Tim Walz Abruptly Drops Out of Minnesota Governor’s Race In Wake of Alleged Billion-Dollar Fraud Scandal
Minnesota Gov. Tim Walz has pulled the plug on his campaign for a third term, a sudden move that comes as the state grapples with a widening fraud scandal tied to public assistance programs that exploded during his tenure.
Until the announcement, Walz had been regarded as the clear favorite heading toward November, benefiting from nearly two decades of consistent Democratic victories in statewide races. He formally launched his bid back in September, aiming for an unprecedented third term since Minnesota governors began serving four-year terms in the 1960s.
Explaining his decision, Walz said the demands of another campaign would distract him from what he sees as more pressing responsibilities. “In September, I announced that I would run for a historic third term as Minnesota’s Governor. And I have every confidence that, if I gave it my all, I would succeed in that effort,” Walz said in a statement.
He continued that, after extended reflection, he chose to step aside. “But as I reflected on this moment with my family and my team over the holidays, I came to the conclusion that I can’t give a political campaign my all,” he said.
Walz argued that his focus must remain on the fallout from the massive fraud investigation. “Every minute I spend defending my own political interests would be a minute I can’t spend defending the people of Minnesota against the criminals who prey on our generosity and the cynics who prey on our differences.”
The scandal hanging over the administration involves widespread abuse of Minnesota’s social safety net. While estimates differ, authorities believe at least $1 billion was stolen, with First Assistant U.S. Attorney Joe Thompson suggesting late last year that the figure could climb as high as $9 billion.
Investigators say the fraud was concentrated within segments of the state’s Somali community, where sham nonprofit organizations were allegedly created to siphon state funds intended for homelessness services, food programs, and childcare assistance. To date, prosecutors have brought charges against more than 90 individuals.
Republicans quickly seized on Walz’s exit. “Good riddance,” said House Majority Whip Tom Emmer of Minnesota.
Walz’s departure opens the field for a crowded race. U.S. Sen. Amy Klobuchar is widely viewed as the leading Democrat who could enter the contest. If she does, she would join several sitting senators from both parties who are seeking governorships elsewhere, including Sens. Marsha Blackburn of Tennessee, Tommy Tuberville of Alabama, and Michael Bennet of Colorado.
Klobuchar, reelected in 2024, is not scheduled to face voters again for her Senate seat until 2030. National Democrats had hoped to aggressively challenge Republicans in the 2026 midterms, defending only 13 Senate seats compared with the GOP’s 22. That strategy has been complicated by retirements in states such as New Hampshire, Michigan, and Minnesota, where Sen. Tina Smith has announced she will not run again. With Republicans holding a 53–47 Senate majority and only a handful of competitive GOP seats in places like Maine and North Carolina, Democrats already face a narrow path.
Other Democrats rumored to be weighing a gubernatorial bid include Attorney General Keith Ellison and Secretary of State Steve Simon. On the Republican side, possible contenders include My Pillow CEO Mike Lindell and Minnesota House Speaker Lisa Demuth.
In recent months, Walz had been traveling extensively, hosting town halls and appearances nationwide following Kamala Harris’ loss in the presidential race, a move seen as an effort to raise his national profile after serving as her running mate in 2024.
In announcing his withdrawal, Walz also took aim at President Trump, who has repeatedly criticized Minnesota over the welfare fraud revelations. “I won’t mince words here. Donald Trump and his allies – in Washington, in St. Paul, and online – want to make our state a colder, meaner place,” Walz said. “They want to poison our people against each other by attacking our neighbors.”
He went further, accusing Republicans and conservative activists of reckless behavior. “We’ve got Republicans here in the legislature playing hide-and-seek with whistleblowers. We’ve got conspiracy theorist right-wing YouTubers breaking into daycare centers and demanding access to our children,” Walz said. “We’ve got the President of the United States demonizing our Somali neighbors and wrongly confiscating childcare funding that Minnesotans rely on.”
Walz concluded his remarks with a stark warning about the tone of the debate. “It is disgusting. And it is dangerous.”
{Matzav.com}
