Law specifies how state will distribute opioid settlement funds

A new law specifies how the state will distribute more than $300 million Minnesota is expected to receive from the national opioid settlement, which collected $26 billion nationally in payments resulting from a multi-state lawsuit against opioid manufacturers and distributors.

The state signed onto the national settlement in August 2021.

As part of the settlement, the state reached an intrastate agreement with units of local government on how settlement funds are to be distributed. The agreement and the new state law provide that Minnesota counties and cities are to receive 75 percent of the settlement funds, and the state is to receive 25 percent.

Municipalities are prohibited from filing claims against the opioid manufacturers and distributors who were part of the settlement.

Money from the settlement will be distributed through grants awarded by the Department of Human Services for opioid education, programs to prevent opioid addiction, and opioid treatment and recovery services across the state, as specified by the Opiate Epidemic Response Advisory Council. Money from the settlement will also be appropriated to tribal social service agency initiative projects to provide child protection services, and used for grant administration and other purposes.

Rep. Liz Olson (DFL-Duluth) and Sen. Julie Rosen (R-Vernon Center) sponsor the law that took effect May 11, 2022.

HF4265/SF4025*/CH53

SF4025* / HF4265 / CH53