New Jersey towns spend opioid settlement funds on luxury items instead of treatment

A recent probe revealed that more than two dozen New Jersey towns have squandered portions of the $1.1 billion opioid settlement on extravagant purchases, including a $73,000 wrapped Mustang for the Atlantic City police, $600,000 for two awareness concerts in Irvington, and nearly $150,000 paid to a Camden nonprofit for street-light inspections. The settlement, reached in 2021 with major pharmaceutical manufacturers, was intended to finance addiction treatment, prevention and recovery programs across a state that has recorded roughly 30,000 opioid deaths.

While some municipalities have spent the money on questionable items, others such as Summit and Aberdeen Township have hoarded funds for years, awaiting compliance guidance. Critics, including former Assemblyman John Armato, called the spending “blood money” and warned that the misallocation contributes to ongoing fatalities. State Assemblyman Cody Miller announced plans to introduce legislation to tighten oversight and transparency of settlement expenditures. The findings highlight a lack of clear guidance and accountability in the distribution of the funds.