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Minnesota fraud is just the tip of a growing iceberg | Opinion

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Minnesota fraud is just the tip of a growing iceberg | Opinion



Minnesota’s scandals have showcased just how vulnerable large public systems can be to mismanagement, weak oversight and exploitation, especially since Democratic leadership failed to take action.

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The great American author Mark Twain is purported to have said that it’s easier to fool people than to convince them that they have been fooled. Such has been the case with the latest developments in the bevy of fraud scandals that have enveloped my home state of Minnesota – so many that it’s hard to keep track – and now others.

Once a beacon of what a progressive utopian state could look like, full of nice people, beautiful lakes and leftist politicians like Gov. Tim Walz and Sen. Amy Klobuchar, Minnesota’s scandals have showcased just how vulnerable large public systems can be to mismanagement, weak oversight and exploitation, especially since Democratic leadership failed to take action.

Minnesota fraud looks worse than ever

A report released by the Office of the Legislative Auditor on March 17, about the Early Intensive Developmental and Behavioral Intervention Program, revealed that Minnesota’s Department of Human Services failed to fully investigate allegations that Medicaid programs were receiving kickbacks because agency officials didn’t think they had the authority. This turned out to be untrue. 

Members of the Legislative Audit Commission wrote, “We disagree with DHS’s assertion that it did not have the authority to investigate allegations of kickbacks alone. Based on our analysis, DHS has had the authority to investigate allegations of kickbacks in MA (Medical Assistance) since the late 1990s.”

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That audit report is the latest in the ongoing cases of fraud. So far, at least two Minnesota autism centers are under federal investigation on fake billing and kickbacks to parents who enrolled their kids in the programs, whether or not they even had an autism diagnosis.

On March 2, Abdinajib Yussuf pleaded guilty to one count of wire fraud related to Medicaid billing for the Star Autism Center, which Yussuf opened in 2020. He submitted millions of dollars worth of claims for Medicaid reimbursement and collected more than $6 million in reimbursement funds, which he sometimes shared with parents of kids “enrolled.”

In December, Asha Hassan pleaded guilty to a similar scheme via Smart Therapy. Hassan agreed to pay nearly $16 million in restitution and faces potential time in prison.

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There may be fraud happening in other states

Minnesota might not be the only state with rampant fraud related to government programs. On March 16, President Donald Trump signed an executive order launching a national task force led by ​Vice President JD Vance to uncover whether what happened in Minnesota is happening in other states.

A White House fact sheet said California, Colorado, Illinois, Maine and New York and are states with “insufficient” fraud oversight. On March 17, Trump also added Florida to the list of states to probe.

In June, the Department of Justice charged 15 people in a $10.6 billion health care fraud and money laundering scheme in New York, the DOJ announced charges in Medicare and Medicaid fraud schemes in Arizona totaling more than $1.1 billion, and it charged five defendants in California with over $14.6 billion in alleged false billings in a health care fraud and illegal drug diversion scheme.

In Texas, where I live now, in February federal authorities charged a Russian national with more than $1.8 billion in alleged schemes. Gov. Greg Abbott, a Republican, vowed to “strengthen” the state’s efforts to combat abuse.

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Walz and others should be held accountable

Due to the scale and perpetual nature of the fraud scandal in Minnesota, Democratic leaders must be held accountable for their lack of oversight and failure to act. I’d say the same for Republican leadership.

On March 4, the U.S. House Committee on Oversight and Government Reform released an interim staff report showcasing just how poor leadership fueled Minnesota’s “fraud explosion.”

The report is based on interviews with former Minnesota state employees and documents showing that Gov. Walz and Attorney General Keith Ellison knew about “fraud concerns” as early as 2019, but that their failures to act allowed an “estimated $300 million in federal child nutrition funds and potentially $9 billion in Medicaid-related funds to be lost or placed at serious risk.”

