1 00:00:00,080 --> 00:00:03,200 Speaker 1: The rumormill moved fast this morning, and it turns out 2 00:00:03,279 --> 00:00:14,680 Speaker 1: to be accurate. Tim Walls, the governor of Minnesota. I 3 00:00:15,080 --> 00:00:18,560 Speaker 1: don't think he sounds like that, but sure he is 4 00:00:18,560 --> 00:00:22,600 Speaker 1: not running for reelection. He was, and he has made 5 00:00:22,760 --> 00:00:30,400 Speaker 1: the difficult decision not to run for reelection. Tony Katz, 6 00:00:30,440 --> 00:00:32,040 Speaker 1: Tony Katz today, good to be with you. 7 00:00:32,120 --> 00:00:32,720 Speaker 2: Translation. 8 00:00:33,840 --> 00:00:39,479 Speaker 1: This Somali fraud medicaid scandal that his administration absolutely allowed 9 00:00:39,520 --> 00:00:43,960 Speaker 1: to happen has just taken over his life and it 10 00:00:44,000 --> 00:00:48,520 Speaker 1: will be too difficult for him. So he went from 11 00:00:48,560 --> 00:00:54,880 Speaker 1: being a vice presidential contender. Let's make sure we're clear. 12 00:00:55,840 --> 00:00:59,440 Speaker 1: Tim Walls went from being a vice presidential contender to 13 00:00:59,520 --> 00:01:02,440 Speaker 1: being the top contender to be a contributor at MS 14 00:01:02,480 --> 00:01:10,600 Speaker 1: now in sixteen months. That's that is something else. So 15 00:01:10,640 --> 00:01:23,680 Speaker 1: he had himself a press conference today. 16 00:01:16,760 --> 00:01:28,559 Speaker 3: Well, good morning everyone, in happy new year. Like many Minnesotans, 17 00:01:28,600 --> 00:01:31,240 Speaker 3: I have to tell you, I was glad to turn 18 00:01:31,240 --> 00:01:32,640 Speaker 3: the page on twenty twenty five. 19 00:01:33,120 --> 00:01:34,760 Speaker 2: It was an ex fairly. 20 00:01:34,440 --> 00:01:37,760 Speaker 4: Difficult year for our state and it ended on a 21 00:01:37,760 --> 00:01:41,440 Speaker 4: particularly sour note. For the last several years, an organized 22 00:01:41,480 --> 00:01:43,600 Speaker 4: group of criminals have sought to take advantage of this 23 00:01:43,640 --> 00:01:46,920 Speaker 4: state's generosity, and even as we make progress in the 24 00:01:46,920 --> 00:01:49,680 Speaker 4: fight against the fraudsters, we now see an organized group 25 00:01:49,680 --> 00:01:51,960 Speaker 4: of political actors seeking to take advantage of a. 26 00:01:51,920 --> 00:01:58,800 Speaker 1: Crisis that's so ugly and so gross. Can we start 27 00:01:59,520 --> 00:02:02,920 Speaker 1: truly at where we need to start? And that's not 28 00:02:03,200 --> 00:02:06,080 Speaker 1: even the level of fraud that's taking place not just 29 00:02:06,120 --> 00:02:09,160 Speaker 1: in Minnesota, but all across the country, where you have 30 00:02:09,240 --> 00:02:13,520 Speaker 1: groups of people, not just Somali nationals, engaged in creating 31 00:02:13,560 --> 00:02:17,840 Speaker 1: these fraudulent daycare centers claiming their feet and kids. Nobody's checking, 32 00:02:17,919 --> 00:02:21,600 Speaker 1: nobody does the looking. They're taking in millions of dollars individually. 