THE ECONOMIC COSTS OF ALCOHOL MISUSE IN ALASKA 2019 UPDATE PREPARED FOR: January 2020 The Economic Costs of Alcohol Misuse in Alaska 2019 Update PREPARED FOR: January 2020 McDowell Group Anchorage Office 1400 W. Benson Blvd., Suite 510 Anchorage, Alaska 99503 McDowell Group Juneau Office 9360 Glacier Highway, Suite 201 Juneau, Alaska 99801 Website: www.mcdowellgroup.net Table of Contents Executive Summary ............................................................................................ 1 Introduction and Purpose ................................................................................ 1 Big Picture .................................................................................................. 1 Alcohol Consumption ..................................................................................... 2 Contributing Cost Factors ................................................................................ 2 Productivity Losses................................................................................................. 2 Vehicle Traffic Collisions .......................................................................................... 3 Criminal Justice and Protective Services ....................................................................... 4 Health Care ......................................................................................................... 4 Fetal Alcohol Syndrome/Fetal Alcohol Spectrum Disorder ................................................... 5 Public Assistance and Social Services ........................................................................... 6 Cost of Underage Drinking in Alaska ............................................................................. 6 Impacts of Alcohol Sales .......................................................................................... 7 Introduction and Methodology ............................................................................... 8 Purpose ..................................................................................................... 8 Report Organization ...................................................................................... 8 Methodology, Definitions, and Data Sources .......................................................... 9 Chapter 1. Alcohol Consumption in Alaska ..................................................................... 9 Chapter 2. Productivity Losses .................................................................................. 10 Chapter 3. Vehicle Traffic Collisions ........................................................................... 12 Chapter 4. Criminal Justice and Protective Services ........................................................ 14 Chapter 5. Health Care ........................................................................................... 16 Chapter 6: Fetal Alcohol Spectrum Disorder .................................................................. 16 Chapter 7. Public Assistance and Social Services ............................................................. 17 Chapter 8. Underage Drinking ................................................................................... 18 Chapter 9. Employment and Income from Alcoholic Beverage Manufacturing and Sales in Alaska .... 18 Chapter 10. Taxes Generated from Alcohol Use .............................................................. 18 Chapter 11. Implications of Alcohol Misuse Impacts on the State Budget ................................ 18 Abbreviations ...................................................................................................... 19 Chapter 1: Alcohol Consumption and Prevalence in Alaska ......................................... 21 Alcohol Consumption Trends .......................................................................... 21 Types of Alcohol Consumed...................................................................................... 22 Alcohol Consumption Compared with Other States .......................................................... 22 Binge Drinking in Alaska ................................................................................ 27 Current Consumption Rates and Binge Alcohol Use (2016-2017) ........................................... 27 Current and Binge Alcohol Misuse by Age Group.............................................................. 28 Alaska and National Prevalence Trends in Current and Binge Alcohol Use ............................... 29 Co-Occurrence Disorders ............................................................................... 30 Co-Occurring Disorders in the U.S. ............................................................................. 31 Co-Occurring Disorders in Alaska ............................................................................... 32 Chapter 2: Productivity Losses ............................................................................ 34 Lost Future Earnings Due to Mortality ................................................................ 35 Estimated Future Earnings Losses for Underlying Cause of Death.......................................... 35 Estimated Value of Potential Years of Life Lost (PYLL) ...................................................... 36 Lost Productivity Due to Incarceration ............................................................... 37 Losses Due to Impaired Productivity ................................................................. 38 Losses Related to Traditional Earnings ......................................................................... 38 Losses Related to Absenteeism.................................................................................. 39 Lost Productivity Due to Alcohol Treatment ........................................................ 40 Lost Productivity Due to Alcohol-Related Medical Conditions .................................... 41 Chapter 3: Vehicle Traffic Collisions ..................................................................... 42 Alcohol-Suspected Collisions .......................................................................... 42 Chapter 4: Criminal Justice and Protective Services ................................................. 45 Criminal Justice ......................................................................................... 45 Offenses and Arrests .............................................................................................. 45 Criminal Justice System Costs ................................................................................... 46 Crime Victimization ............................................................................................... 47 Protective Services ...................................................................................... 48 Child Protective Services ........................................................................................ 48 Title 47 Protective Custody ...................................................................................... 49 Chapter 5: Health Care ...................................................................................... 50 Medical Costs ............................................................................................ 50 Primary Diagnosis ................................................................................................. 50 Primary and Secondary Diagnosis ............................................................................... 59 Costs of Treating Alcohol Misuse ...................................................................... 59 Prescription Drugs ....................................................................................... 60 Nursing Home/Long-Term Care Costs ................................................................ 60 Chapter 6: Fetal Alcohol Spectrum Disorders ........................................................... 61 FAS and FASD Prevalence .............................................................................. 62 FAS Assessments ......................................................................................... 64 FASD Screenings ......................................................................................... 64 Homelessness Costs ............................................................................................... 66 Foster Care Costs ................................................................................................. 66 Correctional/Detention Costs ................................................................................... 66 Births ...................................................................................................... 67 Medical Costs ............................................................................................ 67 Primary or Secondary Diagnoses ................................................................................ 67 Medicaid Spending ...................................................................................... 68 Special Education ....................................................................................... 68 Chapter 7: Public Assistance and Social Services ...................................................... 69 Chapter 8: Underage Drinking Costs ...................................................................... 72 Chapter 9: Employment and Income from Alcoholic Beverage Manufacturing and Sales in Alaska ..........................................................................................................