DES MOINES, IOWA (December 12, 2022) — Attorney General Tom Miller and other attorneys-general have finalized agreements with CVS and Walgreens over their role in the opioids crisis, which will provide Iowa $70.3 million. Under today’s agreements, CVS will pay $5 billion, and Walgreens will pay $5.7 billion, totaling $10.7 billion nationally.
“The opioid crisis is the deadliest drug epidemic in American history,” AG Miller said. “My colleagues and I have worked on a bipartisan basis to hold accountable the companies that created and fueled this crisis. Securing more than $10 billion from CVS and Walgreens nationwide means our states can provide more resources for the treatment and prevention of Opioid Use Disorder to those most in need.”
In total, the national amount of settlements based on investigations and litigation against the pharmaceutical industry has surpassed $50 billion. The total share for Iowa is expected to be approximately $320 million.
AG Miller and other AGs first disclosed agreements in principle with Walgreens and CVS in November. The AGs had accused the two largest pharmacy chains in the country of ignoring red flags over opioid prescriptions and failing to detect and prevent the abuse and diversion of the drugs. In addition to the financial settlement, CVS and Walgreens, along with Walmart earlier, have agreed to court-ordered injunctive relief that requires the pharmacies to monitor, report, and share data about suspicious activity related to opioid prescriptions. This court-ordered injunctive relief will help ensure a crisis like this does not happen again.
The terms of the agreements will now go to the states for their review. Each state will have until the end of 2022 to join, after which the Walmart, Walgreens, and CVS agreements will go to local governments around the country for sign-on during the first quarter of 2023. Iowa intends to join the agreements. Nearly all of the settlement funds must be used to remediate the opioid crisis, including prevention, harm reduction, treatment, and recovery services.
The payments are structured to ensure critical support in early years as well as sustained resources over time. Most of Walmart’s amount will be paid during the first year; CVS’s payments will be spread over ten years; Walgreens' payments will be spread over fifteen years. If there is sufficient sign-on, payments will begin during the second half of 2023.
AG Miller’s office was one of the leaders in the negotiations.
For information on other opioid settlements by the Iowa Attorney General visit here.
Find Help
If you or a loved one suffers from Opioid Use Disorder, go to IowaOpioidHelp.com to find treatment centers and other resources across the state. The Iowa Attorney General’s Office launched the site in September to provide Iowans with a path to recovery.
“Most people do not realize that addiction to opioids is treatable and that Iowans suffering from Opioid Use Disorder can successfully regain control of their lives,” AG Miller said. “There is help and hope available right now.”
