Kentucky law says cities, counties must detail opioid settlement spending. Louisville Public Media finds that most haven’t.

“Public records show most Kentucky cities and counties fell short of state rules that they regularly report on their payouts from the national opioid settlements,” Morgan Watkins reports for Louisville Public Media.

Cities and counties across Kentucky are getting at least $450 million from opioid settlement money, to be paid in installments through 2038. The funds come from opioid manufacturers, distributors and pharmacies, half of which goes to the state and the other half goes to cities and counties. Both state and local governments are required to use most of the settlement money to combat the opioid epidemic.

Watkins writes that to date “270 cities and counties collectively received more than $108 million, according to a Kentucky Center for Investigative Reporting (KyCIR) analysis of payment data from BrownGreer, the administrator for more than $45 billion of opioid settlement funds.”

State law requires cities and counties to detail how they spend the money in annual reports to the Kentucky Opioid Abatement Advisory Commission.

“But two years after the funds started flowing into local coffers, public records show less than a dozen governments have actually provided that information,” Watkins reports.

The failure that she reports “stems mostly from confusion about what they should disclose, according to local government advocates.” Further, she writes, “State officials know about the lack of compliance, but would not detail their plans to resolve the issue.”

Watkins writes in detail about why the reporting rules are necessary.

She also reports that local governments have failed to comply with filing a quarterly form promising that they didn’t misspend their opioid settlement funds.

In its investigation, KyCIR found, “Since early 2023, 25 local governments that received payouts have yet to file a single form. Nearly 250 cities and counties sent in at least one certification, but the frequency varied widely. For example, nearly 100 governments filed just one form, while others filed six or more. Some governments signed multiple certification forms on the same date and indicated they’d done so to backfile after missing earlier deadlines.”

Chris Evans, the executive director of the Kentucky Opioid Abatement Advisory Commission, told KyCIR that they’re working to improve the reporting process.

“We all want to make sure the money has gone to the place it needs to go,” he said in an interview with KyCIR. “People are trying to make sure that they move forward in the right way and understand how the process needs to go, moving forward.”

Watkins reports that the attorney general’s office, which houses the commission, “declined to specify what changes they may make to the settlement reporting process.”

Jennifer Burnett, the director of strategic operations for the Kentucky Association of Counties, told Watkins that it is collaborating with Kentucky’s opioid commission to “develop a standardized reporting system for counties.”

Watkins goes on to report in great detail about the many ways local governments are confused about what they are supposed to submit and to whom the reports should be sent. She even seeks clarification about the reporting rules from the former director of the opioid commission, Bryan Hubbard.

Sara Whaley, senior practice associate at the Johns Hopkins Bloomberg School of Public Health, told Watkins that the reporting requirements are a “good first step.” She also suggests that a little grace is likely needed at every level of government.

“Building the plane as we’re flying it, there are going to be some hiccups. And I think what is going to make-or-break this for a government is the ability to reflect and grow as we go,” she said. “The ones that are able to admit when they have flaws and adapt and change are the ones that are going to be the most successful.”

Click here to see how much opioid settlement money your city or county has received so far.

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