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The Division of Well being and Human Providers (HHS) has launched a overview into how Minnesota used billions of {dollars} in federal social service funding, requesting detailed data from Gov. Tim Walz’s administration and different state entities after reviews raised questions on whether or not parts of the cash have been misused, in accordance with letters first obtained by the New York Publish.
The letters have been despatched Monday by Alex Adams, assistant secretary for the Administration for Youngsters and Households, to Walz, Minneapolis Mayor Jacob Frey and a nonprofit concerned in administering Head Begin applications, the Publish reported.
In accordance with the Publish, Adams mentioned HHS is making an attempt to find out whether or not federal safety-net funds have been diverted or mismanaged and whether or not such misuse may need “been used to gasoline unlawful and mass migration” into Minnesota.
Adams informed the outlet the overview is concentrated on “accountability for American taxpayers” and on making certain federal profit applications weren’t compromised.
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Minnesota Gov. Tim Walz has mentioned, “Minnesota is a affluent state, a well-run state.” (AP Photograph/Meg Kinnard)
The Publish reported that Minnesota obtained greater than $8.6 billion in ACF funding between fiscal years 2019 and 2025 by means of greater than 1,000 federal grants. In fiscal 12 months 2025 alone, the state obtained over $690 million for safety-net applications beneath President Biden, in accordance with federal spending data reviewed by the Publish.
Within the letters, Adams requested what the Publish described as a “complete checklist” of all state entities that obtained ACF funding throughout that interval, together with detailed administrative information. The data sought contains recipient names, addresses, dates of start and, the place relevant, Social Safety numbers and immigration A-numbers, the Publish reported.
Adams informed the Publish that HHS has “authentic motive to assume that they’ve been utilizing taxpayer {dollars} incorrectly,” citing current fraud investigations and allegations involving Minnesota’s Division of Human Providers. In accordance with the Publish, the letters referenced public statements from tons of of DHS workers alleging warnings of fraud have been disregarded and whistleblowers confronted retaliation.
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Minneapolis Mayor Jacob Frey speaks throughout a press convention at Metropolis Corridor following a mass capturing at Annunciation Catholic College on Aug. 28, 2025 in Minneapolis. (Stephen Maturen/Getty Pictures)
The overview comes amid heightened scrutiny of Minnesota’s dealing with of federal funds following a number of high-profile fraud instances. Federal prosecutors have charged dozens of people in reference to the Feeding Our Future scheme, during which greater than $250 million supposed for little one vitamin applications was diverted for luxurious purchases and actual property. A lot of these charged had ties to nonprofits serving Minnesota’s Somali group.
The Publish additionally cited Pew Analysis Heart information displaying Minnesota’s unauthorized migrant inhabitants elevated by roughly 40,000 folks between 2019 and 2023, reaching an estimated 130,000 residents, or about 2% of the state’s inhabitants.
Males participate in a weekly Friday Jum’ah prayer session at Abubakar As-Saddique Islamic Heart amid a reported ongoing federal immigration operation concentrating on the Somali group in Minneapolis, Minnesota, U.S. Dec. 5, 2025. (Tim Evans/Reuters)
In accordance with the Publish, the ACF overview contains a number of main federal applications, together with the Neighborhood Providers Block Grant, Social Providers Block Grant, Low-Revenue Residence Power Help Program, Title IV-E Foster Care, Refugee Money and Medical Help, the Little one Care and Improvement Fund, and Dad and mom in Neighborhood Motion, a Head Begin grantee.
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“The Trump Administration has made clear its dedication to rooting out fraud, defending taxpayer {dollars}, and making certain program integrity throughout all federal profit applications,” Adams wrote within the letters, in accordance with the Publish. “This data is important for ACF to conduct an intensive overview of program operations and to evaluate the extent of any irregularities that will have occurred.”
Fox Information Digital reached out to Gov. Walz, Mayor Jacob Frey and HHS for remark however didn’t obtain an instantaneous response.
