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NH Could Save $227M. Annually By Helping Substance Abusers

Published Friday Nov 21, 2014

NH could save $227 million a year by helping people with substance use disorders. "The Corrosive Effects of Drugs and Alcohol on New Hampshire's Workforce and Economy", a newly released report from PolEcon Research in Dover, itemized the substance misuse costs to businesses, criminal justice, health care, and other costs.

Alcohol and drug misuse cost the Granite State over $1.84 billion in 2012, according to the report.

"For every dollar that New Hampshire gains from the sales of liquor and wine and taxes on beer, $12 in costs are incurred because of alcohol misuse impacts," said economist Brian Gottlob, author of the report.

The report goes on to say, more than 100,000 people in NH suffer from substance use disorders, but only 5,900 received substance misuse treatments in 2012. There's only one state (Texas) where an individual who needs substance misuse treatment is less likely to get treatment than NH.

"Doubling the number of individuals in New Hampshire in need of treatment for substance misuse who receive treatment would still mean that only about 12 percent of those in need would receive treatment and would come at an additional cost of approximately $15 million ($30 million total cost)," the PolEcon report reads. "Based on thorough cost benefit studies, however, this increase in treatment can be expected to lower substance misuse costs in the state by as much as $227 million annually."

Under current law, a percent of profits from NH's sale of alcohol are required to fund alcohol prevention and treatment services (The Alcohol Fund). The Alcohol Fund law has been repeatedly suspended by state budget writers, so the profits aren't fully funding prevention and treatment.

The PolEcon report concludes that larger reductions in the number of individuals in NH who misuse alcohol or drugs, through prevention, treatment, and recovery support could provide a powerful boost to the productive capacity of the NH economy. Click here for the report.

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