State Attorney General Dana Nessel has announced that participating local governments throughout Michigan can expect to see funds as soon as later this month a result of the Department’s participation in two multi-state opioid settlements.
“I am relieved the court ruled in accordance with the law, and I thank the judge for the keen attention she paid to this important matter,” said Nessel. “It’s critical that communities throughout Michigan are indemnified for the harm they suffered due to the recklessness of the opioid manufacturers and distributors. The frivolous challenge by Ottawa County delayed millions of dollars from being put to good use to help Michigan residents our communities recover.”
The settlement money’s distribution was expected to begin in the fourth quarter of 2022 but was held up by legal challenges brought by the Ottawa County Commission. Last week, Wayne County Circuit Judge Patricia Fresard granted the Attorney General’s request for summary disposition, clearing any roadblocks with the settlement distributions, which could now start by January 31.
The $81 million that will be available later this month encompasses the first three payments of these settlements. Since September, the National Settlement Administrator has provided three Notices of Payment totaling about $81.6 million. Ottawa County had disputed all three payments, which held up payments to all local governments.
Michigan is anticipating over $1.45 billion from opioid settlements. This includes some settlements that are still in process. The opioid settlement funds that the State of Michigan receives will be directed to the Michigan Opioid Healing and Recovery Fund (MCL 12.253). This fund was created by the Legislature in 2022. The Legislature also created the Opioid Advisory Commission (MCL 4.1851) to make recommendations on the State’s opioid fund.
State negotiations were led by Attorneys General Josh Stein (NC), Herbert Slatery (TN) and the attorneys general from California, Colorado, Connecticut, Delaware, Florida, Georgia, Louisiana, Massachusetts, Michigan, New York, Ohio, Pennsylvania, and Texas. The agreement in principle was reached by all parties in October of 2019 and the parties have been working on the particulars of the settlement since then.
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