Despite Minnesota's fraud scandal exploding onto the national scene and costing taxpayers billions, there are growing concerns that the state has still not done what is necessary to root out the problem.

"We have not slowed down, there is no sense in which the fraud has been stopped in Minnesota," Bill Glahn, a policy fellow at the Center of the American Experiment, told Fox News Digital.

Glahn has been warning on social media that Minnesota's rapid growth in provisional assisted-living licenses, most for small facilities, may be outpacing state oversight. In a recent article, Glahn explained the state's licensing database showed 364 new facilities with provisional licenses popping up over the past year and called for a 90-day moratorium on new licenses while officials investigate.

What the Right Is Saying

Glahn argues that the latest allegations point to a deeper problem within state agencies responsible for vetting providers and monitoring taxpayer-funded programs which have not been properly addressed.

"Personnel is policy," Glahn said. "There isn't a regulatory mindset under the Walz administration. There isn't the mindset that we need to trust but verify."

Glahn stressed that reforms implemented since the fraud scandal erupted do not address what he sees as the central issue: a lack of accountability for those who failed to identify the schemes earlier.

"Walz has never cleaned house, he's never fired anybody for not detecting the fraud or not prosecuting the fraud," Glahn said. "It's the same people doing the same thing, and that culture has never changed."

What the Left Is Saying

Minnesota Attorney General Keith Ellison's office has pursued aggressive action against suspected fraud perpetrators. Salman Ahmed Elmi was charged Aug. 17 with eight felony theft offenses tied to alleged Medicaid billing fraud, according to criminal complaints filed by Ellison's office.

Supporters of the Walz administration point out that criminal investigations and charges are moving forward under current leadership. They note that uncovering and prosecuting fraud requires careful legal work, and that the state's response reflects a commitment to accountability once schemes are identified.

Democratic officials have emphasized that addressing systemic fraud takes time and coordination between multiple agencies. State lawmakers from the DFL party have called for increased funding for oversight bodies and regulatory enforcement as part of broader reform efforts.

What the Numbers Show

According to data cited by Glahn from Minnesota's licensing database, approximately 2,500 facilities hold provisional assisted-living licenses across the state.

Of those, about 400 — roughly 20% of the statewide total — were started in just the past year.

The Minnesota Department of Health is approving more than one new facility per day, according to Glahn's analysis. He noted this rate continued even as investigations into Medicaid fraud were ongoing.

Elmi was charged Aug. 17 with eight felony theft offenses tied to alleged Medicaid billing fraud. The criminal complaint also details alleged ties among Medicaid-funded businesses, properties previously used to provide commercial sex services and people investigators say were part of a sex-trafficking organization.

"I'm not sure if there's a real underlying driver in the demographics or the demand for these facilities," Glahn said, questioning whether legitimate market forces explain the rapid growth.

The Bottom Line

The fraud scandal continues to present political challenges for Minnesota's Democratic leadership as key figures face questions about their response. Lt. Gov. Peggy Flanagan is running for Senate while Sen. Amy Klobuchar is running for governor — both held positions of power during the period when the fraud allegedly festered.

Glahn argued that action could be taken immediately rather than waiting for new leadership to take office.

"Tim Walz could call a special session," Glahn said. "We could be in session on Monday, passing an anti-fraud agenda."

What happens next will likely depend on the outcome of ongoing criminal prosecutions and whether additional reforms gain traction before the November elections. The pace of new license approvals and whether state officials pursue accountability for oversight failures remain key questions observers say they are watching.