Walz Ends Minnesota Governor Bid Amid Expanding Fraud Investigation

Minnesota Gov. Tim Walz announced Monday that he is ending his bid for a third term, a decision that comes as state and federal authorities continue investigating a sweeping fraud scheme tied to Minnesota’s social safety net programs, as reported by The New York Post.

Walz, a Democrat who served as former Vice President Kamala Harris’ running mate in 2024, had launched his reelection campaign in September.

No Minnesota governor has been elected to three terms since the office shifted to four-year terms in the 1960s.

THE WALZ ARE CRUMBLING!
Tim Walz drops bid for re-election in Minnesota citing time commitment needed to deal with the recent exposure of fraud in the state. pic.twitter.com/9cJ2kwpUka

— Brick Suit (@Brick_Suit) January 5, 2026

“In September, I announced that I would run for a historic third term as Minnesota’s Governor. And I have every confidence that, if I gave it my all, I would succeed in that effort,” Walz said in a statement announcing his withdrawal.

“But as I reflected on this moment with my family and my team over the holidays, I came to the conclusion that I can’t give a political campaign my all,” he added.

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“Every minute I spend defending my own political interests would be a minute I can’t spend defending the people of Minnesota against the criminals who prey on our generosity and the cynics who prey on our differences.”

Walz’s decision reshapes the race to succeed him and has fueled speculation about potential candidates from both parties.

Amy Klobuchar is widely viewed as a leading Democrat who could enter the race. Klobuchar was reelected to the Senate in 2024 and is not up for reelection until 2030.

If she runs, she would join a growing list of sitting senators seeking governorships, including Marsha Blackburn, Tommy Tuberville, and Michael Bennet.

The broader Senate landscape has become more complicated for Democrats ahead of the 2026 midterms.

The party must now defend open seats in several states, including Minnesota, where Tina Smith has announced she will not seek reelection.

Republicans, by contrast, have fewer competitive seats to defend, narrowing Democrats’ path to reducing the GOP’s 53–47 Senate majority.

Other Democrats mentioned as potential gubernatorial contenders include Keith Ellison and Steve Simon. On the Republican side, names circulating include MyPillow CEO Mike Lindell and Minnesota House Speaker Lisa Demuth.

Minnesota Majority Whip Tom Emmer reacted bluntly to Walz’s announcement, saying, “Good riddance.”

Hanging over Walz’s decision is an ongoing investigation into large-scale fraud within Minnesota programs intended to serve the homeless, the hungry, and families needing child care assistance.

Estimates of the alleged losses vary. Some put the figure at at least $1 billion, while First Assistant U.S. Attorney Joe Thompson said late last year the total could reach $9 billion or more.

Prosecutors have charged more than 90 people in connection with the scheme, which authorities say involved bogus nonprofits securing state funds.

Until his announcement, Walz had been considered the frontrunner for the November election. Democrats have consistently won statewide races in Minnesota since 2006.

In his statement, Walz criticized Donald Trump, who has publicly condemned the welfare fraud uncovered during Walz’s tenure.

“I won’t mince words here. Donald Trump and his allies – in Washington, in St. Paul, and online – want to make our state a colder, meaner place,” Walz said.

“They want to poison our people against each other by attacking our neighbors.”

He continued, “We’ve got Republicans here in the legislature playing hide-and-seek with whistleblowers. We’ve got conspiracy theorist right-wing YouTubers breaking into daycare centers and demanding access to our children. We’ve got the President of the United States demonizing our Somali neighbors and wrongly confiscating childcare funding that Minnesotans rely on.”

“It is disgusting. And it is dangerous.”

Minnesota has to come first – always.

Today, I’m proud of the work we’ve done to make Minnesota the best place to live and raise kids.

I’ve decided to step out of the race and let others worry about the election while I focus on the work. pic.twitter.com/AYbvcOzyPI

— Governor Tim Walz (@GovTimWalz) January 5, 2026

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