Federal prosecutors opened a criminal investigation in early 2026 into Governor Tim Walz and other Minnesota officials for possible obstruction of federal immigration enforcement during sanctuary policies and operations such as Operation Metro Surge, issuing grand jury subpoenas for records from the governor’s office. Separate probes into billions in alleged Medicaid, housing, and autism program fraud have resulted in charges against numerous individuals but none against Walz personally. Congressional oversight hearings examined oversight failures, and Walz announced in January 2026 he would not seek a third term, citing the demands of these investigations. As of early June 2026, no indictment has been announced, leaving outcomes dependent on whether investigators develop sufficient evidence before the market’s December 31, 2026 resolution window.