• Despite Florida’s Republican officials publicly opposing diversity, equity, and inclusivity (DEI) and environmental, social, and corporate governance (ESG) principles, state agencies have engaged in multiple contracts with Mercer, a consulting group known for its alignment with DEI and ESG initiatives.
• Mercer has been involved in at least 64 contracts with various state agencies over the past decade, providing consulting, actuarial, and governmental relations services.
• Even under Governor Ron DeSantis’ administration, Mercer was granted a $1 million no-bid contract with the Department of Children and Families for a financial plan supporting at-risk children, despite the state’s strong opposition to “woke culture” and progressive ideologies.
• Mercer’s involvement in state affairs extends beyond consulting, as they were also employed in conducting an executive compensation analysis for the interim president of New College of Florida, leading to a significant increase in the hiree’s salary compared to the previous president.

Despite persistent “anti-woke” messaging from Gov. Ron DeSantis, Chief Financial Officer Jimmy Patronis, and other Florida Republican officials, state agencies under their control have engaged in dozens of contracts with Mercer. The consulting group remains aligned with DEI and ESG principles, seemingly at odds with the state’s ideological stance.

Mercer, despite its strong commitment to DEI and ESG principles, has become deeply embedded in Florida’s state government—something state officials have been reluctant to publicly acknowledge. Several agencies, including the Department of Health (DOH), the Department of Management Services (DMS), and the Department of Children and Families (DCF), have entered into contracts with Mercer over the past ten years, dating as far back as 2010.

Documents obtained by The Capitolist reveal that Mercer was recently awarded a $1 million no-bid contract under DeSantis’ administration. The contract, issued in December 2021, was for creating a financial plan to support a statewide network of assistance for at-risk children.

In recent years, state officials like DeSantis and Patronis have both taken on a strong-armed approach – rhetorically, at least (“Florida is where woke goes to die…“) – against DEI and ESG philosophies, culminating in legislation barring the use of such ideologies in governmental fiduciary and educational practices. This opposition was heightened by the state’s divestment of $2 billion—an unprecedented move—of assets under management by BlackRock in response to its adherence to ESG investing strategies.

“Florida will continue to lead the nation against big banks and corporate activists who’ve colluded to inject woke ideology into the global marketplace, regardless of the financial interests of beneficiaries,” DeSantis declared in May.

However, neither Mercer nor its parent company, Marsh McLennan, have faced similar scrutiny. Both firms are open about their adoption of DEI and ESG standards, with Marsh McLennan publicly stating that it has incorporated ESG strategies since 2008.

“ESG is fundamental to our identity and the way we show up for our clients and the communities we impact,” states Marsh McLennan’s website. “We have formally integrated environmental, social, and governance factors into our decision-making processes since 2008, and believe that transparent and consistent disclosure enables better-informed business and investment decisions.”

Mercer’s corporate values, which include inclusion and diversity, social impact, and sustainability, stand in direct contrast to the state’s recent legislation and public statements. As Mercer puts it: “Organizations should embed a holistic DEI approach into all business processes. This should include not only internal strategies but also external ones—working with stakeholders such as consumers, suppliers, governments, and communities—to help create a more open, diverse, and inclusive society.”

But the DeSantis administration wasn’t the first to bring Mercer into state government. Under Gov. Rick Scott, on May 17, 2017, Mercer was contracted for $9 million to provide a fiscal evaluation of the Department of Health’s Children’s Medical Services Managed Care Plan. The contract was originally set to terminate on June 30, 2020, but was extended twice under DeSantis’ leadership, most recently through September 30, 2023.

Under this contract, Mercer has received at least $853,000 per fiscal year since 2017, with total payments reaching as high as $1.6 million during DeSantis’ time in office. The most recent payment was made in June, when DOH paid Mercer $107,854.

Another contract worth $441,470 was initiated on March 23, 2023 to conduct a performance and compliance audit of the state Pharmacy Benefit Manager, Preferred Provider Organization, and Health Maintenance Organization plans. The contract ended on June 30, with the most recent documented payment taking place on April 27. 

Other recent agreements include a $339,780 contract with DCF on February 3, 2023, for actuarial audits and a $275,000 actuarial services order authorized by the DOH on January 26, 2023. A majority of the 64 contracts were initiated before DeSantis took office, stretching back to 2010.

Both the Executive Office of the Governor and the Office of the Chief Financial Officer informed The Capitolist that the matter was under review but provided no further details.

Notably, Mercer was also involved in selecting New College of Florida’s interim president, conducting an executive compensation analysis. According to university documents, Matthew Spalding, the DeSantis-appointed Chair of the Search Committee, selected Mercer for the analysis.

Mercer compared the salaries of presidents from 13 similar institutions and presented its findings to the university’s presidential search committee. Based on Mercer’s analysis, it was recommended that the base salary range be set between $487,110 and $867,777, with total compensation ranging from $893,641 to $1,547,324.

The eventual hire, former state Board of Education Commissioner Richard Corcoran, was awarded an annual salary of $699,000, alongside an $84,000 housing allowance. The Tampa Bay Times reported that Corcoran’s contract also included a $12,000 automobile stipend and a $104,850 annual retirement supplement.

Corcoran’s salary marked a $400,000 increase over New College’s previous president, Pam Okker, who was removed following DeSantis’ appointment of six conservative trustees to the university’s board.

For comparison, Ben Sasse, the former U.S. Senator now serving as the University of Florida’s president, earns $1 million per year. New College did not respond to inquiries regarding Mercer’s contract.