Billion-dollar settlement reached with Kroger over role in opioid crisis

PRESS RELEASE
MICHIGAN ATTORNEY GENERAL DANA NESSEL
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Michigan Attorney General Dana Nessel is encouraging municipalities to join a $1.2 billion national settlement with Kroger to resolve allegations that the company contributed to the opioid epidemic. Michigan governments will receive nearly $42 million from the settlement over 11 years to address the opioid crisis.

“The opioid crisis has devastated our communities and changed men, women and children forever,” Nessel said. “While this settlement cannot erase the profound impact the opioid epidemic continues to have on our state, it is an important step toward holding corporations accountable for the harm they have caused. I urge every eligible municipality to register to receive these funds so this settlement can effectively reach our communities and help those who need it most.”

The deadline for local governments and counties to register to receive funds from the Kroger settlement is Monday, Aug. 12. The settlement allows eligible local government units in Michigan, designated as subdivisions in the settlement agreement, to participate. If there is sufficient local government participation, the agreement should go into effect in early fall.

According to the Michigan Department of Health and Human Services, Michigan’s opioid death rate increased an average of 13.9% per year between 2000 and 2020. These deaths, and the impact on thousands of people struggling with opioid addiction, have placed significant costs on our health care, child welfare, and criminal justice systems. More important than the dollars and cents in damage to our state is the impact of opioid addiction, substance abuse, and overdose deaths, which has torn families apart, damaged relationships, and devastated communities.

Since taking office in 2019, the Attorney General, who recently launched a website dedicated to the distribution of opioid settlements, has focused intensely on combating the opioid epidemic and holding those responsible for creating and fueling the crisis accountable. This effort has resulted in more than $1.6 billion for Michigan governments through settlements with Publicis, McKinsey & Co., distributors (Cardinal Health, McKesson, Inc. and AmerisourceBergen), Janssen Pharmaceuticals, Teva Pharmaceutical, Allergan Pharmaceutical, CVS, Walmart and Walgreens. Funds are distributed to state and local governments for opioid addiction treatment and remediation. The website includes an updated Opioid Settlement Payment Estimate Worksheet that now includes estimates for the Kroger settlement.

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