Bulwark Takes: The $10M Scandal That Could Bring Down DeSantis!

Release Date: May 2, 2025

In this compelling episode of Bulwark Takes, Sam Stein, the managing editor at The Bulwark, delves into a tumultuous political scandal unfolding in Florida that threatens to tarnish Governor Ron DeSantis's legacy. Joined by Alex Glorioso, the state government reporter at the Miami Herald, they unpack the intricate web of financial maneuvers, legal controversies, and political implications surrounding the HOPE Florida program and a significant $10 million settlement. This summary captures the essence of their discussion, highlighting key points, insights, and conclusions.

Introduction to the Scandal

Sam Stein opens the conversation by introducing Alex Glorioso and setting the stage for the discussion about a persistent and escalating scandal in Florida. He succinctly outlines the issue:

"There's an initiative, it's called Hope Florida. It's designed to sort of be a hybrid... It's the brainchild or baby of Casey DeSantis or Ron DeSantis or both. And somehow it became a conduit for political activity, specifically $10 million in donations to donations to anti pot initiatives..."
(00:00)

Background: The HOPE Florida Program

Alex Glorioso provides a foundational understanding of the HOPE Florida program, emphasizing its origins and objectives:

"The HOPE Florida program is an initiative spearheaded by the first lady, Casey DeSantis, intended to get people off of government aid..."
(04:07)

She explains that HOPE Florida was designed to transition individuals away from traditional welfare benefits by connecting them with private community organizations, many of which are faith-based. The program operates under Governor DeSantis's executive authority, aiming to reduce state expenditures by outsourcing welfare support to non-governmental entities.

The Centene Settlement: An Unexpected Revelation

The conversation shifts to the crux of the scandal: the $67 million settlement between the state of Florida and Centene Corp., a major Medicaid provider.

Alex Glorioso details the settlement:

"Centene agreed to settle... related to overbilling in the prescription drug program. The settlement was $67 million."
(02:52 - 03:16)

Surprisingly, this settlement was never publicized and only emerged in reports after investigative efforts by journalists.

Uncovering the Misuse of Funds

The discovery process is meticulously outlined as Alex Glorioso narrates her investigative journey:

"We started looking into the HOPE Florida program... and realized there were no documents and that they weren't filing any of those required reports."
(08:09 - 10:06)

The investigative team unearthed that the HOPE Florida Foundation, intended to support the program, lacked necessary documentation such as independent audits and bylaws. This raised red flags about the legitimacy and transparency of the program's operations.

Linking the Settlement to Political Donations

A pivotal moment in the investigation occurred when documents revealed a $10 million allocation from the Centene settlement to the HOPE Florida Foundation, which was subsequently funneled into political activities:

"Hope Florida was getting a $10 million allocation... It ended up donating $5 million each to two dark money organizations... and $8.5 million to a political committee called Keep Florida Clean."
(12:48 - 19:31)

These donations were directed towards defeating Florida's Amendment 3, which sought to legalize recreational marijuana. The successful campaign to overturn this amendment is directly tied to the misappropriated funds, raising significant legal and ethical concerns.

Key Individuals and Their Roles

The scandal implicates several prominent figures:

• Jeff Aaron: Attorney for the HOPE Florida Foundation, closely associated with the DeSantis administration.
• James Ethmeyer: Governor DeSantis's chief of staff and chairman of the House Healthcare Budget Subcommittee.
• Representative Alexandra Andrade: Chairwoman of the House committee who raised critical questions about the HOPE Florida program.

Alex Glorioso highlights Aaron's involvement through documented communications:

"Text messages show that James Ethmeyer reached out to Amy Ronshausen... Aaron responded by directing her to Secure Florida's Futures application."
(20:34 - 22:51)

These interactions suggest a coordinated effort to channel funds into anti-marijuana initiatives, potentially involving fraud and money laundering.

Legal Implications and Responses

The misuse of Medicaid settlement funds is a grave violation of both state and federal laws. Alex Glorioso explains the legal framework surrounding such settlements:

"In Florida, if it's a million dollars, you have to notify the legislature and send it back to state coffers."
(23:06 - 23:26)

Governor DeSantis and Attorney General James Ethmeyer maintain that the $10 million was separate from the Medicaid settlement and propose that it was a voluntary donation by Centene. However, this defense is undermined by the timing and lack of transparency in the settlement process.

Impact on DeSantis's Political Standing

The scandal poses a significant threat to Governor DeSantis's political future and his wife's potential gubernatorial ambitions. Alex Glorioso discusses the political stakes:

"DeSantis is experiencing what it means to be a lame duck... There's pushback from his own party because they're not used to having their power minimized."
(29:55 - 31:31)

The diversion of funds to defeat popular voter initiatives could erode public trust and lead to internal conflicts within the Republican Party, especially as DeSantis approaches the end of his term.

Current Status and Future Developments

As the investigation unfolds, key figures like Attorney General James Ethmeyer and Jeff Aaron face increasing scrutiny:

"Representative Andrade has accused Aaron and Ethmeyer of being in a scheme to defraud health care... and money laundering."
(31:41 - 32:18)

The Miami Herald's ongoing reporting continues to shed light on potential federal crimes, with former federal prosecutors outlining possible charges related to the HOPE Florida saga.

Conclusion and Looking Ahead

The episode concludes with a sense of anticipation for further developments. Alex Glorioso emphasizes the gravity of the situation:

"There's nothing I can say about that. Right."
(31:41)

Sam Stein encourages listeners to stay informed and follow the Miami Herald's coverage for updates on this high-stakes political scandal.

Notable Quotes

• Sam Stein: "Florida. Never a dull moment, I have to say."
  (00:00)

• Alex Glorioso: "The HOPE Florida program is an initiative spearheaded by the first lady, Casey DeSantis..."
  (04:07)

• Sam Stein: "Did it note in there that it was the Centene Corporation, or was it not noted in there?"
  (14:05)

• Alex Glorioso: "They started pushing about Centene. And then... Representative Alexandra... decided to hold a hearing and requested Centene documents."
  (16:10)

• Sam Stein: "How important defeating that recreational marijuana initiative was to DeSantis, like, why did he care so much?"
  (24:56)

Implications for the Republican Party

The scandal underscores a potential rift within the Republican Party, highlighting tensions between established party leaders and loyalists to Governor DeSantis. As the investigation progresses, it remains to be seen how this internal conflict will shape the party's future dynamics and electoral strategies.

Final Thoughts

This episode of Bulwark Takes meticulously dissects a complex political scandal that intertwines state governance, legal violations, and partisan politics. The $10 million misappropriation not only threatens Governor DeSantis's reputation but also raises critical questions about transparency, accountability, and the ethical use of public funds in political maneuvering.

Listeners are encouraged to stay engaged with ongoing coverage to fully grasp the evolving implications of this scandal on Florida's political landscape and beyond.