A 5588 — Expands oversight and transparency of funds received by State and local entities due to national opioid settlements.

Summary

National opioid settlements-expand oversight & transparency of funds

Bill Text

AI-generated reading aid from the bill's amendatory text — verify against the official bill.

This bill amends 3 section(s) of the New Jersey statutes: N.J.S.A. 26:2G-39; N.J.S.A. 26:2G-40; N.J.S.A. 26:2G-41.

• N.J.S.A. 26:2G-39

  During review of these reports, the department shall determine each county's compliance with the provisions of subsection i. of this section and shall ensure, if necessary, that all applicable funds are returned or reimbursed in accordance with that section. h. Any moneys allocated to or otherwise received by the State or any of its counties or municipalities as a result of a national opioid litigation resolution, and subsequently distributed in accordance with subsection e. of this section, shall be expended within 18 months of receipt by the recipient unless the intended use of such funds is for a multi-year project, under which circumstance the funds shall be expended according to a pre-determined timeline approved by the Department of Human Services or the applicable oversight entity of the county or municipality. If, after 18 months or the conclusion of the pre-determined timeline for multi-year projects, the moneys are not expended, the recipient shall either: (a) seek approval from the Department of Human Services or the applicable oversight entity of the county or municipality for an extension; or (b) return the moneys to the "Opioid Recovery and Remediation Fund" or the applicable county or municipality fund for redistribution. i. (1) A State executive branch department, division, or entity; a county or municipality located in the State; or a third-party entity, allocated, or otherwise in receipt of, moneys as a result of a national opioid litigation resolution shall be required to reimburse the "Opioid Recovery and Remediation Fund" or the applicable county or municipality fund of any moneys that are not expended in accordance with subsection e. of this section, as provided for in this subsection. (2) If the Department of Human Services, the State Comptroller, the Attorney General, or the applicable oversight entity of a county or municipality determines that moneys allocated to or otherwise received by a State executive branch department, division, or entity; a county or municipality located in the State; or a third-party entity, as a result of a national opioid litigation resolution, were not expended in accordance with subsection e. of this section, the applicable oversight entity shall inform the recipient in writing of the determination. This notice shall include: the amount of funds that were determined misused; an explanation of how the funds were misused and any documentation to support the determination; and instructions on how the recipient is to reimburse the "Opioid Recovery and Remediation Fund" or the applicable county or municipality fund. The recipient shall have 60 days from the receipt of this notification to reimburse the misused funds. At any point during the 60-day period, the recipient may apply to the applicable oversight entity for an extension to the initial deadline on which the misused funds are to be reimbursed. If approved by the applicable oversight entity, the recipient shall have until the new deadline to reimburse the funds, which deadline shall be provided to the recipient in writing. The applicable oversight entity shall use discretion in approving multiple extension requests from the same recipient. j. If a State executive branch department, division, or entity; a county or municipality located in the State; or a third-party entity, having received moneys as a result of a national opioid litigation resolution, determines that all or a portion of the funds cannot be spent in accordance with subsection e. of this section, the recipient shall be permitted to return the funds to the "Opioid Recovery and Remediation Fund" or the applicable county or municipality fund. Such funds shall be redistributed for purposes permitted under subsection e. of this section.

  amended

• N.J.S.A. 26:2G-40

  . The may, but not , to counties and municipalities those counties and municipalities → No member shall take any official action or make a recommendation on any matter in which the member has a direct or indirect financial interest. , which support shall constitute an administrative cost of the "Opioid Recovery and Remediation Fund." Upon the request of a county or municipality for guidance, the the county or municipality In order to fulfill the provisions of this paragraph, the council shall establish a formal process by which a county or municipality may request guidance from the council. (3) The council shall establish a training program, no less than 12 months after the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), designed to educate counties and municipalities on the approved uses of opioid settlement funds, consistent with the terms of all applicable national opioid litigation resolutions and any applicable agreement entered into pursuant to section 3 of P.L.2023, c.25 (C.26:2G-41), and in accordance with subsection e. of section 1 of P.L.2023, c.25 (C.26:2G-39). The training shall clearly define "evidence-based" and "evidence-informed" practices, and shall be led by a trainer, in real-time, either in person or via remote technology. The council shall provide the training program to a county or municipality that receives proceeds from national opioid litigation resolutions at least once within 24 months of the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), and upon request thereafter.

  amended

• N.J.S.A. 26:2G-41

  Such agreements shall include provisions reflecting the requirements outlined under subsections h., i., and j. of section 1 of P.L.2023, c.25 (C.26:2G-39).

  amended

Action History

1. October 05, 2026

   INT 1RA REF AOF

Sponsors

• Cody D. Miller · Primary
• Alexander Schnall · Primary
• Dan Hutchison · Cosponsor

Subjects