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Hagerstown moves to secure $485,000 in opioid settlement funds

HAGERSTOWN, Md. — Hagerstown officials are trying to secure about $485,000 in state opioid settlement funds. They plan to partner with the Washington County Health Department to create a five-year plan for addiction prevention, treatment and recovery programs.

At the Oct. 13 Mayor and City Council work session, city financial staff explained what is needed to access the funds and shared two proposed agreements with the Health Department.

These agreements would set out who is responsible for planning, running, and monitoring programs funded by the opioid settlement money.

Officials said Hagerstown needs to submit an approved five-year plan to access about $485,000 now held by the state. If the plan is not approved, the money could go to Washington County instead.

This proposal lets the city work with the Health Department instead of creating and running the programs itself.

City outlines available opioid settlement funding

Financial staff members said Hagerstown gets opioid settlement money through two different funding sources.

One part goes straight to the city, while another is managed through Maryland’s opioid restitution system.

The presentation showed that Hagerstown has already received about $250,000 in direct settlement payments.

The city expects to receive about $547,000 in direct settlement funds by 2038, including the money it has already received.

Another state-managed fund is expected to total about $1 million over the settlement period.

But to get that money, the city must meet the state’s rules for planning, reporting, and spending.

The $485,000 discussed at the meeting is state-managed funding that the city wants to keep access to by creating the five-year plan.

The long-term settlement amounts are not extra funds the city can spend right away.

Health Department would manage program planning

If the agreements are approved, the Washington County Health Department would lead the work to develop the five-year opioid settlement spending plan.

The department would also manage approved programs, track activities, collect data, and prepare the needed reports.

City officials would still review proposed programs, make sure they follow funding rules, and handle financial paperwork.

This setup uses the Health Department’s experience with public health programs and lets Hagerstown help decide how it uses its settlement money.

The partnership would help the city meet state requirements without building a new administrative system for opioid settlement programs.

Reimbursement requirements discussed

City staff said the two funding sources have different administrative rules.

For state-managed funds, expenses usually must be documented before the city can request reimbursement.

This means organizations may need to complete approved activities, keep records, and submit financial information before they get paid.

The agreements would decide who is responsible for gathering the paperwork and preparing the needed submissions.

Officials also discussed ensuring programs follow rules on how opioid settlement money can be spent.

Settlement funds are meant to support approved responses to opioid-related problems, not general city expenses.

Five-year plan would guide future programs

The five-year plan would lay out how the city plans to use its state-managed opioid settlement funds.

The Health Department is expected to come back to the council with suggested programs for review.

While prevention, treatment, and recovery were discussed as main goals for the funding, the work session did not decide on a final list of programs or specific amounts for each service.

Those details will be worked out during the planning process.

The city can review the proposed activities before any money is spent.

Agreements expected to return for approval

Council members said they support continuing talks about the partnership and moving the agreements forward.

Staff suggested bringing the agreements up for formal approval later in October.

The agreements were not approved during the work session.

Hagerstown’s access to the $485,000 in state-managed funding is still uncertain until the spending plan is approved and the administrative details are settled.

Next, the city will finalize the agreements, create the five-year plan, and choose programs to address opioid-related needs in the community.

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