Friends and neighbors,
Minnesota’s fraud crisis is once again in the headlines.
This week, federal investigators executed more than 20 search warrants across Minneapolis as part of ongoing fraud probes into local businesses and childcare centers, including the now infamous “Quality Learning Center.”
The timing was hard to ignore. The raids occurred the morning before Governor Walz delivered his final State of the State address. In response, Senate Minority Leader Mark Johnson said, “The legacy of Tim Walz is a legacy of fraud.”
That statement reflects a growing frustration among Minnesotans who have watched one taxpayer fraud scandal after another come to light. The most prominent case, Feeding Our Future, has been described by federal prosecutors as one of the largest pandemic-era fraud schemes in the nation. It is part of a troubling pattern. Investigations across Minnesota’s childcare, housing, and social service programs continue to expose serious failures in oversight.
Walz argues that the state’s system to detect fraud is working. Following the raids, he posted that “state agencies caught irregular behavior and reported it” and said, “that’s how the system is supposed to work.” But reports that his administration pushed out whistleblowers who raised early concerns undercut that claim. If only that system had been consistently used since 2019.
To understand the State of the State, it is worth looking back to when Walz first took office in 2019. At that time, Minnesota’s budget stood at roughly $45.5 billion. Today, the 2025–2026 budget has grown to $72 billion, an increase of roughly 60% in just six years. About two-thirds of that growth occurred when one party controlled all branches of state government.
With that surge in spending has come a wave of mandates placed on schools, businesses, cities, counties, and farmers, often without adequate funding. Local governments have been forced to make up the difference, driving property taxes higher (approximately $1 billion higher than last year) for families already dealing with rising costs.
Public safety has also been a defining issue. The riots that followed the death of George Floyd caused billions of dollars in damage to Minnesota businesses and communities. The burning of the Minneapolis Third Precinct became a national symbol of unrest and, for many, a symbol of failed leadership. Questions remain about the delay in deploying the National Guard and the broader response from state leadership.
At the same time, anti-police messaging has had lasting consequences. Many officers have retired or relocated, and staffing shortages continue to affect law enforcement agencies across the state. Communities are still dealing with the impact.
Rising taxes, higher costs of living, and ongoing questions about government accountability weigh heavily on households. There are also continued debates about education policy, healthcare costs, and preventing males from participating in girls’ and women’s sports. These issues remain unresolved.
Consider what even a portion of the money lost to fraud could have done for infrastructure, public safety, or family budgets across Minnesota.
Walz often speaks about “One Minnesota,” and he did so again in this year’s State of the State address. For many, that vision feels out of reach. The divide between the Twin Cities metro and Greater Minnesota has widened. Decisions such as the redesign of the state flag have left many feeling excluded from the process. Rather than unity, many see division.
When we look at the makeup of the Minnesota Legislature, we have 100 Republicans and 101 Democrats. In a closely divided body like this, collaboration and inclusion of all leadership voices are necessary to best represent all Minnesotans. However, the Senate minority leader has not been involved in meetings with the governor.
Leadership requires accountability. While Walz has at times pointed to outside factors like Washington, D.C., much of the current condition of our state falls on his desk. Instead of directly addressing these issues, he has spent significant time traveling across the country and overseas rather than being present and engaged in Minnesota.
Minnesotans are hardworking and committed to their communities. Many are now asking difficult but fair questions about how their tax dollars are managed and whether state leadership is aligned with their priorities.
Sincerely,
Gene