Medicaid director at fraud-plagued agency hosting high-dollar fundraiser for Peggy Flanagan

Alpha News ^ | 09/24/2026 | Jenna Gloeb

[DFG]

As Minnesota’s Department of Human Services struggles to contain a sweeping fraud crisis involving taxpayer-funded programs, one of the state’s top Medicaid officials has another undertaking on his calendar: helping raise campaign cash for Lt. Gov. Peggy Flanagan.

Dr. Nathan Chomilo serves as medical director for Minnesota’s Medicaid and MinnesotaCare programs, which are now under intense state and federal oversight amid a multibillion-dollar fraud crisis that has unfolded during the Walz-Flanagan administration.

But on Oct. 1, the money on Chomilo’s agenda won’t be Medicaid dollars. It will be campaign cash for Flanagan.

Chomilo is listed as one of six hosts of the Oct. 1 Minneapolis fundraiser for Flanagan’s U.S. Senate campaign.

The invitation bills the gathering as a fundraiser for “physicians and healthcare workers,” with suggested contributions beginning at $100 and climbing to $3,500 for donors seeking “Champion” status.

For an agency already facing questions about where taxpayer money has gone, a senior Medicaid official raising campaign cash for a member of the administration critics blame for allowing fraud to flourish is drawing attention.

Minnesota Staff Fraud Reporting Commentary, an anonymous X account that describes itself as commentary from “over 1,000 Minnesota State Employees” concerned about and reporting fraud in public service, was the first to flag Chomilo’s role in the fundraiser on X.

“Political fundraiser for Lt. Gov. Peggy Flanagan lists DHS Medicaid Director Dr. Nathan Chomilo on its ‘Host Committee’ & solicits contributions up to $3,500,” the account wrote. “Minnesota deserves clear answers on where personal political activity ends & official state authority begins.”

Republican political commentator and operative Dustin Grage said the fundraiser should “raise some serious red flags.”

“Apparently, the people who were supposed to be watching the money are too busy raising it for Peggy Flanagan,” he wrote.

Chomilo puts racial equity at center of public advocacy Chomilo has cultivated a public profile that extends well beyond his role as the state’s Medicaid medical director.

He has been particularly outspoken on racial equity and what he describes as structural racism in healthcare.

A 2021 profile published by The Task Force for Global Health says “Chomilo shared the two driving questions that kept him motivated: ‘How can I better promote health equity and how can I better dismantle structural racism?’”

An accompanying photo shows Chomilo outside the Minnesota Capitol in medical scrubs and face masks, holding a handmade sign declaring, “George survived COVID but not RACISM — Justice for George Floyd.”

Minnesota’s Medicaid fraud crisis DHS reported this month that it has 1,702 open program-integrity cases and another 3,266 open intakes.

The agency has also designated 14 Medicaid service provider types as “high-risk,” citing program vulnerabilities, evidence of fraudulent activity and data showing potentially suspicious billing patterns.

One of the Medicaid providers terminated in the state’s revalidation process is operated by a personal friend and political ally of Flanagan.

Last week, Alpha News reported that DHS terminated an autism treatment provider operated by Nimco Ahmed from Minnesota’s Medicaid program.

The case has drawn national attention because of Flanagan’s nearly 25-year friendship with Ahmed.

DHS defends Chomilo’s right to engage in political activity DHS defended Chomilo’s right to participate in the fundraiser, telling Alpha News that state employees are not required to seek approval before engaging in political activities outside of work.

“Government may not infringe on employees’ First Amendment rights to freedom of speech,” DHS said in a statement. The agency pointed to Minnesota Management and Budget policies governing political activity by state employees.

DHS also clarified Chomilo’s role amid the state’s ongoing Medicaid fraud problems.

“While every state employee plays a role in maintaining program integrity, the DHS Medicaid medical director has no direct responsibility for provider revalidation, payment suspensions, fraud investigations or enforcement activities,” the agency said.

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TOPICS: Politics
KEYWORDS: medicaidfraud; minnesota; nathanchomilo; peggyflanagan

[No name given]

One corrupt lame-o fundraising for another corrupt lame-o. Typical of the left.

[griswold3]

Taxpayer money for campaign contributions.
What’s the difference between this and Trumps taxpayer paid “Live Ne” commercial? Cringe 😬