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RFK Jr. withholding more than $1B from CA, MN over 'fraud' allegations

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22.07.2026

RFK Jr. withholding more than $1B from CA, MN over ‘fraud’ allegations 

Robert F. Kennedy Jr. is targeting two Democratic-led states, announcing the federal government will withhold more than $1 billion in federal Medicaid funding from California and Minnesota over what it says are widespread fraud concerns.  

He says the administration is pausing more than $867 million for California and roughly $200 million for Minnesota until the states can prove the claims in question are legitimate. Kennedy accused the Biden administration and Democratic leaders in both states of failing to protect taxpayer money, saying, “Instead of protecting your money, they open the floodgates to theft. They dismantle basic program integrity and oversight.”  

CMS Administrator Dr. Mehmet Oz defended the funding freeze, saying these states are “signature and significant outliers.”  

I’ve already explained how I feel about this: Healthcare fraud should absolutely be prosecuted. Anyone stealing taxpayer dollars from Medicaid should face consequences, regardless of political party, state or position. That said, the administration continues to spotlight California and Minnesota, both Democratic-led states.  

Yet federal enforcement data shows Medicaid fraud is hardly unique to blue states. Texas has consistently ranked........

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