James Comer is Chairman of the House Oversight Committee. | https://oversight.house.gov/chairman-james-comer/
The House Committee on Oversight and Government Reform has released an interim staff report detailing findings from its investigation into fraud within Minnesota’s social services programs. The report, titled “The Cost of Doing Nothing: How Tim Walz and Keith Ellison Fueled Minnesota’s Fraud Explosion,” is based on transcribed interviews with nine current and former state employees and a review of related documents.
According to the committee, senior officials in Minnesota, including Governor Tim Walz and Attorney General Keith Ellison, were aware for years of widespread fraud affecting federally funded social service programs. The report alleges that these officials misled the public about their knowledge of the fraud, failed to take meaningful action despite having authority to do so, and retaliated against employees who raised concerns.
“Testimony obtained by the Committee reveals that Governor Tim Walz and Attorney General Keith Ellison were aware of widespread fraud in social service programs, lied about their knowledge of the fraud, and retaliated against employees who dared to raise concerns. Instead of protecting vulnerable Americans, they handed over billions in taxpayer dollars to fraudsters and threw their own state employees under the bus. Governor Walz and Attorney General Ellison are appearing before the Committee because the American people deserve clear answers about how this rampant fraud was allowed to flourish under their watch. The House Oversight Committee will continue to investigate massive waste, fraud, and abuse in Minnesota’s social services programs,” said Chairman James Comer (R-Ky.).
The committee began its investigation in December 2025 after extensive money laundering and fraudulent activities were uncovered by the U.S. Attorney’s Office for the District of Minnesota. During interviews totaling nearly 40 hours with key current and former state officials, Republican staff conducted most of the questioning.
Key findings indicate that Governor Walz and Attorney General Ellison knew about credible reports of fraud as early as 2019 at the Department of Human Services and by April 2020 at the Department of Education. Despite having legal authority to suspend or stop payments to providers suspected of fraudulent activity, state agencies continued funding them due to concerns over litigation threats or being perceived as discriminatory rather than actual legal obstacles.
Additionally, contrary to statements made by Governor Walz, there was no instruction from the Federal Bureau of Investigation directing state officials to continue payments to Feeding Our Future or any other provider under federal investigation for possible fraud. In fact, payments continued voluntarily even after significant program deficiencies were identified without any court order requiring such actions.
As a result of these failures, an estimated $300 million in federal child nutrition funds and up to $9 billion in Medicaid-related funds were either lost or put at risk.
