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WUKY

Report finds opioid settlement funds unspent in Lexington, but city leaders say plans are coming together

By Josh James

July 1, 2026 at 4:45 PM EDT

Fayette County has yet to spend any of the more-than-$8 million in opioid abatement funds they've received. But Lexington officials say they're still assessing how best to spend the dollars.

A report from the Kentucky Center for Economic Policy found that, while distributions of opioid settlement money began in 2022, only about 10% of the funds distributed to local governments have been spent.

The dollars are being released over more than a decade, with a billion in proceeds from several national opioid settlements with companies expected in Kentucky by 2037.

Lexington will eventually receive roughly $30 million. And Mayor Linda Gorton says the city is taking a "careful, methodical" approach to evaluating needs.

Richard Young with CivicLex told WUKY in March that a number of options are on the table.

"There are a variety of specific uses that they're looking at — funding housing and treatment services, waiting until the full bulk of that $30 million has been (delivered) and building interest on what comes, funding for nonprofits. There are a whole bunch of options," he said.

As for that last option, the city has allocated $3 million to a grant program for nonprofits, with the application window opening on Thursday.