The Trump administration is moving to freeze more than $10 billion in federal child care and social services funding to five Democrat-led states amid concerns taxpayer dollars were improperly diverted to non-citizens, according to a report.

Officials reportedly told The New York Post that the Department of Health and Human Services (HHS) will freeze funding from the Child Care Development Fund (CCDF), the Temporary Assistance for Needy Families (TANF) program, and the Social Services Block Grant, affecting California, Colorado, Illinois, Minnesota, and New York over concerns the benefits were fraudulently funneled to non-citizens.

More than $7.3 billion in TANF funding would be withheld from the five states, along with nearly $2.4 billion from the CCDF and another $869 million from the Social Services Block Grant.

The funding pauses were expected to be announced in letters sent to state officials Monday, citing concerns that benefits were improperly directed to non-U.S. citizens.

ABBOTT ORDERS COMPREHENSIVE FRAUD PROBE INTO TEXAS CHILD CARE FUNDING AFTER MINNESOTA SCANDAL

A 2019 audit by the Department of Health and Human Services Office of Inspector General found that New York State improperly claimed $24.7 million in federal reimbursement for child care subsidies paid to New York City that did not comply with program rules.

The audit attributed the overbilling to system errors and oversight failures – not criminal fraud – and state officials agreed to refund the funds and implement corrective controls, according to the report.

Following the release of details surrounding the potential funding freeze, New York Democrats sharply criticized the Trump administration’s move, arguing it would harm families who rely on child care assistance.

MINN. LAWMAKER ‘NOT SURPRISED’ BY WALZ ENDING CAMPAIGN, SAYS THERE WILL BE NO ‘STONE UNTURNED’ IN HEARINGS

Sen. Kirsten Gillibrand, D-N.Y., accused the administration of using the issue for political retaliation and warned it would hurt children and low-income families across the state.

“Trump is threatening to freeze child care funding in New York and targeting our children for political retribution. It’s immoral and indefensible,” she wrote in a post on X. “I’m demanding the administration abandon any plans to freeze this funding and stop hurting New York families.”

Along with her post, Gillibrand also shared a public statement regarding the freezing of funds.

HHS CUTS OFF MINNESOTA CHILD CARE PAYMENTS OVER ALLEGED DAYCARE FRAUD SCHEME

“My faith guides my life and public service. It’s our job to serve the people most in need and most at risk – no matter what state they live in or what political party their family or elected representatives belong to,” she said. “To use the power of the government to harm the neediest Americans is immoral and indefensible.

“This has nothing to do with fraud and everything to do with political retribution that punishes poor children in need of assistance,” Gillibrand added. “I demand that President Trump unfreeze this funding and stop this brazen attack on our children.”

The NY Post first reported that in December, HHS sent letters to Walz and Minneapolis Mayor Jacob Frey seeking information on whether billions in taxpayer funds may have unlawfully helped “fuel illegal and mass migration.”

Those requests were followed by investigations launched by the Treasury Department and the House Oversight Committee into a growing fraud scandal involving several nonprofits tied to the Somali community in the Twin Cities.

An estimated 130,000 illegal migrants were living in Minnesota as of 2023 — about 40,000 more than in 2019 and roughly 2% of the state’s population — according to the Pew Research Center. The state’s Somali diaspora exceeds 100,000 people, with most concentrated in the Minneapolis–St. Paul area.

The news on Monday came the same day Minnesota Gov. Tim Walz announced he was dropping his bid for a third term as governor amid stinging criticism of his handling of the state’s massive welfare assistance fraud scandal.

KAROLINE LEAVITT WARNS ‘PEOPLE WILL BE IN HANDCUFFS’ AS FEDS ZERO IN ON MINNESOTA FRAUD SCANDAL

Walz launched his bid for a third four-year term as Minnesota governor in September, but in recent weeks has been facing a barrage of incoming political fire from President Donald Trump and Republicans, and some Democrats, over the large-scale theft in a state that has long prided itself on good governance.

