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HUD Investigates Minneapolis for Alleged Discriminatory Funding Practices

1/16/2026

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Story summary
  • The Department of Housing and Urban Development has opened an investigation into Minneapolis for alleged race- and national-origin-based resource allocation that could violate Fair Housing Act.
  • HUD Secretary Scott Turner tied Minnesota's racial politics to a fraud scandal involving nearly $9 billion in social services.
  • The inquiry will review the allocation of $108 million in HUD funding and the Minneapolis 2040 plan amid concerns of discrimination and Somali community impact.