Fraud investigation

TO THE HONORABLE DONALD J. TRUMP, PRESIDENT OF THE UNITED STATES, 1
AND TO THE PRESIDENT OF THE SENATE AND THE SPEAKER OF THE HOUSE OF 2
REPRESENTATIVES, AND TO THE SENATE AND HOUSE OF REPRESENTATIVES OF 3
THE UNITED STATES, IN CONGRESS ASSEMBLED, AND TO PAM BONDI, THE 4
ATTORNEY GENERAL OF THE UNITED STATES, AND TO THE UNITED STATES 5
DEPARTMENT OF JUSTICE: 6
We, your Memorialists, the Senate and House of Representatives of 7
the State of Washington, in legislative session assembled, 8
respectfully represent and petition as follows: 9
WHEREAS, Independent journalist Brandi Kruse has conducted 10
extensive investigations revealing potential fraud in Washington 11
state's child care subsidy programs, including admissions by the 12
state auditor that hundreds of millions of dollars in payments are 13
impossible to properly audit due to noncompliance with federal 14
tracking requirements; and 15
WHEREAS, Kruse's reporting has uncovered whistleblower evidence 16
of self-dealing within the state's community reinvestment program, 17
where taxpayer funds appear to have been used for personal enrichment 18
by individuals connected to nonprofits administering the program; and19
WHEREAS, Kruse has highlighted cases where women seeking debt 20
relief through minority-focused programs reported being misled and 21
mistreated, further indicating systemic issues in fund distribution; 22
and 23
H-3171.1
HOUSE JOINT MEMORIAL 4014
State of Washington 69th Legislature 2026 Regular Session
By Representatives Graham, Couture, Marshall, Chase, Barnard,
Mendoza, Burnett, Stuebe, Ley, Schmidt, Barkis, Jacobsen, Eslick, and
McEntire
Read first time 01/29/26. Referred to Committee on State Government
& Tribal Relations.
p. 1 HJM 4014
WHEREAS, The Center Square has reported on potential fraud in 1
Washington state's taxpayer-subsidized child care centers, including 2
instances where licensed facilities received substantial subsidies 3
despite appearing inactive or nonoperational; and 4
WHEREAS, The Center Square investigations have drawn parallels to 5
federal raids in Minnesota over similar child care fraud schemes, 6
spotlighting vulnerabilities in Washington's Department of Children, 7
Youth, and Families (DCYF) subsidy system that may have cost 8
taxpayers millions; and 9
WHEREAS, The Center Square has documented democratic lawmakers 10
criticizing journalistic probes into these allegations, while 11
republican lawmakers call for independent audits to address 12
unaccounted funds nearing $500,000,000; and 13
WHEREAS, The Center Square has reported frustration from 14
legitimate day care owners over alleged fraud within the Somali 15
community, with DCYF claiming to investigate reports but downplaying 16
the extent of issues; and 17
WHEREAS, Representative Jim Walsh, as Washington State Republican 18
Party Chairman, has been involved in a lawsuit challenging the 19
attorney general's disparagement of efforts to preserve public 20
records related to widespread taxpayer fraud, alleging state 21
employees altered and deleted records in violation of the Public 22
Records Act; and 23
WHEREAS, Walsh and the Washington State Republican Party, along 24
with journalist Jonathan Choe, filed an injunction in Thurston County 25
Superior Court to prevent the state from deleting public records tied 26
to subsidized child care centers amid fraud allegations; and27
WHEREAS, The Washington Attorney General's Office has supported 28
efforts to protect and expand investigative subpoena powers, as 29
evidenced by coleading a Supreme Court brief arguing against 30
restrictions that could hinder probes into violations of state laws, 31
including consumer protection and antitrust issues; and32
WHEREAS, Such expansions could include broader authority for 33
investigators to issue subpoenas and potentially use undercover 34
tactics, raising concerns about overreach in light of ongoing fraud 35
allegations; and 36
WHEREAS, Attorney General Nick Brown has publicly advised 37
citizens questioning potential fraud in Somali-run day cares to 38
report harassment via the state's Hate Crimes & Bias Incident 39
p. 2 HJM 4014
Hotline, framing independent investigations as potentially unsafe or 1
harassing behavior; and 2
WHEREAS, Brown's statements have been criticized as threats 3
against journalists, with warnings from federal officials that such 4
actions could violate civil rights and expose him to scrutiny; and5
WHEREAS, Attorney General Brown has acknowledged allegations of 6
fraud in taxpayer-funded programs but pushed back on their 7
credibility, stating no evidence of criminal activity while declining 8
to provide updates on investigations into nonprofit fund misuse; and9
WHEREAS, Brown's office seeks to maintain broad investigative 10
powers over businesses and individuals, yet has refused to 11
substantiate or pursue many fraud claims, prioritizing harassment 12
reports over fraud probes; and 13
WHEREAS, These actions may constitute a potential violation of 14
the Attorney General's oath of office, as they appear to prioritize 15
political considerations over faithful enforcement of laws against 16
fraud and abuse of public trust, with no apparent investigation or 17
oversight from the Washington Supreme Court; and 18
WHEREAS, Attorney General Brown has been accused of inappropriate 19
conduct, including a Washington State Bar Association investigation 20
into his failure to disclose office contracts in a legal brief, which 21
was dismissed only after media inquiries, raising questions about 22
transparency and ethical lapses; 23
NOW, THEREFORE, Your Memorialists respectfully pray that the 24
President of the United States direct the United States Department of 25
Justice to initiate a thorough investigation into these allegations 26
of fraud in Washington state's taxpayer-funded programs, the Attorney 27
General's handling of such claims, potential violations of public 28
records laws, and any related misconduct that may undermine public 29
trust and federal oversight requirements. 30
BE IT RESOLVED, That copies of this Memorial be immediately 31
transmitted by the Secretary of State to the Honorable Donald J. 32
Trump, President of the United States, Pam Bondi, the Attorney 33
General of the United States, the United States Department of 34
Justice, the President of the United States Senate, the Speaker of 35
the House of Representatives, and each member of Congress from the 36
State of Washington. 37
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p. 3 HJM 4014