More than 90 people — most from Minnesota’s large Somali community — have been charged since 2022 in what has been described as the nation’s largest COVID-era scheme.

How much money has been stolen through alleged money laundering operations involving fraudulent meal and housing programs, daycare centers and Medicaid services is still being tabulated. But the U.S. attorney in Minnesota said the scope of the fraud could exceed $1 billion and rise to as high as $9 billion.

MINNESOTA FRAUD SCANDAL INTENSIFIES DEBATE OVER STRIPPING CITIZENSHIP

Prosecutors said that some of the dozens that have already pleaded guilty in the case used the money to buy luxury cars, real estate, jewelry and international vacations, with some of the funds also sent overseas and potentially into the hands of Islamic terrorists.

Trump addressed Walz’s announcement of leaving the race on Monday, in a post on Truth Social. “Minnesota’s Corrupt Governor will possibly leave office before his Term is up but, in any event, will not be running again because he was caught, REDHANDED, along with Ilhan Omar, and others of his Somali friends, stealing Tens of Billions of Taxpayer Dollars,” the president wrote. “I feel certain the facts will come out, and they will reveal a seriously unscrupulous, and rich, group of ‘SLIMEBALLS.’

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“Governor Walz has destroyed the State of Minnesota, but others, like Governor Gavin Newscum, JB Pritzker, and Kathy Hochul, have done, in my opinion, an even more dishonest and incompetent job,” Trump added. “NO ONE IS ABOVE THE LAW!”

Fox News Digital’s Paul Steinhauser and Andrew Mark Miller contributed to this report.

Tony Dokoupil took his place at the anchor desk of the “CBS Evening News” on Monday as the troubled news division undergoes reinvention under its new editor in chief, Bari Weiss.

Dokoupil was supposed to start his run with a trip to 10 cities across the U.S., to connect with viewers outside of the media centers of New York and Washington. CBS News leased a private 14-seat jet for the tour, but the plan was delayed once the U.S. military action in Venezuela became a major story early Saturday morning.

Instead, Dokoupil took the chair Saturday night and broadcast live from San Francisco before returning to New York for his official premiere on Monday. The tour is still on and will commence Tuesday from Miami.

Dokoupil’s new role will be the first major test for Weiss, who came to the division with no previous experience in television or with running a massive journalism operation. Choosing on-air talent who help drive ratings for the network is considered the most critical task for a TV news executive.

Dokoupil, 45, follows the duo of John Dickerson and Maurice DuBois, who co-anchored “CBS Evening News” for a year. The program tried to bring more in-depth pieces to the typically fast-paced network evening news format. But it lost viewers and put CBS further behind “ABC World News Tonight With David Muir” and “NBC Nightly News With Tom Llamas.”

Dokoupil’s first official broadcast returned to a style that resembled previous iterations of “CBS Evening News,” with a tight shot of the anchor sitting at a desk in a newsroom.

Over the past year, Dickerson and DuBois were seated at a long desk and often interacted with correspondents shown on a large screen. The program no longer includes an in-studio meteorologist to present national weather.

Dokoupil’s arrival marks the fifth anchor change at the “CBS Evening News” since 2017. NBC has made one change since then, while Muir has been in his role at ABC since 2014.

CBS News promoted Dokoupil’s launch with a whimsical social media video that showed the journalist presenting a piece of paper with his name written on it to commuters at Grand Central Terminal in New York. Asked to pronounce “Dokoupil,” few of the commuters came close even though he had been co-host of “CBS Mornings” for several years.

The promo seemed like an odd choice given how the network evening news anchor has traditionally been a position requiring gravitas and comforting familiarity for its habit-driven audience.

Dokoupil also issued a video message last Thursday suggesting organizations such as CBS News are no longer reliable sources of information for much of the public.

