Stauber Reacts to House Oversight Findings that Governor Tim Walz and Attorney General Keith Ellison Knew of Fraud and Failed to Act

June 8, 2026 Press Release WASHINGTON, D.C. – Congressman Pete Stauber (MN-08) made the following statement after the House Oversight Committee released a report titled, “The Cost of Doing Nothing: How Tim Walz and Keith Ellison Fueled Minnesota’s Fraud Explosion.” The bombshell report exposes how senior Minnesota state officials, including Governor Tim Walz and Attorney General Keith Ellison, knew about widespread taxpayer fraud in federally funded social programs for years, had the authority to stop payments and ban fraudulent providers from participating in these programs, but repeatedly failed to act. Congressman Stauber stated, “History will never forget that Governor Tim Walz and Attorney General Keith Ellison knew about the fraud plaguing Minnesota for years and turned a blind eye to it. Investigators found that concerns about allegations of racial discrimination contributed to their decision to allow these fraudsters to keep operating, and state employees who raised concerns about the fraud faced retaliation instead of support. This is unacceptable. As a result of their dereliction of duty, $9 billion in Medicaid funds and $300 million in federal child nutrition funds have been lost. This week, the House will consider ten bills aimed at protecting taxpayer funds and combatting improper payments in federal programs, and we will continue to work alongside President Trump’s anti-fraud taskforce to ensure this type of malfeasance can never occur again. Fraud is an invisible tax on hardworking Americans, and Republicans are working to eliminate it because that’s what the American people demand and deserve.” Key findings from this report include: Governor Walz and Attorney General Ellison were aware of rampant fraud in Minnesota’s social services programs as early as 2019 but failed to take action to prevent the theft of billions of taxpayer dollars. Minnesota state agencies had the authority to stop or suspend payments to providers suspected of fraud without requiring independent direction from courts, law enforcement agencies, or the federal government but failed to act. Minnesota officials continued directing taxpayer dollars to Feeding Our Future and other high-risk entities despite identifying serious red-flags, enabling billions of dollars in federal funds to go to fraudsters. Testimony and documents show that concerns about litigation and accusations of discrimination were cited as reasons for continuing payments to suspected fraudsters. The Walz Administration retaliated against state employees who raised concerns about fraud, while senior state officials prioritized managing political and media fallout over addressing known fraud vulnerabilities. Failures to prevent fraud resulted in an estimated $300 million in federal child nutrition funds and $9 billion in Medicaid-related funds to be lost. Read the full report HERE . During House Oversight’s investigation into Minnesota fraud, Congressman Stauber had an opportunity to waive on to the House Oversight Committee and question witnesses about the ongoing fraud in Minnesota. He has also introduced a number of bills to combat fraud, including the Stop Fraud by SOMALIA Act, legislation that penalizes childcare providers who commit fraud in federally funded programs. ###