A Grand Jury Says Florida Officials Misused $10 Million Meant for Children's Health — but No One Was Charged
A Florida grand jury has concluded that Governor Ron DeSantis's administration "misappropriated" $10 million in taxpayer money from a Medicaid settlement, steering it through a charity linked to First Lady Casey DeSantis and into political action committees (PACs) and the Republican Party of Florida. The report, dated 28 January 2026, described the diversion as part of a "sophisticated scheme to fund political activities" but produced no criminal indictments, as grand jurors determined there was insufficient evidence to charge anyone criminally The Guardian, 27 Aug 2026.
A PAC is a type of organization that raises and spends money to support or oppose political candidates and ballot measures. Medicaid is the government health insurance program that serves low-income Americans and children.
The report remained sealed for seven months before CBS News Miami obtained and published it on 26 August 2026 WLRN, 26 Aug 2026. The $10 million originated from a 2024 settlement between the state of Florida and Centene, a contractor for Medicaid. According to the grand jury, those funds were supposed to be used to provide health insurance for poor children CBS News Miami, 26 Aug 2026. Instead, the money was directed to the Hope Florida Foundation, an initiative the report describes as "championed by the First Lady of Florida, Casey DeSantis" The Guardian, 27 Aug 2026.
The Money Trail
Once the $10 million reached Hope Florida, it was "quickly funneled" into two PACs, according to the grand jury. The report said the diverted money was hastily passed through multiple organizations before landing in the bank accounts of those PACs and the Republican Party of Florida CBS News Miami, 26 Aug 2026. The funds were used in 2024 to defeat Florida Amendment 3, a citizen initiative to legalize marijuana CBS News Miami, 26 Aug 2026.
The grand jury identified Attorney General James Uthmeier as "the nexus for much of the activity surrounding the transfer of the $10 million" CBS News Miami, 26 Aug 2026. At the time of the settlement, Uthmeier served as DeSantis's chief of staff. The grand jury found he was in a "position of authority over those involved in settling with Centene," and testimony identified him as having involvement in directing the money after it went to Hope Florida The Guardian, 27 Aug 2026. Uthmeier's PAC, Keep Florida Clean, received the majority of the $10 million in taxpayer funds, the grand jury found CBS News Miami, 26 Aug 2026. He is currently running for election to a full four-year term as attorney general The Guardian, 27 Aug 2026.
Officials Named in the Report
The grand jury concluded that Ashley Moody, who was attorney general at the time, was aware of plans to divert the $10 million to Hope Florida and authorized her former chief deputy, John Guard, to sign the settlement agreement. The grand jury noted that Guard signed the settlement without conducting due diligence to ensure the proper appropriation of taxpayer funds CBS News Miami, 26 Aug 2026. Guard was appointed by DeSantis to the state appeals court in January CBS News Miami, 26 Aug 2026. Moody was appointed to the U.S. Senate in 2025 by DeSantis and is up for election in November CBS News Miami, 26 Aug 2026.
A Collective Lapse of Memory
The grand jurors wrote that no witness would take responsibility for, or had any memory of, deciding that the $10 million of taxpayer money would go to Hope Florida The Guardian, 27 Aug 2026. The report's only mention of Casey DeSantis refers to Hope Florida as an initiative "championed by the First Lady of Florida, Casey DeSantis" The Guardian, 27 Aug 2026. No criminal charges were filed. The grand jury found the scheme insufficiently evidenced for criminal prosecution.
The Governor's Response
Governor DeSantis said the only "apparent" crime was whoever leaked the grand jury report. He described the Centene settlement as "legally sound" and "appropriate," said it advanced the interest of the state, and denied there was any diversion of Medicaid funds The Guardian, 27 Aug 2026.
What to Watch
The political stakes are immediate. Uthmeier is on the ballot for a full term as attorney general this November. Moody faces a Senate election the same month. Both now carry the weight of a grand jury's findings, even absent indictments.
The broader context here is about timing and accountability. The report's emergence after seven months under seal raises questions about its suppression during a legislative session and primary season. And DeSantis's framing of the leak as the real crime positions the disclosure, not the conduct it describes, as the target of any subsequent investigation.
The structural question the report leaves unresolved is how $10 million in Medicaid settlement funds, earmarked for children's health insurance, moved through a charity, into PACs, and into partisan political warfare without a single official taking responsibility for the decision. The grand jury described a scheme. It did not produce a culprit. Whether that gap reflects insufficient evidence, institutional shielding, or the limits of grand jury procedure is something Florida voters, and potentially federal investigators, will have to weigh.
