Transcript Highlights:

• That'll crack down on fraud and stop billions of taxpayer dollars from being wasted.
• </c><00:05:10.160><c> and</c> tax dollars lost to waste and fraud and tax dollars lost to waste and fraud
• Our fraud isn't free bill, solutions.
• I think it's one of the best things we can do to address fraud.
• I think it's one of the best things we can do to address fraud.

Summary: House Republican leaders unveiled their “North Star Comeback” budget plan, describing it as a focused effort to make Minnesota more affordable, reduce government waste, and strengthen the economy. They said the package would include a $3.8 billion tax cut proposal with one-time property tax relief, elimination of taxes on tips and overtime, childcare relief, lower car tab fees, and funding for schools through scholarship-granting organizations. They also framed the plan as a response to rising costs for groceries, housing, energy, insurance, and childcare. A major emphasis of the rollout was government accountability, especially a strong Office of Inspector General bill and IT modernization to reduce fraud. Leaders said the OIG proposal had moved out of committee and was now in Ways and Means, with a working group continuing to reconcile House and Senate differences. On IT modernization, Chair Paul Torkelson said the plan would likely use a two-pronged approach, with about $15 million for near-term needs and a longer-term fund for ongoing technology upgrades; he said many such investments could qualify for federal matching dollars. The leaders also highlighted Medicaid conformity, saying Minnesota should align with federal changes to avoid losing funding, and they discussed a property tax rebate proposal as a one-time $1 billion return to taxpayers to offset higher property taxes. In response to questions, they said many of the budget items were still moving through the process and some had not met finance deadlines, while others were already in bills. They repeatedly criticized House Democrats for blocking or delaying Republican proposals and said they wanted bipartisan cooperation to pass the plan this year.

Transcript Highlights:

• </c> has a high level of fraud in it? has a high level of fraud in it?
• </c><00:28:15.440><c> was</c> and was asked why he thinks fraud was and was asked why he thinks fraud
• This affects fraud. Natada. Correct. This has no impact on fraud.
• Everything has been fraud.
• Everything has been fraud.

Committee: Senate Human Services

Transcript Highlights:

• Two, strict reporting and fraud prevention measures are now mandated.
• My specialty is financial crime, especially fraud.
• We're seeing about 100 to 125 cases of crypto fraud coming into the FCIC a month.
• So when you hear the term, I hear the comments that it is now the preferred method of fraud.
• Percent of the fraud that you're talking about is happening outside of the ATM.

Bills: SB383 , SB1012 , SB1181 , SB1705 , SB2075 , SB2221 , SB2586 , SB2864 , SB2994

Committee: Senate Business & Commerce

Transcript Highlights:

• . fraud. fraud.
• It is as we go fraud is not now.
• ,</c> that's the time to take out fraud, that's the time to take out fraud, waste,<00:47:55.280><c> and
• </c> to a lot of fraud. to a lot of fraud. &gt;&gt; Representative<00:48:31.920><c> No.
• This is just repackaged fraud.

Transcript Highlights:

• Not only is fraud our focus, but also patient safety.
• I mean, I'm just curious, what kind of fraud are we talking about?
• Again, prosecuting. get back money from the fraud.
• All the other things listed deter future fraud and patient abuse.
• There could be fraud anywhere is the short answer.

Summary: The committee met to hear the Attorney General’s budget and related agency presentations. Legislative Council first reviewed the compliance with legislative intent report and the base budget worksheet, highlighting current and ongoing appropriations, FTE changes, one-time funding items, continuing appropriations, and major special and federal funds. Members asked about items such as the Missing Indigenous People Grant Fund, the Internet Crimes Investigation Fund, and the Medicaid Fraud Control Unit grant funding, and staff explained the funding sources and status of those programs. Assistant Attorney General Clare Ness then outlined the Attorney General’s office structure, staffing, and budget pressures. She emphasized the office’s broad statutory duties, the value of its legal and investigative work for state and local governments, and concerns about attorney salary competitiveness, the new and vacant FTE pool, and the impact of the 3% operating budget reduction on BCI, IT, and the crime lab. Members also discussed AG opinions, boards and commissions training, and the office’s litigation and settlement recoveries. Ness and committee members raised the possibility of broader attorney salary benchmarking across state government. The crime lab director described severe space and infrastructure constraints, including overcrowding, shared workspaces, glycol leaks, air handling limits, and aging fire and burglar alarm systems. She said the 2024 study projected a much larger facility would be needed and that a new building on the current health department site would best address the lab’s needs. She also reported that backlogs have improved significantly in DNA, drug, fingerprint, and firearms work, though toxicology had a recent delay after an air compressor failure. The Medicaid Fraud Control Unit director described the unit’s fraud, abuse, and neglect work, noted federal-state funding and recent federal scrutiny, and said the unit needs more staff. The gaming division reviewed charitable gaming growth, e-tabs, trust accounts, and compliance issues, while BCI covered its caseload, cybercrime and child sexual abuse material investigations, the missing indigenous person task force, and the use of lottery funds for drug task forces. No formal votes or budget actions were taken during the meeting.