“A lot has changed since the first person sat in this chair,” he said. “But for me, the biggest difference is people do not trust us like they used to. And it’s not just us. It’s all of legacy media.”

“The point is, on too many stories the press has missed the story,” he added. “Because we’ve taken into account the perspective of advocates and not the average American. Or we put too much weight in the analysis of academics or elites and not enough on you.”

The anchor went further on his Instagram account, where he cited Walter Cronkite, who sat at the desk during the division’s glory years of the 1960s and ‘70s. “I can promise we’ll be more accountable and more transparent than Cronkite or anyone else of his era,” he said.

Dokoupil’s claim prompted a response from Michael Socolow, a journalism professor at the University of Maine and the son of Sandy Socolow, who produced Cronkite’s broadcast.

Socolow noted how Cronkite believed the public should be skeptical of what it saw on TV news and take in other sources and points of view.

In an interview with The Times, Socolow said Cronkite was never comfortable with his designation as “the most trusted man in America.” CBS News touted that point, which was based on a single public opinion poll.

“Cronkite thought it wouldn’t be in the public interest to be too trustful of any specific media source,” Socolow said. “And he made that clear in public speeches and TV interviews for decades.”

Socolow posted a clip of a 1972 interview with Cronkite as an example.

“I don’t think they ought to believe me, or they ought to believe Brinkley, or they ought to believe anybody who’s on the air, or they ought to get all their news from one television station,” Cronkite said.

The latest change at “CBS Evening News” also follows one of the most tumultuous periods in the long history of CBS News. The organization was shaken by the Dec. 20 decision by Weiss to pull a “60 Minutes” piece on the harsh El Salvador mega-prison the U.S. government is using to hold undocumented migrants.

Weiss believed the story needed more reporting, including an on-camera response from Trump White House officials. The White House, Department of Homeland Security and the State Department had all declined comment to “60 Minutes.”

But the decision to yank the announced segment the day before it was scheduled to air led “60 Minutes” correspondent Sharyn Alfonsi to claim in an email to colleagues that the decision was political. Alfonsi had worked on the story for months and had it vetted by the division’s standards and practices department.

“Government silence is a statement, not a VETO,” Alfonsi wrote in the email. “If the administration’s refusal to participate becomes a valid reason to spike a story, we have effectively handed them a ‘kill switch’’ for any reporting they find inconvenient.”

Alfonsi’s reporting did show up on Canada’s Global TV service, which had been given a feed of the program before the change was made, an embarrassing operational error by CBS News. The segment was shared widely on social media.

Every move by Weiss has received heightened scrutiny since she was given editorial control over CBS News in October. She joined the network after parent company Paramount acquired the Free Press, a digital news and opinion platform she co-founded. The site made its name by calling out perceived liberal bias by legacy media organizations and so-called woke policies.

Media industry critics have used the “60 Minutes” controversy to suggest Weiss was installed to placate President Trump as Paramount pursues the acquisition of Warner Bros. Discovery, which would require government regulatory approval. A person close to Weiss who was not authorized to comment publicly said Paramount had no say on the Alfonsi piece.

Paramount already paid $16 million to Trump to settle a defamation suit against “60 Minutes.” Trump claimed the program deceptively edited an interview with Kamala Harris, calling it election interference. CBS News did not admit any wrongdoing in the settlement.

Gov. Tim Walz of Minnesota announced on Monday that he’s dropping his bid for an unprecedented third term as governor amid stinging criticism of the unsuccessful 2024 Democratic vice presidential nominee’s handling of his state’s massive welfare assistance fraud scandal.

“As I reflected on this moment with my family and my team over the holidays, I came to the conclusion that I can’t give a political campaign my all,” Walz wrote in a statement. “Every minute I spend defending my own political interests would be a minute I can’t spend defending the people of Minnesota against the criminals who prey on our generosity and the cynics who prey on our differences.”

