Oversight of Fraud and Misuse of Federal Funds in Minnesota: Part II

Benefits Fraud and Improper PaymentsHouse Oversight and Government Reform · 2026-03-04 · 119th Congress
The House Oversight and Government Reform Committee convened its second hearing on fraud in Minnesota Medicaid and social-service programs, with federal prosecutors estimating up to $9 billion may have been stolen from 14 state-administered Medicaid programs since 2018 [0:19:17]. Begins at 0:18:53
Transcript
Highlights

Title

Governor Walz and AG Ellison testify on Minnesota fraud and ICE surge

Purpose

The House Oversight and Government Reform Committee convened its second hearing on fraud in Minnesota Medicaid and social-service programs, with federal prosecutors estimating up to $9 billion may have been stolen from 14 state-administered Medicaid programs since 20180:19:17. Republicans focused on the Feeding Our Future scandal, whistleblower retaliation, and the Walz administration's response to fraud warnings, while Democrats used the hearing to spotlight Operation Metro Surge, the ICE deployment to Minnesota that included the killings of Renee Good and Alex Preddie. Witnesses were Minnesota Governor Tim Walz, Attorney General Keith Ellison, and Rev. Mariah Furness Tollgaard of Hamline Church United Methodist. Begins at0:18:53

Who spoke

Chairman James Comer (R-KY)0:18:53: Opened by calling the hearing "a failure of leadership," citing the $9 billion fraud estimate and $18 billion in program spending since 20180:19:170:19:49; later pressed Walz on the Feeding Our Future court correction and Somali-community indictment statistics0:48:530:52:24.

Ranking Member Robert Garcia (D-CA)0:25:01: Argued the hearing was pretext for Trump's "war on Minnesota," citing over 590 documented cases of ICE/CBP misconduct nationally and $259 million in cut Medicaid funding0:27:160:28:26; later questioned Walz on how Metro Surge hampered fraud investigations0:57:37.

Gov. Tim Walz (D-MN)0:32:59: Said Minnesota has secured over 75 federal criminal charges and that "any fraud is serious"0:35:451:00:57; repeatedly could not recall specific dates or budget figures on fraud growth0:48:532:07:53; said Metro Surge disrupted federal fraud prosecutions after prosecutors resigned0:58:05.

AG Keith Ellison (D-MN)0:37:16: Touted 300 Medicaid fraud convictions and $80 million recovered0:38:02; acknowledged meeting Feeding Our Future representatives in December 2021 and telling them "of course I'm here to help"2:22:06; said his office lacks broad criminal jurisdiction beyond Medicaid fraud0:38:27.

Rev. Mariah Furness Tollgaard, Hamline Church United Methodist0:42:06: Described an elderly Hmong man taken from his home in his underwear, students in distance learning out of fear, and children practicing ICE drills at school0:43:240:44:16; said she was arrested with 99 other faith leaders protesting ICE2:05:16.

Rep. Jim Jordan (R-OH)0:48:28: Confronted Walz with a court statement saying his claim that a judge ordered Feeding Our Future payments resumed was "false"0:49:50; cited investigator Casey Meagan's claim that fear of Somali-community backlash affected enforcement0:52:24.

Rep. Andy Biggs (R-AZ)0:54:20: Entered headlines on Biden clemency for fraudsters into the record0:54:20; later questioned Ellison on a 2014 remittance bill and cross-examined Walz on Jason Galanis and Hunter Biden3:04:35.

Del. Eleanor Holmes Norton (D-DC)1:05:16: Argued Republicans ignored Trump's firing of 17 inspectors general and administration conflicts of interest1:06:26.

Rep. Marjorie Taylor Greene / Rep. Mace-adjacent members — not present; see Rep. Nancy Mace below.

Rep. Raja Krishnamoorthi (D-IL)1:26:02: Got Walz to agree fewer than 3% of those arrested in Illinois/Minnesota operations had criminal histories1:26:31; cited $172 million spent on DHS jets and moved to subpoena Kristi Noem1:31:07.

Rep. Virginia Foxx (R-NC)1:20:19: Pressed Walz on when he first learned of Feeding Our Future fraud and April 2020 briefings1:21:181:23:13.