Transcript Highlights:

• Looking forward to attacking the ghost student problem on fraud and appreciate everyone's hard work on
• We've never seen them, so that's why we're bringing forward $1.5 million for enrollment fraud identity
• </c> you know, fraudsters are going to fraud you know, fraudsters are going to fraud and<00:15:46.120
• </c> pocket the fraud. pocket the fraud.
• </c> $1.5 million for enrollment fraud identity software so that we can better verify who, you know,

Committee: House Ways and Means

Bills: HR310 , HR314 , HR316 , HR317 , HR321 , HR275 , HR276 , HR279 , HR282 , HR286 , HR289 , HR292 , HR295 , HR302 , HR319 , HCR112 , HR307 , SCR59 , SCR61 , SCR62 , SCR68 , SCR69 , SCR70 , SCR54 , SCR55 , SCR64 , SCR75 , HCR3 , HCR49 , HCR66 , HCR67 , HB1 , HB2 , HB42 , HB45 , HB66 , HB71 , HB79 , HB126 , HB133 , HB145 , HB159 , HB167 , HB213 , HB218 , HB222 , HB289 , HB291 , HB312 , HB313 , HB316 , HB324 , HB352 , HB383 , HB398 , HB403 , HB429 , HB457 , HB459 , HB511 , HB549 , HB571 , HB579 , HB591 , HB608 , HB616 , HB624 , HB766 , HB769 , HB783 , HB799 , HB804 , HB864 , HB874 , HB909 , HB951 , HB971 , HB983 , HB1005 , HB1017 , HB1051 , HB1056 , HB1095 , HB1126 , HB1129 , HB1186 , HB1193 , HB1223 , HB1224 , HB1230 , HB1235 , HB1249 , HB723 , HB36 , HB140 , HB181 , HB198 , HB205 , HB211 , HB226 , HB259 , HB271 , HB302 , HB335 , HB342 , HB487 , HB513 , HB623 , HB682 , HB730 , HB740 , HB761 , HB775 , HB797 , HB812 , HB816 , HB940 , HB968 , HB979 , HB1028 , HB1029 , HB1038 , HB1049 , HB1084 , HB1161 , HB1194 , HB1199 , HB1201 , HB1203 , HB1247 , HB1256 , SB25 , SB132 , SB155 , SB157 , SB202 , SB228 , SB237 , SB250 , SB405 , SB406 , SB414 , SB433 , SB480 , SB513 , SB149 , HB359 , SB29 , SB43 , SB78 , HB210 , HB258 , HB468 , HB784 , HB134 , HB1117 , SB42 , SB274 , SB382 , SB449 , SB300 , HR74 , HB463 , HB715 , HB998 , SB80 , SB268 , SB444 , SB479 , HB901 , HR20 , HCR65 , HCR71 , HCR98 , HB284 , HB306 , HB341 , HB366 , HB393 , HB458 , HB577 , HB603 , HB605 , HB614 , HB625 , HB646 , HB733 , HB752 , HB773 , HB798 , HB911 , HB955 , HB996 , HB1035 , HB1069 , HB1113 , HB1140 , HB1180 , HB1191 , HB1240 , HB1255 , SB82 , SB89 , SB97 , SB123 , HB74 , HB119 , HB368 , HB414 , HB552 , HB732 , HB776 , HB848 , HB870 , HB953 , HB956 , HB1236 , SB208 , SB217 , SB283 , SB387 , SB389 , SB401 , SB408 , SB469