I’m glad Walz bowed out of his reelection bid for governor, but I still can’t believe the Democratic Party tapped him as its vice presidential nominee in the 2024 election. He can’t govern Minnesota, much less help lead a nation.

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In any case, to the horror of Minnesota taxpayers, these fraud scandals have already followed Walz much longer than his campaign for vice president ever has: Their loss is our gain.

Nicole Russell is an opinion columnist with USA TODAY. She lives in Texas with her four kids. Sign up for her newsletter, The Right Track, and get it delivered to your inbox.



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The midterms loom as another chance for Minnesota to set an example for the nation

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The midterms loom as another chance for Minnesota to set an example for the nation


How often history turns on the courage and conviction of a desperate few.

Consider Ukraine. Consider Minnesota.

Two peoples. Different arenas. Yet in the crucible, each faced the same demand: defend your own and save democracy — or lose both.

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And the people answered yes.

Ukraine has shown the world what it takes to fight an authoritarian force from without: courage, ingenuity, self-sacrifice, stamina. A love of country so great that a whole people has willingly suffered years of war rather than bow to tyranny.

Minnesota has shown the world what it takes to resist authoritarian force from within: moral clarity, peaceful and creative mass action, legal resistance, public witness, democratic solidarity. A love of neighbor so deep that fear, winter and even bloodshed could not empty the streets or silence the whistles.

The lesson is the same in both places: Democracy is fragile. It cannot save itself. It survives grave threat only when ordinary people decide that comfort and normalcy must give way to the defense of freedom.

Minnesota: This past winter, we awakened America.

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We showed millions that hate can be defeated by love, tyranny by unity, and anti-democratic machinations by the disciplined courage of a free people. We did it, in the words of Bruce Springsteen, with “our blood and bones and these whistles and phones” — and with them, we stirred the conscience of a nation.

But Minnesota: We must awaken America again.

For the midterms loom.

Our winter fight was one skirmish in a much broader battle. Across this nation, the assault on our constitutional republican democracy continues unabated. Free and fair elections are under attack. The rule of law is under attack. The separation of powers is under attack. The free press, freedom of speech and the right to protest without intimidation are under attack.

So the question rings out: Who will stoke the fire of resistance? Who will stand again for democracy? Who will bring America back to the streets, and from the streets to the ballot box in November?

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Minnesota, let it be us.

Doubt not that our president, his administration, and his Republican Party are working in lockstep to bend our free republic toward tyranny. They advance by pressure, threat, intimidation, distortion and the steady bending of rules. Watch them gerrymander where they can. Restrict voting where they can. Flood the zone with lies. Attack election workers. Pre-poison trust in outcomes.

All to make us feel powerless. Isolated. Afraid.

We cannot let that happen. We must rise again, Minnesota; we must lead America again — all the way to the ballot box.

Let this be our next Minnesota miracle.

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Because we cannot lose this election. We must win. Not narrowly. Not barely. We must win so decisively that no trick can overcome it, so broadly that no lie can explain it away, so clearly that America’s birthright is reclaimed — and the long journey of healing can begin.

Our part is to flip Minnesota’s two most reachable red congressional districts — the First and Eighth. We will do it by forging a grand coalition:

Minnesota Blue joined with Minnesota Middle.

Let’s be clear: In Minnesota and across the nation, it will not be enough simply to turn out the blue base. A victory large enough to overcome every trick, lie, and scheme will require the middle.

And the middle can be won.

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Not by asking people to abandon every conviction they hold. Not by asking conservatives to become liberals, or independents to become Democrats. But by helping our neighbors see the stakes clearly: this is not an ordinary election, to be decided by ordinary policy preferences or old party habits.

This is a democracy election.

And in a democracy election, the question is not: Which party do I usually prefer?

The question is: Which vote will best preserve our constitutional republican democracy?

Minnesota, it’s on us to build on the moral authority we won this winter. To show the nation the way: Blue and middle, hand in hand.

