By Howard Fischer | AZ Capitol Times
Key Points:
- Judge initially refused to block transfer of opioid settlement funds to state prison
- AG cites new auditor general report supporting her position
- Governor’s Office insists transfer of funds is proper
Attorney General Kris Mayes says she is weighing whether to sue Gov. Katie Hobbs and the Republican-controlled Legislature over an allegedly illegal diversion of funds from a nationwide settlement with opioid manufacturers, distributors and pharmacies.
Mayes said a new report from the Auditor General’s Office proves what she claimed two years ago — that the state’s decision to give the dollars to the state Department of Corrections, Rehabilitation and Reentry violated the terms of the deal that entitled the state to its $1.14 billion settlement. That deal required the state to use its share of the funds to help abate the opioid epidemic, with the majority of funding restricted to programs aiming to prevent future abuse.
Her first lawsuit against the governor and lawmakers in 2024 to void the transfer to the prison system ended when a judge said she had no evidence that the transferred funds were being used in a way that violated the agreement.





