85% State Share
Where do these monies live?
Based on the best available evidence, all of Hawai’i's opioid settlement funds, including the state’s 85% share of settlement funds, is held in a trust jointly administered by the Hawai’i Department of the Attorney General and Hawai’i State Department of Health.[1] Some materials have referred to this as the “Hawaii Opioid Settlement Trust Fund.”[2]
What can this share be spent on?
With limited exceptions,[3] this share must be spent on the remediation activities described in Exhibit A of Hawai’i’s State-Local Agreement,[4] which is largely identical to the national settlement agreements’ Exhibit E, Schedule B (“Approved Uses”) and includes prevention, harm reduction, treatment, recovery, and other strategies.[5] One of these activities must be a statewide needs assessment.[6]
Uniquely, Hawai’i’s State-Local Agreement requires spending to address non-opioid substance use: 85% of funds must be spent on “opioid-related remediation,” while 15% of funds must be spent on “other substances” (specifically, “treatment and prevention, consistent with Exhibit A, except not limited to opioids”).[7]
Who ultimately decides how to spend this share (and how)?
Hawai’i Opioid Settlement Advisory Council guides, Hawai’i State Department of Health decides. The Hawai’i State Department of Health ultimately decides specific expenditures for this share after consulting the Hawai’i Opioid Settlement Advisory Committee.[8] The state is required to conduct a statewide needs assessment that includes input from local governments.[9]
Are supplantation uses prohibited for this share?
No, supplantation is not prohibited. Like most states, Hawai‛i does not explicitly prohibit supplantation uses of its opioid settlement funds. This means that the 85% State Share may be spent in ways that replace (or “supplant”) — rather than supplement — existing resources.
Can I see how this share has been spent?
No (neither public nor intrastate reporting required). Opioid settlement expenditures are not officially published in a centralized location for this share.
Visit OpioidSettlementTracker.com’s Expenditure Report Tracker for an updated collection of states’ and localities’ available expenditure reports.
What else should I know?
Not applicable.
Citations
Memorandum of Agreement Between the State of Hawai’i and Local Governments on Proceedings Relating to the Settlement of Opioid Litigation (“Hawai’i State-Local Agreement”), Sec. B.2(a) (“85% of the Total Opioid Settlement Funds shall be spent by the State”); Addendum to Memorandum of Agreement Between the State of Hawai’i and Local Governments on Proceedings Relating to the Settlement of Opioid Litigation (“Addendum to Hawai’i State-Local Agreement”), Sec. B (providing that “[t]he MOA shall apply to Phase 2 National Settlements in all respects”); Memorandum of Agreement Between Department of Health and Honolulu Emergency Services Department (“State-Honolulu Settlement MOA”), Recitals Sec. C (describing state’s opioid settlement funds as “held in a trust and jointly administered by the Department of the Attorney General and the Department of Health”). ↑
See, e.g., Hawai’i Opioid Settlement Advisory Committee, Slide 10 (presentation for Committee of Health & Homelessness Informational Briefing). Hawai’i State Department of Health. November 15, 2023. Accessed August 28, 2024; Matthew Leonard. Hawaii’s Opioid Settlement Fund Is Growing And, After Delays, Starting To Be Spent. Honolulu Civil Beat. May 28, 2024. Accessed August 28, 2024 (reporting on “appointment of a full-time project coordinator to manage Hawaii’s opioid settlement trust fund”). ↑
See Addendum to Hawai’i State-Local Agreement, Sec. C (providing that “[t]he State may pay for legal fees and costs, incurred on its behalf in connection with any of the Phase 2 National Settlements, with funds from the Phase 2 National Settlements to the extent permissible under the respective settlement agreements”). ↑
Hawai’i State-Local Agreement, Secs. A (defining “Opioid Remediation” to mean Exhibit A), B.1 (“All Opioid Settlement Funds shall be spent to address substance abuse in the State subject to the following conditions: (i) 85% shall be spent on opioid-related remediation, consistent with Exhibit A; and (ii) 15% shall be spent on remediation regarding other substances (i.e., treatment and prevention, consistent with Exhibit A, except not limited to opioids”); Addendum to Hawai’i State-Local Agreement, Sec. B (applying terms to Phase 2 settlements). ↑
The national settlement agreement’s “Approved Uses” list is Schedule B of its Exhibit E. ↑
Hawai’i State-Local Agreement, Sec. B.2(c) (“the State shall engage a private party to perform a statewide needs assessment. … The expenses related to the needs assessment shall not be paid from the Local Governments’ share of the Total Opioid Settlement Funds”). ↑
Hawai’i State-Local Agreement, Sec. B.2(a); Addendum to Hawai’i State-Local Agreement, Sec. B (applying terms to Phase 2 settlements). Although the Hawai’i State-Local Agreement refers simply to “the State” as the decisionmaker for this share, subsequent materials and news coverage have identified the Hawai’i State Department of Health (DOH) and its Alcohol and Drug Abuse Division (ADAD) as the state’s lead entities in charge of settlement funds. See, e.g., Substance Use State Plan, Sec. 5.4. Hawai’i State Department of Health Alcohol and Drug Abuse Division. May 2023. Accessed August 28, 2024 (“The DOH and ADAD will play a major role in ensuring efficient, effective, and proper use of [opioid settlement] funds”); Public Display Solicitation B24001149: “Hawaii Opioid Settlement Project: Website Development and Social.” Hawaii State Procurement Office website. Accessed August 28, 2024 (“The Department of Health (DOH), Alcohol and Drug Abuse Division (ADAD) received Opioid Settlement funds to address the public health crisis caused by the opioid pandemic”); Paula Dobbyn. Big Island Wants To Use Opioid Settlement Money To Open Its First Detox Facility. Honolulu Civil Beat. July, 6, 2023. Accessed August 28, 2024 (“The Department of Health is the state agency handling receipt and distribution of opioid settlement funds”). See also State-Honolulu Settlement MOA, Recitals Sec. C (describing the statewide trust as jointly administered by the Department of Attorney General and Department of Health). ↑
Hawai’i State-Local Agreement, Sec. B.2(c). ↑
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