“So I’ve decided to step out of this race and let others worry about the election while I focus on the work in front of me for the next year,” the governor added in his statement and in front of cameras a couple of hours later. The governor didn’t take any questions but said on Tuesday he would return to “take all your questions.”

And pointing to his efforts to deal with the growing fraud scandal, Walz charged, “The political gamesmanship we’re seeing from Republicans is only making that fight harder to win.”

GOP LAWMAKER UNVEILS WALZ ACT AFTER BILLIONS LOST IN MINNESOTA FRAUD SCANDAL

Walz launched his bid for a third four-year term as Minnesota governor in September, but in recent weeks has been facing a barrage of incoming political fire from President Donald Trump and Republicans, and some Democrats, over the large-scale theft in a state that has long prided itself on good governance.

More than 90 people — most from Minnesota’s large Somali community — have been charged since 2022 in what has been described as the nation’s largest COVID-era scheme. How much money has been stolen through alleged money laundering operations involving fraudulent meal and housing programs, daycare centers, and Medicaid services is still being tabulated. But the U.S. attorney in Minnesota said the scope of the fraud could exceed $1 billion and rise to as high as $9 billion.

MEDIA ‘COMPLICITY’ BLAMED AS FEDS SAY MINNESOTA FRAUD CRISIS COULD REACH $9B: ‘SHOWN THEIR TRUE COLORS’

Prosecutors said that some of the dozens that have already pleaded guilty in the case used the money to buy luxury cars, real estate, jewelry and international vacations, with some of the funds also sent overseas and potentially into the hands of Islamic terrorists.

“This is on my watch, I am accountable for this and, more importantly, I am the one that will fix it,” Walz told reporters last month, as he took responsibility for the scandal.

The governor took actions to stop some of the suspected fraudulent payments, and ordered an outside audit of Medicaid billing in the state.

But Trump repeatedly blasted Walz as “incompetent” and, during Thanksgiving, used a slur for developmentally disabled people to describe the governor.

The scandal, which grabbed plenty of national attention over the past two months, went viral the past few weeks following the release of a video by 23-year-old YouTube content creator Nick Shirley, who alleged widespread fraud at Somali-run daycare centers. Days later, the Trump administration froze federal child-care funding to Minnesota.

Reactions quickly began to pour in following the Walz announcement. 

“Good riddance,” Republican House Majority Whip Tom Emmer, who represents Minnesota’s 6th Congressional District, said in a statement.

Republican Governors Association Communications Director Courtney Alexander charged in a statement that “Walz’s failed leadership is emblematic of Minnesota Democrats’ agenda and whoever Democrats choose to replace Walz with at the top of the ticket will need to defend years of mismanagement and misplaced priorities.”

Minnesota Republican state Rep. Kristin Robbins, a candidate for governor, released a statement saying, “Tim Walz and his staggering fraud could not outrun our investigations and the momentum we have in this race.”

“He knows he will lose in November, and would rather give up than take responsibility. Anyone Walz handpicks to run for governor will own the fraud and failures of this administration. Our campaign is building the coalition necessary to stop the fraud, protect our kids, and make Minnesota prosper. As Governor, I will dismantle the years of fraud Democrats allowed and ensure our tax dollars work for Minnesotans.”

Minnesota House Speaker Lisa Demuth, another leading Republican gubernatorial candidate, took to social media to argue, “If Democrats think they can sweep Minnesota’s fraud scandal away by swapping out Tim Walz, they are wrong.”

“We need transformational change across state government that only comes with a Republican governor. I will deliver that no matter who the Democrats decide to run,” Demuth emphasized.

Joe Teirab, a former federal prosecutor who worked on the Feeding our Future fraud case that was a key part of the unfolding fraud scandal, told Fox News Digital that Walz “allowed fraudsters to steal billions from taxpayers, and did nothing.”

“The only fraud scheme Walz has chosen to end is his political career,” Teirab said. 

