❓WHAT HAPPENED: New data from the Center for Immigration Studies (CIS) reveals that more than eight-in-ten Somali refugee-headed households in Minnesota are on one or more forms of taxpayer-funded welfare.

👤WHO WAS INVOLVED: Somali refugee households in Minnesota and the Center for Immigration Studies (CIS).

📍WHEN & WHERE: Based on ten years of data from the Census Bureau’s American Community Survey (ACS) in Minnesota.

💬KEY QUOTE: “Nearly every Somali household with children… receives some form of welfare,” said CIS researcher Jason Richwine.

🎯IMPACT: The data highlights significant disparities in welfare use, poverty rates, education, and English proficiency between Somali refugees and native-born Minnesotans.

Minnesota’s Somali refugee community shows significantly higher reliance on welfare compared to native-born residents, according to a new analysis of a decade of American Community Survey data. The Center for Immigration Studies report finds that 81 percent of Somali refugee–headed households in the state use at least one form of taxpayer-funded welfare. That includes 27 percent receiving cash assistance, 54 percent using food stamps, and 73 percent enrolled in Medicaid. Among native-born Minnesotan households, 21 percent use welfare programs, with six percent on cash aid, seven percent on food stamps, and 18 percent on Medicaid.

The gap is even larger among families with children. The study shows that 89 percent of Somali-headed households with children rely on public assistance, compared to 30 percent of native-born households with children. “Nearly every Somali household with children… receives some form of welfare,” said researcher Jason Richwine.

The report also highlights broader socioeconomic issues, including a finding that more than 66 percent of Somali refugees in Minnesota live in or near poverty. Nearly 60 percent report limited English proficiency, and 40 percent lack a high school diploma, compared with five percent of native-born Minnesotans.

World Bank data show that personal remittances—money sent back to Somalia by migrants—have historically accounted for roughly one-fifth of Somalia’s GDP. The United States is also the largest donor of foreign aid to Somalia, providing over $1 billion to the country in 2023 alone.

The release of the welfare data comes as Minnesota faces increasing federal scrutiny over alleged large-scale fraud involving state social programs. The U.S. Treasury Department has launched an investigation into claims that significant amounts of taxpayer money were improperly obtained through Somali-related Medicaid and welfare schemes involving networks of nonprofits and service providers.

Whistleblowers have also alleged that Governor Tim Walz (D) was informed of potential irregularities tied to the Feeding Our Future nonprofit as early as 2019 but failed to take sufficient action. Nearly 500 Minnesota state employees have accused the administration of disregarding warnings and retaliating against whistleblowers who tried to raise concerns.

Federal Medicaid officials have warned that Minnesota could risk losing funding without more aggressive oversight and corrective action. Throughout the controversy, Governor Walz has defended Minnesota’s Somali community and even said he hopes it becomes larger, stating, “Instead of demonizing our Somali community, we’re going to do more to welcome more in.”

Image by Gage Skidmore.

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