Kissimmee Ethics Fine: $2,000 Penalty Amid $50,000 Grant Dispute

The Florida Commission on Ethics approved a $2,000 civil fine and a public reprimand for Kissimmee Mayor Jackie Espinosa on Friday, October 23. The unanimous decision resolves a complaint alleging that Espinosa violated state conflict-of-interest laws by maintaining a contractual relationship with entities that received city business.

The ruling follows an arrest early Wednesday, where police charged Espinosa with grand theft and fraud. Prosecutors allege she helped design the City of Kissimmee's Business Boost 2.0 program and then directed $50,000 in grants to herself and relatives. The Florida Attorney's Office and the Department of Law Enforcement state that city staff raised ethical concerns about these transactions, which Espinosa ignored.

Documents reviewed by FOX 35 Orlando detail the flow of funds. Four businesses leasing space in a building owned by the mayor each received $10,000. Three other grants totaling $50,000 went to entities linked to her family. The Real Estate Gallery, owned by her husband, received $15,000. The Kissimmee Diner, which closed five months after receiving its $15,000 grant, was replaced by a new tenant. Andanse LLC, a company owned by Espinosa and leased to a family member, received the largest portion at $20,000.

Espinosa posted a $70,000 bond Thursday night and was released from custody. She told reporters gathered outside the jail that the events of the previous day highlighted the need for voters to participate in the November 3 election. "What I want people to know is what happened yesterday requires all of us to go out and vote November 3rd," she said. "To the constituents of Kissimmee, we will be okay."

Lillian Evans, one of three complainants who filed formal ethics charges, attended the Friday hearing. In a letter to the commission, Evans argued that the $2,000 penalty was too low for the violations. When given a brief opportunity to speak, she expressed relief that the legal process had accelerated. "I felt relief. I felt that we were actually getting what the City of Kissimmee deserves," Evans said. "Somebody that took money from the City of Kissimmee from our people, and she needs to pay for what she did."

The city has stated that Espinosa remains mayor unless she resigns, is removed, or is suspended. The city charter does not explicitly define the process for a sitting mayor who is arrested. Governor Ron DeSantis holds the authority to remove elected officials from office but has not announced any action regarding Espinosa's position.

FOX 35 Orlando contacted the governor's office on Friday for comment but had not received a response at the time of publication.