00:00Hello. I'm HHS Deputy Secretary Jim O'Neill. I'm here with Assistant Secretary Alex Adams.
00:06Alex oversees the Administration for Children and Families.
00:09Intrepid journalists have made shocking and credible allegations of extensive fraud in Minnesota's child care programs.
00:16We believe the state of Minnesota has allowed scammers and fake daycares to siphon millions of taxpayer dollars over the past decade.
00:22My office, ACF, provides Minnesota $185 million in child care funds each year.
00:28That money should be helping 19,000 American children, including toddlers and infants.
00:33Any dollar stolen by fraudsters is stolen from those children.
00:38Yesterday, I spoke directly with the director of the Minnesota Child Care Services Office.
00:42She could not tell me with confidence whether those allegations of fraud are isolated or whether there's fraud stretching statewide.
00:49Today, we have taken three direct actions against the blatant fraud that seems to be rampant in Minnesota.
00:54First, I have activated our Defend the Spend System for all ACF child care payments across America.
01:01Starting today, we require a justification, receipt, or photo evidence before we make a payment.
01:07Second, I have just signed and sent a demand letter to Governor Walz.
01:11I required a full 360 review of these centers.
01:15This includes attendance records, licenses, complaints, investigations, and inspections.
01:19And third, we've launched a dedicated fraud reporting hotline and email address at childcare.gov.
01:26Whether you're a parent, a provider, a member of the public, we want to hear from you.
01:30Let me be crystal clear.
01:32ACF expects every state to uphold the highest standards of oversight, monitoring, and accountability for federal dollars.
01:39Minnesota is no exception.
01:40We're committed to holding bad actors accountable.
01:43Regardless of rancor office, anyone who's involved in perpetrating this fraud against the American people should expect to be prosecuted to the fullest extent of the law.
01:54Produced by the U.S. Department of Health and Human Services.
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