Florida mayor arrested: Kissimmee COVID relief funds bring grand theft and fraud charges, AG says

Grant funds at issue

Florida Attorney General James Uthmeier’s office alleges Espinosa improperly appropriated $50,000 through Kissimmee’s Business Boost 2.0 program. The program provided small-business relief during the COVID-19 period. The state says Espinosa and family members applied on the day applications opened in September 2025. The allegations concern grants awarded through a program launched under her administration.

State and defense positions

Uthmeier said the evidence indicates an alleged conflict of interest and abuse of office. The charges claim Espinosa used the program to benefit herself and family members. Her attorney, Perez, said Espinosa maintains her innocence and plans to contest the allegations vigorously in court. Perez argued prosecutors must prove criminal intent and distinguish a criminal offense from an alleged ethics violation.

City duties and legal stakes

The city said an arrested mayor remains in office unless a qualifying action, such as suspension, removal or resignation, occurs. Vice Mayor Angela Eady will carry out mayoral duties at commission meetings and ceremonial events while Espinosa is absent.

The city said an investigation will examine how the grant program was designed, administered and overseen. It will also assess whether grant-awarding procedures were followed and whether those procedures were adequate.