Minnesota on Monday sued the Trump administration for withholding hundreds of millions in Medicaid funds to the state, alleging it is a “political punishment” that will only serve to harm the more than 1million Minnesotans who are enrolled in the program.
Last week, Vice President Vance and Centers for Medicare and Medicaid Services Administrator Mehmet Oz announced a six-month moratorium on $259 million in Medicaid funding to Minnesota, pointing to accusations of fraud.
The lawsuit said the federal government had “weaponized Medicaid against Minnesota as political punishment,” despite it being a cooperative program with the state.
“Unless the deferral is quickly reversed, the state will be irreparably harmed. The Administration has already stated that the deferral will recur every quarter, crippling the state budget,” it stated.
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