Minnesota State CapWatch
Fraud Committee Discusses Paid Leave Program
Last week, the Minnesota House Fraud Prevention and State Oversight Committee held a hearing to receive an overview on the program integrity controls and fraud prevention measures put in place by the Minnesota Department of Economic Development (“DEED”) within the state’s new paid family leave program prior to its launch on January 1, 2026. With the ongoing discussion in the last year of insufficient state oversight of public funds, preventing future fraud has been a major focus.
DEED’s Deputy Commissioner Evan Rowe told the committee that the agency has put in place strengthened security measures that include multi-factor authentication, three levels of identity proofing to protect a user’s private information, and dynamic security that adapts to user’s behaviors and risk factors.
Minnesota Political Updates
With political discussions firmly focusing on the 2026 midterm elections, incumbent legislators and potential candidates continue to make announcements about their political futures or ambitions. Last week we saw a number of notable announcements, including:
- Sandra Feist (DFL-New Brighton) announced that she will not seek re-election after the 2026 legislative session. Feist, first elected in 2020, served three terms in the Minnesota House of Representatives. She plans to shift her focus back to her work as in immigration attorney
- Newly elected state Sen. Michael Holmstrom (R-Monticello) and state Sen. Amanda Hemmingsen-Jager (DFL-Woodbury) were sworn in last week after their special election wins on November 4. With their election the DFL regains its 34-33 majority in the Senate.
- Former State Rep. Kaohly Her (DFL-St. Paul) officially resigned her seat in the Minnesota House of Representatives to focus on her transition as the mayor-elect in Saint Paul.
- Tim Walz officially called the special elections needed to fill the seats vacated by Her and Hemmingsen-Jager. The primary elections will take place on December 16, 2025 and the special elections will be on January 27, 2026. If Democrats retain both seats, the Minnesota House of Representatives will return to a 67-67 tie.
- State Sen. Jeff Howe (R-Rockville) announced late last week that he will not seek re-election after the 2026 election. He served three terms in the Minnesota House of Representatives before he was elected to the Minnesota Senate in 2018. Howe stated, “Serving in the Senate has been deeply rewarding, but it is time to give new voices the opportunity to represent our district.”
- Last week, Mike Newcome announced his candidacy for governor as a member of the newly formed Forward Independence Party. A self-described “centrist,” Newcome is new to politics, however, his father served in the legislature in the 1960’s and 1970’ as a Republican. Newcome’s announcement was notable as it came along with a sizeable personal investment in the campaign, a rarity for third-party candidates.