Minnesota daycare fraud
Walz Expected to Drop MN Election Bid After Somali Fraud Scandal
The expectation comes ahead of a scheduled press conference Monday morning by Walz’s office. Walz, who was the Democratic vice-presidential nominee in 2024, has faced mounting national criticism over alleged Medicaid and daycare fraud in Minnesota that authorities say could total billions of dollars.

Minnesota Governor Tim Walz is expected to withdraw from the 2026 reelection race amid intensifying scrutiny over a sprawling fraud investigation tied to state-funded programs, according to political analysts in the state.
The expectation comes ahead of a scheduled press conference Monday morning by Walz’s office, which has not said what the governor plans to announce. Walz, who was the Democratic vice-presidential nominee in 2024, has faced mounting national criticism over alleged Medicaid and daycare fraud in Minnesota that authorities say could total billions of dollars.
The controversy gained momentum after viral footage circulated by independent journalist Nick Shirley, showing taxpayer-funded daycare centers that appeared largely empty despite receiving substantial public funding. Federal authorities have since launched a broad enforcement effort aimed at uncovering fraud and removing individuals accused of exploiting government programs, according to the Department of Homeland Security.
Republicans have seized on the issue, accusing the Walz administration and Minnesota Democrats of ignoring repeated warnings. State GOP lawmakers argue that concerns were raised as early as 2024 and went unaddressed. President Donald Trump has also weighed in publicly, suggesting the scale of the alleged fraud may be far larger than currently known.
The political fallout has put Walz under sustained pressure both inside and outside Minnesota, with critics portraying the scandal as emblematic of systemic failures in oversight. Congressional committees are expected to hold hearings in the coming weeks, while the Trump administration has signaled it may freeze certain federal childcare funds until states adopt stricter verification measures.
If Walz does step aside, attention is already turning to potential Democratic successors. Minnesota political analysts say Amy Klobuchar is widely viewed as a leading contender, following reported discussions with Walz over the weekend.
As of now, Walz’s office has not confirmed whether he will exit the race, but within Minnesota political circles, the assumption is increasingly that his tenure is nearing a turning point.