Sen. Cassidy Expands Child Care Fraud Probe to New York, Michigan and Oregon
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Senate HELP Committee Chair Bill Cassidy, R‑La., is extending his investigation into alleged fraud and improper payments in federally funded child care assistance programs beyond Minnesota to New York, Michigan and Oregon, all led by Democratic governors. In letters to Govs. Kathy Hochul, Gretchen Whitmer and Tina Kotek, Cassidy cites Department of Health and Human Services data showing payment error rates above 17% in New York in FY 2024, above 12% in Michigan in FY 2025 and above 35% in Oregon in FY 2024, and says figures that high raise serious concerns about fraud prevention and program access. He’s demanding detailed records by March 30, including each state’s improper-payment history from FY 2016–2025, on‑site monitoring practices, anti‑fraud measures, eligibility verification and audits or investigations that uncovered fraud or improper payments. The move follows his earlier push targeting Minnesota Gov. Tim Walz over a major child care fraud scandal and signals a broader Republican effort to scrutinize how blue states administer federal child care subsidies. The stakes are significant for families relying on these programs and for state agencies that could face tighter federal oversight or potential clawbacks if systemic failures are documented.
Federal Oversight and State Child Care Programs
Republican Investigations of Blue States