NM cities slow to spend $110M in opioid settlement funds – Albuquerque Journal
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Provider shortages, coordination gaps among reasons cited for spending delays
SANTA FE — Over the last three years, New Mexico cities and counties have received roughly $110 million under an opioid settlement agreement to expand drug treatment and prevention programs.
But putting those dollars to effective use has proven challenging, as about half of the counties and most municipalities that received funds did not report spending any of the money, according to a report from State Auditor Joseph Maestas’ office.
“This is really important,” Maestas said in an interview this week. “It’s important for the state … and for the people who are receiving services as well.”
New Mexico has one of the nation’s highest drug overdose death rates, and experienced the country’s largest increase in drug overdose deaths in 2025, primarily due to fentanyl. Rio Arriba, Socorro and Sierra counties had the state’s highest overdose death rates as of 2021, according to Department of Health data.
Given the state’s struggles with drug addiction, former state Attorney General Hector Balderas in 2017 entered the state into a series of multistate lawsuits against pharmaceutical manufacturers and distributors for their role in the opioid crisis.
New Mexico eventually settled with several corporations, including Walmart, CVS and Walgreens, that agreed to pay the state a total of $920 million — spread out over a 16-year period. That money is being split between state agencies, local governments and the outside legal counsel hired by the state.
While the funds are intended to be spent on drug treatment and prevention programs, a statewide shortage of behavioral health providers has complicated that effort.
As of 2024, only about one-third of New Mexico residents with substance use disorders, a term that encompasses drug addiction, were receiving treatment, a Legislative Finance Committee report found.
In addition to provider shortages, the 22-page report released this week by the state auditor’s Government Accountability Office also cites uncertainty about appropriate uses and a lack of state-local collaboration as other reasons for the slow pace of opioid settlement funds.
Among the specific challenges, the report highlighted Doña Ana County’s initial struggles to launch a program aimed at maternal and child health. After not receiving any applications from providers, the county changed its focus to building a more stable pipeline for providers.
Meanwhile, some of the New Mexico counties and municipalities that received opioid settlement funds have teamed up on spending plans, the audit report found.
That includes nine counties — plus the village of Los Lunas — that have formed a regional collaborative. The city of Albuquerque and Bernalillo County have also formed a partnership in hopes of avoiding spending duplication and maximizing the funds’ impact.
The Office of the State Auditor report was based on evaluations of local governments’ annual audits, as well as a survey of counties and municipalities that got settlement funds. A separate report focusing on state agencies’ handling of opioid settlement agreement funds is expected to be released next month.
Eventually, Maestas said a new region-based behavioral health system that’s still being rolled out could provide more structure for spending the behavioral health funds.
“This is a wake-up call because lives are at risk,” said Maestas, who was previously the mayor of Española and a Santa Fe city councilor before being elected state auditor in 2022.
However, he also cautioned that his office has the authority to temporarily halt funding allotments to any cities or counties that do not spend the money on appropriate expenditures.
Dan Boyd covers state government and politics for the Journal in Santa Fe. Follow him on X at @DanBoydNM or reach him via email at dboyd@abqjournal.com.
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This article was autogenerated from a news feed from CDO TIMES selected high quality news and research sources. There was no editorial review conducted beyond that by CDO TIMES staff. Need help with any of the topics in our articles? Schedule your free CDO TIMES Tech Navigator call today to stay ahead of the curve and gain insider advantages to propel your business!
Provider shortages, coordination gaps among reasons cited for spending delays
SANTA FE — Over the last three years, New Mexico cities and counties have received roughly $110 million under an opioid settlement agreement to expand drug treatment and prevention programs.
But putting those dollars to effective use has proven challenging, as about half of the counties and most municipalities that received funds did not report spending any of the money, according to a report from State Auditor Joseph Maestas’ office.
“This is really important,” Maestas said in an interview this week. “It’s important for the state … and for the people who are receiving services as well.”
