HHS Freezes Child Care Payments to Minnesota

An official with the Department of Health and Human Services (HHS) said the agency has “frozen all child care payments” to the state of Minnesota following allegations of fraudulent daycare centers, ABC News reported.

The move follows an unverified online video by right-wing influencer Nick Shirley alleging fraud in childcare centers in Somali communities in Minneapolis.

HHS is also tightening requirements for payments administered through the Administration for Children and Families across all states, now requiring justifications as well as receipts or photo evidence, Deputy HHS Secretary Jim O’Neill said in a social media post.

The move follows an unverified online video by right-wing influencer Nick Shirley alleging fraud in childcare centers in Somali communities in Minneapolis. Minnesota officials have disputed the claims.

Tikki Brown, commissioner of the Minnesota Department of Children, Youth and Families, raised concerns about the video, including whether it was filmed during hours when the businesses were scheduled to be open, Sakshi Venkatraman and Max Matza reported for BBC News.

Democratic Gov. Tim Walz responded to the HHS action, writing: “This is Trump’s long game. We’ve spent years cracking down on fraudsters. It’s a serious issue—but this has been his plan all along. He’s politicizing the issue to defund programs that help Minnesotans.”

Minnesota officials also pushed back against Shirley’s claims. The influencer posted a 40-minute video alleging widespread fraud in childcare centers in Somali communities, saying he visited facilities that received public funds but found no children present.

Other journalists criticized the report, noting that only a small number of centers were shut down by the state and that those suspected of fraud have already been criminally charged.