Politics

Trump administration pauses some Medicaid funding to Minnesota

Published

4 months ago

February 27, 2026

WASHINGTON (AP) — Vice President JD Vance announced Wednesday that the Trump administration would “temporarily halt” some Medicaid funding to the state of Minnesota over fraud concernsas part of what he described as an aggressive crackdown on misuse of public funds.

Vance, who made the announcement with Dr. Mehmet Oz, the administrator for the Centers for Medicare and Medicaid Services, said the administration was taking the action “in order to ensure that the state of Minnesota takes its obligations seriously to be good stewards of the American people’s tax money.”

Oz, who referred to people committing fraud as “self-serving scoundrels,” said the federal government would hold off on paying $259.5 million to Minnesota in funding for Medicaid, the health care safety net for low-income Americans.

“This is not a problem with the people of Minnesota, it’s a problem with the leadership of Minnesota and other states who do not take Medicaid preservation seriously,” Oz said.

Wednesday’s move is part of a larger Trump administration effort to spotlight fraud around the country. That effort comes after allegations of fraud involving day care centers run by Somali residents in Minneapolis prompted a massive immigration crackdown in the Midwestern city, resulting in widespread protests. President Donald Trump, in his State of the Union address on Tuesday, announced Vance would spearhead a national “war on fraud.”

Trump also recently nominated Colin McDonald to serve as the first assistant attorney general in charge of a Justice Department division dedicated to rooting out fraud.

Minnesota pushes back

Oz said the administration was simultaneously notifying Minnesota’s Democratic Gov. Tim Walz as he was making the announcement publicly.

“We will give them the money, but we’re going to hold it and only release it after they propose and act on a comprehensive corrective action plan to solve the problem,” Oz said.

He said Walz would have 60 days to respond and advised health care providers and Medicaid beneficiaries who were concerned to contact Walz’s office.

Walz, former Vice President Kamala Harris’ 2024 running mate, said in a pair of social media posts that the administration’s move had nothing to do with fraud.

“This is a campaign of retribution. Trump is weaponizing the entirety of the federal government to punish blue states like Minnesota,” Walz said. “These cuts will be devastating for veterans, families with young kids, folks with disabilities, and working people across our state.”

Minnesota Attorney General Keith Ellison said in a statement that his team has secured over 300 Medicaid fraud convictions since he took office in 2019. And he noted that he called on the Legislature earlier Wednesday to give him more staff and new legal tools to combat Medicaid fraud.

“Courts have repeatedly found that their pattern of cutting first and asking questions later is illegal, and if the federal government is unlawfully withholding money meant for the 1.2 million low-income Minnesotans on Medicaid, we will see them in court,” Ellison said.

Oz said the Centers for Medicare and Medicaid Services were also taking action to crack down on fraud in Medicare, the health care system relied upon by millions of older adults.

He said CMS for six months would block any new Medicare enrollments for suppliers of durable medical equipment, prosthetics, orthotics or other supplies used to treat chronic conditions or assist in injury recovery.

The Office of the Inspector General for the U.S. Department of Health and Human Services found last year that Medicare improperly paid suppliers nearly $23 million for durable medical equipment from 2018 through 2024. But it found that most of that was before January 2020, when changes to the system were implemented.

Oz also announced a new crowdsourcing effort he said would help “crush fraud” by soliciting Americans’ tips and suggestions.

“All of us are smarter than any one of us,” he said.

In a news release accompanying the announcement, CMS said the funding being paused in Minnesota included some $244 million in unsupported or potentially fraudulent Medicaid claims and about $15 million in claims involving “individuals lacking a satisfactory immigration status.”

Immigrants who are not living in the U.S. legally, as well as some lawfully present immigrants, are not allowed to enroll in the Medicaid program that provides nearly-free coverage for health services.

