Opioid Settlement Funding Initiatives

New York State, through the Office of the Attorney General, receives funds from settlements with entities involved in manufacturing, distributing, and selling opioids. These funds are allocated to litigating entities which include New York State, counties, cities and other subdivisions.

These settlements include agreements that govern how this funding is distributed and used.  Each agreement sets forth distribution categories and the percentages of funding dedicated to each. This includes funds that flow to the Opioid Settlement Fund, which is governed by New York State Statute.  OASAS is the lead state agency in overseeing the Opioid Settlement Fund (OSF).

The below charts set forth how these funds are distributed in two different ways. The first chart shows allocations based off the distribution categories in the National Settlement (Exhibit N). The second chart summarizes these funds based off how they are distributed. These charts are intended to provide a comprehensive view of how New York State allocates the opioid settlement funding.

The National Settlement

The National Agreement (Exhibit N) sets forth eight categories for restitution and abatement, which can be rolled up into four primary categories: Direct Share, OSF Regional Spending, OSF Discretionary State Abatement Share, and State Share.

Based on NYS finance law, all opioid settlement dollars directed to the state flow through the NYS Opioid Settlement Fund. This includes the 17.5% noted as the “State Share” in Figure 1 and is shown as part of the “OSF Discretionary State Abatement Share for Public Projects/State Share” and “OSF Regional Abatements” in Figure 2.

Figure 1

1. Direct Allocation to Counties and Subdivisions (46.1%):
   • This is the largest portion, going directly to specific counties and subdivisions. This includes New York City (20%), Suffolk County (8.6%), Nassau County (6.7%), and all other NYS counties (10.8%). These funds are distributed directly to these entities. OASAS has no oversight of these funds.
2. OSF Discretionary State Abatement Share for Public Projects (20%):
   • OASAS is the lead agency responsible for oversight of the Opioid Settlement Fund (OSF) which can be used for the administration of the OSF and for the approved uses as listed in Schedule C (PDF) of the New York Opioid Settlement Sharing Agreement. The Opioid Settlement Fund Advisory Board (OSFAB) provides recommendations on how the funds could be used. Information is available below about spending from the New York State Opioid Settlement Fund.
3. State Share (17.5%):
   • This portion is allocated to the State for unrestricted purposes with a portion available to the New York State Attorney General for legal and enforcement actions related to the opioid settlements.
4. OSF Regional Abatements (16.4%):
   • This portion also goes to the Opioid Settlement Fund (OSF) for “approved uses,” but is specifically designated for counties, the five large cities, and other litigating entities, excluding NYC and Nassau and Suffolk counties. 

Note: Each opioid settlement agreement may have slight variations from the National Agreement in the percentages across the categories.

The Distribution of Settlement Funds

Another way to understand the opioid settlement funds is in how the dollars are distributed or made available.  Opioid settlement dollars are made available through two primary mechanisms: (1) they are provided directly to counties and subdivisions or (2) they are managed as part of the OSF.

More than half of the settlement funds (approximately 62%) are allocated to local governments either directly (46.5%) or through OSF regional shares (15.5%). The remaining 38% is overseen by OASAS, and allocated according to the settlement agreements, OSFAB recommendations, and OASAS strategic priorities.

Figure 2

Here's the breakdown of those three areas, from largest to smallest allocation:

1. Direct Allocation to Counties and Subdivisions (46.5%):
   • This is the largest portion, going directly to specific counties and subdivisions. This includes New York City (20.2%), Suffolk County (7.4%), Nassau County (6.1%), and all other NYS counties (12.8%). OASAS has no oversight of these funds.
2. OSF Discretionary State Abatement Share for Public Projects / State Share (38%):
   • This portion goes to the OSF, which is overseen by OASAS. This portion can only be spent on “approved uses,” which are listed in Schedule C (PDF). The Opioid Settlement Fund Advisory Board (OSFAB) provides recommendations on how the funds could be used. Information on the encumbrances (or allocations) from the New York State Opioid Settlement Fund are posted publicly and regularly updated on the OASAS OSF tracker.
3. OSF Regional Abatements (15.5%):
   • This portion of the Opioid Settlement Fund is designated for counties, the five large cities, and other litigating entities excluding NYC and Nassau and Suffolk counties. These funds are administered by OASAS and designated for “approved uses,” as described in Schedule C (PDF) of the New York Opioid Settlement Sharing Agreement.

The data source for the above information is the Opioid Settlement Fund Projected Receipts by Source (PDF), September 2024.

Use of Opioid Settlement Fund

OASAS further details the use of the Opioid Settlement Fund through the OSF Tracker which includes tables with opioid settlement funds made available by priority areas and by date and initiative each state fiscal year.  These tables include links to the procurement opportunities and awards made and includes information on the regional abatement portion of the OSF which goes directly to county LGUs to address local need. 

