This browser does not support the Video element.
Minnesota Fraud: State sues White House over withheld Medicaid funds
The State of Minnesota is challenging the deferral of more than $243 million in Medicaid funding, saying it violates due process and the U.S. Constitution. FOX 9's Soyoung Kim has the latest details.
ST. PAUL, Minn. (FOX 9) - Federal attorneys are telling a judge not to take comments made by Vice President JD Vance too seriously as the State of Minnesota battles with the Trump administration over Medicaid funding.
Vance's comments ‘have no weight’
The backstory:
Last month, the vice president announced that the Trump administration would pause nearly $260 million in Medicaid funding for Minnesota due to fraud concerns.
Vance appeared alongside Centers for Medicare & Medicaid Services Administrator Dr. Mehmet Oz to make the announcement. Dr. Oz had previously threatened to cut other Medicaid funding for Minnesota over fraud concerns.
Last week, Minnesota filed a lawsuit against the Trump administration over the pause in $243 million in funds. In its lawsuit, the state argued the decision was a violation of due process.
What's new?:
In a filing on Monday, federal authorities argued against Minnesota's request for a temporary restraining order to block the funding pause.
The Department of Justice argues that the pause is temporary and Minnesota has a path to restore its funds. Attorneys also argue that Minnesota hasn't gone through the proper process to dispute the pause before engaging the courts.
The DOJ also points out the $243 million in funds is only 7.2% of Minnesota's projected quarterly federal share for Medicaid and the state will still receive the lion's share of its funding. The federal attorneys also point out that Minnesota itself has acknowledged its fraud problem.
This browser does not support the Video element.
Trump admin to pause some MN Medicaid funding
About $259 million in Medicaid funding meant for Minnesota will be deferred after the Trump administration said it will crackdown on widespread fraud in the state. FOX 9's Soyoung Kim has the latest report.
'Vance holds no Medicaid authority'
What they're saying:
In the filing, Department of Justice attorneys address claims by the state that the Trump administration was acting vindictively by pulling funding.
The state cited remarks made by Vice President JD Vance during a news conference announcing the pause as evidence that the pause wasn't really about fraud but really political retribution. The state's lawsuit also included social media posts from the president warning Minnesota that a "DAY OF RECKONING AND RETRIBUTION IS COMING!"
Attorneys argue that the court shouldn't infer its entire enforcement pretext based on a single press conference. The filing also argues that whatever Vice President JD Vance says isn't relevant to what the Centers for Medicare & Medicaid Services does.
"Vice President Vance holds no delegated Medicaid-related authority," the filing explains. "His statements are political commentary and have no weight relevant under the [Administrative Procedure Act]."