33 00:02:21,840 --> 00:02:26,040 Speaker 1: There's twenty seven businesses at this one location. This office 34 00:02:26,080 --> 00:02:30,720 Speaker 1: complex has fourteen businesses exactly the same, sometimes owned by 35 00:02:30,720 --> 00:02:34,520 Speaker 1: the same people. No one looked, no one cared to look. 36 00:02:34,800 --> 00:02:40,320 Speaker 1: The fraud is massive and widespread, massive and widespread. But 37 00:02:40,480 --> 00:02:45,800 Speaker 1: allow me to start where this story should start. This guy, 38 00:02:46,400 --> 00:02:50,200 Speaker 1: the governor who wants to blame people like Nick Shirley 39 00:02:50,520 --> 00:02:52,880 Speaker 1: and you and me for paying attention. 40 00:02:53,800 --> 00:02:57,040 Speaker 2: That's what has angered that we're paying attention. 41 00:02:58,800 --> 00:03:01,480 Speaker 5: This guy ran for vice president of the United States. 42 00:03:03,400 --> 00:03:06,400 Speaker 5: Where was the story about this from the mainstream press? 43 00:03:09,040 --> 00:03:12,400 Speaker 5: Where were the continual stories about the fraud of the 44 00:03:12,440 --> 00:03:15,480 Speaker 5: people of Minnesota. 45 00:03:15,600 --> 00:03:19,079 Speaker 2: There were none. There were none, And. 46 00:03:18,960 --> 00:03:22,880 Speaker 1: You and I, you and me having a bourbon sitting 47 00:03:22,880 --> 00:03:26,560 Speaker 1: on the barstool. We know the answer to this before 48 00:03:26,639 --> 00:03:28,240 Speaker 1: anybody says another word. 49 00:03:28,400 --> 00:03:31,200 Speaker 2: Why were there no stories? Right? 50 00:03:31,680 --> 00:03:34,280 Speaker 1: You are one thousand percent correct because it would have 51 00:03:34,360 --> 00:03:38,240 Speaker 1: hurt him and Kamala Harris in beating Donald Trump, so 52 00:03:38,280 --> 00:03:41,880 Speaker 1: they kept it quiet. I want to make sure that 53 00:03:41,880 --> 00:03:46,080 Speaker 1: that always stays front and center in our minds, that 54 00:03:46,200 --> 00:03:50,280 Speaker 1: this is something we should have well known about. And 55 00:03:50,360 --> 00:03:56,240 Speaker 1: the reason we didn't is because politically, the media. 56 00:03:56,000 --> 00:03:57,920 Speaker 2: Did not care about the scandal. 57 00:03:58,120 --> 00:04:00,400 Speaker 1: They don't care about the scan, they don't care about 58 00:04:00,400 --> 00:04:02,800 Speaker 1: the grip, they don't care about the fraud. They don't 59 00:04:02,800 --> 00:04:05,320 Speaker 1: care about the money lost and the people screwed. 60 00:04:07,080 --> 00:04:12,440 Speaker 2: They care that they win. That's who they are. 61 00:04:14,400 --> 00:04:19,359 Speaker 1: There is no way this story isn't something that gets 62 00:04:19,360 --> 00:04:22,760 Speaker 1: discussed during a presidential election when it's a vice presidential 63 00:04:22,760 --> 00:04:24,000 Speaker 1: candidate who leads the state. 64 00:04:25,360 --> 00:04:28,040 Speaker 2: And there were people talking about these things. 65 00:04:27,800 --> 00:04:30,719 Speaker 1: On the local level in Minnesota, people like j Coles 66 00:04:30,839 --> 00:04:34,919 Speaker 1: Kolls and others, and they deserve our respect and our thanks. 67 00:04:36,200 --> 00:04:38,760 Speaker 1: We don't get to see every story. We live where 68 00:04:38,800 --> 00:04:40,920 Speaker 1: we live, We've got the things that we're dealing with, 69 00:04:41,160 --> 00:04:43,320 Speaker 1: and it's a question whether things bubble up. 70 00:04:44,720 --> 00:04:46,680 Speaker 2: In this case, it should have. 71 00:04:48,040 --> 00:04:50,760 Speaker 1: And I'll say, as a guy who does this, man, 72 00:04:51,320 --> 00:04:53,240 Speaker 1: I should have seen I should have seen that. I 73 00:04:53,240 --> 00:04:55,480 Speaker 1: should have known about that. I should have been talking 74 00:04:55,480 --> 00:04:58,320 Speaker 1: about it. I should have been engaging in it. And 75 00:04:58,320 --> 00:05:01,080 Speaker 1: it's a reminder to me to be much more focused 76 00:05:01,400 --> 00:05:02,800 Speaker 1: on these local stories, even than. 77 00:05:02,760 --> 00:05:07,640 Speaker 2: I already am. But the media that covers things every. 