EXCLUSIVE: Finstad introduces bill to help prevent SNAP fraud in Minnesota

"When states like Minnesota refuse to provide USDA with the data needed to prevent fraud, they allow mismanagement to continue," said Congressman Brad Finstad.

Finstad
Congressman Brad Finstad/U.S. House of Representatives

Congressman Brad Finstad, R-Minn., is taking action to bring transparency to Minnesota’s administration of the Supplemental Nutrition Assistance Program (SNAP).

Finstad, chairman of the House Agriculture Subcommittee on Nutrition and Foreign Agriculture, introduced the SNAP Data Transparency and Oversight Act on Tuesday. His legislation would require states to provide beneficiary-level SNAP data to the U.S. Department of Agriculture (USDA) when requested, or risk the withholding of federal funding for the program.

Additionally, Finstad was joined by House Agriculture Committee Chairman Glenn “GT” Thompson, R-Pa., in sending a letter to Gov. Tim Walz outlining concerns regarding the state’s administration of SNAP, and highlighting “recent failures to improve program integrity, cybersecurity, and reporting.”

Finstad’s office said the legislation and letter come after the state of Minnesota failed to comply with USDA’s SNAP data request, noting that the state instead has taken legal action to block federal oversight.

Earlier this year, USDA’s Food and Nutrition Service (FNS) required states to make certain all records associated with SNAP benefits and allotments were shared with the federal government in an effort to ensure that no fraud or abuse exists in the program.

“American taxpayers deserve to have confidence that states are being good stewards of their dollars and that they are reaching the intended recipients,” said Rep. Finstad. “When states like Minnesota refuse to provide USDA with the data needed to prevent fraud, they allow mismanagement to continue. That is exactly why I’m leading efforts to require full cooperation and oversight on behalf of Minnesotans.”

In fiscal year 2024, more than 450,000 Minnesotans utilized SNAP, costing over $850 million, Finstad’s office said.

During a recent Cabinet meeting, USDA Secretary Brooke Rollins said her agency’s review of the data from the states that have complied thus far has uncovered 186,000 dead participants and 500,000 people receiving benefits twice. She cited Minnesota as one of the blue states that hasn’t complied and said USDA would “begin to stop moving federal funds into those states” this week.

Additionally, Finstad’s office said over 22.3 million individuals have been run against the Systematic Alien Verification for Entitlements (SAVE) system, resulting in more than 475,000 case files under further scrutiny by states for further action, including case termination. USDA also identified multiple instances of recipients spending more than $10,000 per transaction, the congressman’s office explained.

He also highlighted recent reporting showing Minnesota failed to conduct required security reviews of key eligibility systems and misreported issuance data to USDA from 2021–2023.

Finstad’s push for transparency comes as his home state faces national scrutiny for what prosecutors say is more than $1 billion stolen by mostly Somali defendants across multiple fraud schemes.

 

Rose Korabek