Minnesota sues to block Trump administration's withholding of Medicaid funds
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By Audrey Mcavoy
Published on March 3, 2026.
Minnesota has sued the Trump administration in an attempt to prevent it from withholding $243 million in Medicaid spending, warning it may have to cut health care for low-income families if the funding is held back. The lawsuit asks a U.S. court in Minneapolis to issue a temporary restraining order to block the withholding. The move comes after Vice President JD Vance announced that the administration would temporarily halt some Medicaid funding to Minnesota due to fraud concerns. Minnesota Attorney General Keith Ellison's office has a strong track record of fighting Medicaid fraud and has won over 300 convictions and $80 million in judgments and restitutions during his time in office. The Department of Health and Human Services, which includes the Centers for Medicare and Medicaid Services, and Robert F. Kennedy Jr. are among the officials named in the lawsuit. The complaint alleges the administration violated due process procedures by taking hundreds of millions of dollars without proving Minnesota's noncompliance with Medicaid regulations and failing to provide Minnesota with details about its decision.
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