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Trump administration is withholding more than $1B in Medicaid funds from California and Minnesota, in latest example of weaponizing real and imagined fraud

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Trump administration is withholding more than $1B in Medicaid funds from California and Minnesota, in latest example of weaponizing real and imagined fraud
Trump administration is withholding more than $1B in Medicaid funds from California and Minnesota, in latest example of weaponizing real and imagined fraud
Federal agents execute a search in December 2025 tied to potential Medicaid fraud in Bloomington, Minn. Christopher Juhn/Anadolu via Getty Images The Trump administration announced on July 21, 2026, that it’s withholding US$867 million in federal healthcare funding for California and $200 million for Minnesota – a tota
Guardian US
Guardian US🏁 first to report3 hrs ago
‘Just cruel’: Medicaid halt in California and Minnesota plunges caregivers and disabled people into uncertainty
Shock and fury as Trump administration holds back Medicaid funding to states over alleged caregiving fraud By now, when Shannon Rosa hears about cuts to Medicaid and misinformation from the Trump administration about disabled people and their families, her predominant feeling isn’t fear or sadness. It’s fury. Continue