Minnesota Governor Tim Walz Drops Out of Re-election Race Amid Fraud Investigations and Political Backlash

By Eric Mack | Monday, 05 January 2026 10:12 AM EST

Minnesota Governor Tim Walz, the Democrats’ 2024 vice presidential candidate, has ended his bid for a third term as governor less than four months after launching a reelection campaign.

Walz stated Monday he decided “that I can’t give a political campaign my all” after what he described as an “extraordinarily difficult year for our state.” The 61-year-old cited ongoing investigations into fraud in the state’s child-care programs and the fact that President Donald Trump has used the issue as a political cudgel.

“Donald Trump and his allies— in Washington, in St. Paul, and online—want to make our state a colder, meaner place,” Walz said, referring to the Trump administration withholding funds for the programs. “They want to poison our people against each other by attacking our neighbors. And, ultimately, they want to take away much of what makes Minnesota the best place in America to raise a family.”

Walz also shared an announcement on X linking to his full statement: “Minnesota has to come first—always,” he wrote. “Today, I’m proud of the work we’ve done to make Minnesota the best place to live and raise kids. I’ve decided to step out of the race and let others worry about the election while I focus on the work.”

Department of Homeland Security Assistant Secretary Tricia McLaughlin told Newsmax on Friday night that Walz might already be under federal investigation for knowledge of Minnesota’s Somali child care fraud exposed last month by independent journalist Nick Shirley. “I’m not going to get too far ahead of it,” McLaughlin said, “but he should be aware that we’re looking at culpability in this.”

House Oversight Committee Chair James Comer, R-Ky., said in a televised interview Sunday that “Tim Walz better lawyer up.” “I don’t think Walz has really comprehended the severity of this issue,” Comer added. “If I could do that we would already have a bunch of people in jail.”

Walz formally announced his intention to seek a historic third term in mid-September 2025.

President Donald Trump continued his harsh criticism of Walz’s mental capacity during his Sunday night return to Washington, D.C., where he stated: “Somalians are ripping off our country to the tune of, it looks like, $19 billion— but that’s only what they can find.” Trump added: “They’re stealing from the American taxpayer. And every one of them should be forced to leave this country, including [Minnesota Democrat Rep.] Ilhan Omar, who’s a total crook.”

In his statement, Walz acknowledged the fraud and “criminality” being uncovered in his state. “Make no mistake: We should be concerned about fraud in our state government,” he wrote. “We cannot effectively deliver programs and services if we can’t earn the public’s trust. That’s why, over the past few years, we’ve made systemic changes to the way we do business.”

Walz cited actions including firing underperforming staff, cutting funding streams tied to fraud, implementing new security measures for state programs, and appointing a dedicated head of program integrity. “There’s more to do,” he concluded. “A single taxpayer dollar wasted on fraud is a dollar too much to tolerate.”

The Associated Press contributed to this report.

Eric Mack has been a writer and editor at Newsmax since 2016. He is a 1998 Syracuse University journalism graduate and a New York Press Association award-winning writer.