Minnesota faces funding deadline after Trump administration freezes childcare payments

Minnesota's Department of Children, Youth and Families (DCYF) told childcare providers in an email Friday that information about funding recipients must be sent to the federal government by Jan. 9, The Associated Press reported.

"We recognize the alarm and questions this has raised," DCYF said in the email. "We found out about the freezing of funds at the same time everyone else did on social media."

The state agency said it "did not receive a formal communication from the federal government until late Tuesday night," after the DHS announced it would freeze all childcare payments to Minnesota.

All states must submit additional verification before receiving more childcare funding.

In his video, Shirley visited several Minnesota childcare facilities, including the Quality Learning Center in Minneapolis, which he said appeared inactive despite receiving state childcare assistance funds.

Investigators found the centers operating "as expected," according to DYCF, and children were present at all sites except for one, which it said was not yet open for families at the time of the visit.

The department said it has ongoing investigations at four of the centers, and has 55 open investigations involving providers receiving funding through the Child Care Assistance Program.

At a news conference Monday, Minnesota DCYF Commissioner Tikki Brown said prior inspections of the centers did not uncover fraud, noting that regulators are conducting unannounced visits in response to concerns raised by the video.

"We are aware of a video that's being circulated that has gained local and national attention about childcare centers in Minnesota," Brown said. "While we have questions about some of the methods that were used in the video, we do take the concerns that the video raises about fraud very seriously."

Fox News Digital has reached out to Minnesota's Department of Children, Youth, and Families for comment.

Fox News Digital's Greg Wehner, Louis Casiano and The Associated Press contributed to this report.