78 00:05:07,440 --> 00:05:15,640 Speaker 1: Day, this is a blatant act of suppression, blatant and 79 00:05:15,800 --> 00:05:19,000 Speaker 1: never would have occurred if Walls was a Republican. And 80 00:05:19,080 --> 00:05:22,160 Speaker 1: you know it, and I know it, and they know it, 81 00:05:22,400 --> 00:05:25,200 Speaker 1: and he knows it. So he can get as angry 82 00:05:25,200 --> 00:05:27,720 Speaker 1: at Nick Shirley and the people who have been talking 83 00:05:27,720 --> 00:05:29,640 Speaker 1: about this story now as he wants. 84 00:05:30,360 --> 00:05:35,880 Speaker 2: Who cares He saw the fraud, he allowed the fraud. 85 00:05:37,040 --> 00:05:40,440 Speaker 2: He continues, I don't want to mince words here. 86 00:05:40,800 --> 00:05:43,240 Speaker 3: Donald Trump and his allies in Washington and in Saint 87 00:05:43,320 --> 00:05:47,000 Speaker 3: Paul and online want to make our state a colder, 88 00:05:47,080 --> 00:05:47,760 Speaker 3: meaner place. 89 00:05:48,720 --> 00:05:50,880 Speaker 2: First of all, it's hard to get colder than Minnesota. 90 00:05:50,960 --> 00:05:53,919 Speaker 1: Secondly, what allies does Donald Trump have in Saint Paul, 91 00:05:55,480 --> 00:05:59,480 Speaker 1: can someone would someone do me a favor? Someone in 92 00:05:59,520 --> 00:06:01,680 Speaker 1: the in the in the chat room there in the livestream, 93 00:06:02,279 --> 00:06:05,679 Speaker 1: would you do me a favor? And would you look 94 00:06:05,800 --> 00:06:11,440 Speaker 1: up the registrations in Saint Paul, Minnesota Republican, a Democrat 95 00:06:11,880 --> 00:06:15,400 Speaker 1: and see what the favorability is to Democrats. 96 00:06:16,360 --> 00:06:18,560 Speaker 2: You would often see this as a D plus right, 97 00:06:18,680 --> 00:06:19,640 Speaker 2: D plus seven. 98 00:06:19,440 --> 00:06:22,840 Speaker 1: Which means the registration would favor Republicans by Democrats by 99 00:06:22,839 --> 00:06:25,440 Speaker 1: seven points. In some place else that might be Republicans 100 00:06:25,480 --> 00:06:28,880 Speaker 1: by four points. What is the D plus there Saint 101 00:06:28,960 --> 00:06:32,760 Speaker 1: Paul Minnesota. I've never looked it up. He just had 102 00:06:32,800 --> 00:06:33,680 Speaker 1: this press conference is. 103 00:06:33,640 --> 00:06:35,640 Speaker 2: The first I'm seeing it. Just like you, we're doing 104 00:06:35,640 --> 00:06:41,320 Speaker 2: this together. What allies does Trump have in Saint Paul? 105 00:06:46,200 --> 00:06:48,159 Speaker 2: It's just such garbage. 106 00:06:49,279 --> 00:06:56,400 Speaker 1: It's Trump's fault that people are noticing. Listen to his argument. 