New Hanover County officials brief Wilmington on $36.4 million in opioid settlement spending and results

New Hanover County CFO Eric Cradle told the Wilmington City Council that the county and city have been allocated $36,400,000 from national opioid settlements so far, with $4,400,000 pending court approval, and presented FY2026–27 budget recommendations for how those funds should be used.

The recommendations — developed by a joint staff committee and approved by a joint elected committee that includes a city council member — emphasize three focus areas: education and outreach; access to services and treatment; and sustainable recovery and well‑being. Cradle said the county adopted a five‑year strategy when settlement payments began and adjusts it annually to prioritize programs that show results.

"As most of you are aware, the city participates in the national opioid settlements along with New Hanover County," Cradle said in the presentation. He described the allocation mechanics: North Carolina receives about 3% of each settlement, of which 85% is distributed to local governments and 15% retained at the state level. Payments are structured over a multi‑year schedule and are larger in early years, Cradle said.

County staff presented program details showing 15–20 programs funded annually via one‑year contracts with renewal options, key performance indicators and quarterly reporting. Eliza Baldwin, the county’s strategy manager, described how the county measures performance under the interlocal memorandum of agreement: "We are required to measure three primary metrics, an outcome metric, a quantity metric, and a quality metric," she said, noting outcome measures look at longer‑term results such as maintained employment or sustained sobriety and quantity metrics include client counts or naloxone kits distributed.

A council member asked why a $75,000 case‑management line item that appeared in FY26 was not recommended for FY27. Baldwin explained that rather than fund a county DSS position the county shifted those funds directly to providers delivering wrap‑around services and acting as case managers: "We were able to put the money directly to the providers, who then can provide those services directly to their clients," she said.

Cradle reviewed overdose trends the committees monitor. He said county nonfatal overdoses declined since 2021 and that fatal overdoses fell from a peak of 110 to 37 most recently. He also noted that some large settlements (for distributors and retailers) have been paid and that litigation and settlements involving manufacturers continue; the pending Purdue/Sackler matter accounts for part of the $4.4 million awaiting court approval.

The county uses monthly COMPASS (Collaborative Opioid and Mental Health Planning and Strategy Sessions) meetings to coordinate providers and said each funded contract contains performance indicators and requires quarterly monitoring. Cradle added that the state’s CORE NC website provides county‑level data and that the county publishes an annual report and plans a new software tool to improve public access to program results later in the summer.

Cradle framed the strategy as short‑term uses of settlement dollars to address harms quickly: successful programs that demonstrate sustained results could be transitioned into recurring public‑health budgets when settlement payments decline, he said. Council members praised the downward trends and the committee approach to vetting and monitoring programs.

The presentation did not include a formal vote by City Council on the recommendations; Cradle said the county commission had received the same recommendations and, barring objections from council, the county would carry the programs into the next fiscal‑year budget. Staff said they will submit required annual reports to the state to demonstrate compliance with the memorandum of agreement that governs allowed uses of the funds.

The council discussion that followed focused on program metrics, the strategic‑plan refresh (required every four years), and a planned third‑party strategy development survey to assess participant satisfaction and inform the next strategic plan.

What's next: County and city staff will continue to administer the settlement funds through the established committees, monitor contract KPIs, submit annual state reports, and implement the planned survey and software improvements to make performance data more accessible.