Rep. Nancy Mace (R-SC)1:55:34: Accused Walz and Ellison of enabling "Somali pirates" to steal billions and repeatedly asked Walz basic Minnesota statistics he could not answer1:56:521:57:23; later moved subpoenas for AG Bondi and congressional workplace settlement records2:00:50.

Rep. Summer Lee (D-PA)2:02:20: Argued Republicans "vilified" the Somali community and asked Rev. Tollgaard whether the hearings made Minnesota safer2:04:01.

Rep. Byron Donalds (R-FL)2:07:21: Pressed Walz on 2019 fraud notifications and budget increases in autism and housing programs, and on Lt. Gov. Flanagan's alleged whistleblower comments2:07:532:12:18.

Rep. Robin Kelly (D-WA, misidentified as Randall in transcript)1:20:19: Entered records on frozen child-care funding.

Rep. Glenn Grothman (R-WI)3:40:44: Compared Minnesota's 11% improper child-care payment rate to Wisconsin's under-1% after reforms under Gov. Walker3:41:10.

Rep. Jasmine Crockett-adjacent / Rep. Stansbury (D-NM)3:58:31: Argued Congress should investigate ICE killings and DHS spending rather than Minnesota fraud alone.

Rep. Jared Moskowitz-style / Rep. Min (D-CA)2:48:07: Said the singular focus on the Somali community was "very partisan" given fraud in Mississippi, Texas, Florida, Oklahoma and Alabama2:48:37.

Rep. Lauren Boebert (R-CO) [1:55:34→ actually 2:56:04 for questioning; opening remarks 6:09:14]: Cited demographic data on Somali-Minnesotan poverty and public-assistance rates and asked Walz about stricter refugee vetting2:55:062:56:26; later strongly supported the sexual-harassment slush-fund subpoena6:09:34.

Rep. Pat Fallon (R-TX)4:03:39: Presented poverty/education statistics contrasting native-born and Somali Minnesotans and questioned Walz on his withdrawal from re-election4:06:00.

Rep. Brandon Gill (R-TX)4:23:04: Detailed the Janelle "Sky" Hansen eviction case tied to Integrated Community Supports fraud and alleged DHS intimidation of whistleblowers via military-style surveillance4:23:344:25:39.

Rep. Rashida Tlaib (D-MI)3:23:30: Criticized the hearing's focus and asked Ellison what he could be doing instead of testifying3:29:02.

Rep. Pete Sessions (R-TX)3:19:00: Asked Walz to "set the record straight" on what went wrong and pledged bipartisan work on fraud prevention3:19:163:22:01.

Rep. Clay Higgins (R-LA)1:43:55: Asked whether stricter vetting could have prevented fraud and objected on procedural grounds to a later subpoena motion6:29:06.

Rep. Scott Perry (R-PA)2:30:52: Challenged Walz on the Minnesota driver's-license law for undocumented immigrants and a related truck-crash video2:31:20.

Rep. Jamie Raskin-style / Rep. Silverman (D-)4:07:49: Asked Ellison about the lack of federal cooperation in investigating the Good and Preddie deaths4:08:14.

Rep. Suhas Subramanyam-style / Rep. Walkinshaw (D-VA)2:59:28: Raised Trump's pardons of fraudsters like Jason Galanis and Jeremy Hutchinson and asked Walz what pardoning Minnesota fraudsters would signal3:03:37.

Rep. Maxwell Frost (D-FL)1:50:11: Asked Walz about Trump's "day of reckoning and retribution" post and Rev. Tollgaard about recording federal agents1:50:381:52:27.

Rep. Rich McCormick-style / Rep. McGuire (R-VA)4:17:57: Alleged fraudsters faced no vetting and referenced whistleblower Janelle Hansen's case.

Rep. Kat Cammack-style / Rep. Timmons (R-SC)4:17:576:35:03: Pressed Walz on 2019 audit warnings; later objected that the harassment-settlement subpoena could revictimize past victims.

Rep. Ayanna Pressley (D-MA)3:12:18: Framed Metro Surge as inflicting childhood trauma, citing a Massachusetts constituent's two-week-old daughter separated from her father3:14:21.

Rep. Jamaal Bell (D-STL)2:25:20: Detailed the deaths of Good and Preddie and eight additional 2026 deaths attributed to federal agents, and moved to subpoena Greg Bovino2:29:02.