CMS said in the release that if Minnesota fails to satisfy its requirements, it may defer up to $1 billion in federal funds to the state over the next year. CMS spokesperson Catherine Howden said the agency’s review of potential fraud cases would include sampling claims to see if they comply with federal requirements, and potentially requesting more information about specific claims.

Akeiisa Coleman, the senior program officer for Medicaid at the Commonwealth Fund, said CMS was taking a “highly unusual step” in deferring funding. She said if the state doesn’t have enough funds available, it may have to halt payments to providers, which could affect care.

Democratic-run states face cutoffs

The administration has threatened to cut off funding for various programs for some Democratic-run states over fraud concerns over the last few months.

One judge blocked those actions and required that payments flowing to Minnesota and four other states — California, Colorado, Illinois and New York — for a variety of social service programs. The government had said that there was “reason to believe” that those states were granting benefits to people in the country illegally. It did not initially explain where that information came from, but a government lawyer told the judge it was largely in reaction to news reports about possible fraud.

Another judge said she would not let it cut off funding for administrative costs for 22 states that have refused to hand over information about applicants and recipients of food aid through the Supplemental Nutritional Assistance Program.

The latest action was prompted in part by a series of fraud cases, including a nonprofit called Feeding Our Future accused of stealing pandemic aid meant for school meals. Prosecutors have put the losses from that case at $300 million.

Since then, Trump has targeted the Somali diaspora in Minnesota with immigration enforcement actions and has made a series of disparaging comments about the community. During his State of the Union address on Tuesday, Trump said “pirates” have “ransacked Minnesota.”

Federal agencies have also been enlisted to assist in targeting fraud in Minnesota.

Last December, the U.S. Treasury Department issued an order requiring money wire services that people use to send money to Somalia to submit additional verification to the Treasury.

The Center for Medicare and Medicaid Services told Minnesota in January that it intended to freeze parts of payments for some Medicaid programs that were deemed high-risk. The state said that those cuts would add up to more than $2 billion annually if they lasted and made an administrative appeal.

___

Associated Press writers Geoff Mulvihill in Philadelphia, Steve Karnowski in Minneapolis and Fatima Hussein in Washington contributed to this report.

Politics

Democratic socialists just dominated New York — and are coming for 2028

Published

12 hours ago

June 24, 2026

Blue Light Newsroom

Democratic socialists just caused a political earthquake. Now they’re coming for 2028.

Fresh off sweeping victories across New York City that showcased the growing power of the anti-establishment progressive left inside the Democratic Party, Democratic Socialists of America leaders, eager to capitalize on their momentum, are already plotting their next act: making sure one of their own is on the presidential primary debate stage, whether the party wants them or not.

“What DSA represents is a real contrast to Democrats who have run the last couple of elections on fear,” DSA national co-chair Megan Romer said. “You can’t run on that. You have to offer an alternative. And it’s really important that we be involved in that conversation in 2028. It’s important that we have somebody saying sensible things.”

Their search process is already underway. This summer, DSA is dispatching surveys to all 250 of its chapters, asking members to weigh who they want to back and why, and return their findings to national leadership by Sept. 15, details the group first shared with Blue Light News. DSA expects to receive a stack of 20-page to 40-page dossiers from chapters coast to coast weighing in on who should carry the democratic socialist banner into 2028.

The organization plans to hold national discussions, including with leaders like New York Mayor Zohran Mamdani and Sen. Bernie Sanders (I-Vt.), who is 84 and not expected to run in 2028, with a formal vote expected at the group’s 2027 convention next year — though leaders say they could move faster if the primary timeline demands it.

“We’re going to be talking about millions of hours knocking doors for 2028 — so when we decide to really run somebody, people have to feel like they had a say,” Romer said.

Mamdani-backed candidates swept three closely watched New York congressional primaries Tuesday, with Claire Valdez, Brad Lander and Darializa Avila Chevalier all defeating more establishment-aligned rivals — including two incumbents. It was a major show of force for Mamdani’s political operation, and fresh evidence of the left’s growing muscle heading into 2028. “They ask, ‘Who do you want to run in 2028?’ Then they ask, ‘When does the race for 2028 begin?’ It starts now. It starts on Tuesday,” Mamdani said at a Brooklyn rally last week.