Open Projects refers to projects that are currently being offered through the Opioid Settlement Funding initiative. Awarded projects list refers to projects that are passed the deadline to apply for the funding. Additional details including eligibility, scope of work (where applicable), and expense reports for each funding opportunity can be found on each project page. 

Be sure to check all available funding opportunities for not-for-profit organizations, local government units, and other businesses and help support a comprehensive system of addiction services.

Open Projects

Recovery Residences Request for Applications – SETT 24029
Approximately $5,000,000 of Opioid Settlement Funding is available toward this effort and will be awarded on a first-come, first-served basis throughout New York State until funds are exhausted. The funding opportunity is for newly certified Recovery Residence providers to enhance their current residence sites and operations.

Awarded Projects

Comprehensive Low-Threshold Buprenorphine Services SETT-23001
$7,500,000 is currently available to support Comprehensive Low-Threshold Buprenorphine Programs through a maximum of 15 awards; each award may be up to $500,000; an additional two years of funding may be provided as available. OASAS seeks to award at least one program in each of the 10 Empire State Development (ESD) Regions.
 

Comprehensive Integrated Outpatient Treatment Program SETT-23004
More than $8 million in funding is available for the development of Comprehensive Integrated Outpatient Treatment Programs throughout the state of New York. A Comprehensive Integrated Outpatient Treatment Program has co-located Part 822 Outpatient Services and Opioid Treatment Programs (OTP) services under one PRU or operating certificate.
 

Outreach and Engagement Services – Clinic Model SETT-23005
Through Opioid Settlement Funds, OASAS is seeking applications for the delivery of outreach and engagement services following a clinic model.  Eligible applicant information and other details can be found in the RFA.
 

Outreach and Engagement Services – Street Outreach Model SETT-23006
OASAS is seeking applications for the delivery of street-level outreach and engagement services to populations with greater difficulty accessing harm reduction, substance use disorder treatment, and recovery support services. Funding of more than $3.7 million is currently available to eligible applicants for Year 1. Up to $250,000 per awardee is subsequently available for Year 2.
 

Connections to Care SETT-23008
$2.2 million is available via RFA to establish Connections to Care programs. Maximum of 11 awards of up to $200,000 per year for an anticipated three-year period. Eligible applicants can apply for a maximum of one award.
 

Community Prevention Coalitions: Fentanyl, Opioids, Rx SETT-23009
$1.4 million in funding is available for this initiative to fund seven (7) applicants up to $200,000 each to establish Fentanyl, Opioids, Rx coalitions, which will build on the successful implementation of evidence-based opioid and heroin use prevention strategies.
 

Youth Education and Engagement - SETT-23011
$4 million in Opioid Settlement Funds are available for the development of primary prevention education programs to work with schools who have a higher than average Opioid Burden as defined by DOH which includes opioid overdose deaths, non-fatal outpatient emergency department visits and hospital discharges involving opioid abuse, poisoning, dependence and unspecified use.
 

Non-Medical Transportation- SETT-23015
Approximately $6.3 million is available to serve up to 13 applicants at $240,000 each per year for two years based on funding availability.

Comprehensive Integrated Outpatient Treatment Programs - SETT-23016
Over $8 million in one-time funding is available for up to 15 individual awards to integrate OTP services and offer comprehensive integrated outpatient treatment.

Local Impact Initiatives - SETT-23019
$1.3 million is being made available to support small local community organizations working on initiatives to address substance use disorder.

Local Impact Initiatives Round 2 - SETT 23025
OASAS is awarding up to $9,500 in funding through the Opioid Settlement Fund, on a first come, first served basis, to local community organizations in New York state for projects that address Substance Use Disorder (SUD).

Leadership Institute - RFP 23027 (Amended 2-21-24)
OASAS is seeking bidders to develop a leadership institute for 500 to 1,000 current or soon-to-be middle management-level staff working across the state in the OASAS Substance Use Disorder (SUD) continuum of care and services.

Comprehensive Outpatient Treatment Programs - RFA 24028
More than $9.5 million is being made available for the development of Comprehensive Outpatient Treatment Programs throughout the state of New York. 

Government Academic Research and Evaluation - RFP 23026 (Amended 2-16-24)
OASAS is seeking to partner with an academic institution to expand and enhance the monitoring and evaluation of the substance use and addiction service and treatment programs and initiatives supported by Opioid Settlement Funds. OASAS seeks to make one award for up to $300,000 per year for 3 years.

What's Related

• View all available funding opportunities for not-for-profit organizations, local governmental units, and other businesses and help support a comprehensive system of addiction services.  
• Supplemental Block Grant Funding Initiatives offer supplemental funding to eligible parties; Grantees use awarded funds for prevention, treatment, recovery support, and other supportive services.