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Dear Neighbor,

Greetings from the House, where we are busy preparing for the 2026 legislative session to begin in St. Paul Feb. 17. The state already has a two-year budget in place, so this session will focus on an assortment of other key issues in our state – with rampant fraud at the top of the list.

The list of fraud scandals in Minnesota seems to grow by the day, including two recent reports from the nonpartisan Office of the Legislative Auditor. One OLA report [ [link removed] ] revealed major problems in how the Department of Human Services handled behavioral health grants.

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This is an alarming new chapter in Minnesota’s already widespread fraud issue. The OLA found that DHS staff backdated and even fabricated documents during an audit of funds meant to support people dealing with mental health and substance use challenges.

This is not a partisan issue, so let’s not make it one. We should focus on doing right by taxpayers instead of turning this issue into political football. Anyone who ignored these crimes, or played any role in enabling them, must be held accountable.

In addition, the pipelines that allow fraudsters to siphon off taxpayer money need to be shut down. Assistant U.S. Attorney Joe Thompson has said [ [link removed] ] the state may be facing as much as $9 billion in fraud, which breaks down to around $3,840 per Minnesota household. He described it as “industrial scale” and said that “fraud tourism” has taken root because Minnesota’s system is so loose that people come from elsewhere to scam us. Our state is filled with generous people and that’s a great thing. But we also don’t like being taken advantage of and that’s what’s happening.

Governor Tim Walz has faced heavy criticism for the explosion of fraud under his watch, but it is important to recognize that Minnesota’s fraud problem isn’t the result of one person’s missteps. It’s much bigger than that and is the product of a widespread culture of taxpayer abuse that has taken root here.

Another recent OLA report indicates the DNR made grant payments totaling over $4.7 million without receiving required progress reports, including cases where no reports were ever obtained. In other words, our state is failing to conduct even the most basic due diligence in some cases.

New state leaders following the same failed playbook will only bring more waste, more fraud, and higher costs for taxpayers. That is why, when the 2026 session begins next month, tackling fraud must be a top priority. We need basic, common-sense reforms that strengthen oversight and accountability in state programs. And, even though this isn’t a budget year, cracking down on fraud now could make a major difference in addressing our state’s projected $3 billion budget shortfall for 2028–29 after one-party government spent our $18 billion surplus, grew state spending by 40 percent, and raised taxes by $10 billion during the last biennium.

If we don’t fix this, the vicious cycle continues where criminals raid taxpayer-funded programs, the state keeps replenishing them, and the people who truly rely on these services are the ones who suffer (along with taxpayers). This includes hungry kids, struggling families, the homeless, children with autism and more.

Minnesotans deserve a government that protects their tax dollars, not one that hands them to scammers and then asks hardworking taxpayers to pay even more. Let’s bring back honesty, accountability, and backbone in our state agencies. We should not accept anything less.

Look for more from the House soon. Until next time, please stay in touch and let me know how I can help. I very much appreciate input from local residents because it helps me continue doing my best to represent the people in our district.



Please Contact Me

It’s an honor and privilege to work for you at the Capitol. Don’t hesitate to contact my office at any time this session to share your thoughts, concerns or ideas. You can call me at 651-296-6316, or email me at [email protected]. I am here to serve you!

Bernie

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State Rep. Bernie Perryman
2nd Floor, Centennial Office Building
658 Cedar St., St. Paul, MN 55155          [email protected]
651.296.6316







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