Keywords: oil and gas, orphan wells, inactive wells, shut-in wells, marginal wells, plugging and abandonment, well decommissioning, site remediation, site restoration, Oilfield Site Restoration, OSR program, financial security, bonding, taxpayer liability, public liability, offshore wells, onshore wells, coastal erosion, Department of Conservation and Energy, natural resources

Transcript Highlights:

• </c><00:37:33.839><c> and</c> address unemployment insurance fraud and address unemployment insurance
• fraud and it<00:37:34.400><c> requires</c><00:37:34.920><c> referrals</c><00:37:35.560><c> to</c><00
• uh by the unemployment suspected fraud uh by the unemployment insurance<00:37:54.599><c> team</c><00
• He said the hope is to deter fraud by putting a little more teeth in a place where no teeth exists.
• </c> own unemployment employees were frauding own unemployment employees were frauding the<00:43:20.839

Summary: The committee first took up Senate Bill 1, which would create a Kentucky Film Office and a Kentucky Film Leadership Council to promote film production in the state. Sponsors said the bill is intended to expand Kentucky’s use of film tax incentives, improve marketing and infrastructure, and attract productions that could generate jobs, tourism, and broader economic development. They noted a committee substitute made two changes: adding a salary cap for the film office executive director and correcting a date. Members asked about whether the office should instead be housed in the Economic Development Cabinet, how Kentucky’s refundable credit compares with Georgia’s transferable credits, the bill’s obscenity language, the size of the current incentive cap, and whether there should be reporting on the program’s results. Supporters cited a University of Louisville study estimating about $200 million in industry revenue in 2022 and argued the state is not fully using existing credits; an outside witness, Andrew McNeel, opposed the bill, calling the incentives subsidies, warning that Georgia’s uncapped program could lead to pressure to raise Kentucky’s cap, and arguing the bill could subsidize films with little lasting local benefit. After debate, the committee adopted the substitute and passed Senate Bill 1 as amended by House Committee Substitute 1 with an expression of opinion that it should pass. Several members explained their votes, including concerns about transparency, local hiring, and the need for further review. The committee then moved on to Senate Bill 76, which would raise the threshold for a retainage/escrow requirement in certain real estate improvement contracts from $500,000 to $2 million. The sponsor said the change is meant to reflect construction cost inflation since the statute was enacted in 1990. The transcript indicates a motion and second were made, but the discussion was cut off before any final action on the bill is shown. Finally, the committee heard Senate Bill 162, a simplified bill on unemployment insurance fraud. The sponsor said it would require suspected fraud to be referred to the appropriate state or federal law enforcement authorities, including the Justice and Public Safety Cabinet, county or Commonwealth’s attorneys, and, where applicable, the U.S. Department of Justice, to create a clearer process and accountability. The transcript ends during the presentation, before any vote or committee action on SB 162 is recorded.

Transcript Highlights:

• </c> and to help us prevent future fraud. and to help us prevent future fraud.
• Let's put an end to waste, fraud, and abuse. Members, vote green.
• You have seen CCAP fraud. You have seen daycare fraud. You have seen adult daycare fraud.
• You have seen all kinds of other fraud.
• </c><00:41:50.280><c> or</c> that can waste can root out fraud or that can waste can root out fraud or

Transcript Highlights:

• ,</c> the senator that none of us want fraud, the senator that none of us want fraud, uh<00:27:05.160
• </c><01:29:24.640><c> bill</c> Allison's anti-fraud bill Allison's anti-fraud bill down<01:29:26.000>
• </c> regarding fraud. regarding fraud.
• when it comes to fraud.
• </c> prevention when when it comes to fraud prevention when when it comes to fraud and<01:30:25.080><

Transcript Highlights:

• </c> medical assistance fraud prevention? medical assistance fraud prevention?
• </c> If we look at the massive massive fraud If we look at the massive massive fraud that<00:52:10.960
• </c> identified fraud. identified fraud.
• </c> executive branch to address fraud. executive branch to address fraud.
• </c> coming in and identifying all this fraud coming in and identifying all this fraud members<00:54:

