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Sherwood council directs staff to fund MHRT from opioid settlement dollars to free general funds
Summary
Councilors agreed in a work session to direct staff to fund the city’s Mental Health Response Team (MHRT) from opioid-settlement money — freeing general-fund dollars to support the Family Justice Center — and asked staff to confirm eligible uses and five-year spending windows.
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Sherwood councilors in a November work session directed staff to use opioid settlement funds to support the city’s Mental Health Response Team, freeing general-fund dollars for the Family Justice Center.
David, the staff presenter, told the council the city has received about $173,000 in opioid settlement funds to date and has spent roughly $110,000 on items including an evidence van, the MHRT and a drug-detection machine. "To date, this was as of a few days ago, we've received almost a $173,000 in settlement funds, and we spent almost a $110,000," he said.
Councilors pressed staff on how long payments are expected and how much arrives annually. David said receipts began about 2022 and average roughly $40,000–$45,000 per year though they can vary; he also noted the city files an annual report to the U.S. Department of Justice and that funds received on 04/24/2024 are on a five-year spending clock for most uses (seven years for capital outlays).
The council discussed eligible uses — prevention, treatment and recovery activities such as naloxone, public-education campaigns and first-responder training — and whether staffing premiums for MHRT officers could be charged to the settlement money. David flagged a follow-up to determine whether a 5% premium stipend for the MHRT officer would qualify.
Members debated outreach options. David proposed reusing the DEA's "One Pill Can Kill" materials at no cost or producing local content; he estimated in-house video production might cost $5,000–$10,000 but several councilors suggested partnering with the youth advisory committee or high-school film clubs to make hyperlocal content.
After discussion about program costs and spending windows, several councilors voiced support for funding the MHRT from opioid funds so the city can make limited general-fund dollars available to the Family Justice Center. The mayor confirmed staff had direction to proceed; no formal roll-call vote was recorded.
Next steps: staff will confirm regulatory eligibility (including whether premium pay is allowable), track the five- and seven-year encumbrance timelines for past receipts, and return with specific budget and program recommendations.

