At a Glance
- Minnesota must hand over child-care data by Jan. 9 after the Trump administration froze federal funds.
- Inspections of 9 centers linked to a viral influencer found no operational problems.
- $185 million in federal child-care money is at stake.
Why it matters: Families and providers could face funding cuts while investigations continue.
The Trump administration announced a freeze on Minnesota’s child-care funding after a wave of fraud allegations involving Somali-run centers. A state-issued email told providers they had until Jan. 9 to submit detailed data on who receives the money.
Federal Freeze and Data Deadline
The Department of Children, Youth and Families received a formal request from the Administration for Children and Families last month. The agency asked for records from 2022-2025, including names of all recipients, provider lists, payment amounts, and evidence of alleged fraud networks. HHS will send more details by Jan. 5 but Minnesota is unsure what restrictions will apply.
DCYF stated:
> “We recognize the alarm and questions this has raised.”
Key points:
- 9 centers were inspected after the influencer’s video.
- 4 centers remain under investigation.
- 5 centers must provide attendance, inspection, and assessment records.
Investigations and Oversight
State officials said spot checks revealed no operational issues. They also noted 55 open investigations involving providers. The House Committee on Oversight will hold a hearing Wednesday, and the HHS hotline has received over 200 tips.
| Metric | Value | |
|---|---|---|
| Federal child-care funds to Minnesota | $185 million annually | |
| Children receiving funding | 23,000 | |
| Families receiving funding | 12,000 | |
| Centers inspected | 9 | |
| Centers with ongoing investigations | 4 | |
| Centers needing documentation | 5 | |
| Open investigations involving providers | 55 |
Impact on Families and Providers
Maria Snider, director of a St. Paul center and VP of the Minnesota Child Care Association, warned:
> “For a lot of centers, we’re already running on a thin margin.”
She added that providers are paid at least three weeks after services, and that about 10-15 % of a center’s children may be on assistance, which can dip income. Some 23,000 children and 12,000 families rely on the program each month.
Alex Adams, Assistant Secretary for Children and Families, told Fox News:
> “The agency sent Minnesota a letter last month asking for information on the child-care program and other welfare programs by Dec. 26, but didn’t get a response.”
Key Takeaways
- Minnesota must submit child-care data by Jan. 9 or risk further funding cuts.
- Nine inspected centers showed no fraud, but investigations continue.
- $185 million in federal money, 23,000 children, and 12,000 families depend on the program.
The state’s ability to maintain funding hinges on how quickly it can provide the requested data and resolve ongoing investigations.
