U.S. Representative Michelle Fischbach said on April 7 that she is working with Rep. Pete Stauber to introduce new legislation aimed at addressing fraud in Minnesota social service programs funded by federal taxpayer dollars.
The announcement comes amid concerns about billions of dollars in fraudulent payments within state-run programs, raising questions about oversight and the use of public funds.
“Minnesotans have seen the headlines: more than $9 billion in fraud siphoned from our own communities. I am done watching hard-earned American tax dollars being sent overseas. I am proud to have Rep. Pete Stauber join me in introducing the Preventing the Repatriation of American Benefits Act to keep American resources at home and put American taxpayers first,” Fischbach said, according to a social media post announcing her work with Stauber on new legislation. The announcement followed widespread coverage of fraud concerns in Minnesota programs supported by federal funds. It underscored the need, she said, to keep taxpayer resources focused on domestic priorities.
Federal prosecutors have indicated that fraud in 14 high-risk Medicaid services in Minnesota may exceed $9 billion, according to the U.S. Attorney’s Office. Those programs have billed roughly $18 billion since 2018, with investigators concerned that half or more of the claims may involve improper payments. The issues span multiple social service areas, including housing assistance and child nutrition programs across the state, according to CBS News Minnesota.
Investigations into Minnesota social service programs have revealed vulnerabilities in benefit distribution and oversight, according to federal and state reviews. Some misused funds have reportedly been traced through informal networks to locations overseas, including areas linked to security concerns. These findings have prompted lawmakers to consider ways to strengthen program integrity and better protect taxpayer resources, according to Fischbach’s official website.
Fischbach has served as U.S. Representative for Minnesota’s 7th district since 2021 after replacing Collin Peterson and previously represented her district in the Minnesota Senate for more than 20 years before serving as lieutenant governor of Minnesota and later being elected to Congress in 2020, according to her official biography.
