations on the use of funds. The website for this board can be found at https://on.ny.gov/40os2r8.

The board has recommended uses for the money, including harm reduction, treatment services, housing, recovery, prevention, transportation, public awareness and research.

“These categories are especially focused on those at risk of or living with an opioid use disorder,” Lavigne said.

There are specific examples of approved uses set by the state at https://bit.ly/3KHIRaK starting on page 14 under “Schedule C” and https://bit.ly/3KQeWNK under “Schedule A.”

The county has set up a committee of stakeholders to evaluate and approve funding requests. Its members are Lavigne; county Manager Donna Kissane; county Legislators Andrea Dumas and Nedd Sparks, county Community Services Board Chair Joe Keegan, who is also president of North Country Community College; Jeff Plumley from the CSB board; county Public Health Director Katie Strack and county Social Services Director Michelle Mulverhill.

Lavigne said they’ve only received one application for funding so far, from Community Connections of Franklin County, a mental health agency in Malone. She said committee members may directly reach out to some organizations.

To request an application, call the county Community Services office at 518-891-2280.

Organizations applying do not need to be licensed or certified by OASAS or the state Office of Mental Health. The funds cannot be used to supplant or duplicate other forms of funding and the funds are required to be used from July 1, 2023 to June 30, 2024.

The state’s settlements with opioid companies include $230 million from Johnson & Johnson; $1.1 billion from three of the nation’s largest drug distributors — McKesson Corporation, Cardinal Health Inc. and Amerisource Bergen Drug Corporation; $200 million from Allergan Finance; $22.3 million from Endo and $32 million from McKinsey & Company, according to the attorney general’s office. Some of the state’s lawsuits with other companies are still going through the courts.

The website opioidsettlementtracker.com estimates that settlements between opioid corporations and governments currently total $54.07 billion globally.

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