Washington State GOP Representative Jenny Graham is asking the Trump Administration, the U.S. Attorney General, and the U.S. Department of Justice to investigate ongoing reports of potential fraud and self-dealing in taxpayer-subsidized programs in Washington state.
Last week, Graham introduced HJM 4014, asking the administration to start investigating grant programs and the state agencies responsible for funding them. Graham and other GOP lawmakers are requesting federal investigations into potential fraud in WA state’s taxpayer-subsidized childcare centers, including instances in which licensed facilities received substantial subsidies despite appearing inactive or non-operational.
As widely reported in recent weeks and months, state Democrat officials have refused calls for any investigations or external audits.
HJM 4014 stems from reporting by Independent journalist Brandi Kruse, who has conducted extensive investigations revealing potential fraud in WA state’s child care subsidy programs, including admissions by the state auditor that hundreds of millions of dollars in payments are impossible to properly audit due to noncompliance with federal tracking requirements. Kruse’s reporting includes detailed whistleblower accounts, such as overbilling, missing records (spanning years), weak enforcement, and concerns about taxpayer-funded programs.
Also, HJM 4014 references The Center Square’s investigations into issues in programs funding race-based housing grants, daycare subsidies, and similar initiatives. Graham has expressed concerns about inadequate tracking mechanisms for funds, lack of accountability when money is misused or disappears, and alleged fraud in areas such as subsidized childcare (including reports of issues within certain communities, such as the Somali community).
The reporting and investigations have drawn parallels to federal raids in Minnesota over similar childcare fraud schemes, spotlighting vulnerabilities in Washington’s Department of Children, Youth, and Families (DCYF) subsidy system that may have cost taxpayers millions.
Much of this was initiated soon after Independent Journalist Nick Shirley's videos exposed widespread child care fraud in Minnesota, some involving Somali providers. The videos and scandals have garnered significant media traction and caught the attention of the Trump administration, prompting MN Gov Tim Walz to drop out of his 2026 race for Governor and the DHHS to freeze roughly $185 million in federal child care funding in the state.
Several people and media organizations, including The Center Square, then began posting videos and reporting on Washington child care centers, visiting sites, filming them, and asking on-site questions.
For example, in WA state, Journalists Cam Higby and Johnathan Choe visited the address associated with the Dhagash Childcare, where a resident told them that no childcare business had ever operated there. The woman inside the home repeatedly denied that any daycare existed at the location, responding “No” when asked whether the home was Dhagash Family Childcare and again denying that any childcare operation had ever been run there. Despite those denials, investigators said Washington records list the address as licensed and receiving taxpayer funds.
Another example is a WA State daycare that turned out to be a run-down house, with windows covered and no children present. Records showed the tiny daycare (maximum capacity of 12 children) getting paid $160k of our tax dollars IN A SINGLE MONTH!
Coincidentally, the WA State Auditor’s Office is finalizing an audit of a $770 million child care subsidy program run by the DCYF, an audit which began before the recent fraud allegations went viral.
The audit reportedly indicates millions of dollars in overpayments. Records show 1,372 overpayments totaling $2,092,513 between July 1, 2024, and June 30, 2025. Another $500 million had improper controls, leaving the funds open for abuse.
Last month, the Washington State Republican Party (WAGOP) and journalist Jonathan Choe filed legal action against WA State in Thurston County Superior Court to prevent state agencies from deleting, altering, or scrubbing public records and public access to records related to state-funded childcare centers (including daycare providers receiving taxpayer subsidies).
In the filing, WAGOP and Choe argue that state agencies in Olympia have begun scrubbing and modifying public documents previously posted on government websites, undermining transparency as the public seeks to track where state and federal childcare dollars are going.
By December 31 into January 2026, after Choe’s work began to make news, along with that of other citizen journalists, he discovered that the state had already begun scrubbing this information from the website.
WAGOP Chairman and State Rep. Jim Walsh says the public has a right to see the records, especially when taxpayer funds are involved. “Journalists and ordinary Washingtonians have been using these publicly posted documents to investigate credible allegations of corruption in how state and federal tax dollars are being paid to childcare centers here in Washington,” Walsh said, “State bureaucrats hiding this public information from the people is illegal and unconstitutional.”
It is notable that on Dec 22, 2025, LD 41 Democrat State Senator Lisa Wellman pre-filed SB 5926, which aims to expand public records exemptions for child care providers, shielding public information.
Not surprisingly, Seattle Socialist Mayor Katie Wilson has refused to investigate or even acknowledge the possibility of fraud and demonized journalists, calling them “extremist influencers” and wanting to charge them with “hate crimes.”
Wilson was slammed for threatening journalists and caught the attention of many in the federal government. AAG Harmeet Dhillion posted in response to Wilson, “Asking questions/citizen journalism are NOT HATE CRIMES in America — they are protected speech, and if Seattle tries to chill that speech, [DOJ Civil Rights Division] will step in to protect it and set them straight! Govern yourselves accordingly!”
OF NOTE: During Congressional hearings on the Minnesota fraud last month, WA Democrat CD 3 Rep Emily Randall indicated that people should ignore the data alleging fraud and instead focus on investigating US citizens, especially “white men.”
It is important to note that WA State Senators and House Republicans have sponsored three bills in the 2026 legislative session that would prohibit future self-dealing and double-dipping in state contracts (SB 6205) (SB 6167) (HB 2153).
Thank you to the many independent journalists and Republican legislators for taking these matters seriously; rampant fraud and corruption in Washington State is ongoing, well documented, and must end. It is long past time we have full, transparent investigations and thorough audits!
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