107 00:06:57,279 --> 00:07:00,560 Speaker 1: His argument is how dare you notice and talk about it? 108 00:07:00,880 --> 00:07:03,960 Speaker 3: They want to poison our people against each other by 109 00:07:04,000 --> 00:07:07,440 Speaker 3: attacking our neighbors, and ultimately they want to take away 110 00:07:07,640 --> 00:07:10,360 Speaker 3: much of what makes Minnesota the best place in the 111 00:07:10,400 --> 00:07:13,960 Speaker 3: country to raise a family. They've already begun trying to 112 00:07:13,960 --> 00:07:17,000 Speaker 3: withhold funds that were meant to help families afford childcare, 113 00:07:17,800 --> 00:07:21,200 Speaker 3: and they have no intention of stopping there. Make no mistake, 114 00:07:21,840 --> 00:07:25,560 Speaker 3: we should be concerned about fraud in our state government. 115 00:07:26,000 --> 00:07:29,920 Speaker 3: We cannot effectively deliver programs and services if we can't 116 00:07:29,960 --> 00:07:32,640 Speaker 3: earn the public's trust. That's why over the past few 117 00:07:32,720 --> 00:07:36,000 Speaker 3: years we've made systemic changes in the way we do business. 118 00:07:36,520 --> 00:07:42,480 Speaker 2: Yeah, let's talk about the systemic changes. By the way, Sarah. 119 00:07:41,600 --> 00:07:45,560 Speaker 1: Who runs all our digital found the number Saint Paul, 120 00:07:45,640 --> 00:07:48,640 Speaker 1: Minnesota seventy one point five percent Democrat. 121 00:07:53,600 --> 00:07:56,560 Speaker 2: What the hell is he saying? What is he saying? 122 00:07:57,720 --> 00:07:59,559 Speaker 2: Trump's allies in Saint Paul. 123 00:08:00,880 --> 00:08:10,239 Speaker 1: Three out of every four citizens a Democrat. I'm glad 124 00:08:10,240 --> 00:08:12,160 Speaker 1: he notices we should do something about fraud. I don't 125 00:08:12,160 --> 00:08:13,840 Speaker 1: know why he didn't do it. I don't know why 126 00:08:13,840 --> 00:08:17,600 Speaker 1: he didn't ring the bell and say, hey, Biden administration, 127 00:08:17,720 --> 00:08:21,320 Speaker 1: help me out with this, unless, of course, the Biden 128 00:08:21,320 --> 00:08:22,560 Speaker 1: administration was cool with it. 129 00:08:23,280 --> 00:08:25,640 Speaker 3: We've gone to the legislature time and time again to 130 00:08:25,680 --> 00:08:27,320 Speaker 3: get more tools to combat fraud. 131 00:08:28,120 --> 00:08:37,000 Speaker 2: We've hired people. What tool did you need to combat fraud? What? 132 00:08:37,000 --> 00:08:42,240 Speaker 1: What tool was not out at your disposal to combat fraud? 133 00:08:42,480 --> 00:08:45,480 Speaker 1: What laws already existed on the books. Why not just 134 00:08:45,920 --> 00:08:50,280 Speaker 1: not approve anybody? Why not just stop the funding, stop 135 00:08:50,360 --> 00:08:53,760 Speaker 1: it cold until you've done an audit of every single 136 00:08:54,440 --> 00:09:01,120 Speaker 1: childcare center. All I know is the woman who runs 137 00:09:01,160 --> 00:09:04,280 Speaker 1: that stuff was out there saying we did a look, 138 00:09:04,280 --> 00:09:07,600 Speaker 1: and everybody's on the up and up, and of course 139 00:09:07,840 --> 00:09:11,640 Speaker 1: CNN did the same. Well, we called some daycare centers 140 00:09:11,640 --> 00:09:13,440 Speaker 1: and we were only able to speak to one, but 141 00:09:13,480 --> 00:09:16,480 Speaker 1: they told us they were totally legit, and we believed it. 142 00:09:16,640 --> 00:09:18,800 Speaker 1: And then we saw them later and they gave us 143 00:09:18,800 --> 00:09:20,640 Speaker 1: a note written by their mom and crayon, and we 144 00:09:20,640 --> 00:09:23,720 Speaker 1: were like, oh, now we've got substantial proof. 