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Rep. Jacob Legislative Update

Thursday, February 26, 2026

Hello from St. Paul,

 

This week, our human services committee attempted to review a recent Optum report that suggests that 90% of claims made to pay for autism services may be fraudulent.

 

As a lawmaker who is tasked with trying to oversee, understand, and eliminate potential fraud, the task is awfully difficult when the Walz administration retracts 90% of it.

 

 

Among the facts that weren’t redacted, the analysis found the number of autism service providers jumped from 41 to 328 over a five-year span. Some of these providers were missing very basic information, such as phone numbers or websites, yet were routinely sending bills to the State of Minnesota. 

 

At least $9 billion has been stolen from state taxpayers due to fraud, and the Walz administration continues to be of little help. It is very frustrating. 

 

INCOMPETENCE ONCE AGAIN REWARDED

Shireen Gandhi is our new commissioner for the Department of Human Services. She’s held the interim tag for more than a year. Since then, we’ve learned $9 billion has been swindled from our state due to repeated inactions by the administration, and in some cases, coverups.

 

As a member of the Legislative Audit Commission, Gandhi spoke to us about fraud in this state. Discussing the need for getting fraud under control, she said, “First we’re going to crawl. Then we’ll walk slowly, then we’ll walk, and then we’ll jog slowly.”

 

Not exactly the kind of person who appears to believe we have hit crisis mode when it comes to fraud in this state.

 

Gandhi was in charge when the nonpartisan Office of the Legislative Auditor (OLA) audited the Behavioral Health Administration, which is part of DHS. It found that state employees not only mismanaged money but also participated in a cover up by fabricating documents to cover their tracks.

 

I honestly thought she’d be fired. Instead, she gets a promotion. Another ‘only in Minnesota’ moment; of which there are far too many.

 

COUNTIES NEED MONDERNIZED SOFTWARE

As a former county commissioner, I understand the problems our counties are facing with outdated equipment and technology. Currently, there are employees staring at decades old green screens while trying to implement social programs like Supplemental Nutrition Assistance Program (SNAP) and Medicaid. 

 

Think of the wasted staff time as they are trying to grapple with software that is no longer reliable. These are also programs that are ripe for being ripped off by fraudsters. We don’t want the swindlers to have the ability to operate more quickly and efficiently than the counties. We need to find a way to update their technology.

 

TROUBLES IN MEXICO

Most of us have heard about the unrest in Mexico, and I have heard from several residents who are desperately trying to leave that country, but cannot. Unfortunately, I am fairly limited in ways I can help these folks, but have been urging them to contact Congressman Finstad’s office. I truly wish I could do more. Prayers needed for our neighbors as they try to get home safely.

 

KEEP IN TOUCH

As always, my door is always open. If you ever have any legislative questions, please contact me. I can be reached at rep.steven.jacob@house.mn.gov or by phone at 651.296.2273.

 

Have a good weekend,

 

Steve

 

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