Friends and Neighbors,
Over the past few weeks, I have been out in the community hearing directly from many of you. I always appreciate your questions, concerns, and insights. A key topic of discussion is the passage of the One Big Beautiful Bill and its impact on Medicaid and SNAP benefits.
Many Minnesotans share a growing concern that programs like Medicaid and the Supplemental Nutrition Assistance Program (SNAP) must be protected from fraud, mismanagement, and abuse. That concern helped shape this legislative package.
The bill aims to return Medicaid to its core purpose: supporting people with disabilities, pregnant women, and children. It was not designed to provide long-term aid to able-bodied adults who can work. The Government Accountability Office has long called for reform, citing over $100 billion in yearly improper payments in Medicaid and Medicare. To protect resources for those who truly need them, the bill adds work requirements and more frequent eligibility checks. These changes will take effect in late 2026, with advance notice for those affected.
Similar reforms apply to SNAP. The legislation introduces federal work requirements and holds states accountable for reducing payment errors and strengthening oversight. Since 2019, SNAP spending has increased by 24% in inflation-adjusted dollars, while the improper payment rate has risen to 11%. As a result, too many taxpayer dollars are going to individuals who do not qualify, which weakens the program and delays assistance for families who do. Under current proposals, the federal government will fully fund SNAP benefits only for states with error rates at or below 6%. By requiring states to reduce error rates so that at least 94% of claims are valid, we can better control federal spending and improve program integrity.
The need for reform is especially clear here in Minnesota. Our state continues to face serious challenges with fraud and abuse of taxpayer dollars. From the Feeding Our Future scandal to hundreds of millions lost through fraudulent Medicaid claims, new reports of government waste seem to surface constantly.
Just this week, federal authorities executed a large-scale search warrant involving more than two dozen Minnesota organizations offering Housing Stabilization Services (HSS) through the state’s Medicaid program. These services are supposed to help families stay housed, yet some providers allegedly billed the state for thousands of dollars while vulnerable Minnesotans remained homeless and without support.
This ongoing problem highlights why Senate Republicans led a bipartisan effort this session to create an independent Office of the Inspector General. The office would investigate fraud, monitor state programs, and hold those responsible accountable. Unfortunately, Governor Walz opposed the proposal, and it didn’t pass.
At the same time, while rejecting stronger oversight, Governor Walz left taxpayers with a $430,000 legal bill related to his preparation for a congressional hearing. It’s disappointing that he prioritized stage preparation over protecting taxpayer dollars from abuse and waste.
We all want safety net programs to be there for people who truly need help. But that means managing them with transparency and accountability. At both the state and federal levels, we must do more to protect taxpayer dollars and preserve these programs for the people who rely on them.
Sincerely,
Gene