Philadelphia is set to invest nearly two-thirds of its opioid settlement funds — approximately $167 million — into Riverview Wellness Village and related recovery programs over the next five years, according to data obtained through a right-to-know request by Kensington Voice.
This significant allocation highlights the city’s focus on the long-term recovery housing facility, which opened its doors in January in Northeast Philadelphia. Riverview serves individuals who have completed at least 30 days of inpatient drug treatment.
Mayor Cherelle Parker’s administration plans to direct more opioid settlement money to Riverview than to all other initiatives combined from fiscal years 2026 to 2030. Most of Riverview’s projected $186 million operating costs will be funded by this allocation, which includes expenses for staffing, facilities, security, and various resident services.
Managed by the Office of Community Wellness and Recovery, Riverview is part of a broader commitment to tackle substance use disorders in the city. The Office also oversees Philly Home at Girard, a low-barrier, long-term shelter located in North Philadelphia. Additionally, the budget includes $14 million for staff and supportive services in the coming years, though it remains unclear how much of this funding comes from opioid settlement funds compared to general city resources.
The opioid funding in Philadelphia stems from settlements following multiple federal lawsuits against pharmaceutical companies linked to the opioid crisis. Oversight of these funds is managed by the Pennsylvania Opioid Misuse and Addiction Abatement Trust.
A spokesperson for the Managing Director’s Office noted that the decision to allocate a large percentage of these funds to Riverview aligns with the strict guidelines on fund usage established by the Trust. This focus on Riverview serves to ensure that most programming aligns with these guidelines.
Riverview is strategically located next to the Curran-Fromhold Correctional Facility on State Road. Upon its opening, local officials touted the facility’s comprehensive services, which include primary care, chronic disease management, behavioral health support, community gardening, art therapy, and workforce development opportunities. By June 2025, Riverview had already housed 100 residents.
Riverview is now a crucial element of Parker’s proposed “wellness ecosystem,” which centers around her $6.37 billion city budget unveiled in March. The budget also earmarked significant funding for policing, prison systems, and renovations at Riverview.
The center sits on 20 acres of land that was previously vacant and city-owned, with Managing Director Adam Thiel describing the prior state of the facility as derelict. The current recovery complex was revitalized through partnerships with trade unions.
In a bid to further enhance the services offered at Riverview, Parker mentioned plans to seek an additional $65 million in capital funding to expand the center’s capacity from 336 to 600 beds. This expansion would involve constructing an additional residential facility on the existing site.
While Riverview receives the bulk of the opioid settlement funds, the city has budgeted a total of approximately $210 million in opioid settlement dollars from fiscal years 2026 to 2030 for various initiatives.
Among other allocations, the city intends to spend $22 million on medication-assisted treatment within city jails, $14 million on housing and support services, and smaller amounts on emergency medical service alternative response teams and neighborhood canvassing.
However, the city has not allocated settlement funds for its wound care van past fiscal year 2027, and similarly, funding for Community Healing and Overdose Prevention grants and Kensington Community Resilience grants will cease after fiscal year 2024.
In fiscal year 2026, the city earmarked $14.74 million for Philly Home at Girard, but concerns arise as the current lease is set to expire this fiscal year, with no provisions for additional operating funds beyond 2026. At a recent Special Committee on Kensington hearing, advocates voiced concerns regarding the effective use of opioid dollars in local schools.
Donna Cooper, executive director of advocacy group Children First, emphasized the importance of training teachers in Kensington to identify and support students suffering from trauma. During the hearing, multiple school-aged children shared their experiences and suggested that the city invest more efforts in addressing the challenges faced by Kensington’s youth.
Despite ongoing calls from residents and community leaders for preventive measures in Kensington, the city has not budgeted opioid settlement funds for specific quality-of-life projects in the area for the upcoming five years.
In 2023, the city allocated $7.5 million in opioid settlement funds for various local improvements such as parks, schools, home repairs, and small business support. However, in June 2024, the Pennsylvania Opioid Misuse and Addiction Abatement Trust ruled that some of the spending in Kensington was deemed ‘noncompliant’ with federal guidelines.
City officials have since appealed this ruling, arguing that policies addressing social determinants of health can help mitigate substance use disorders and overdoses. Testimonies from health and neighborhood experts underscore the adverse impact the crisis has inflicted on families in Kensington.
While the trust’s committee partially reversed its ruling, it upheld the rejection of $3.4 million in spending for home repairs and small business support, despite the city’s decision to continue that spending. The administration also terminated a major city-funded grant program, which previously allowed Kensington residents to participate in decision-making concerning the allocation of opioid settlement funds in their community.
The Overdose Prevention and Community Healing Fund is now under the management of the Office of Public Safety, which a city spokesperson indicated is a revised strategy for funding quality-of-life initiatives in Kensington.
Despite the changes, the city affirms the continued necessity and impact of community initiatives, as expressed through statements made by officials. Councilmembers Quetcy Lozada, Mark Squilla, and Mike Driscoll, all of whom represent Kensington, did not provide comments prior to publication.
image source from：metrophiladelphia
