DHS Whistleblower Testifies In Fraud Committee

March 13, 2026

DHS Whistleblower Testimony

Friends and neighbors,

This week, Department of Human Services employee Faye Bernstein testified before the Fraud Committee about her experience being retaliated against by officials within the agency for speaking up about fraud that she had uncovered. 

Ms. Bernstein is a 20-year employee of the DHS, and we appreciate her bravery in testifying before our committee, as the public deserves to know the full extent of the coverup that occurred within our bureaucratic institutions throughout the fraud epidemic. For the act of pointing out suspicious contract irregularities, Ms. Bernstein was investigated, banned from DHS property, and ultimately slandered as "racist" by DHS leadership. This culture of silencing whistleblowers and lack of accountability shown to Minnesota taxpayers by the DHS is unacceptable.

I encourage you to watch, as you deserve to know the truth:

Click HERE to view Ms. Bernstein's testimony.

Despite these attempts to cover up the extent of the fraud, I remain relentless in my pursuit of transparency and accountability. The passage of the Office of the Inspector General Bill and the Fraud Isn't Free Act will go a long way to ensure that the theft of our hard-earned tax dollars will never happen again.

Gov Walz Holds Anti-Fraud Press Conference

Early this week, Governor Walz held a press conference outlining an anti-fraud package that he believes would fix Minnesota's fraud epidemic. However, we are two weeks away from committee deadlines to introduce new legislation, and Governor Walz has yet to show the language of these proposals to the legislature. During the Fraud Committee hearing, I highlighted my concerns that we are going to miss the window for any meaningful anti-fraud reform to take place this Legislative Session.

Click HERE to watch my questioning in this week's Fraud Committee.

Though I am glad to see that Gov. Walz is in agreement with my longstanding position that our state agencies need a major upgrade to their anti-fraud software systems, I disagree with other parts of his plan. For instance, his new proposal includes centralizing control over Medicaid spending within the DHS by removing the ability of Managed Care Organizations (MCOs) to provide Medicaid coverage. Given the DHS's track record of managing fraud in recent years, I think it would be unwise to give them even broader control over the distribution of tax dollars.

Currently, eight nonprofit Managed Care Organizations (MCOs) provide coverage for 80% of those on Medical Assistance (Medicaid) and Medicare in the state. Each MCO has a Special Investigative Unit (SIU) which employs forensic accountants and professional fraud investigators who use the data analytics tools the state is hoping to acquire to flag fraud.

These MCOs have been diligent in reporting suspicious activity as it has been uncovered, yet report receiving no response from the DHS or the Attorney General's Office when they have submitted their concerns. This lack of responsiveness reinforces my belief that granting broader authority to the DHS at this time would be a mistake, and I will stand in opposition to that piece of the anti-fraud package.

DFL Floats 5X Car Tab Fee Spike

Minnesotans are tired of paying the car tab fee increases passed by the DFL Trifecta several years ago. Among all forms of taxation, I hear about car tab fees quite often, as they come across as yet another petty cash grab by the state government.

Shockingly, at this week's Transportation Committee, Rep. Meg Luger-Nikolai (D-St. Paul) suggested that "At some point, [she] may offer an amendment to quintuple the rates of these registration fees, so that we may fund other projects in the state that everybody deems worthy."

Hard to believe? Click HERE to watch for yourself.

I hold the opposite view. I believe that you know best how to spend your money, and I am fighting every day to keep money in your pocket. That is why I have introduced a bill to lower your car tab fees back to the levels you were paying prior to the DFL Trifecta.

Please be assured that I remain steadfast in promoting transparency and accountability for Minnesota's fraud perpetrators, and I am advocating on your behalf for policies that will lower your tax burden and reduce the size and scope of our state government.

Please Contact Me

Please continue to reach out if I can be of any assistance to you. You can reach me by phone at 651-296-3018 or by email at rep.patti.anderson@house.mn.gov.

Have a great weekend! 

Patti

/RepPattiAnderson

2nd Floor Centennial Office Building
658 Cedar Street
Saint Paul, MN 55155
ph: 651.296.3018