A performance audit released by the county comptroller details how millions in settlement funds from opioid manufacturers and distributors have been spent in Suffolk and how the county could improve oversight for the next round of monies.
The audit, by Comptroller John M. Kennedy, Jr., provides a first-of-its-kind look into how the county managed more than $50 million received through lawsuits aimed at addressing the opioid epidemic, which has ravaged Long Island communities for over two decades. Suffolk, one of the first counties in the country to sue pharmaceutical companies over their role in the crisis, is also among the largest recipients of settlement dollars in New York State.
Kennedy criticized the previous administration of County Executive Steve Bellone for its handling of the funds. “Shortly after leaving office, the previous County Executive and his Chief of Staff were hired as executives by grant recipients that were awarded significant Opioid Settlement Fund contracts,” Kennedy reported. “The $6 million in Opioid contract awards to the recipients involved represented 16.67% of the $36 million awarded for round one.”
Northwell Health, which hired Bellone as a vice president shortly after he left office, received $3.5 million in opioid money. His chief of staff was hired as Vice President of the Family & Children’s Association, which received $2.55 million. “To protect the county from the appearance of a conflict of interest or other impropriety on Opioid Settlement contract awards, the Suffolk County Legislature could consider strengthening Section 77-6 of County ethics law for post-employment restrictions,” Kennedy wrote.
The audit noted that about 72% of the settlement funds were spent on treatment, recovery services, and prevention programs, while 10% went toward administrative and indirect costs. Several community-based organizations received funding, but some allocations lacked detailed outcome metrics or standardized reporting requirements. The remaining 18% of the funds were either unspent, reserved for future programming, or pending allocation, according to Kennedy, who emphasized the importance of accountability in managing these once-in-a-generation funds.
“We owe it to the families affected by this epidemic to make sure every dollar is spent wisely,” said Kennedy. “This audit shows that while the county has taken positive steps, more robust oversight and outcome tracking are essential to ensure the greatest impact.”
“I applaud the efforts of Comptroller Kennedy for bringing transparency to the county’s Opioid Settlement Funding Selection Committee award process,” said Assemblyman Keith Brown, the ranking member of the Assembly Committee on Alcoholism and Substance Use. “It’s troubling to me that the settlement board did not hold any public meetings before awarding any of these funds. There needs to be a system in place for applicants, clear criteria and procedures for awards accompanied by an efficient process for reviewing, awarding, and administering the funds with proper agency oversight, just like any other grant award.” Brown has a bill in Albany directing the State Comptroller to audit the opioid program.
Kennedy’s audit recommends:
- Implementing uniform reporting standards for all funded programs.
- Establishing a centralized tracking system for outcomes and expenditures.
- Increasing transparency by publishing regular public updates.
- Avoiding potential “mission drift” by ensuring that all expenditures directly align with allowable uses as outlined in the settlement agreements.
Suffolk County has experienced similar trends with a rising number of opioid related overdose deaths during this time. “While deaths are the most devastating result of the opioid crisis, the opioid crisis has also impacted hospital systems, first responder networks, school systems, criminal justice systems, workforces, and behavioral health care systems in Suffolk County,” Kennedy noted.