At a Glance
- Trump administration freezes child-care funds nationwide pending verification.
- Minnesota under intense scrutiny after fraud allegations at Somali-run day-care centers.
- Additional verification required for all states; Minnesota faces extra scrutiny.
- Why it matters: Families and childcare providers risk funding cuts that could affect operations and childcare availability.
The Trump administration has halted the disbursement of federal child-care funds to all states until they provide additional verification of their programs. The move follows a series of fraud allegations at day-care centers in Minnesota run by Somali residents and has drawn sharp criticism from state officials and the community.
Nationwide Funding Freeze and Verification Requirements
The freeze applies to the Child Care and Development Fund (CCDF) and requires states to submit extra administrative data before receiving more money. Deputy Secretary Jim O’Neill said the decision was a response to “blatant fraud” that appears to be rampant in Minnesota and across the country. He added that all Administration for Children and Families payments would need justification and a receipt or photo evidence before money is sent, although the spokesperson clarified that the requirement only applies to CCDF payments.
- States must provide additional verification and administrative data before receiving more CCDF funding.
- Minnesota must submit extra records, including attendance, licensing, past enforcement actions, and inspection reports.
- Verification must include receipt or photo evidence for each payment.
Minnesota at the Center of the Investigation
Minnesota Attorney General Keith Ellison said he was “exploring all our legal options to ensure that critical childcare services do not get abruptly slashed based on pretext and grandstanding.” Governor Tim Walz called the action a political move part of “Trump’s long game.” State Senate Majority Leader Erin Murphy condemned the move, saying “Republicans are playing sick games and winning devastating prizes,” and warned that tens of thousands of Minnesota families would pay the price.
Keith Ellison stated:
> “We are exploring all our legal options to ensure that critical childcare services do not get abruptly slashed based on pretext and grandstanding.”
Tim Walz said:
> “This is a political move that is part of Trump’s long game.”
Erin Murphy said:
> “Republicans are playing sick games and winning devastating prizes.”
Broader Implications for Other Programs
White House Press Secretary Karoline Leavitt said the administration will continue to investigate potential fraud sites in Minnesota, deport undocumented immigrants, and consider denaturalizing citizens. She also mentioned investigations into the state’s unemployment insurance program and threatened to withhold SNAP food aid from Democratic-controlled states, including Minnesota, unless they provide information about recipients.
Community Impact and Concerns

Maria Snider, director of the Rainbow Child Development Center and VP of the Minnesota Child Care Association, warned that fear is rising among families and centers that rely on federal funding. Assistant Secretary Alex Adams said the Administration for Children and Families provides $185 million annually to Minnesota. Ahmed Hasan, director of the ABC Learning Center featured in a viral video, said his center has 56 children enrolled and has received harassing phone calls. He denied any fraud, stating the center is open every day and has records to prove it.
Ahmed Hasan said:
> “There’s no fraud happening here. We are open every day, and we have our records to show that this place is open.”
Maria Snider said:
> “Fear is rising among families and child care centers. Without federal funding, we may have to lay off teachers and shut down classrooms.”
Key Takeaways
- The federal child-care fund is frozen nationwide pending verification.
- Minnesota faces extra scrutiny after alleged fraud at Somali-run day-care centers.
- Other programs, including SNAP and unemployment insurance, may also face investigations and funding cuts.
The freeze underscores the administration’s focus on fraud prevention, but it also threatens to disrupt childcare services for families across the country, especially in Minnesota.

