WICHITA, Kan. (KSNW) — Kansas is getting more money to help fight substance abuse after settlements with two pharmaceutical companies.
On Friday, Kansas Attorney General Derek Schmidt announced that his office has secured at least $28.4 million in a legal settlement with Teva and at least $16.9 in a legal settlement with Allergan over opioid epidemic allegations.
Schmidt says the settlements resolve allegations that the companies contributed to the opioid addiction epidemic.
The more than $45 million for Kansas is part of the $6.6 billion the two settlements will provide nationally. The settlements will go to the participating states to review, allowing for certain additional parties to join during the first quarter of the year.
Schmidt says that as part of the settlement, Teva will stop promoting or lobbying for opioid products, monitor and report off-label use of fentanyl products, share clinical data through a third-party archive, disclose its records to a third-party repository, and pay for an independent monitor to ensure compliance with the settlement. Allergan has agreed to exit the opioid market entirely.
Schmidt is in his final days as Kansas attorney general. Kris Kobach will take over the role next week.
During his time as attorney general, Schmidt says his office has recovered from 11 defendants more than $340 million for Kansas related to unlawful opioid manufacturing, marketing and distribution.
Schmidt has reached settlements with the following:
— Cardinal Health, Inc., McKesson Corporation, and AmerisourceBergen Corporation (distributors) – $153,002,437.92
— Johnson & Johnson – $35,184,155.44
— Teva – $28,405,105.74
— Allergan – $16,909,682.36
— McKinsey & Company – $4,805,800.46
— CVS Pharmacy – $37,416,332.23
— Walgreens Pharmacy – $40,695,230.06
— Walmart Pharmacy – $21,190,065.47
— Mallinckrodt – at least $6 million
“We have worked tirelessly to hold these companies accountable for the addiction and human suffering caused by years of their unlawful business practices,” Schmidt said in a news release. “By reaching these settlements, we have the opportunity to make generational changes in the lives of Kansans and communities that have been harmed by the tragic and often deadly consequences of drug addiction. In addition to restoring broken lives, our state has significant resources to address one of the root causes contributing to crime and other social issues.”
Kansas also is engaged in ongoing investigations and negotiations with other companies the state believes played a role in illegally fueling opioid addiction.
Under the Kansas Fights Addiction Act, money recovered by the attorney general under opioid litigation will be used to address substance abuse and help ensure addiction services are provided throughout the state. The money will be available through a grant review board created by the statute.
State agencies, local governments and not-for-profit entities may apply for addiction treatment and abatement funding through the board. Additional information on the grant application and review process will be announced soon.