What Addiction Costs the State

New report details financial effects of alcohol and drug abuse

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By Kate McPherson
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Story Created: Oct 26, 2012 at 7:36 AM AKDT

Story Updated: Oct 31, 2012 at 10:46 AM AKDT

ANCHORAGE - A recent report by the McDowell Group says alcohol and drug abuse cost Alaska's economy $1.2 billion in 2010.

"I don't think people think about it being an economic cost to anyone other than the individual who’s drinking or using,” said Rosalie Nadeau, C.E.O. of Akeela.

“It's a real cost to all of us,” she said.

The state contracted the McDowell Group to look into the costs to help policy makers find better solutions to the problems of substance abuse.

The single largest economic cost of alcohol and drug abuse is premature death, which led to $424.1 million in lost productivity in 2010.

“So those are all Alaskans that, if they weren't experiencing a substance use disorder or were in recovery, they would be able to contribute to our communities and our economy,” said Kate Burkhart, Executive Director of the Advisory Board on Alcoholism and Drug Abuse for the State of Alaska.

The report also says diminished productivity as a result of mental or physical impairment from alcohol and drug abuse totaled $174 million in 2010.

And with addiction comes crime.

It cost the state $217.7 million to arrest, investigate, prosecute and incarcerate people who committed crimes attributed to alcohol and drug abuse in 2010.

The report says in 2010, there were 18,296 arrests in Alaska attributed to alcohol and drug abuse and 1,529 incarcerations.

Experts on the front line of rehabilitation say treatment for those suffering from addiction is a way to save money in the long run.

“We talk about treatment, we talk about rehabilitation, we look at those kinds of things – yes they cost money. They don't cost anywhere near the money it costs, out of the pocket of taxpayers, to put people in prisons and to take care of their children and ultimately to take care of them,” said Rosalie Nadeau of Akeela.

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hey ask todd and sarah said on Friday, Oct 26 at 9:08 AM

if your out they might know where to get it....they got barrels of it...

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BobD said on Friday, Oct 26 at 10:06 AM

Just love the cute little phrases such as " substance use disorder ". Or the popular " it's a disease "..It's an individual choice , period..The " phrases " are simply a way of shifting blame away from the person that chooses to drink or do drugs..Tired of it !

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lisa said on Friday, Oct 26 at 12:53 PM

i agree, it is an individual choice. besides the children, why does it cost us to put them away or investigate. put the bill on them, apparently they have money for drugs and alcohol, that stuff is not cheap. and as far as rehab,,, big joke. some of these people go in and out of rehab so wake up it doesnt work. i dont they will ever stop abusing the stuff but it shouldn't fall on every one elses plate. i work in a clinic that has a mental health area and they drink and are just as bad the the people that go see them. so there is no solution except jail or they kill themselves from it.

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WHO said on Friday, Oct 26 at 6:56 PM

Its not just drugs and alcohol, the State of Alaskas biggest abuse is gambling and gaming. Even our hospitals seem to identify and try make ppl aware of the problem. Its one of our biggest weakness. The mental illness needs to be exposed. Come on State workers atleast try do study on it and research...Its the worst abuse and poverty curse we Alaskans have...And most blind to,denied problem>

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WHO said on Friday, Oct 26 at 6:59 PM

I ment to say our hospitals dont even identify this problem in our behavior health program's... gettin real close to sue State and Local city goverments on this issue.

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EA, Kenai said on Monday, Oct 29 at 1:17 PM

There is value in a decent headline. Um, is anybody really addicted to the State??

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