Millions of Dollars Intended to Combat Drug Crisis Still Sitting in Bank Accounts
More than three years after Michigan communities began receiving millions of dollars from a national opioid settlement, some have yet to spend a dime. The funds were intended to help fight the opioid epidemic that has killed thousands of Michiganders over the past decade.
Michigan is set to receive at least $1.6 billion over 18 years from a lawsuit settlement with drug manufacturers, distributors and pharmacies that were deemed partly responsible for the opioid crisis. The state is getting half that money, with the rest split between Michigan counties, townships and cities. The funds began arriving in January 2023.
While experts say the funds are beginning to make a difference, the sluggish pace of spending in some communities, from the wine country of Grand Traverse County to mid-Michigan's Eaton County, has frustrated some state leaders.
"If there was some deliberative process that took three years, that's too long," said Jonathan Stoltman, of the Grand Rapids-based Opioid Policy Institute. "Money needs to get out the door."
The Ongoing Crisis
Settlement funds are meant to help mitigate the continued harm of the opioid crisis, which as recently as 2023 killed nearly 3,000 Michiganders. An estimated 80% of those deaths were opioid-related. And while overdose deaths declined by a third to 1,938 in 2024, the last year for which the state has complete data, the number of Michigan residents dying from drugs was still higher than the number who died in car crashes.
Despite the crisis, some local governments are only now preparing to begin disbursing funds to community groups that help those battling addiction.
One that has yet to spend any funds is Grand Traverse County, where Traverse City is located, which has about $2 million from the settlement in the bank and is expected to receive $6.2 million overall. It's taken time to figure out how to use the one-time funds to best address the crisis, Grand Traverse County Health Officer Mike Lahey told Bridge Michigan.
"I think some localities, while appreciating (the funds), were like, 'Now what?'" Lahey said. "It was a new source of money with new types of parameters around it."
Statewide Picture
It's unclear how much of the settlement funds distributed to Michigan communities since 2023 have been spent. A 2024 Bridge investigation provided the first statewide accounting of how communities were handling those funds. That investigation found that more than 40% of communities had not spent any funds, with about $90 million sitting in bank accounts.
That closely matched the findings of a survey conducted in the spring of 2025 by the Michigan Association of Counties. Of the 36 counties that responded, 40% had yet to open their checkbooks. That was an improvement from 2024, when a similar survey found 51% hadn't spent money.
What the Money Should Do
The settlement funds are meant to be used for prevention, treatment and recovery efforts, including expanding access to overdose-reversal drugs like naloxone. Statewide programs using those resources have already distributed hundreds of thousands of doses.
A more detailed accounting of how local governments are using the funds is expected to be released by the Michigan Attorney General's office later this year.
State Leaders Push for Faster Spending
State officials have been urging communities to move faster with the spending. The Michigan Department of Attorney General has asked counties, townships and cities receiving opioid settlement funds to report how they've been spent.
Those findings are expected to be released this spring, according to Danny Wimmer, a spokesperson for Attorney General Dana Nessel.
Eaton County is among communities yet to distribute funds, with Bridge Michigan reporting that the county is expected to receive about $3 million from the settlement.
The Bigger Picture
The opioid crisis remains a major challenge for Michigan communities. While the settlement provides a financial resource, experts say the real work of addressing addiction, preventing overdoses and supporting recovery requires sustained effort and collaboration across multiple levels of government.
Some communities have been working with state agencies and nonprofit organizations to develop comprehensive strategies for using the funds effectively. Others are still in the planning stages, evaluating what types of programs and services would best serve their specific communities.
The state's own statewide programs have seen increased funding and expanded reach. Statewide initiatives are focusing on expanding access to medication-assisted treatment, prevention programs in schools, and support services for families affected by opioid addiction.
As communities begin to spend the settlement funds, it will be important to ensure that the money reaches the programs and services that need it most. The opioid crisis has devastated Michigan families for years, and the settlement funds offer an opportunity to make a real difference — but that difference requires action, not just planning.
What's Next
A comprehensive report on how Michigan communities are spending the opioid settlement funds is expected later this year. The Michigan Attorney General's office has asked all recipients to provide detailed accounting of their spending.
The report should provide clarity on where the money has gone and where it hasn't. It may also reveal patterns across the state that could inform future funding decisions and policy approaches to addressing the opioid crisis.
For now, the settlement funds continue to sit in bank accounts in communities across Michigan, waiting for leaders to decide how best to use them to fight a crisis that has claimed thousands of lives.