Rep. Suzan DelBene-style / Rep. Randall (D-WA)2:14:12: Touted her Federal Program Integrity and Fraud Prevention Act and cited the Brett Favre Mississippi welfare fraud case2:14:42.

Rep. Chip Roy-style / Rep. Cloud (R-TX)1:32:26: Debated Rev. Tollgaard on the biblical context of Matthew 25 versus the Parable of the Talents1:32:55.

Rep. Mark Takano-style / Rep. Connor / Rep. Burleson (R-MO)4:12:41: Questioned Walz on the Ellison recording and recovered fraud amounts ($80 million recovered vs. estimated $9 billion)4:16:03.

Rep. Nick Langworthy (R-NY)4:34:32: Argued Walz turned "a blind eye" to fraud for political reasons and cited Article VIII of the Minnesota Constitution on impeachment for malfeasance4:39:48.

Rep. Stephen Lynch (D-MA)1:14:53: Asked Walz for recommendations on ICE cooperation ahead of Boston's 2026 FIFA World Cup hosting duties1:15:211:19:46.

Rep. Kweisi Mfume-style / Rep. Crane (R-AZ)2:42:41: Played a CNN clip of Ellison calling fraud "not a serious thing" and pressed Rev. Tollgaard on whether the hearing mischaracterized Metro Surge's purpose2:43:112:46:39.

Rep. Ro Khanna-style / Rep. Brown (D-)3:46:15: Cataloged alleged Trump administration corruption and asked Ellison about prosecutor resignations3:49:16.

Rep. Palmer (R-AL)3:52:10: Contrasted Alabama's SNAP fraud response with Minnesota's and questioned the timeline of Department of Education fraud referrals3:52:34.

Key moments

Chairman Comer cited federal prosecutors' estimate that up to $9 billion may have been stolen from 14 Minnesota Medicaid programs, out of $18 billion spent since 20180:19:170:19:49.

Rep. Jim Jordan confronted Walz with a Ramsey County court statement explicitly correcting Walz's public claim that a judge ordered Feeding Our Future payments resumed, calling it "false"0:49:500:50:20.

Ellison confirmed he met with Feeding Our Future-linked individuals in December 2021 and told them "of course, I'm here to help," and "let's go fight these people" — statements he said referred to state bureaucracy, not investigators1:02:194:29:32.

AG Ellison testified his office was denied access to federal investigative files on the killings of Renee Good and Alex Preddie and had to go to court to preserve evidence2:27:064:08:26.

Governor Walz and AG Ellison both stated over 40 U.S. Attorney's Office prosecutors in Minnesota have resigned, including one who helped convict 57 Feeding Our Future defendants, hampering fraud prosecutions0:59:063:49:16.

Rep. Andy Biggs highlighted that of ten partners in an $80 million fraud scheme with Jason Galanis, nine went to prison while Hunter Biden did not3:05:04.

Rep. Nancy Mace's repeated demand that Walz state Minnesota's child population and per-capita autism-fraud spending produced no direct answers, escalating into a heated exchange1:57:23.

AG Ellison acknowledged CNN footage in which he said addressing the fraud issue "is not a serious thing," which he said referred to its politicization, not the fraud itself2:44:572:45:26.

Whistleblower Janelle "Sky" Hansen, autistic and living on ICS-funded housing, was evicted after a provider allegedly billed $12,000/month for services never delivered, leaving her homeless for eight months4:23:344:24:17.

The committee held four subpoena/procedural motions in abeyance and later voted: Krishnamoorthi's Noem subpoena failed 19-246:47:40; Mace's Bondi motion passed 24-196:51:37; Mace's harassment-settlement-records motion (as amended) passed by voice vote6:44:47; and Bell's Bovino subpoena failed 19-226:53:57.

Metadata

CommitteeHouse Oversight and Government Reform
Chamber / CongressHouse · 119th Congress
Date2026-03-04
TypeHearing
Witnesses
Rev. Mariah Furness Tollgaard — Senior Pastor, Hamline Church United Methodist
The Honorable Keith Ellison — Attorney General, State of Minnesota
The Honorable Tim Walz — Governor, State of Minnesota
Videoyoutube
Transcript714 caption blocks · 54,038 words · 6:55:20 runtime
EventCongress.gov 119003