Summary: The Legislative Audit Commission Evaluation Subcommittee met on October 6, 2025, to choose additional program evaluation topics for the Office of the Legislative Auditor. Deputy Legislative Auditor Jody Mson Rodriguez explained that the commission had previously selected seven topics from an initial list of 11, with background papers already prepared on five of those items, and that the subcommittee was now being asked to select five more topics for background papers before narrowing the full set to four recommendations later in the fall or early spring. Members discussed several possible topics, especially emergency medical services, non-emergency medical transportation, MinnesotaCare eligibility, child care assistance, medical assistance fraud prevention, and U.S. Bank Stadium. David Kersner of OLA said emergency medical services and non-emergency medical transportation are distinct programs, and noted the EMS topic was evaluated in 2022 while non-emergency medical transportation had not been reviewed since 2011. Auditor Judy Randall said MinnesotaCare eligibility, child care assistance, and medical assistance fraud prevention are better suited to OLA’s financial audit division or special review unit rather than program evaluation, and that financial audits and special reviews do not require Legislative Audit Commission nomination. On process, Mson Rodriguez said the subcommittee had already met its minimum required selections under the commission’s policy and was free to choose additional topics. The discussion also covered whether to broaden the stadium topic beyond U.S. Bank Stadium; staff said the U.S. Bank financing structure alone would be a major undertaking, but they could help craft a future topic focused on maintenance across multiple facilities. No final vote or motion was taken in the portion of the meeting provided, and the chair indicated the committee would continue nominations and discussion.

Transcript Highlights:

• We don't need fraud anywhere. It hurts everybody.
• And by the way, that doesn't combat fraud. That's not fraud.
• Somebody looking for work but not getting a job, that's not fraud.
• And by the way, that doesn't combat fraud. That's not fraud.
• Somebody looking for work but not getting a job, that's not fraud.

Bills: S0124 , S0216 , S0382 , S0488 , S0490 , S0524 , S0584 , S0656 , S0816 , S0892 , S1156

Committee: Senate Fiscal Policy

Summary: The Committee on Fiscal Policy met and first postponed SB 524 and SB 1156. It then heard and favorably reported several bills, including SB 488 and SB 490 by Sen. Massullo, which update Department of Highway Safety and Motor Vehicles procedures, raise the crash-reporting threshold, expand email use, and create a related public-records exemption. The committee also favorably reported SB 892 by Sen. Martin on enhanced sentencing for repeat offenders, SB 124 by Sen. Rodriguez updating Florida Virtual School statutes, and SB 584 by Sen. Yarbrough strengthening oversight of commercial driving schools and tax collector authority. SB 656 by Sen. Bradley, codifying the Internet Crimes Against Children Task Force and related grant program, and SB 816 by Sen. Bradley, formally establishing the University of Florida Diabetes Institute, also passed unanimously or near-unanimously. The most extensive debate centered on SB 216 by Sen. McLean, which would tighten unemployment assistance eligibility by adding job-search requirements, more frequent verification, and fraud-reporting measures. Supporters argued the bill would reduce fraud and improve program integrity, while opponents from labor groups and several senators warned it would burden claimants, especially rural residents, seniors, and workers facing layoffs, and could sharply reduce access to benefits. Despite those objections, the committee reported the bill favorably on a divided vote. The committee also considered CS/SB 382 by Sen. Truenow on electric bicycles, requiring riders to yield to pedestrians, sound an audible signal before passing, and limit speed near pedestrians, while creating a task force to study broader regulation of e-bikes and related devices. A mother whose son was killed on an electric scooter urged the committee to restore scooters to the bill, and several members expressed support for further work on that issue. The committee reported the bill favorably. At the end of the meeting, members recorded additional affirmative votes on selected tabs, and the committee adjourned.

Transcript Highlights:

• </c> has been the feeding our future fraud has been the feeding our future fraud that's<00:41:17.440>
• </c> programs um to see if there was fraud programs um to see if there was fraud and<00:41:50.880><c>
• </c><00:41:53.240><c> happening</c> and we did not find any fraud happening and we did not find any fraud
• </c><00:43:26.800><c> waste</c><00:43:27.319><c> and</c> investigate fraud waste and investigate fraud
• </c><00:47:46.119><c> that</c> data and get ahead of any fraud that data and get ahead of any fraud that

Committee: House Human Services Finance and Policy

Transcript Highlights:

• when there is suspected fraud.
• And overpayments don't automatically mean fraud.
• But an overpayment does not automatically mean fraud.
• When potential fraud is suspected, so if we're doing our random audits and there's a potential fraud
• the Office of Fraud and Accountability fraud line.

