IT’S ABOUT TIME –
Feb. 6, 2026 – Bills to tax alcohol and redirect opioid tax revenue to fund substance use disorder treatment are wending through the state Legislature, As the state opens new avenues for people to drink, lawmakers are proposing to tax those same sales to pay for addiction treatment — an acknowledgment that expanding access will likely create more people who need help.
State Sen. Nathalia Fernandez introduced three bills that would establish a 5% excise tax on retail alcohol sales and redirect existing opioid tax revenue into the state Drug Treatment and Public Education Fund. The legislation would create what she calls the SUPER Initiative — Substance Use Prevention, Education and Recovery.
The timing reflects two colliding realities: New York is expanding regulated markets for addictive substances while federal funding for treatment services has become increasingly unstable. The administration of President Donald J. Trump attempted to cut Medicaid funding for behavioral health services multiple times in recent months, creating what Fernandez described as a “limbo” for treatment providers before courts intervened.
“The federal government has attempted to cut and thankfully, court involvement has put it back, but it’s been such a limbo back and forth that this would again create stability that we need in this area of our budget,” Fernandez said.
