Name: Scrutiny over Minnesota fraud increases
Uploaded: 2026-01-02T17:25:25.264Z
Duration: 2 min
Description: Minnesota’s fraud scandal is back in the national spotlight centered around child care assistance programs after allegations of fraud throughout the state.

Minnesota’s fraud scandal is back in the national spotlight centered around child care assistance programs after allegations of fraud throughout the state.

Minnesota

Federal authorities are increasing their focus on alleged fraud within Minnesota's child care assistance program. The US House Committee on Oversight and Government Reform is set to hold a hearing on the matter, and both Governor Tim Walz and Attorney General Keith Ellison have been invited to testify. 

The US Department of Health and Human Services has frozen all child care payments to Minnesota during the ongoing investigation. State officials report that, so far, unannounced visits to questioned sites have not produced evidence of fraud, while federal officers continue their investigation on the ground.

Scrutiny over Minnesota fraud increases

And thank you for tuning in on this New Year's Day. I'm Kelsey Carlson. The Trump administration continues to keep the attention on fraud in Minnesota and now several child care centers are under the microscope. So Young Kim is following how Congress plans to weigh in now and So Young, what happens next? Kelsey, federal investigators are stepping in in multiple ways. There's an upcoming congressional hearing focused on fraud in Minnesota. The US House Committee on Oversight and Government Reform will be holding a hearing focused on alleged fraud in Minnesota next Wednesday. Plus, next month Minnesota Governor Tim Walz and Attorney General Keith Ellison have been invited to testify before the committee. A Walz spokesperson responded by saying in part quote, we're always happy to work with Congress, though this committee has a track record of holding circus hearings that have nothing to do with the issue at hand. This comes after the U. S. Department of Health and Human Services announced it has frozen all child care payments to Minnesota amid the ongoing investigation. My office A. C. F. Provides Minnesota $185 million in child care funds each year. Minnesota's child care assistance program is meant to help low income families with child care costs. According to the Minnesota Department of Children, Youth and Families in 2024, roughly 20,000 Children were served during an average month and the program cost approximately $307 million. And according to state legislative research, over 3000 providers are registered with the program. The Minnesota agency's commissioner says each of the 10 sites that have come into question have been visited unannounced and the state has no evidence of fraud at this time. And there's also been a surge of federal officers on the ground in Minnesota investigating fraud allegations in the studio tonight. So young Kim Fox nine. All right, thank you so young.

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