Summary: The committee began with a work session on Washington’s child care oversight and subsidy system, focusing on Working Connections Child Care, licensing, audits, and fraud prevention. DCYF officials said the program serves over 63,000 eligible families, with about 6,600 licensed providers and roughly 2,200 license-exempt family, friend, and neighbor providers. They described annual unannounced licensing visits, complaint investigations, attendance tracking, eligibility verification, random and focused audits, and referrals to the Office of Fraud and Accountability or Office of Financial Recovery when needed. Senators asked about voucher amounts, visit frequency, and what happens when children are not present; officials said the average subsidy is about $2,200 per month, providers are paid directly, and repeated failed visits can lead to license closure. Child Care Aware and provider testimony emphasized the quality system, Early Achievers, and a virtual provider described the practical realities of home-based care and unannounced inspections. The committee then heard Senate Bill 5952, which would standardize the process for waiving high school physical education requirements. The bill’s sponsor said the goal was to make PE waiver decisions consistent across districts so students who move schools are not disadvantaged, especially in six-period schedules with limited room for electives. Student supporters said a uniform process would improve fairness and help students fit in AP, career, or other coursework. Opponents, including PE teachers and the Washington Association of School Principals, argued that PE is a core academic subject, that athletics is not interchangeable with PE, and that local flexibility should remain. The State Board of Education supported the bill, saying current district policies vary widely and a standardized process would improve equity and transparency. Next, the committee took testimony on Senate Bill 5961, which would transfer the Imagination Library of Washington from DCYF to OSPI. The sponsor called it a simple administrative move to align the book-gifting program with early literacy and K-12 education, noting the program serves about 120,000 children in all 39 counties. OSPI and program representatives supported the transfer, saying it better fits the birth-to-grade-three literacy continuum and strengthens accountability. Testifiers highlighted the program’s role in school readiness, early brain development, and access to physical books for young children. Finally, the committee opened Senate Bill 5969, which would allow a student’s IEP transition plan to satisfy high school and beyond plan requirements if the IEP team chooses. The sponsor, a special education teacher, said the bill would reduce duplication and better support students with disabilities as they transition to postsecondary life. The committee then began hearing testimony on the proposal.

Transcript Highlights:

• Our member banks are on the front lines of detecting and responding to fraud that targets individuals
• I wanted to highlight some statistics on fraud from the Federal Trade Commission in 2024.
• </c> New Hampshire's current identity fraud New Hampshire's current identity fraud statute<00:54:09.080
• ><c> fraud</c> Updating the fraud identity fraud Updating the fraud identity fraud statute<00:55:07.520
• , fraud monitoring, and incident<00:55:19.000><c> response.

Committee: Senate Judiciary

Transcript Highlights:

• and we know Minnesota government certainly is no stranger to fraud and waste.
• We've had $611 million of fraud that we've identified in the last six years, Mr. Chair.
• and we know Minnesota government certainly is no stranger to fraud and waste.
• We've had $611 million of fraud that we've identified in the last six years, Mr. Chair.
• </c><00:32:01.880><c> and</c> who is literally committing fraud and who is literally committing fraud

Committee: Senate State and Local Government

Transcript Highlights:

• Senate Bill 1734 addresses the growing issue of deed fraud.
• documents or commits fraud on a notary to file real property documents.
• Senate Bill 1734 is a self-help bill for victims of deed fraud.
• We see this as a good mechanism to further reduce and address property fraud.
• that they create to continue the fraud.

Bills: SB302 , SB1335 , SB1734 , SB1760 , SB1975 , SB2127

Committee: Senate Jurisprudence

Transcript Highlights:

• Good fraud cases. the attorney general.
• I don't Medicaid fraud unit has covered.
• I actually agree with fraud. I agree.
• </c> was what was happening in the fraud was what was happening in the fraud committee,<00:36:47.200>
• </c><00:45:07.839><c> Thank</c><00:45:08.000><c> you,</c> fraud. Thank you. Thank you, fraud.

