Senate Republicans on Wednesday sharply criticized a Democrat proposal to provide $40 million to cover individuals' overdue rent and utility payments, saying the bill is the latest example of Democrats ignoring the state's rampant fraud crisis and putting illegal immigrants ahead of legal residents.
"While fraud is running rampant across the state, Democrats demand hardworking taxpayers fund yet another new $40 million housing program,” Sen. Eric Lucero, Republican Lead on the Senate Housing Committee, said. “In spite of the Republican-led improvements, it’s this exact kind of program fraudsters are looking for, and there is still no requirement the payments go only to legal residents. Democrats are once again ignoring fraud concerns and immigration laws while Minnesotans suffer from their runaway spending, higher taxes, and billions stolen from people in need.
Senate Republicans did successfully improve the bill to add new fraud guardrails including one amendment that requires that 5% of funds be dedicated to detecting and preventing fraud, so the money actually reaches the people who need it
“This is the responsible thing to do considering the fraud problem we have in social services. When it came to the floor without any anti-fraud measures, it was obvious that Republicans needed to fix the bill before it got any further,” said Sen. Michael Kreun (R-Blaine), after the amendment was adopted. “We need to get our spending under control, and that starts with putting in place anti-fraud measures to ensure that these funds are not lining the pockets of fraudsters.
Other amendments added to support anti-fraud measures include:
- Require applicants to actually document that they qualify, instead of taking the applicant’s word for it.
- Require detailed reports every 30 days, including amounts spent and unspent.
Senate Republicans also offered a series of amendments to prioritize legal residents, address affordability, and protect public safety concerns. Senate Democrats rejected the following amendments:
- Legal residents only: Restrict eligibility to U.S. citizens and people who are in the country legally.
- Direct property tax relief: Redirect the $40 million to provide direct property tax relief to homeowners and renters instead of a new bureaucratic program.
- Ban payments to sex offenders: Block people on the predatory offender registry from receiving rent and utility payments from this program.