Minnesota GOP Lawmakers Call for Gov. Walz to Resign Over Fraud Crisis/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ Minnesota Republican lawmakers are calling for Democratic Gov. Tim Walz to resign amid a ballooning state fraud scandal, citing constitutional grounds. The lawmakers say Walz failed to act on years of red flags tied to alleged billion-dollar fraud schemes involving state programs. Walz defends his record, while federal investigations intensify.
Quick Look:
- GOP lawmakers cite Minnesota Constitution Article 8, Section 6 to justify their call for resignation.
- Fraud estimates in Minnesota could exceed $9 billion, impacting child care, housing, and nutrition programs.
- Accusations center on systemic oversight failures during Walz’s two terms.
- Federal agents now conducting expanded investigations, focused on fraud within Somali-run organizations.
- Gov. Walz says his administration has cracked down with audits, closures, and prosecutions.
- The issue is expected to dominate the 2026 gubernatorial race.
Minnesota GOP Lawmakers Call for Gov. Walz to Resign Over Fraud Crisis
Deep Look
MINNEAPOLIS — Dec. 30, 2025 — A group of Republican state legislators in Minnesota has formally called for Democratic Gov. Tim Walz to resign, citing a massive fraud scandal that they say has spiraled out of control under his leadership and cost taxpayers billions of dollars.
The legislators, referencing Article 8, Section 6 of the Minnesota Constitution, say the governor is guilty of “nonfeasance” — a failure to perform official duties — and should step down to restore public trust.
“Minnesotans have been watching the fraud crisis get worse and worse for years,” said GOP state Sens. Bill Lieske and Nathan Wesenberg, along with state Reps. Marj Fogelman, Drew Roach, and Mike Wiener, in a joint statement released Monday.
“This is not a political stunt. It’s about accountability. Gov. Walz has failed in his duty to stop this crisis.”
The lawmakers stopped short of launching a formal recall effort but signaled their statement as a serious warning and a call for leadership change in the state.
Constitutional Grounds and “Nonfeasance”
The lawmakers’ reference to the Minnesota Constitution allows for removal of executive officers for serious misconduct or malfeasance. While Walz has not been charged with any crime, Republicans say his inaction in the face of overwhelming evidence amounts to a breach of public duty.
“We are talking about billions of dollars in fraud that should have helped vulnerable Minnesotans,” the statement read. “The red flags were everywhere. Year after year, the fraud kept growing. Year after year, nothing changed.”
Mounting Scandal: Federal Fraud Could Top $9 Billion
The controversy intensified earlier this month when federal prosecutors revealed that the scope of alleged fraud in Minnesota could reach $9 billion across several state-administered programs — including child care, housing stabilization, autism services, and nutrition assistance.
The investigation gained further momentum after a viral video posted by independent journalist Nick Shirley — viewed more than 100 million times on X — exposed allegedly fraudulent day care centers operating in plain sight across the Twin Cities. Many are reportedly tied to individuals within the Somali American community.
As scrutiny mounted, Department of Homeland Security Secretary Kristi Noem and FBI Director Kash Patel confirmed a federal surge of agents to Minnesota to investigate “large-scale fraud networks.”
Walz Pushes Back, Cites Action Taken
Gov. Walz’s office responded swiftly to the resignation calls, defending the administration’s response to the fraud crisis.
“The governor has worked for years to crack down on fraud and asked the Legislature for more authority to act aggressively,” a spokesperson said. “He has launched audits, shut down entire programs, and supported prosecutions of fraudsters.”
Walz has emphasized steps including:
- Closing the Housing Stabilization Services program.
- Hiring an external firm to audit payments to high-risk programs.
- Appointing a statewide program integrity director.
- Supporting multiple criminal investigations and prosecutions.
Still, critics say these actions came too late and were reactive, not preventative.
Political Fallout and 2026 Election Implications
Walz, who was Democratic nominee for Vice President in 2024 and is reportedly eyeing a third term as governor in 2026, now faces a steep uphill battle to retain his office amid increasing political fallout.
The GOP statement notes that the fraud scandal is the number one issue constituents bring up and that frustration with a perceived lack of accountability is growing.
“What we are seeing from the governor is what nonfeasance looks like,” the legislators said. “He had a duty to oversee his administration and protect these programs. He failed. There must be consequences.”
Somali Community at the Center of Investigation
Federal prosecutors have confirmed that 82 of 92 defendants in recent fraud indictments are Somali Americans. The community — the largest Somali population in the U.S. — is centered in the Minneapolis-St. Paul area.
While the Biden and Trump administrations both pursued fraud cases, former President Donald Trump has used the controversy to renew anti-immigration rhetoric. Critics have accused him of targeting the Somali community unfairly.
U.S. Rep. Ilhan Omar, a Somali-American Democrat from Minnesota, has warned against scapegoating.
“You cannot blame an entire community for the actions of a few,” she said earlier this month.
What’s Next?
A comprehensive audit report is due in late January 2026, which may offer a clearer picture of the full scope of financial losses. Walz has acknowledged that the fraud could reach $1 billion or more, calling it “unacceptable,” but insists that fraud detection and prevention measures are now robust.
Still, GOP lawmakers argue that the damage is done — and that trust in state leadership cannot be restored unless Walz steps aside.
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