Holding Fraudulent Child Care Programs Accountable 

Low-income families rely on federal child care programs so parents can work, provide for their families, and achieve economic freedom. Congress directs taxpayer dollars to support these programs–not to enrich fraudsters. 

One such program is the Child Care and Development Block Grant (CCDBG), which supports over one million children each year. When gaps in oversight of these programs occur, fraudsters can take advantage. Such abuse was uncovered throughout Minnesota–including its now-infamous "Quality Learing Center." Under Governor Tim Walz, so-called child care programs exploited CCDBG funds and abused taxpayer dollars—something Governor Walz admitted his state had known about since 2012.

Fraud and abuse of federal child care dollars will not be tolerated and taxpayer funds must be used for their intended purpose, not siphoned off by bad actors.

Today, House Republicans are bringing forward H.R. 7726, a package of eight bills to strengthen oversight, increase accountability, restore public trust in the CCDBG, and ensure taxpayer dollars support children and families—not fraudsters.

Rep. Mary Miller’s legislation, H.R. 7726, the Stop Child Care Scams Act of 2026, requires HHS to withhold funds from states that repeatedly misuse child care dollars, increases state reporting requirements, codifies fraud standards, and imposes stricter penalties on both states and providers found to have misused funds under the CCDBG program.

House Republicans are advancing commonsense reforms that protect taxpayers and hold accountable those who use child care programs as a front for fraud. Safeguarding America’s Welfare Systems

Temporary Assistance for Needy Families (TANF) distributes $16.5 billion each year to support low-income families. Yet current law does not require TANF to measure improper payments, leaving billions of taxpayer dollars vulnerable to waste, fraud, and abuse.

A 2025 Government Accountability Office (GAO) report found that TANF non-assistance spending—which accounts for 78% of total state spending—lacks key financial controls and oversight, making it especially vulnerable to misuse.

House Republicans are advancing reforms to strengthen accountability by requiring the Department of Health and Human Services (HHS) to track improper payments, report them annually, and develop a strategy to prevent fraud. The bill also prevents states from stockpiling TANF funds by imposing a three-year spending deadline and limiting annual reserves to 15% of grant awards.

Rep. Mike Carey’s measure, H.R. 8872, the Preventing Waste, Fraud, and Abuse in TANF Act, roots out the abuse of TANF funds by adding safeguards and ensuring that taxpayer dollars are going where they are meant for – low-income families wanting to get back on their feet.

By strengthening oversight and cracking down on fraud, House Republicans are working to ensure TANF dollars serve the families they were intended to help.