Council directs $3 million toward community opioid-abatement grants, reserves $2.2 million for homelessness work; further allocations deferred

Lexington — The Lexington City Council agreed April 21 to fund a tiered community grants program with $3,000,000 from the city’s opioid‑abatement settlement proceeds and to reserve $2,200,000 for homelessness‑related projects that meet the abatement criteria, amid a divided council debate over whether to spend more now or preserve funds for long‑term sustainability.

Commissioner Allen Bryant and staff presented an “initial spending plan” for roughly $9,000,000 already received and an estimated $30,000,000 over time from national opioid litigation settlements. Bryant told council the administration recommends placing $3,000,000 into an interest‑bearing account and setting 25% of future allocations to that account to generate recurring annual interest for grants and sustained programming. He noted the estimates of future payments and timing were uncertain.

Several nonprofit leaders and service providers urged the council to move money into the community quickly. Ashley Dunsmore of the Lexington Nonprofit Coalition told the council: “Placing $3,000,000 dollars today and 25% of all future allocations into an…