In New Jersey, at least 25 towns have reportedly squandered millions of dollars from an opioid settlement, using the funds for extravagant purchases rather than crucial addiction services. Items bought include an electric Mustang, personalized jackets, and flashy concerts, rather than focusing on the vital support the funds were meant to provide.
The state has faced a grim toll from opioids, with around 30,000 lives lost and 150,000 people becoming addicted over the past decade. In 2021, New Jersey reached a significant settlement with major pharmaceutical companies, including Purdue Pharma and Johnson & Johnson. Initially, this agreement was met with optimism by experts and advocates, seen as a step toward restitution and a means to address the crisis, as reported by an outlet.
However, the $1.1 billion settlement, intended to be disbursed until 2040, has largely been redirected toward unnecessary expenditures rather than enhancing addiction services and preventive measures. Investigations reveal that since 2022, towns and counties have primarily used this money for their own desires, which is troubling to some experts and advocates.
John Armato, a former New Jersey assemblyman who lost his son to an overdose in 2020, voiced his outrage, stating, “This is blood money. Hundreds of thousands of people are dying because of this.”
Notable extravagant items include a $73,000 custom Mustang for the Atlantic City Police, along with $600,000 for awareness concerts in Irvington, and almost $150,000 paid to a non-profit in Camden to catalog broken streetlights.
Atlantic City received over $2.3 million from the settlement and used part of it to buy 30 monogrammed jackets, spending around $140,000 on clothing and program services. However, Irvington was criticized for spending $600,000 on two opioid awareness concerts—yet the materials provided didn’t offer information about treatment options or preventing abuse, according to a report from the state comptroller.
New Jersey municipalities apparently took advantage of vague language in the settlement guidelines, violating previous agreements and state laws. For instance, Camden spent $148,000 to document broken streetlights, claiming it was a measure to combat drug-related issues. In contrast, Manchester Township allocated $57,000 for a new vehicle intended for a school resource officer focused on addressing drug concerns in schools, while Lindenwold planned to spend some settlement money on a trailer for kids to play video games.
Sandy Gibson, an addiction researcher, expressed frustration over the misuse of funds, noting, “I’m trying to think of words that I would be willing to say… and I can’t think of ones that are safe to use.”
Alongside frivolous spending by some municipalities, others have been criticized for not using the funds at all. Reports show over $53 million has remained unspent in municipal accounts for up to three years. As of June 2025, Summit had nearly $1 million untouched, with its mayor citing the need for careful management of the funds. However, Gibson pointed out, “Your inaction tells us that is not a priority to you.”
Similarly, Aberdeen Township confirmed it has not spent any money despite receiving nearly $130,000 from the settlement. The lack of accountability surrounding these funds has caused concern. “Is there no accountability built into this process?” Gibson questioned.
In response to the situation, state Assemblyman Cody Miller plans to introduce legislation aimed at regulating the use of the opioid funds and ensuring greater oversight and transparency. He expressed anger upon learning how the funds were mismanaged, indicating that the ambiguity in the settlement terms has allowed such misinterpretations. Miller, whose family has faced addiction issues, sees an opportunity for municipalities to learn from this and hopes for a shift towards more appropriate spending aligned with the intended purpose of the funds.
