Michigan Attorney General Reports on Opioid Settlement Spending as West Michigan Communities Still Hold Millions

State Leaders Await Comprehensive Spending Report as Some West Michigan Counties Keep Opioid Funds in Bank

Michigan state officials are preparing to release a comprehensive report on how communities have spent opioid settlement funds, but the findings may reveal continued delays in West Michigan counties that have been slow to disburse millions of dollars meant to combat the ongoing drug crisis.

A new report from the Attorney General's office will offer more details this spring about how counties, townships and cities across Michigan are handling the $1.6 billion settlement from a national lawsuit with drug manufacturers, distributors and pharmacies.

While Michigan communities began receiving settlement funds in January 2023, some West Michigan counties are only now beginning to develop spending plans for millions of dollars that have been sitting in bank accounts for over three years.

Grand Traverse County has been particularly slow to spend its opioid settlement money. The county, which has approximately $2 million from the settlement currently in the bank and is expected to receive $6.2 million overall, is only now developing a plan for how to use the funds.

Grand Traverse County Health Officer Mike Lahey explained the delay to 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."

The county's first attempt to create a spending plan failed, which further delayed the process. Lahey said a plan is now in place and a task force has been formed. "I hope to have requests for proposals out in May," he said.

Pam Lynch of Harm Reduction Michigan in Traverse City criticized the slow pace. "It's been a very frustrating process for people who have been doing effective work for a long time," Lynch said. "I hear the criticism. What are we doing this money should be out."

Lahey acknowledged the frustration. "And I get it," he said. "There are only so many chips to pass around the table."

Eaton County in mid-Michigan has also not yet distributed its opioid settlement funds. The county, which is receiving about $300,000 annually, has developed a strategic plan and a community assessment to identify gaps in mitigation efforts, according to Logan Bailey, director of public and governmental affairs for the county.

"We are still in a planning assessing collecting RFPs stage," Bailey said in an email to Bridge Michigan.

Isabella County, which has $1.1 million in settlement funds currently in the bank, expects to spend its first settlement funds in 2026.

Warren had $2.9 million in opioid settlement funds in the bank as of October and had not disbursed any money, according to records reviewed by Bridge Michigan.

Mayor Lori Stone expressed concern about the slow spending pace. "There are those who are anxious to push dollars out without fully considering community needs, process, best practices, or long-term impact," Stone said in an October news release. "Opioid use, substance use disorder, and addiction will continuously affect our community. My goal is to find a way of generating continuous revenue that can be dedicated to addressing these ongoing needs."

Cara Poland, chair of the Michigan Opioid Advisory Commission, which makes recommendations to the Legislature, believes communities have had enough time to plan. "After more than three years, planning time has been adequate," Poland told Bridge Michigan. "We should be using those funds."

Eaton County is among communities yet to distribute funds. The county received about $300,000 annually and has developed a strategic plan and a community assessment to identify gaps in mitigation efforts.

"We are still in a planning assessing collecting RFPs stage," Logan Bailey, director of public and governmental affairs for the county, said in an email to Bridge Michigan.

Lenawee County, which borders Ohio, will consider $1.25 million in proposals for its first opioid settlement spending in April, according to Community Development Coordinator Francine Zysk.

A 2024 Bridge investigation found that more than 40 percent 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 percent had yet to open their checkbooks.

That was an improvement from 2024, when a similar survey found 51 percent hadn't spent money.

Michigan soon may have a more authoritative accounting. The Michigan Department of Attorney General has asked counties, townships and cities receiving opioid settlement funds to report how they've spent the money. Those findings are expected to be released this spring, according to Danny Wimmer, a spokesperson for Attorney General Dana Nessel.

The opioid crisis continues to exact a heavy toll on Michigan communities. Almost 2,000 Michiganders died from drug overdoses in 2024, according to state data. More than three years after Michigan communities began receiving millions of dollars to fight the opioid epidemic, some have yet to spend a dime.

Michigan is set to receive at least $1.6 billion over 18 years from a national 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.

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.

Experts say the funds are beginning to make a difference, but the sluggish pace of spending in some communities has frustrated 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."

Schoolcraft County in the Upper Peninsula is just now forming a committee to make spending recommendations.

Isabella County, which has $1.1 million in settlement funds in the bank, expects to spend its first settlement funds in 2026.

The Bottom Line

West Michigan communities are among the slowest to spend opioid settlement funds in the state. Grand Traverse County and Warren have millions still in bank accounts, while Eaton County and Isabella County are in the planning stages. An Attorney General report expected this spring will provide more details about how these communities are handling settlement money meant to combat the ongoing drug crisis.

As state leaders urge faster spending, health officials and community advocates continue to push for the money to reach organizations that work directly with people battling addiction.

The Attorney General's report, expected this spring, will offer the first comprehensive accounting of how Michigan communities have spent opioid settlement funds since the settlement began arriving in January 2023.