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Democrats. Independents. Disillusioned Republicans. People of faith. People of conscience. Veterans. Students. Teachers. Nurses. Farmers. Union workers. Small-business owners. Parents, grandparents and first-time voters.

All gathered around one sacred civic duty: to defend the republic.

With whistle parades and coffee meetups, voter registration drives and neighbor-to-neighbor conversations, let us organize. Not only in Minneapolis and St. Paul. In Rochester, Duluth, Mankato, Winona, the Iron Range, and in Olmsted, Blue Earth, Steele, Freeborn, Carlton, Itasca, St. Louis and Beltrami counties.

Let us go to college towns and mining towns, lake country and Trump country — wherever blue voters must be reawakened, and wherever voters who have voted red may yet prove to be members of the vast quiet middle, ready to hear the call of democracy.

This is our hour, Minnesota.

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Let not our whistles go silent. Let not our streets stay empty. Let not the blue base grow weary. Let not the middle go unreached.

Organize. Mobilize. Work. And win.

Win by a margin no scheme can defeat.

Toward that end, may we Minnesotans highly resolve anew:

“That government of the people, by the people, for the people, shall not perish from the earth.”

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Tom Mohr is founder and CEO of CEO Quest, a CEO coaching company; author of “Letters to Rising Leaders”; and creator of the “We The Middle Vote” substack (WeTheMiddleVote.substack.com).

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Small Minnesota farms feeling the impact of high beef prices

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Small Minnesota farms feeling the impact of high beef prices


Beef prices have climbed to record highs this year, and consumers are noticing.

That’s due in part to the U.S. cattle herd being the smallest it’s been in 75 years due to drought and high feed costs. John Lauritsen shows us how that’s impacting smaller beef producers in Minnesota.

“In 2008 we started with three cows. And we didn’t sell our first beef to consumers until 2011,” said Josh Krenz of Windland Flats Farm near Princeton.

But for the past 15 years, Krenz said his Highland Cattle have been in high demand. The long-haired cows are a niche product, and over the past 5 years consumers have been contacting Windland Flats Farm for their steaks and ground beef.

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“It’s super lean but really tender and has a lot of marbling to it still,” said Krenz.

The rising popularity of Highland meat has allowed Krenz to expand. The natives of Scotland are hearty animals and good grazers who need shade but not barns, so they’re cost-effective to raise. But lately, Krenz has wondered what the future holds for his herd, as consumers adjust.

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“They are not buying in bulk packages that we used to sell. They are buying smaller just trying to go from paycheck to paycheck is what it feels like.”

Instead of buying 35-pound packages for about $450 like they have in the past, lately their clients have been looking to buy just a fraction of that.

“We just see people wanting to go down to 10 pounds or 15 pounds or maybe they aren’t coming back at all,” said Krenz.

And it’s forced Windland Flats and other farms like them to make a number of adjustments when it comes to promoting their product and limiting their overhead costs.”

“That’s what we are doing the most is watching our costs. Some of that is using technology to lower labor costs. Optimizing the land because we aren’t going to be able to afford to buy more land in 5 years if we aren’t going to have that income flow coming in,” said Krenz.

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There’s still hope that things will turn around. In the meantime, it’s business as usual for the Highlands.

“Just as an economy as a whole, everybody is watching their wallet really hard right now,” said Krenz.

In Minnesota, Wisconsin and Iowa, there are about 250 members of the American Highland Cattle Association.



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Wildcat Sanctuary: Rio the Ocelot Turns 27

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Wildcat Sanctuary: Rio the Ocelot Turns 27


A beloved ocelot named Rio is celebrating an incredible milestone at the Wildcat Sanctuary in Sandstone, Minnesota — her 27th birthday! This stunning medium-sized wildcat is known for her gorgeous spotted coat and distinctive ring-patterned tail. Tammy Thies, founder and executive director of the Wildcat Sanctuary, joined Minnesota Live to share more about Rio’s remarkable life. Learn more here.



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