A controversial $10 million payment directed to the Hope Florida Foundation, a charity connected to Gov. Ron DeSantis' initiative, came from Medicaid settlement funds intended for state and federal taxpayers, according to a newly revealed document. This finding contradicts previous statements from the governor and his administration.
The funds stem from a settlement reached last year with Centene, Florida’s largest Medicaid contractor. The agreement settled claims that Centene had overbilled taxpayers $67 million for medications. While $57 million was returned to state and federal accounts, $10 million was sent to the Hope Florida Foundation, overseen by first lady Casey DeSantis.
The foundation subsequently transferred the money as grants to two nonprofit organizations. These groups, not required to disclose their spending, later directed $8.5 million to a political committee chaired by James Uthmeier, then DeSantis' chief of staff and now the state's attorney general. The allocation of Medicaid funds, designed for healthcare services for the poor, is subject to strict regulation.
Governor DeSantis had publicly stated the $10 million was a separate charitable contribution from Centene, calling it "a cherry on top." However, a draft settlement agreement from February 2022 shows the $67 million figure as the total overbilling amount, with no indication of a separate donation.
The state initially became aware of potential overbilling by Centene in 2021, following similar settlements in other states like Ohio and Mississippi. Politically connected law firms aided states in negotiating these settlements, earning contingency fees. Florida hired one such firm in December 2021.
Calendar entries indicate that James Uthmeier, then serving as Ron DeSantis' chief of staff, engaged in discussions regarding Centene settlements as early as February 2022. He held multiple meetings with lawyers representing the firms and company officials throughout that year.
The settlement was finalized in September of the following year but was not publicly disclosed until recently, prompted by inquiries from reporters and state Rep. Alex Andrade, a Pensacola Republican. The law firm initially hired by the state was fired in 2023 and reportedly not paid for its work.
The controversy has drawn criticism from some lawmakers, including Rep. Andrade, who has questioned the handling of the funds. Meanwhile, a recent online board meeting for the Hope Florida Foundation was disrupted by trolls sharing inappropriate content, highlighting the intense public scrutiny surrounding the initiative's funding.
State officials maintain the settlement was beneficial for Florida. Attorney General Uthmeier, addressing the controversy, asserted that money contributed to a charitable entity would not be considered state or Medicaid funds.
As the debate continues over the nature and destination of the $10 million, Attorney General Uthmeier offered clarity on the administration's perspective: "If it’s a contribution to a 501(c)(3) entity, that is not state dollars, that is not Medicaid dollars."
