TALHASSEE – Gov. Ron DeSantis’ administration last year diverted a $10 million state settlement to the charity arm of the welfare initiative led by his wife.
The unusual infusion of cash was part of a private settlement agreement involving a Florida healthcare administration agency. The money went to the Hope Florida Foundation, a nonprofit organization established by the state to realize Casey DeSantis’ vision of restructuring welfare.
Under Florida law, funds from a particular settlement agreement must be deposited in the state trust fund or general income fund.
It is not clear whether the law applies as the state refuses to publish details of the settlement, including the situation involved or those involved.
A state spokesman said the law would not apply because “this money was not paid to the state.” She did not elaborate.
The $10 million injection could be the latest issue that arises for a foundation that was established to raise funds to support Hope Florida, a state program created by DeSantis two years ago.
Officially launched in 2022, Hope Florida aims to drive residents out of government aid by connecting residents such as Food Assistance and Health Care Services with faith-based groups and other nonprofits. These groups are supposed to lift recipients out of poverty through their connections and guidance. It is an alternative to welfare.
Last week, an employee working in the Republican-controlled House of Representatives argued that Hope Florida’s fundraiser did not comply with state laws governing surveillance, ethics or fundraising.
Reporters for The Times/Herald visited the Hope Florida Foundation’s headquarters on Friday to review records they submitted to the IRS. As a registered nonprofit organization, the IRS requires that foundation documents be made available immediately if someone directly requests them. However, the employee told reporters that they would “return in the order they received,” and told them they could leave.
The Foundation has never publicly disclosed that the names of its donors, churches or nonprofits will receive the funds. Not responding to journalist’s record requests.
However, a $10 million contribution was mentioned in a copy of the foundation’s board meeting minutes from October obtained by Times/Herald.
“The long-standing resolutions and states in the Health Care Department (AHCA) and the state have resulted in a $10 million allocation to the Florida Foundation of Hope.”
It is unknown what the “long-standing conflict” was, or who it is involved. The settlement is not listed in the Healthcare Administration’s online settlement database.
Mallory McManus, the agency’s vice-chief of staff, did not answer questions Monday about what the settlement was or who was involved. She said no lawsuits have been filed.
McManus said it was a “presuit settlement” in “favors” that were “part” and “part” to direct the Florida Foundation towards Hope. She did not answer when asked where the rest of the settlement went.
She wrote that since state funds are not being spent, legislatures do not need to notify of settlements under state law. She didn’t answer why government agencies were giving money to the Hope Florida Foundation, a state-created “direct support organization” that reports to another agency, the children and family department.
McManus is a registered agent for the state record Hope Florida Foundation.
Rep. Alex Andrade of R-Pensacola, who oversees the Health Care Administration budget agency, said he “didn’t want to jump on the conclusion” about the $10 million contribution, but he said he wanted more information.
“The mission and purpose of Hope Florida is still unknown,” Andredo told The Times/Herald. “Without the details and transparency, we cannot say whether this transfer was made for the appropriate purpose.”
Desantis is pushing Congress forward to Florida’s hopes to state law in this session. It gives his wife a major legislative victory and platform to discuss work qualifications if she ran to replace DeSantis as governor in 2026.
However, the bill is stagnant as Congress halts policy efforts and moves to the budget before the expected May 2nd ends of the legislative meeting.
“We still have a long way to go before we pass the floor,” Miami Republican House Speaker Daniel Perez told CBS News Miami’s Jim Difede on Sunday. “I know that the First Lady cares about it, but going through the committee process, stopping by along the way.”