Summary: The committee heard House File 2591, the “Support Medicaid Not Millionaires Act,” laid over for possible inclusion in the 2025 taxes bill. Chair Gomez said the bill would create a fifth individual income tax tier on very high earners to offset any future federal Medicaid cuts, arguing that proposed federal budget changes would likely reduce Medicaid funding and create a large state budget hole. Gomez and other supporters framed Medicaid as essential for children, long-term care, mental health, substance use treatment, rural hospitals, and families across Minnesota, and criticized federal tax cuts for corporations and wealthy individuals. Several testifiers supported the bill. A SEIU Healthcare worker described how Medicaid supports her care for a disabled son and her own health needs, warning that cuts would threaten home care, hospitals, and nursing homes. A public health employee from the Minnesota Association of Professional Employees said recent state and federal layoffs had already weakened public health capacity and urged additional revenue to backfill losses. Other supporters, including community and faith leaders, said the wealthy and corporations should pay more to protect public services, youth programs, and Medicaid-funded care. A mental health provider testified that most of the people served by her clinic rely on Medicaid and that cuts would harm clinics, rural access, and the broader behavioral health system. Representative Anderson questioned whether the bill would affect Medicaid spending tied to undocumented immigrants and asked for data on MinnesotaCare and federal-state funding shares. Department of Human Services staff clarified that he was referring to MinnesotaCare, not Medicaid, and said Medicaid is generally matched by the federal government while MinnesotaCare does not have the same match. The exchange became contentious when Gomez objected to Anderson’s use of the term “illegal immigrants” and redirected the discussion back to the bill. Anderson also raised concerns about Medicaid fraud and whether the proposal would backfill any federal changes related to fraud enforcement. No vote was taken; the bill was simply laid over.

Transcript Highlights:

• </c> the state if they were committing fraud the state if they were committing fraud through<01:13:48.239
• </c><01:18:39.280><c> uh</c> to put some more of that fraud uh to put some more of that fraud uh language
• And thank you, Chair, for giving time for it. fraud of course is unacceptable um in fraud of course is
• fraud if there's<01:41:09.119><c> the</c><01:41:09.280><c> fraud</c><01:41:09.600><c> out</c><01:41:
• We just there's the fraud out there.

Bills: HF3217 , HF2252

Committee: House Workforce, Labor, and Economic Development Finance and Policy

Transcript Highlights:

• And we know there are costs that go with stopping fraud.
• And we know there are costs that go with stopping fraud.
• And we know there are costs that go with stopping fraud.
• And we know there are costs that go with stopping fraud.
• Just the fraud savings? Again, I mean this is prioritizing the spending on that, right?

Summary: Minnesota Senate Republicans held a press conference unveiling a package of affordability and tax-relief bills aimed at property taxes, taxes on tips and overtime, and vehicle registration costs. Leader Mark Johnson said the proposals were meant to counter rising costs for wages, homeownership, and driving, and argued that Democrats’ policies had made life more expensive. Several senators echoed that theme, saying Minnesotans need immediate relief and that the state has room to act because of a reported surplus. Senator Michael Kunesh described a property-tax cap bill that would limit increases for cities and counties to inflation plus 50% of population growth, with higher increases requiring voter approval. He said constituents, including seniors, a disabled veteran, and young people, are seeing unsustainable property-tax hikes, and he argued that state and federal mandates have driven local costs. In response to a question about added county workload from federal SNAP and Medicaid changes, he said the solution is both to pause new mandates and to cap property-tax growth. Senator Karin Housley outlined a proposal to end state taxes on tips and overtime, with deductions up to $25,000 for tips and $12,500 for overtime, phased out at $150,000 for individuals and $300,000 for families. She said the measure would help workers keep more of what they earn and would not cost small businesses directly. Senator John Jasinski proposed rolling back vehicle registration tab fees to pre-2023 levels, saying Minnesota’s fees are far higher than neighboring states and that the change would save drivers money over time. Senator Julia Coleman also supported the package, saying the bills would provide practical relief for families facing high housing, driving, and work-related costs. No votes were taken; the event ended with questions from reporters about fiscal impacts, offsets, and whether the proposals would worsen the state’s structural budget imbalance.