The elephant in the room for the group, of course, is Rep. Alexandria Ocasio-Cortez.

The New York representative has yet to say whether she will run for president in 2028 — and has been rumored to be interested in running for the seat currently held by Senate Minority Leader Chuck Schumer. Her name hangs over any serious conversations DSA leaders have about the race. But Romer made clear that one of the country’s best-known democratic socialists would need to go through the same process as any other candidates, and would not automatically be handed a rose.

“She will have to sell her campaign and why DSA should throw down behind it,” she said, noting that means going to the group’s roughly 110,000 members in 250 chapters. “We don’t do kingmakers.”

The relationship between DSA and Ocasio-Cortez has at times been complicated. After backing her insurgent 2018 bid, DSA national in 2024 briefly conditioned its reelection endorsement on several demands around her positions on Israel. That exposed a rift with NYC-DSA, which had already endorsed her and asked national leaders to withdraw their conditional backing.

When asked directly whether DSA wants Ocasio-Cortez to run, Romer was careful not to get ahead of rank-and-file members for or against.

“If it reveals that every chapter is like, ‘We want AOC, we want AOC’ — that’s something that could come out of this process,” she said. “And if that seems to be the overwhelming case, then that may be what we decide to do. We want to get in on the ground floor. It would be really great to be a day-one part of a campaign.”

And then there is Mamdani.

The New York City mayor went from a complete unknown to one of the most popular and influential progressives in the country, boosting democratic socialism’s political profile in a way not seen since Ocasio-Cortez’s rise and perhaps since Sanders’ first presidential run. But Mamdani wasn’t born in the United States, making him constitutionally ineligible for the presidency.

“Some people are like, let’s just run him — let’s just cause a constitutional crisis,” Romer said, describing it as a running joke, though she was “not sure everybody’s fully joking.”

Tuesday’s wins in New York were the latest in a string of DSA victories accumulating across the country, including Chris Rabb’s primary win in Pennsylvania’s 3rd District in Philadelphia, and mayoral races in Washington, D.C., last week and Seattle last fall.

The group is backing Melat Kiros — a first-time candidate taking on a 30-year incumbent Rep. Diana DeGette in Colorado next week — as well as Oliver Larkin in Florida and former Rep. Cori Bush in her bid to reclaim the Missouri congressional seat she lost last cycle. It’s a packed primary calendar that reflects just how aggressively DSA is looking to expand its footprint heading into 2028.

“The sheer scale of what just happened in New York is historic,” said Bhaskar Sunkara, former DSA vice-chair and president of The Nation. “Nationally, this is a massive boon for the democratic socialist movement. The old institutional left is hollowed out — DSA has proven to be the only real mobilizational force left on the ground. “

But Sunkara noted the movement still had a lot to figure out ahead of 2028, especially if it is to translate its momentum beyond DSA’s urban, heavily lefty strongholds. Moderate Democrats have long argued that democratic socialist candidates are a liability in competitive battleground seats, too far left to win over the voters the party needs in purple districts and red-leaning states.

“A national map includes deep-red and rural districts where the left still has to figure out how to speak to working-class voters and compete,” Sunkara said. “Having national platforms through multiple members of Congress is a start there too.”

DSA’s leaders say the moment the group is having has been years in the making — and comes after some recent turbulent times that followed 2018’s emergence of the Squad as a high-water mark and then saw years of grinding setbacks: a pandemic that gutted in-person organizing, a Biden era that Romer described as a “wet blanket,” and a 2024 Kamala Harris campaign that didn’t listen when DSA tried to push the candidate left.

“The squad dropped off a bit,” Romer said. “2022 was a really, really tough year for left politics.”

