US opioid crisis: Drug firms say states back $26B payout
September 5, 2021
After striking a historic deal with prosecutors over the opioid epidemic, US drug giants said "enough" states have shown support for the settlement to proceed.
The proposed agreement is the second-largest cash settlement in US historyImage: Medea Film
Johnson & Johnson and three other large US drug distributors had struck a deal with state prosecutors to pay out more than 3,000 lawsuits that accused them of fueling opioid addiction in the country.
The drug firms had until Saturday to decide whether enough states backed the $26 billion (€22.4 billion) payout to move ahead on settling the amount.
On the front line of the opioid epidemic in the US
Cheryl, a 71-year-old woman from Phoenix, has adopted her 3-year-old great-grandniece Jessie, who was an addict before she was even born, suffering from drug withdrawal symptoms at birth. Eline van Nes reports.
Image: Reuters/B. Snyder
Going out for the day
While Jessie sits in her car seat, Cheryl takes out the baby stroller to be able to push Jessie around through the shopping mall. Cheryl doesn't take Jessie to the mall often because it's tiring to go on these trips. She prefers staying at home, or they go to the nearby playground. They often visit Jessie's biological sister who lives two doors down.
Image: DW/E. Van Nes
Catching her breath
Raising a 3-year-old as a 71-year-old is a lot to ask for. The number of grandparents taking care of their grandchildren in the US because their parents are addicted to drugs, specifically opioids, is increasing. According to recent studies, around 12 percent of children in Arizona live with relatives, almost 9 percent of those live with their grandparents.
Image: DW/E. Van Nes
Sitting on a bunch of admin
On July 9, the Supporting Grandparents Raising Grandchildren Act was signed into law. It's designed for grandparents who need information and assistance on issues in dealing with legal custody, available social services, and mental health counseling. One problem, however, is that relatives who take care of a child don't get the same amount of financial support that foster care families do.
Image: DW/E. Van Nes
A little joy goes a long way
Jessie was apprehensive about riding the merry-go-round for the first time. When Cheryl was buying the tickets, the vendor asked about Jessie. Cheryl said that Jessie was her own daughter. She thinks Jessie's biological mother is still alive, but doesn't know where she is or if she's in rehab. "The last time she was seen was in the fall of last year. Rumor has it that she was in Mesa."
Image: DW/E. Van Nes
Finding a way to make it work
Cheryl knows that because of her age she probably won't be around when Jessie grows up. She has some physical problems and Jessie does wear her out, but she doesn't see a problem there. She believes it's important Jessie is around family and not in the care of strangers. Her son will take care of Jessie after Cheryl's gone.
Image: DW/E. Van Nes
Sunday school
Every Sunday, Cheryl and Jessie go to a Presbyterian church. Jessie is too young to attend the sermon so she goes to Sunday school. After the sermon, Cheryl and Jessie join other families for snacks in a large auditorium. The church has always been supportive of Cheryl. She has lost three husbands and a son due to a drug overdose. Cheryl believes taking care of Jessie is her last calling.
Image: DW/E. Van Nes
Pushing Mommy around
Cheryl has permanent damage to her back and also suffers from arthritis in her hands and sciatica in both legs. She wears a back brace to help relieve the pain. To be able to cope with the pain, she takes painkillers and other medicines. She can't do without — especially with a young toddler pushing her around.
Image: DW/E. Van Nes
It's my party
It's Jessie's third birthday. Only a few guests have been invited, so that it doesn't get too busy for Jessie. Jessie's mother had two other children: Jessie's older sister, who's in the care of Cheryl's brother and his wife. But they couldn't handle more than that. Jessie's little brother has been adopted by a foster family.
Image: DW/E. Van Nes
Taking it easy
Just before Jessie's mother went into labor, she had another hit of methamphetamine. After Jessie was born she was crying and screaming and twitching — typical withdrawal signs. Since then, Jessie has had to cope with a raft of health problems as a result of the drug abuse during pregnancy. Doctors are still monitoring her to see if there is any permanent damage.
Image: DW/E. Van Nes
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What is the settlement?
At least 42 states, five territories, and Washington D.C. have signed on to the agreement, distributors said.
Drug distributors McKesson, AmerisourceBergen, Cardinal Health are expected to pay a combined $21 billion. Johnson & Johnson will pay $5 billion.
The distributors will make their annual settlement into escrow on or before September 30. The final amount will vary on several factors, including the final participation rate of states and political subdivisions.
North Carolina Attorney General Josh Stein, a lead settlement negotiator, said state backing showed a "remarkable show of unity and commitment across the country to address the problem" of opioid addiction.
He called on local governments to sign the deal. This would be the final step to seal the deal on the way in which the settlement money is distributed into local communities within states.
Local governments have until January 2 to decide whether they would like to participate.
Alabama, Georgia, Nevada, New Mexico, Oklahoma, Washington and West Virginia have not supported the settlement, according to Reuters news agency.
The drug giants in July said they "strongly dispute the allegation made in the lawsuits," but that the settlement was an important step toward resolution.
The settlement is meant to finance prevention and treatment programs in local communities.
