September 4, 2025

Texas Secures $720 Million Opioid Settlement for Local Governments

News Summary

Texas has announced a significant $720 million multistate settlement with pharmaceutical companies involved in the opioid crisis. Attorney General Ken Paxton revealed that this funding will allocate approximately $45.5 million specifically for local governments to enhance recovery efforts. The settlement will focus on addiction treatment and prevention as communities continue to grapple with the opioid epidemic. Key companies, including Mylan, will contribute substantial amounts over the coming years. The new restrictions on opioid marketing aim to prevent future crises, marking a pivotal moment in Texas’s fight against opioid addiction.

Texas has secured a significant $720 million multistate settlement with eight pharmaceutical companies due to their pivotal role in the ongoing opioid crisis. This settlement, announced by Texas Attorney General Ken Paxton, is expected to provide local governments within the state with approximately $45.5 million.

The pharmaceutical companies involved in the settlement include Mylan (now operating as Viatris), Hikma, Amneal, Apotex, Indivior, Sun, Alvogen, and Zydus. This multistate agreement forms part of broader litigation efforts addressing the accountability of drug manufacturers, distributors, and pharmacies in relation to the opioid epidemic.

As part of the settlement, local Texas governments are invited to sign on during a designated sign-on period to ensure they receive their share of the funds. The majority of financial resources from the settlement are earmarked for addiction treatment and prevention programs. This allocation aims to turn the tide on the overwhelming public health crisis brought about by opioid misuse.

A detailed breakdown of the payment schedule reveals that Mylan will disburse over $284 million over a nine-year period, whereas Zydus is responsible for paying $14.9 million in a single year. Additionally, seven of the involved pharmaceutical companies will now be subject to new restrictions, including a prohibition on marketing opioid products, the manufacture or sale of any pills containing more than 40 mg of oxycodone, and the implementation of a monitoring system for suspicious orders. Indivior has agreed to cease the manufacturing or selling of opioid products for the next decade but retains the ability to market medications that treat opioid use disorders.

To date, Texas Attorney General Ken Paxton has successfully secured nearly $3.34 billion from various opioid-related settlements. These settlements have previously funded a range of addiction programs throughout the state. For example, Travis County has received $1.76 million in the last two years dedicated to reducing opioid use and addressing the crisis on a local scale.

Recent data underscores the urgency of addressing this crisis, with specific Texas counties reporting alarming increases in drug overdose incidents linked to opioids. Bexar County noted that over 40% of drug-related deaths in 2023 were associated with opioid use, highlighting the ongoing public health challenge posed by these substances.

The implementation of the recent settlement funds will support initiatives such as medication-assisted treatment and other recovery programs aimed at helping communities grappling with the effects of the opioid epidemic. These funding efforts are part of a broader strategy to counteract the substantial damage inflicted by opioid misuse, offering communities the resources needed to build effective recovery systems.

The opioid crisis has not only devastated individual lives but has also strained healthcare resources and impacted local economies across Texas. The state’s commitment to holding pharmaceutical companies accountable through legal measures is seen as an essential step in rectifying the harms caused by past negligence in the industry and fostering a healthier future.

In conclusion, Texas’s recent settlement is a landmark achievement in the fight against the opioid epidemic, with a promise of funding directed toward initiatives designed to heal and support communities affected by addiction. The state continues to strive toward a comprehensive approach to public health crises related to drug overdoses, responding to the dire need for improved addiction treatment and support systems.

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Author: STAFF HERE GEORGETOWN

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