The HHS has paused federal childcare funding nationwide after videos posted on X (formerly Twitter) exposed apparent fraud in Minnesota program.  States must now provide receipts, photos, attendance records, and inspection data before funds resume.  Independent journalist Nick Shirley last week posted videos that he claims expose $110 million in fraud, after he went to several daycare centers in Minneapolis. 

In late December 2025, a series of videos by 23-year-old citizen journalist Nick Shirley thrust Minnesota's long-simmering child care fraud issues into the national spotlight. Shirley's investigative footage, starting with his December 26 YouTube upload titled "I Investigated Minnesota’s Billion Dollar Fraud Scandal," alleged widespread abuse of taxpayer funds in the state's Child Care Assistance Program (CCAP).