But Democratic Governors Association (DGA) chair Gov. Andy Beshear of Kentucky said in a statement, “No matter who decides to run or how much national Republicans want to spend, the DGA remains very confident Minnesotans will elect another strong Democratic governor this November.”

And Besehar praised Walz, a former DGA chair, as “a true leader who has delivered results that will make life better for Minnesota workers and families for years to come.”

Democratic National Committee chair Ken Martin, a former longtime state party chair in Minnesota, said the decision by Walz “is entirely consistent with who Tim is. Tim has always believed that leadership isn’t about preserving your own power — it’s about using it to make a difference for as many people as possible.”

“In the months ahead, Tim will continue doing what he’s done throughout his career: standing up to Donald Trump, defending Minnesota’s values, and fighting for working people,” Martin predicted.

Walz met Sunday with Democratic Sen. Amy Klobuchar of Minnesota to discuss his decision to drop his re-election bid, a source familiar confirmed to Fox News’ Alexis McAdams.

Word of their meeting comes amid speculation that Klobuchar, a former Hennepin County attorney who’s been elected and re-elected four times to the U.S. Senate, may now run to succeed Walz.

Walz said he was “absolutely confident” that Democrats would “hold this seat come November.”

And the governor touted that if he had continued to seek re-election, “I have every confidence that, if I gave it my all, we would win that race.”

In the nation’s capital, the Republican chairman of the House Committee on Oversight and Government Reform, which is investigating Minnesota’s fraud scandal, took aim at Walz.

“Though Tim Walz is not running for governor again, he cannot run from accountability,” Rep. James Comer of Kentucky charged in a statement. “The House Oversight Committee demands that he appear for a public hearing on February 10 to expose this fraud and begin the process of accountability. The American people deserve answers, and they deserve them now.”

The statement was echoed by the White House, with spokeswoman Abigail Jackson saying,”Tim should know, that dropping out of the race won’t shield him from the consequences of his actions.” 

 But Walz, firing back, claimed that “Donald Trump and his allies – in Washington, in St. Paul, and online – want to make our state a colder, meaner place. They want to poison our people against each other by attacking our neighbors. And, ultimately, they want to take away much of what makes Minnesota the best place in America to raise a family.”

“They’ve already begun by taking our tax dollars that were meant to help families afford child care. And they have no intention of stopping there,” the governor argued.

The 61-year-old Walz was raised in rural Nebraska and enlisted in the Army National Guard in 1981, soon after graduating from high school.

Walz returned to Nebraska to attend Chadron State College, where he graduated in 1989 with a degree in social science education.

He taught English and American History in China for one year through a program at Harvard University before being hired in 1990 as a high school teacher and football and basketball coach in Nebraska. Six years later, he moved to Mankato, Minnesota, to teach geography at Mankato West High.

Walz was deployed to Italy to support Operation Enduring Freedom in 2003 before retiring two years later from the National Guard.

He was elected to the House in 2006 and re-elected five times, representing Minnesota’s 1st Congressional District, a mostly rural district covering the southern part of the state that includes a number of midsize cities. During his last two years on Capitol Hill, he served as ranking member of the House Veterans Affairs Committee. 

Walz won election as governor in 2018 and re-election four years later.

But Walz was unknown to many Americans when then-Vice President Kamala Harris chose the Minnesota governor as her running mate in the summer of 2024, soon after she replaced then-President Joe Biden as the Democrats’ presidential nominee.

Walz, during his three months as running mate, visually and vocally embraced the traditional role of political attack dog that has long been associated with vice presidential nominees.

But Harris and Walz fell short, losing the November 2024 election to Trump and now-Vice President JD Vance, as the Democratic Party ticket was swept in all seven crucial battleground states.

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Pundits considered Walz a possible contender for the Democratic Party’s 2028 presidential nomination. 

But Walz said in multiple interviews last summer that he had no interest in seeking the presidency.

And the ongoing fraud scandal and his decision to end his gubernatorial re-election bid seems to put an end to Walz’ recent tenure in national politics.