Daijiworld Media Network - Washington

Washington, Dec 31: The Trump administration has announced a suspension of child care funding to Minnesota, citing alleged large-scale fraud involving daycare centers in the state over several years.

Deputy Secretary of Health and Human Services Jim O’Neill said the federal government has put a complete hold on child care payments to Minnesota following claims that millions of dollars in taxpayer funds were improperly directed to fraudulent childcare providers. He shared the announcement on social media platform X, stating that the issue spans nearly a decade.

Under new measures that took effect Tuesday, all payments distributed by the Administration for Children and Families nationwide will now require detailed justification, along with receipts or photographic proof, before funds are released to any state.

O’Neill also said he has formally requested Minnesota Governor Tim Walz to order a thorough audit of the childcare centers under scrutiny. In addition, the department has set up a special hotline and email system to report suspected fraud, according to a report by Xinhua news agency.

Governor Walz, however, pushed back strongly against the decision, accusing the Trump administration of using the issue for political purposes. In a post on X, the Democratic governor said Minnesota has been actively working for years to identify and shut down fraudulent operations. He argued that the funding freeze is part of a broader effort to weaken programs that support families in the state.

Responding later, O’Neill clarified that the frozen funds would only be restored once states can clearly demonstrate that the money is being used lawfully and for its intended purpose.