A state grand jury in Florida has alleged that Governor Ron DeSantis's administration misappropriated $10 million of public funds. According to a report obtained by CBS News Miami, the funds were redirected from a Medicaid settlement to the Hope Florida Foundation, and subsequently to political action committees and the Republican Party of Florida.
The funds originated from a $67 million settlement made in September 2024 between Florida's Agency for Health Care Administration and Centene Corp., the state's largest Medicaid contractor, over alleged overcharges in pharmacy benefits.
Redirection of Funds: A Detailed Breakdown
Initially earmarked to provide healthcare insurance for low-income children, $10 million was instead funneled into the Hope Florida Foundation—a charitable initiative championed by First Lady Casey DeSantis—and quickly distributed among several organizations.
From Hope Florida, $5 million was sent to Secure Florida's Future, and another $5 million to Save Our Society From Drugs. Both organizations then transferred $8.5 million to the political action committee Keep Florida Clean, led by James Uthmeier, who was the governor's chief of staff at that time.
Political Implications and Key Figures
Keep Florida Clean subsequently distributed $7 million to the Republican Party of Florida and $1.23 million to the Florida Freedom Fund, another committee also led by Uthmeier. These funds were used in 2024 to oppose Amendment 3, the citizen initiative to legalize recreational marijuana in Florida, which received 56% of the vote but fell short of the 60% needed to amend the state constitution.
The grand jury identified Uthmeier—now Florida's Attorney General and a candidate in the November 2026 elections—as a central figure in the scheme. "We concluded that James Uthmeier, as the governor's chief of staff at the time of the settlement, had authority over those involved in the disbursement. Testimonies linked him to directing the funds after they reached Hope Florida. Testimonies also revealed that Uthmeier's Keep Florida Clean committee received the majority of the $10 million in public funds," the report states.
Legal and Political Reactions
The grand jury also concluded that then-Attorney General Ashley Moody, appointed by DeSantis in January 2025 to replace Marco Rubio, authorized her deputy John Guard to sign the settlement without due diligence. Despite the severity of the findings, the grand jury declared there was no "sufficient evidence to criminally charge anyone," as no witness took responsibility for the decision to send the money to Hope Florida.
"While we cannot prove who is responsible, it is clear that taxpayer money was misused for political purposes, and we would like to see changes to prevent this from happening again," the report concludes.
The document was filed under seal with the Leon County Clerk's Office on January 28, 2026, and remained concealed for seven months as individuals named in it—including Uthmeier—blocked its release through closed court proceedings.
The grand jury also noted that administration officials exploited the chaos caused by Hurricanes Helene and Milton to obscure activities related to the fund transfers.
Public Statements and Political Fallout
DeSantis, Moody, and Uthmeier were not called to testify. On Wednesday, during a press conference, DeSantis stated, "I was not involved in the settlement agreement, but I am very satisfied with how everything was done," labeling the matter as "fraud."
Uthmeier had dismissed the case in April as a "non-issue" and claimed no wrongdoing.
Democratic Senate candidate Angie Nixon deemed the case "deep and disgusting corruption" and called for Moody's resignation, while State Senate Democratic Caucus Leader Tracie Davis announced legislation to close legal loopholes that allowed the scheme.
Understanding the Florida Grand Jury's Findings
What was the source of the $10 million allegedly misappropriated by the DeSantis administration?
The $10 million came from a $67 million settlement between Florida's Agency for Health Care Administration and Centene Corp., over alleged overcharges in pharmacy benefits.
Who was identified as the key figure in the fund misappropriation scheme?
James Uthmeier, the chief of staff for Governor DeSantis at the time of the settlement, was identified by the grand jury as the central figure in the scheme.
What was the intended use of the funds that were allegedly misappropriated?
The funds were originally intended to provide healthcare insurance for low-income children in Florida.