145 00:09:24,000 --> 00:09:30,920 Speaker 2: Everything's fine. Those wascly Republicans and their lies. Guys, do 146 00:09:30,920 --> 00:09:37,439 Speaker 2: you ever wonder why we drink the bourbon? Seventy one percent. 147 00:09:38,960 --> 00:09:42,360 Speaker 1: Democrat and he thinks that there's some great cabal against 148 00:09:42,400 --> 00:09:44,360 Speaker 1: him in Minnesota, who weren't. 149 00:09:44,200 --> 00:09:46,800 Speaker 3: We fired people who weren't doing their jobs. We've seen 150 00:09:46,800 --> 00:09:49,720 Speaker 3: people go to jail for stealing from our state. We've 151 00:09:49,720 --> 00:09:52,600 Speaker 3: cut off whole streams of funding in partnership with the 152 00:09:52,600 --> 00:09:56,880 Speaker 3: federal government where we saw widespread criminal activity. We put 153 00:09:56,920 --> 00:10:00,199 Speaker 3: new locks on the doors of our remaining programs we'hired 154 00:10:00,240 --> 00:10:02,440 Speaker 3: a new head of program integrity to make sure that 155 00:10:02,480 --> 00:10:06,800 Speaker 3: those locks can't be broken all across this state. Minnesotans 156 00:10:06,840 --> 00:10:08,360 Speaker 3: are hard at work on this problem. 157 00:10:09,760 --> 00:10:13,000 Speaker 2: What did he just say? We put new locks on 158 00:10:13,080 --> 00:10:14,200 Speaker 2: the doors, hold on. 159 00:10:14,600 --> 00:10:17,439 Speaker 3: To make sure that those locks can't be broken all 160 00:10:17,480 --> 00:10:19,920 Speaker 3: across this We put new locks on the doors of 161 00:10:19,920 --> 00:10:22,640 Speaker 3: our remaining programs, and we've hired a new head of 162 00:10:22,720 --> 00:10:25,240 Speaker 3: program integrity to make sure that those locks can't be 163 00:10:25,280 --> 00:10:27,240 Speaker 3: broken all across this. 164 00:10:27,280 --> 00:10:31,480 Speaker 2: Can I can I get the name of this diversity higher? No? Oh, oh, 165 00:10:31,520 --> 00:10:33,800 Speaker 2: the new head isn't the DEI thing? Hey, I don't know, 166 00:10:33,840 --> 00:10:36,680 Speaker 2: I don't know who it is. But what a thing 167 00:10:36,840 --> 00:10:41,000 Speaker 2: to say. We put locks on doors? 168 00:10:41,240 --> 00:10:46,000 Speaker 1: Wait, actual locks on doors because I was told by 169 00:10:46,000 --> 00:10:46,840 Speaker 1: the Democrats. 170 00:10:48,600 --> 00:10:51,319 Speaker 2: Uh, you know, of course the doors are already locked. 171 00:10:51,480 --> 00:10:55,720 Speaker 2: So which locks are we talking about? Let them talk 172 00:10:56,000 --> 00:10:56,920 Speaker 2: from this problem. 173 00:10:57,360 --> 00:11:02,960 Speaker 3: Advocates, administrators in investigators are on the front lines defending 174 00:11:03,000 --> 00:11:05,520 Speaker 3: the integrity of our state's programs, and I want to 175 00:11:05,520 --> 00:11:07,560 Speaker 3: give a very heartfelt thank you to all of them. 176 00:11:08,240 --> 00:11:09,160 Speaker 2: There is more to do. 177 00:11:09,840 --> 00:11:14,800 Speaker 3: A single taxpayer dollar wasted on fraud should be intolerable, 178 00:11:15,240 --> 00:11:17,600 Speaker 3: and while there's a role to play for everyone from 179 00:11:17,679 --> 00:11:22,240 Speaker 3: the legislature to prosecutors, to insurance companies to local and 180 00:11:22,280 --> 00:11:23,080 Speaker 3: county government. 