‘One Arizona Agreement’ Designates CCHHS as Lead Agency for Opioid Settlement Fund Distribution

National opioid settlement funds from opioid manufacturers and distributors are being allocated to states, counties, and municipalities, including Coconino County.

COCONINO COUNTY — Ninety Arizona cities and towns and all 15 Arizona counties signed onto a framework in August 2021 called the One Arizona Memorandum of Understanding, now known as the One Arizona Agreement.

The current settlement involves opioid distributors McKesson Corporation, Cardinal Health, Inc., and AmerisourceBergen Corporation, and pharmaceutical companies Johnson & Johnson-Janssen, Ortho-McNeil-Janssen, and Janssen.

A $26 billion settlement was reached for those corporations’ roles in the opioid crisis. As part of this settlement agreement to address the opioid epidemic, Arizona and its political subdivisions will receive $542 million over a period of 18 years. Allocations include 56% of funds to local governments and the remaining 44% to state programs.

Coconino County’s share in the settlement is estimated to be approximately $4 million, which will be distributed among local governments to fund programs to aid in treatment, prevent overdose deaths, and reduce other harms caused by substance use.

The One Arizona Agreement designates Coconino County Health and Human Services (CCHHS) to serve as the lead agency responsible for distributing local government funds. To ensure processes are in place for compliance with the settlement requirements, the Coconino County Board of Supervisors (Board) has authorized CCHHS Director Kim Musselman to distribute the local government share of funds to cities and towns within Coconino County, and sign and submit required annual reports as part of the One Arizona Agreement.

Funds must be spent in accordance with approved, nationally recognized strategies to pay for future costs incurred by the state and local governments to address the opioid epidemic. Coconino County will pursue three areas of focus including prevention, recovery, and reporting. Approved uses include expenses related to the treatment of opioid use disorder, support for people in treatment and recovery, support for people who have or are at risk of developing opioid use disorder, and prevention of overuse and misuse of opioids.

Coconino County recently received four payments as part of the One Arizona Agreement for the first two of 18 years. The Board provided approval for the distribution of settlement payments to cities and towns in Coconino County.

In addition, the Board approved participation in five new national opioid settlements with defendants Teva, Allergan, CVS, Walmart, and Walgreens and authorized the County Attorney to sign and submit the required participation forms, which upon completion will likely result in an additional $3.1 settlement to Coconino County.