LEILA FADEL, HOST:
Minnesota's Democratic Governor Tim Walz has ended his reelection campaign. The announcement on Monday came as President Trump, members of his administration and his supporters have been playing up and distorting cases of fraud in Minnesota's benefits programs. Walz, of course, was Kamala Harris' vice-presidential running mate, and Trump has mocked him repeatedly. And the controversy over fraud cases is still affecting the national social services network. We're joined now by Minnesota Public Radio's Clay Masters in St. Paul. Good morning, Clay. Thanks for being here.
CLAY MASTERS, BYLINE: Yeah, good morning. Good to be here.
FADEL: So Walz was going for a third term. Why did he say he was dropping out?
MASTERS: He says he wants to spend his final year in office focused on fighting fraud in state programs instead of campaigning.
(SOUNDBITE OF ARCHIVED RECORDING)
TIM WALZ: I have every confidence that if I gave it my all, we would win the race. But as I reflect on this moment with my family and my team over the holidays, I came to the conclusion that I can't give a political campaign my all.
MASTERS: During his remarks yesterday, Walz defended his administration's response to mounting fraud scandals in state social service programs. He also attacked Republicans for what he called political gamesmanship. In a statement posted later to Truth Social, President Trump said, without any evidence, that Walz was caught red-handed for stealing tens of billions of taxpayer dollars. And I'll note, Leila, there are no fraud allegations against Walz, and this is about money that contractors and providers got from benefit programs.
FADEL: So you and your colleagues have been covering legal cases and investigations of benefits fraud in Minnesota for years. What has come out in court, and why is this in the national spotlight now?
MASTERS: Right. Federal prosecutors say billions of dollars have been stolen during Walz's time in office. He was first elected in 2018, and more than 90 people here have been charged with felonies and federal fraud cases, and at least 60 have been convicted. In the highest profile case, prosecutors said contractors in a child nutrition program stole some $250 million in taxpayer money. This was in the COVID era. The ringleader is a white woman, and many other defendants are of Somali origin.
Recently, President Trump has been just verbally attacking people of Somali backgrounds in Minnesota, accusing them of fraud, calling U.S. Representative Ilhan Omar and her friends garbage and saying he doesn't want them in the U.S. Now, this all comes after the holidays when a viral video of a MAGA-connected influencer is accusing day care centers run by Somali Americans of fraud without evidence. In the video, they can be seen knocking on day care center doors in Minneapolis and demanding to see the children.
FADEL: Yeah. So really scapegoating the entire Somali community in Minnesota over accusations or crimes of a few.
MASTERS: Right.
FADEL: And now there are national implications in this state and beyond, right?
MASTERS: Yeah. The U.S. Department of Health and Human Services said last week it's freezing some federal funding meant to help many low-income families across the country pay for child care. And Republicans in Ohio, also with a sizable Somali American population, called for an audit into programs there. And yesterday, the governor there, Mike DeWine, a Republican, defended his state's programs. Republican Governor Greg Abbott ordered a probe of programs in Texas yesterday. Here in Minnesota, the administration has been sending more federal officials and initiating investigations.
FADEL: So where do things stand now with Minnesota's governor's race, given that Walz is dropping out?
MASTERS: Right. A long list of Republicans have already announced their running. Name a couple - Minnesota Speaker of the House Lisa Demuth, also MyPillow CEO and Trump ally Mike Lindell. For Democrats, we're hearing that Democratic Senator Amy Klobuchar might be getting into the race. That could excite some Democrats because she's won four times here. Last reelected in just 2024.
FADEL: That's Clay Masters of Minnesota Public Radio. Thank you.
MASTERS: You're welcome.
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