The sun shines on the Minnesota State Capitol. (Steve Karnowski/Associated Press)
Kreun blamed Walz for his legislation stalling in the Democrat-controlled House earlier this year, a sentiment echoed by state Rep. Patti Anderson, who wrote on X, "Speaker Demuth tried to get the OIG bill passed in the House but the House Dems killed it due to pressure from Governor Walz. We all know that’s true. Let’s hope House Dems finally see the light and we get it done next year."
Walz's office directed Fox News Digital to a clip of Demuth saying in a press conference last week that Walz previously stated "he would sign it" if the bill got to his desk.
"So that's one measure that we can take next year," Kreun said. "There's gonna be a whole host of other measures to put up those guardrails to make sure that it becomes a lot harder to commit fraud here in Minnesota."
Minneapolis has been at the center of controversy in recent weeks over a massive fraud scheme dating back to at least 2020 that permeated several departments and several nonprofits, ranging from childcare services, to COVID-19 relief, to autism care. It is believed by many to eventually eclipse $1 billion in wasted state and federal taxpayer funds.
The most prominent scandal, related to the nonprofit Feeding Our Future and representing the nation's largest COVID-19 fraud case, involves a scheme that prosecutors say exploited a federally funded children’s nutrition program administered by the Minnesota Department of Education (MDE) during the COVID-19 pandemic, siphoning money meant to provide meals to low-income kids.
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Homelessness in the Cedars-Riverside neighborhood of Minneapolis, Minn., Wednesday, Sept. 17, 2025. (Derek Shook for Fox News Digital)
"I think you need to look at all these big government programs where tons of money is going out, and especially the ones in which nonprofits or other organizations are just entrusted to be watchdogs themselves," Teirab explained. "That's just not a system that's set up well. Those things need we need to have way more checks and balances, way more structure to make sure that that money's going out to the right people and it's actually being used in the way that it should be used, and then we need to give more teeth and more ability for auditors and inspector generals to actually say, hey, look, if someone is potentially committing fraud, that person, the money should be cut off from them in other aspects of other agencies."
Minnesota’s Legislature is narrowly divided, with Democrats holding a one-seat majority in the Senate (34–33) and a larger but still closely watched majority in the House (70–64). The razor-thin margin in the Senate means a single defection can derail major legislation, while the House majority gives Democrats control of the agenda but not much room for controversial or partisan bills to lose support.
"Ultimately, we need to figure out the depth of this problem, get it taken care of once and for all, get the right people in place," Kreun told Fox News Digital. "A change in the administration would go a long way towards helping that, and then rebuilding that trust with proper safeguards and people that are looking out for the taxpayer and make sure that they're not getting ripped off."
Andrew Mark Miller is a reporter at Fox News. Find him on Twitter @andymarkmiller and email tips to AndrewMark.Miller@Fox.com.
https://www.foxnews.com/politics/minnesota-lawmakers-outline-next-steps-to-crack-down-after-states-biggest-fraud-scandal