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Advocates warn against reallocating opioid settlement funds; urge continued support for harm-reduction programs
Summary
Multiple harm-reduction providers and public-health groups told the subcommittee that proposed reductions to opioid settlement-funded programs (the California overdose prevention and harm reduction initiative) would endanger proven naloxone distribution and syringe-service programs.
Dozens of public commenters — including harm-reduction program managers, statewide advocacy organizations and county public-health representatives — urged the Assembly Budget Subcommittee on Health to restore or maintain opioid-settlement funding directed to community harm-reduction programs.
Why it matters: Speakers said the initiatives funded by opioid settlement dollars (identified in testimony as COFRE/COFRI or the California overdose prevention and harm reduction initiative) produce demonstrable overdose reversals and other protective services. Several witnesses said the programs are highly cost‑effective, reach marginalized communities and serve as bridges to treatment.
What witnesses told the subcommittee: - Sarah Whipple, identified as co-director of the Yuba Harm Reduction Collective, said that "since 2018, over 190,000 lives have been saved by Californians who received naloxone from a harm reduction program," and asked that COFRE funding not be cut. - Laura Thomas of the San Francisco AIDS Foundation said that while recently filed bankruptcies have reduced some settlement revenues, "there's still around $4,000,000,000 coming to the state of California through the opioid settlement funds" and that moving $9 million away from COFRI would undermine overdose-prevention efforts. - Greg Gardner of Drug Policy Alliance said community-based programs accounted for 56 percent of overdose reversals reported to the state naloxone program last year and urged investment rather than cuts. - Other commenters (program directors from Sacramento, Nevada County and multiple advocacy organizations) provided local outcomes: counts of syringes safely disposed, naloxone reversals, and reductions in local overdose fatalities attributed to program services.
Department and finance context: During the hearing, Department of Finance staff noted that bankruptcy filings and court restructurings can reduce or delay settlement payments to states. Witnesses asked for a clearer accounting of which companies filed for bankruptcy and the expected shortfall relative to budgeted settlement receipts.
Committee takeaway: Multiple subcommittee members asked the administration for more precise information about the settlement revenue trajectory. Advocates asked legislators not to reallocate the $8.4 million (figure cited by some witnesses) proposed for reduction and to preserve the set-aside for community harm-reduction programs.