181 00:11:23,720 --> 00:11:24,959 Speaker 2: The buck does stop with me. 182 00:11:25,760 --> 00:11:29,160 Speaker 3: My administration has been taking fast, decisive action to solve 183 00:11:29,200 --> 00:11:33,040 Speaker 3: this crisis. We'll win the fight against the fraudsters. But 184 00:11:33,160 --> 00:11:36,360 Speaker 3: the political gamesmanship we're seeing from holds up. 185 00:11:36,520 --> 00:11:37,960 Speaker 2: Holds up? Hold up? 186 00:11:39,520 --> 00:11:46,640 Speaker 1: What fast decisive action are you referring to? If I 187 00:11:46,800 --> 00:11:52,600 Speaker 1: were to engage a bit of powerphrase here, I would say, 188 00:11:52,640 --> 00:11:56,000 Speaker 1: what is fast and decisive? Is you realizing that the 189 00:11:56,080 --> 00:11:59,440 Speaker 1: Nick Shirley video and the attention it has garnered, and 190 00:11:59,480 --> 00:12:01,880 Speaker 1: the conversations that have come from it and from the 191 00:12:01,920 --> 00:12:06,839 Speaker 1: original story by City Journal via the Manhattan Institute, that 192 00:12:06,880 --> 00:12:10,560 Speaker 1: has caused you to act. This is a great example, 193 00:12:10,600 --> 00:12:14,719 Speaker 1: an absolutely fantastic example of the difference between the thermostat 194 00:12:14,720 --> 00:12:24,280 Speaker 1: and the thermometer. The thermometer registers temperature, it takes temperature. 195 00:12:25,360 --> 00:12:31,400 Speaker 1: The thermostat actually moves the temperature. And what happened was 196 00:12:31,440 --> 00:12:34,439 Speaker 1: with this Nick Shirley video, this reporting from Crystal Rufo 197 00:12:34,520 --> 00:12:37,880 Speaker 1: and City Journal, is that it raised the temperature and 198 00:12:37,920 --> 00:12:41,640 Speaker 1: now you reading the temperature, were forced to respond and 199 00:12:41,760 --> 00:12:42,559 Speaker 1: deal with it. 200 00:12:43,320 --> 00:12:45,439 Speaker 2: That's how you moved fast. 201 00:12:46,160 --> 00:12:50,120 Speaker 3: But the political gamesmanship we're seeing from Republicans is only 202 00:12:50,160 --> 00:12:53,920 Speaker 3: making that fight harder. Lie. You've got Republicans here in 203 00:12:53,960 --> 00:12:58,439 Speaker 3: the state legislature playing hide and seek with potential whistleblowers. Lie, 204 00:12:58,760 --> 00:13:03,760 Speaker 3: we've got conspiracy, the right wing YouTubers breaking into our daycares. No, 205 00:13:03,840 --> 00:13:06,200 Speaker 3: they're not demanding access to our children. 206 00:13:06,320 --> 00:13:07,160 Speaker 2: That didn't happen. 207 00:13:07,400 --> 00:13:11,120 Speaker 3: We've got the President of the United States demonizing our 208 00:13:11,120 --> 00:13:16,240 Speaker 3: Smali neighbors and wrongfully confiscating funds that Minnesotans rely on. 209 00:13:17,320 --> 00:13:19,600 Speaker 1: You can be angry at Trump's words all you want, 210 00:13:19,720 --> 00:13:22,640 Speaker 1: It does not change what has happened. And this is 211 00:13:22,679 --> 00:13:25,480 Speaker 1: why Tim Walls is not running for relection now. 212 00:13:26,200 --> 00:13:32,000 Speaker 2: He has to focus on this. It ended his political career. 213 00:13:33,320 --> 00:13:37,440 Speaker 1: And he will be a contributor on MS now that 214 00:13:37,600 --> 00:13:44,560 Speaker 1: is coming, just wait for it. But blaming Republicans, that's 215 00:13:44,640 --> 00:13:50,000 Speaker 1: the gamesmanship. We're supposed to be opposed to, the fraud, 216 00:13:51,320 --> 00:13:51,840 Speaker 1: all of it. 217 00:13:55,200 --> 00:13:57,880 Speaker 2: Honestly, good riddance. I'm Tony Katz.