US EditionMinnesota Sues to Block Trump Administration’s Withholding of Medicaid Funds
Minnesota Attorney General Keith Ellison says withholding $243 million in Medicaid funds threatens health services for 1.2 million low-income residents, calling the move unlawful and unprecedented.
- Minnesota filed suit Monday in U.S. District Court, asking for a temporary restraining order to block Medicaid funding deferral and naming CMS Administrator Dr. Mehmet Oz and HHS Secretary Robert F. Kennedy Jr. as defendants.
- On Feb. 25, federal officials announced a deferral of $259 million citing alleged Medicaid fraud, following a Jan. 6, 2026 action flagging more than $2 billion annually for noncompliance.
- State officials say the action is unprecedented, noting the February 25 deferral is more than 15 times larger than any past deferral and represents roughly 7% of Minnesota's quarterly Medicaid funding.
- State officials warn coverage and services could be disrupted, saying health care for more than 1 million Minnesota residents covered by Medical Assistance faces risk and Ellison's office said the state would be 'irreparably harmed' if funds are withheld and DHS could make cuts to services.
- Managed care organizations handle about $6 billion of the $18 billion under review, and Minnesota says CMS has not provided feedback on its Dec. 31 corrective action plan.
120 Articles
120 Articles
Minnesota Attorney General and DHS are pursuing federal legal action for Medicaid funds
MINNESOTA (KVRR) — Minnesota Attorney General Keith Ellison and Minnesota Department of Human Services have filed a federal lawsuit against the Centers for Medicare and Medicaid Services and the U.S Department of Health and Human Services. The lawsuit claims the departments are illegally attempting to withhold $243 million in Medicaid payments after DHS has been working to abide by the department’s ruling to stop fraud. The Trump Administration …
With the aim of bringing down the suspension of Medicaid funds implemented by the Trump administration, Minnesota filed a lawsuit against him.
Minnesota sues to block Trump administration’s holding back of Medicaid funds
Minnesota on Monday sued President Donald Trump's administration in an attempt to stop it from holding back $243 million in Medicaid spending, warning it may have to cut health care for low-income families if the funding is held back.
Post Bulletin
Minnesota agencies file suit against federal government over deferred Medicaid funding
ST. PAUL — The Minnesota Department of Human Services and the Minnesota Attorney General’s Office are suing the federal government over its recently announced deferral of some of the state’s Medicaid funding. The lawsuit, filed against the U.S. Department of Health and Human Services and the Centers for Medicare and Medicaid Services, follows a Wednesday, Feb. 25, announcement by Vice President JD Vance and CMS Administrator Dr. Mehmet Oz that t…
VP Vance and Mehmet Oz Turn Medicaid into a Weapon in Minnesota
In a move of partisan pettiness, the Trump administration has “temporarily halted” $260 million in Medicaid reimbursements owed to the state of Minnesota, weaponizing allegations of fraud within the program in order to punish its political opponents. This decision will put hundreds of thousands of low‑income, older, and disabled Minnesotans at risk. Last week, Vice President JD Vance and CMS Administrator Mehmet Oz announced the moratorium as pa…
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