Minnesota Gov. Tim Walz

Minnesota Gov. Tim Walz testifies during a Committee on Oversight and Government Reform hearing on June 12, 2025.

(Photo by Alex Wroblewski/AFP via Getty Images)

Walz Says Trump Is Exploiting Minnesota Fraud Issue to Defund State’s Childcare Programs

"He’s politicizing the issue to defund programs that help Minnesotans," said the Democratic governor.

Minnesota Gov. Tim Walz on Tuesday accused US President Donald Trump and his administration of sensationalizing and exploiting a real problem—fraud in the state's social services system—to advance their broader agenda of gutting the safety net.

"This is Trump’s long game," Walz wrote on social media after the US Department of Health and Human Services announced it was suspending all federal childcare funds to Minnesota, alleging "blatant fraud that appears to be rampant."

Walz added that fraud is "a serious issue—but this has been [Trump's] plan all along."

"He’s politicizing the issue to defund programs that help Minnesotans," the governor wrote.

The right-wing media ecosystem and Republican politicians have fixated on fraud in Minnesota in recent weeks, using it to launch bigoted attacks on the state's Somali community and call for mass deportations of Somalis.

The issue exploded over the weekend after Nick Shirley, a right-wing influencer and YouTuber, released a video claiming to expose fraud in Minnesota day care centers. The video went viral and was shared by top Trump administration officials, including FBI Director Kash Patel and Vice President JD Vance. Kristi Noem, head of the US Department of Homeland Security, said in the wake of the video's publication that federal agents "are on the ground" in the state and "conducting a massive investigation."

Minnesota Public Radio reported that the state's House speaker, Rep. Lisa Demuth (R-13A), confirmed that her caucus directed Shirley to the day care sites that he visited.

"Those featured in his widely viewed video have been part of a state-administered childcare program using federal money, although some recently had operations or payments suspended," the outlet noted.

The Guardian noted that "despite claims by conservatives on social media that the allegations of fraud were ignored until now, there have been years of fraud investigations that began with the indictments in 2022 of 47 defendants for their alleged roles in a $250 million scheme that exploited a federally funded child nutrition program during the Covid-19 pandemic."

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