The 2024 cycle also brought losses for both Bush and Jamaal Bowman, who was ousted in what was at the time the most expensive House primary in history, powered largely by AIPAC spending.

Now the tide appears to be turning again.

Looking ahead to 2028, the socialist wing of the Democratic Party wants to force a reckoning within the party it believes has spent years running from its own base while asking voters to settle for less.

“The best possible thing that could happen is having a string of victories in the midterms and forcibly reshaping the way the national Democratic Party approaches some of these issues, and having a much larger presence in the Democratic primary, and hopefully the presidential candidacy,” said Hasan Piker, a prominent progressive Twitch streamer and one of the most influential voices in the democratic socialist movement, who campaigned heavily in New York for the full DSA slate.

Tuesday’s wins, he said, are a way to bring the party further to their side, turning far-left politics more mainstream.

As for who he wants to see carry the socialist banner in 2028, Piker is still hoping for Ocasio-Cortez. “That could change, 2028 is far out,” he said. “But that’s what I got so far.”

Politics

Rep. April McClain Delaney wins bitter primary to keep her Maryland House seat

Published

17 hours ago

June 24, 2026

Blue Light Newsroom

Rep. April McClain Delaney won her bitter and expensive Democratic primary for Maryland’s 6th District on Tuesday, denying her predecessor, former Rep. David Trone, from making a comeback.

The race drew $23 million in TV spending, with much of that coming from the candidates directly, and became a microcosm of the Democratic Party’s clashes over President Donald Trump, money in politics and immigration.

McClain Delaney, who is serving her first term in Congress, had the backing of the rest of the state’s Democratic congressional delegation, along with Gov. Wes Moore.

Trone announced he would challenge McClain Delaney in December, citing in part her vote for the Laken Riley Act, a Republican-led immigration bill. McClain Delaney later said she regretted the vote, saying she hadn’t imagined “the horror” of Trump’s immigration enforcement would come to pass.

Trone almost entirely self-funded his attempt to return to Congress. He previously represented the 6th District for three terms but gave up his seat to run for Senate in 2024, losing in the primary to now-Sen. Angela Alsobrooks (D-Md.). McClain Delaney, who is married to former Rep. John Delaney (D-Md.), won an open primary and was elected to the seat that year.

The seat is considered safe for Democrats for the midterms. McClain Delaney won by a bit more than 6 points in 2024.

Politics

Hoyer alum Adrian Boafo wins Maryland House primary with help of crypto, pro-Israel money

Published

19 hours ago

June 24, 2026

Blue Light Newsroom

Maryland state Del. Adrian Boafo won the Democratic primary Tuesday to replace retiring Rep. Steny Hoyer in the 5th District, aided by $11 million from pro-crypto and pro-Israel groups.

Boafo was Hoyer’s preferred successor and his former campaign manager. The primary was marked by intraparty divisions over heavy outside spending and what may be the last intraparty fight between Hoyer and former House Speaker Nancy Pelosi, who endorsed a rival in the race.

United Democracy Project, a super PAC associated with the American Israel Public Affairs Committee, pumped $5.7 million into the race to promote Boafo, becoming the single biggest spender on the airwaves. Protect Progress, a super PAC aligned with the crypto industry, poured $5.5 million into the race, largely to benefit Boafo, a former federal lobbyist for the tech firm Oracle.

This spending in the crowded 24-candidate field drew the ire of many of Boafo’s rivals. Three of them — Harry Dunn, Rushern Baker and Quincy Bareebe — took the unusual step of jointly denouncing the interest groups’ efforts to influence the primary outcome. Sen. Chris Van Hollen (D-Md.), a potential 2028 presidential contender who did not endorse in the race, also accused the groups of trying to buy the seat.

Boafo’s victory now stands as a major win for the powerful arm of the pro-Israel lobby that’s drawn heavy scrutiny from some Democrats over its aggressive tactics in this year’s primary contests, as well as for Hoyer in getting his handpicked successor for his seat.