St. Paul, Minnesota — Minnesota’s Department of Children, Youth, and Families (DCYF) said Friday that child care centers accused of fraud in a widely circulated online video were found to be operating normally following state inspections.
The department said investigators reviewed nine facilities highlighted in a viral video shared by a right-wing online influencer that alleged widespread fraud in Minnesota’s Child Care Assistance Program (CCAP). According to DCYF, compliance checks showed the centers were functioning as expected and providing child care services appropriately.
“Investigators confirmed the centers were operating as expected, gathered evidence, and initiated further review,” the department said in a statement. Children were present at all locations except one, which had not yet opened for the day when inspectors arrived.
Viral Claims Prompt Federal Response
The inspections followed increased scrutiny after the video gained traction online and prompted criticism from President Donald Trump and members of his administration, who alleged fraud in Minnesota’s child care system without presenting evidence.
In response to the claims, the U.S. Department of Health and Human Services announced earlier this week that it would temporarily freeze federal child care payments to Minnesota. State officials said the move was based on unverified allegations rather than confirmed findings.
The nine centers mentioned in the video collectively received about $17.4 million in CCAP funding during the 2025 fiscal year, according to DCYF. The department noted that one of the centers has been closed since 2022.
Ongoing Investigations Continue
While the initial inspections did not find immediate operational issues at the nine sites, DCYF confirmed that four of the centers remain under investigation. In total, the agency said it is conducting 55 active investigations into child care providers receiving CCAP funds.
The department emphasized that investigations are ongoing and that oversight efforts are part of routine compliance and fraud-prevention measures.
Context of Past Fraud Cases
Minnesota has faced scrutiny in recent years following the massive “Feeding Our Future” fraud case, which involved the misuse of federal pandemic relief funds intended for children’s meal programs. Federal prosecutors have described it as the largest COVID-19 fraud scheme in the United States, with dozens of individuals charged and several already convicted.
State officials stressed that the current child care inspections are separate from that case and warned against drawing conclusions based on social media content.
Concerns Over Misinformation and Community Impact
DCYF cautioned that spreading unverified claims can interfere with legitimate investigations and pose risks to families, providers, and workers. The department also expressed concern about rhetoric that has fueled harmful narratives about immigrant communities in Minnesota, which is home to the largest Somali population in the United States.
The agency reiterated its commitment to evidence-based oversight and said it would continue working with state and federal partners to prevent fraud while ensuring access to child care services for eligible families.
