Indy Journalist Accuses Gov. Walz Of $110 Million Child Care Fraud In Viral Video

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What Are the Core Claims?

Supporters of Shirley’s reporting have amplified three main points:

Public dollars were disbursed to childcare sites that, at the times visited, did not appear active or to serve children.

The cumulative total of possible fraud in these facilities could be $110 million or more, according to Shirley’s review of payment data.

State oversight mechanisms allegedly failed under Gov. Walz’s administration to detect or stop this supposed misuse of taxpayer funds.

Some local Republican figures praised Shirley’s work and pushed for more accountability. Vice President JD Vance reposted the video and said Shirley had done “far more useful journalism” than traditional outlets, while GOP lawmakers like Rep. Mike Lawler and others criticized Walz’s oversight.

Sen. Ron Johnson has reportedly sought records from Minnesota’s Department of Human Services tied to the alleged fraud and Walz’s actions while in office. In his letter, Johnson referenced reports of “$111 million in fraudulent payments” tied to daycare centers cited by Shirley.

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Official Responses and Investigations
Minnesota Officials’ Statements

Minnesota state officials, including Walz’s office and regulators, have rejected the characterization of the situation:

Walz’s office has argued that state government has worked for years to combat fraud, pointing to audits, investigations, and oversight improvements.

The Minnesota Department of Children, Youth, and Families says inspectors have visited the facilities highlighted in the video within the last six months and found children present, and none of these official inspections discovered fraud.

Inspectors also stress that visits by journalists at singular points in time do not reflect normal operations, and closed doors or children not being visible from outside does not prove a center is inactive.

Federal Actions

Federal agencies did respond:

Following the video’s wide circulation, officials from the Department of Homeland Security and the Federal Bureau of Investigation reportedly increased their scrutiny in Minnesota.

At one point, federal funding for child care through certain programs was temporarily frozen while compliance reviews were undertaken.

However, those actions were part of broader fraud investigations already underway, and authorities have not publicly confirmed the specific figures cited in Shirley’s video as verified fraud totals.

Independent and Media Scrutiny

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