After Minnesota Gov. Tim Walz said Monday he won’t run for re-election, former House Speaker Kevin McCarthy argued the state’s ongoing fraud investigation is only beginning to unfold.
Appearing on “America’s Newsroom,” McCarthy said Walz’s decision to leave the race does not close the chapter on the broader controversy.
“This is not the end of this story. Walz is trying to leave because he could not win,” McCarthy said.
He went further, predicting that additional developments could follow and asserting, “I think the entire Democrat administration is going to have to resign, because this will not be the end.”
McCarthy also credited independent journalist Nick Shirley, whose viral video raised questions about daycare centers that appeared non-operational despite receiving public funds. He speculated that those centers could become “the next shoe to drop” in Minnesota and alleged, without providing evidence during the segment, that Democrats are using the money to fund campaigns.
McCarthy said Republicans should focus on recruiting a strong candidate for the next gubernatorial race, pointing to Rep. Tom Emmer as someone to heed.
“Republicans have to be smart, and this is where I’d listen to Tom Emmer. Let’s get the right candidate to run in Minnesota… [and] bring accountability back to this state,” he said.
He added that the situation reflects what he described as poor management tied to Democratic policy choices.
Walz’s announcement came as allegations and investigations into fraud involving public programs remain in national view.
In a post on X, Walz wrote: “Minnesota has to come first – always.”
“Today, I’m proud of the work we’ve done to make Minnesota the best place to live and raise kids. I’ve decided to step out of the race and let others worry about the election while I focus on the work.”
In a statement released Monday, Walz accused President Donald Trump and his allies of trying to reshape Minnesota into a “colder, meaner place,” and criticized the administration for taking away tax dollars he said were intended to “help families afford child care.”
“For the last several years, an organized group of criminals have sought to take advantage of our state’s generosity. And even as we make progress in the fight against fraudsters, we now see an organized group of political actors seeking to take advantage of the crisis…” Walz said.
“Make no mistake: We should be concerned about fraud in our state government. We cannot effectively deliver programs and services if we can’t earn the public’s trust. That’s why, over the past few years, we’ve made systemic changes to the way we do business,” he continued.
Walz then outlined steps his administration says it has taken to address and prevent fraud.
