Minnesota officials have until next week to turn over information about which providers and parents receive that information Federal child welfare funds Which the Trump administration claims was used fraudulently or risk losing federal funding. State officials said Friday that recent inspections showed that several child care centers accused of fraud by a right-wing influencer were “operating as expected.”
In an email sent Friday to child care providers and shared by several providers with The Associated Press, the Minnesota Department of Children, Youth and Families said it has until Jan. 9 to provide information about recipients of the funds.
The Trump administration announced earlier this week that it would freeze child care funds in Minnesota and the rest of the states after a series of actions Fraud cases It involves government programs in which many of the defendants were Somali, as well as many of those running the childcare centers that have been highlighted.
Allegations of child care fraud recently spread when a right-wing influencer posted a video claiming fraud had occurred, putting Minnesota and some other states in the crosshairs of the Trump administration.
Investigators conducted spot checks and audits of nine centers this week in response to the video the influencer posted last week, and found no operational issues, state officials said. One of the centers was not yet open at that time, and investigations are ongoing into four of them.
The email sent Friday instructed providers and families who rely on the frozen federal child care program to continue the program’s “licensure and certification requirements and practices as usual.” It does not state that the recipients themselves need to take any action or provide any information.
“We recognize the danger and questions this has raised,” the email said. “We found out about the money freeze at the same time as everyone on social media.”
The government agency added that it “had not received official communication from the federal government as of late Tuesday night,” which came after Health and Human Services Deputy Secretary Jim O’Neill. to publish About Freeze
The U.S. House Committee on Oversight and Government Reform will hold a hearing Wednesday to discuss allegations of fraudulent use of federal funds in Minnesota. A Department of Health and Human Services spokesperson said the child welfare fraud hotline established by the federal agency earlier this week received more than 200 tips.
Minnesota has drawn the ire of Republicans and the Trump administration with other fraud accusations.
Department of Children and Families Assistant Secretary Alex Adams told Fox News on Friday that his agency sent a letter to Minnesota last month requesting information about child welfare and other social welfare programs by Dec. 26, but did not receive a response. The state did not immediately respond to a request for comment. President Donald Trump also targeted the state Large Somali community With immigration enforcement actions they called “garbage.”
Minnesota Democrats say the Trump administration is playing politics and hurting families and children as a result. The Minnesota Department of Children, Youth and Families said in a news release Friday that inspectors conduct regular oversight activities for the child care program, noting that there are 55 open related investigations involving providers.
“DCYF remains committed to fact-based reviews that stop fraud, protect children, support families, and minimize disruption to communities that rely on these essential services,” the department said. “The distribution of deceptive or unvetted claims and misuse of tip lines can interfere with investigations, create risks to the safety of families, providers and employers, and have contributed to harmful rhetoric about immigrant communities in Minnesota.”
Providers currently get paid at least three weeks after providing services, said Maria Snyder, director of Child Welfare of St. Paul and vice president of the Minnesota Child Welfare Association’s advocacy group. About 23,000 children and 12,000 families receive funding from the Targeted Child Care Program each month on average, according to the state.
“For many centers, we are already operating on a thin margin,” she said. “Even centers where 10 to 15 percent of their kids get child care assistance, that’s a reduction in your income.”
Any child who attends a child care center with attendees who receive federal funding could be affected, Snyder said.
The Administration for Children and Families, a branch of the U.S. Department of Health and Human Services, provides $185 million annually in child care funds to Minnesota, federal officials said.
According to a Friday email from the Minnesota Department of Children, Youth and Families, the Department of Health and Human Services sent a letter to Minnesota requesting data from 2022 to 2025, including identifying information for all recipients of child care funds, a list of all providers receiving the money, the amount they receive and “information regarding alleged fraud networks and oversight failures.” It’s unclear whether Minnesota already has the data the administration is requesting.
The Department of Health and Human Services said five child care centers receiving funds from the Child Care Program or Temporary Assistance for Needy Families will have to submit “specific documentation” such as attendance, inspections and evaluations, according to the email.
HHS said it would provide Minnesota with more information by Jan. 5, but the government agency wrote that it is unclear what types of funding constraints it faces.
“Our teams are working diligently to analyze the legal, financial, and other aspects of this federal action,” the email says. “We don’t know the full impact.”