Behind closed doors: the rise of fraudulent daycare centers in America

2–3 minutes

Alexa Ford ‘26, Social Media Manager

Recent daycare fraud investigations have raised concerns about the publicly funded childcare programs throughout areas in the United States. According to court records and state officials, several daycare centers across Minnesota were accused of submitting false claims for childcare and food assistance that such centers typically receive from the government, leading to an deep investigation to clarify their eligiblity. Except as investigators began looking more closely at the centers, they discovered a huge issue: there were no students enrolled at all. These centers were submitting false claims to receive the benefits by saying they were providing services that were not offered. 

Many of these cases were connected to daycare centers located in the Twin Cities, including St. Paul and Minneapolis, as well as surrounding areas. The most talked about daycare, The Learing Center, caught the attention of many just by their misspelled name alone. Investigators reported that many of these daycares were run out of small buildings saying they had a large number of students that the space could reasonably hold. In some cases, the centers reported that they had full attendance on days they were allegedly closed, immediately sending red flags to officials.

The investigation gained public attention as the daycares involved belonged to immigrant communities—most commonly the Somali-American community. Officials have emphasized that these cases are not a community violation, they are an individual violation. Thousands of daycares across the U.S. all continue to operate legally and provide essential care for families and children. 

“I can’t imagine these day care facilities letting a stranger in the door…Some of these do not look like your standard day cares, blacked-out windows, sites that are not that family-friendly. And so it looks damning. And it may very well be that some of these sites are not taking care of children. It looks like a couple of them actually have been closed for some period of time,” Jeff Meitrodt, an investigative reporter for the Star Tribune who specializes in government regulation, said. Parents say the allegations raise concerns while also highlighting the importance of oversight. 

Many families depend on daycares close to their homes and places of work, especially in areas where affordable or overall childcare is limited. A concerned parent, Bill Dreaper posted “This Somali daycare thing has broken me. Young parents and grandparents of new grand babies change their lives for childcare because both parents need to work.” This shows the concern from parents of sending their children to daycare and the stress involved. To add on, the fear of these daycare allegations to further their concerns. Alongside these parents, residents are angry that tax money is being used to “run” these daycare centers that essentially do not even exist. 

As investigations continue and more fraudulent daycares are being found throughout America, state agencies are reviewing licences and cracking down on inspection processes. The goal is to strengthen accountability in these centers while also supporting the honest daycare centers that are running properly and continuing to follow lawful rules. 

Altogether, these cases serve as a reminder of the importance of honesty and transparency in publicly funded programs. By improving oversight and continuing investigations of tax-paid organizations, officials hope to protect public resources and regain trust in childcare systems across the country.