Indiana’s Opioid Settlement
Funding distribution at risk if localities opt out
It has been well documented by Mental Health America of Indiana that the previous Legislative Session was a huge success for mental health advocates. The Indiana General Assembly restored previous cuts to mental health, including Recovery Works; added an additional $100M for mental health and addiction services; and added language to ensure that the opioid settlement dollars would be used for treatment, education, and prevention for opioid use disorder and co-occurring substance use disorder or mental health issues.
In fact, Indiana could receive a historic $507 million opioid settlement, as part of a $26 billion multi-state agreement that will help bring desperately needed services to people across the country who are struggling with opioid addiction. The agreement also requires significant industry changes that will help prevent this type of crisis from ever happening again.
The agreement is not final however, as states have 30 days to sign onto the deal and local governments have an additional period to join. Clearly, the state and local governments will receive the maximum payment amounts if they join in support of the agreement. Of course, Indiana anticipates signing the agreement, ensuring that Indiana local governments will be eligible to participate. Indiana’s share will be distributed among the State and local governments pursuant to the language in Budget Bill (HB 1001) advocated for by Mental Health America of Indiana. As a result of this language, 70% of all proceeds must be used for treatment, education, and prevention programs for opioid use disorder and co-occurring substance use disorder or mental health issues. We must ensure that this funding is distributed to those affected by substance use and co-occurring mental health disorders.
Local governments that are currently litigating are provided the ability to opt out of the state’s opioid plan, but they can opt back into the state’s plan within 60 days of opting out. Indiana stands to receive approximately $507 million (the maximum amount) with all local governments on board. If the local governments remain outside of the state plan, Indiana will lose a combined $237.9M in the total settlement.
Mental Health America of Indiana is urging all localities to opt back into the state settlement plan to maximize the funding available to ensure that it will be used for treatment, education, and prevention programs for opioid use disorder and co-occurring substance use disorder or mental health issues.
If your locality is listed below, contact the appropriate community leaders with the email addresses provided at the link and urge them to opt back into the state opioid settlement plan: