Minnesota Gov. Tim Walz accused the Trump administration of unleashing a “campaign of retribution” against his state after Vice President JD Vance announced a temporary pause in Medicaid funding there. 

Vance’s announcement was made after President Donald Trump railed against fraud in Minnesota on Tuesday evening in his State of the Union address. 

Vance said Wednesday that he is giving Walz 60 days to clean up how the state doles out funding, adding, “We are stopping the federal payments that will go to the state government until the state government takes its obligations seriously to stop the fraud that’s being perpetrated against the American taxpayer.” 

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

“This has nothing to do with fraud. The agents Trump allegedly sent to investigate fraud are shooting protesters and arresting children,” Walz added. “His DOJ is gutting the U.S. Attorney’s Office and crippling their ability to prosecute fraud. And every week Trump pardons another fraudster.” 

Fox News Digital has reached out to the White House for comment. 

The administration and Congress have zeroed in on rampant abuse of federal taxpayers’ funds since December 2025, when details of Minnesota’s fraud relating to social and welfare programs stretching back to the COVID-19 pandemic first came into the national spotlight. Investigators have since estimated the Minnesota scheme could top $9 billion.   

HEAVILY REDACTED AUDIT FINDS MINNESOTA MEDICAID HAD WIDESPREAD VULNERABILITIES

Mehmet Oz, the administrator for the Centers for Medicare & Medicaid Services, said Wednesday that the pause marks “the largest action against fraud that we’ve ever taken” at the federal agency, before launching into how the administration is deferring funds to the state.

“It’s going to be $259 million of deferred payments for Medicaid to Minnesota, which we’re announcing, as I speak, to Gov. Walz and his team,” Oz said. “That’s based on an audit of the last three months of 2025. Restated, a quarter billion dollars is not going to be paid this month to Minnesota for its Medicaid claims.”

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“We have notified the state and said that 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 also said. “If Minnesota fails to clean up the systems, the state will rack up $1 billion of deferred payments this year.” 

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I represent Mr. Terrion Arnold in connection with an incident that allegedly occurred on February 4, 2026, in Tampa, Florida, which resulted in the arrest of five individuals on serious felony charges.

To be clear, Mr. Arnold had no involvement whatsoever in the activities that led to those arrests. He did not participate in, nor was he present for, any conduct related to the alleged offenses. There is no evidence in police reports, text messages, or witness statements that implicates Mr. Arnold in any way.

In fact, after direct communication with the lead prosecutor, it has been confirmed that no charges have been filed against Mr. Arnold in connection with this matter.

Recent media coverage has referenced an Order issued by Circuit Judge J. Logan Murphy, which improperly suggests Mr. Arnold’s involvement in the incident. That same Order also incorrectly identifies Ms. Devalle as Mr. Arnold’s girlfriend. Both assertions are false, misleading, and entirely unsupported by the record.

Mr. Arnold categorically denies these unfounded claims and maintains his complete innocence. He was not involved in the crimes allegedly committed on February 4, 2026, in Tampa, Florida.

​We strongly urge members of the media to refrain from perpetuating inaccurate or speculative narratives. The facts are clear, and they do not support any claim of wrongdoing by Mr. Arnold.

• The Milwaukee County Sheriff’s Office has decided against a contract for facial recognition technology.
• Sheriff Denita Ball cited community concerns and the importance of public trust in the decision.
• The move follows similar pushback that led the Milwaukee Police Department to pause its own pursuit of the technology.
• Local officials and advocates have raised concerns about racial bias, surveillance, and civil rights violations.

The Milwaukee County Sheriff’s Office will not move forward on a potential deal to use facial recognition technology, Sheriff Denita Ball announced Friday.

In a statement on Feb. 27, Ball said after “thoughtful evaluation” and “meaningful dialogue” with community stakeholders and leaders, she decided to stop pursuing a contract with Biometrica, a Las Vegas-based company whose technology allows authorities to compare photos to a large database of photos for matches. 

“While we recognize the potential of this software as an investigative tool, we also recognize that trust between the MCSO and the people we serve is important,” she said.

“My discussions with local advocates highlighted valid concerns regarding how such data could be accessed or perceived in the current national climate. This decision is not a retreat from innovation but rather an understanding that timing matters, too,” Ball said.

The Milwaukee Journal Sentinel reported on Feb. 17 that the Sheriff’s Office was on the verge of signing off on the use of facial recognition technology after news broke at a community advisory board meeting held by the office.

The update on the office’s sign-off on an intent to enter into a contract with Biometrica blindsided local officials and advocates because it contradicted earlier claims that the office had not moved forward with a controversial contract.

At the time, supervisors on the county’s judiciary and legislation committee called for more information from the Sheriff’s Office about the nature of the then-potential contract.

Supervisor Justin Bielinski, who chairs the committee, said Ball’s decision to step away from the deal was good news, but said he was still feeling wary.

“I would like to see more I guess,” he said of the two paragraph statement from Ball. “At what point would she reconsider, right?”

County Executive David Crowley, who is running for governor as a Democrat, had also voiced concerns about a possible contract when news came to light earlier this month.

After learning of Ball’s decision to not move forward with Biometrica, Crowley thanked community members who voiced concerns about facial recognition technology, saying he will “continue doing everything in my authority to ensure our residents’ First Amendment rights, civil liberties, and personal data are protected.”

In recent months, Milwaukee politicians and residents rebuffed local law enforcement’s efforts to pursue the use of such technology at both the city and county levels, with many citing concerns over racial bias and unjust surveillance of residents.

The Milwaukee County Board of Supervisors voted last summer to recommend the development of a policy framework for the use of facial recognition technology as worries about its use by local law enforcement grew in the community.

The policy emphasized that the use of such technology doesn’t “suppress First Amendment-related activities, violate privacy, or otherwise adversely impact individuals’ civil rights and liberties,” and called for a pause on acquiring new facial recognition technology until regulatory policies were in place to monitor any existing and new surveillance technology.

In early February, the Milwaukee Police Department paused its pursuit of facial recognition technology after almost a year of pushback from activists and some public officials at public meetings. The department also noted that community feedback was a part of its final decision as well as a volatile political climate amid the federal government’s immigration crackdown.

(This story was updated to add new information.)