MIAMI — Fla. Republican Gov. Ron DeSantis is on the defensive over questions about how $10 million in state money came to be used to fund a political campaign.
In two terms as governor, DeSantis has enjoyed strong support from the Republican-controlled legislature. But now, Republicans in the state House of Representatives say the alleged misuse of funds may warrant a criminal investigation.
The allegations involve $10 million that was paid to Florida by Centene, a company that provides managed care to Medicaid recipients. The money was part of a $67 million settlement by the company after it was charged with overbilling taxpayers for medications. Ten million dollars of the settlement was paid directly to a non-profit group, Hope Florida. That's a charity founded by Gov. DeSantis' wife, Casey, to help people move off government assistance into community-based programs.
An investigation by state lawmakers found that after receiving it, Hope Florida transferred the $10 million to two "dark money" political groups — groups that aren't required to disclose their donors. The two groups then sent some $8.5 million to a political committee that was campaigning against an amendment to legalize recreational marijuana in the state. It was a group controlled by DeSantis' then-chief of staff, now Florida Attorney General James Uthmeier.
Republican lawmakers, including Rep. Alex Andrade, say they believe that transaction was illegal.
At a hearing of the Health Care Subcommittee in Florida's House of Representatives, Andrade said, "There's no question that these were Medicaid funds, steered by the Governor's chief of staff through secret and clandestine actions to his own political committee."
The investigation in the Florida House didn't target DeSantis directly. But the political campaign to defeat the marijuana initiative — which successfully scuttled the amendment — was led by DeSantis. Since these allegations, DeSantis has denied any wrongdoing by his administration. He's fought back in a series of news conferences where he's attacked the news media and Republican lawmakers.
"The whole thing that the House leadership is doing is a manufactured fraud," DeSantis said at a recent appearance in Fort Myers. "This is a hoax. They are trying to smear one of the most successful programs anywhere in the country."
Among the many issues lawmakers are angry about is that the DeSantis administration didn't tell Florida's Legislature about the $67 million settlement or about the $10 million that went directly to a charity overseen by DeSantis' wife. "The investigation is the most visible indication of a growing rift between DeSantis and Republican leaders in the legislature. State House Speaker Daniel Perez recently responded to the governor's attack, calling it "a temper tantrum," saying "the House will not be bullied."
The other state official at the center of these allegations is Florida's attorney general, James Uthmeier.
According to the House investigation, Uthmeier was the person who initiated the plan to divert some of the settlement money to groups campaigning against the marijuana referendum. At the time, he was DeSantis' chief of staff. In February, months after these events occurred, DeSantis appointed Uthmeier attorney general to replace Ashley Moody. DeSantis named Moody to the U.S. Senate to fill out Marco Rubio's term after Rubio was appointed Secretary of State by President Trump.
Uthmeier denies the allegations that he was the mastermind behind the deal. "I was not involved in the settlement negotiations related to the Hope Florida contribution," he says. "Looking at it, everything looks legal."
Uthmeier says the $10 million that went to the "dark money" groups wasn't Medicaid money. He's called it a "sweetener" — money added by Centene on top of the larger Medicaid settlement. Representative Andrade says that's a legalistic argument and he isn't buying it. "Ten million dollars is a lot of money," he says. "In the real world, if someone defrauded the state or a charity of ten million dollars, they would go to prison."
Andrade says he's concluded his investigation and it's up to federal prosecutors to decide whether to pursue criminal charges. He's says he's spoken to the Department of Justice. The U.S. Attorney in Florida's Northern District declined to comment.
Even if there are no criminal charges, one person marked by this investigation is Casey DeSantis. She's been making appearances around the state with her husband and appears to be preparing her own bid to run for governor. President Trump has already endorsed a candidate in the race, Republican Congressman Byron Donalds.
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