New Mexico has one of the nation’s highest drug overdose death rates, and experienced the country’s largest increase in drug overdose deaths in 2025, primarily due to fentanyl. Rio Arriba, Socorro and Sierra counties had the state’s highest overdose death rates as of 2021, according to Department of Health data.
Given the state’s struggles with drug addiction, former state Attorney General Hector Balderas in 2017 entered the state into a series of multistate lawsuits against pharmaceutical manufacturers and distributors for their role in the opioid crisis.
New Mexico eventually settled with several corporations, including Walmart, CVS and Walgreens, that agreed to pay the state a total of $920 million — spread out over a 16-year period. That money is being split between state agencies, local governments and the outside legal counsel hired by the state.
While the funds are intended to be spent on drug treatment and prevention programs, a statewide shortage of behavioral health providers has complicated that effort.
As of 2024, only about one-third of New Mexico residents with substance use disorders, a term that encompasses drug addiction, were receiving treatment, a Legislative Finance Committee report found.
In addition to provider shortages, the 22-page report released this week by the state auditor’s Government Accountability Office also cites uncertainty about appropriate uses and a lack of state-local collaboration as other reasons for the slow pace of opioid settlement funds.
Among the specific challenges, the report highlighted Doña Ana County’s initial struggles to launch a program aimed at maternal and child health. After not receiving any applications from providers, the county changed its focus to building a more stable pipeline for providers.
Meanwhile, some of the New Mexico counties and municipalities that received opioid settlement funds have teamed up on spending plans, the audit report found.
That includes nine counties — plus the village of Los Lunas — that have formed a regional collaborative. The city of Albuquerque and Bernalillo County have also formed a partnership in hopes of avoiding spending duplication and maximizing the funds’ impact.
The Office of the State Auditor report was based on evaluations of local governments’ annual audits, as well as a survey of counties and municipalities that got settlement funds. A separate report focusing on state agencies’ handling of opioid settlement agreement funds is expected to be released next month.
Eventually, Maestas said a new region-based behavioral health system that’s still being rolled out could provide more structure for spending the behavioral health funds.
“This is a wake-up call because lives are at risk,” said Maestas, who was previously the mayor of Española and a Santa Fe city councilor before being elected state auditor in 2022.
However, he also cautioned that his office has the authority to temporarily halt funding allotments to any cities or counties that do not spend the money on appropriate expenditures.
Dan Boyd covers state government and politics for the Journal in Santa Fe. Follow him on X at @DanBoydNM or reach him via email at dboyd@abqjournal.com.
Every Friday, a special court session gives homeless people a chance to resolve violations — and get help — before warrants pile up
Provider shortages, coordination gaps among reasons cited for spending delays
State had fallen to ninth in mid-year report but reclaimed top spot with end-of-year fatalities
Companies push closing date to May 2027 as they work to unwind an unauthorized stock sale
Lynden Breen is the 3rd player signed by the 1st-year ECHL franchise
Prosecutor underscores epidemic of youth gun violence at sentencing
On-base housing company puts $14M into renovations, utility improvements
Environment Department to hear testimony in Sunland Park
It is the franchise’s 15th location in the city
Residents urged to avoid the area as large plumes of black smoke visible
Tunté Vigil’s appointment follows the firing of the nonprofit’s previous leader, who is suing board chair
Five-year agreement will fund facility sharing and research as the two push discoveries toward market readiness
UNM’s Eck thinks the Fargodome will replace Boise State as league’s toughest venue
Sister Blandina Segale reportedly had multiple interactions with the famous outlaw
source
This article was autogenerated from a news feed from CDO TIMES selected high quality news and research sources. There was no editorial review conducted beyond that by CDO TIMES staff. Need help with any of the topics in our articles? Schedule your free CDO TIMES Tech Navigator call today to stay ahead of the curve and gain insider advantages to propel your business!


