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The state agency that has struggled to contain fraud is undergoing a shakeup at the top.

Gov. Tim Walz announced Monday that Shireen Gandhi is out as the state’s interim commissioner of the Department of Human Services

The news came just one day before the Minnesota Senate Health and Human Services Committee was scheduled to hold a confirmation hearing for her position as commissioner.

Gandhi will remain with the department as the deputy commissioner, overseeing the state's Medicaid programming. John Connolly, who currently serves as deputy commissioner and state Medicaid director, will step in as interim commissioner.

Connolly also appointed the department’s general counsel, Andrew Johnson, as deputy commissioner.

Walz formally appointed Gandhi as commissioner in February, but said in a news release the leadership changes were to enhance oversight and protect Medicaid services for Minnesotans.

“We’ve made significant progress to strengthen programs and root out fraud,” Walz said. 

The leadership changes follow a period of significant scrutiny of the agency’s handling of alleged fraud in state social services programs.

Republican House Speaker Lisa Demuth of Cold Spring — who is running for governor — and Floor Leader Harry Niska, R-Ramsey, said in a statement Walz was not taking fraud seriously by keeping Ghandi.

“Recycling the same failed staff will not root out fraud — only wholescale change will,” they said in the statement.

Senate Majority Leader Erin Murphy, DFL-St. Paul, said in a statement the state is less vulnerable to fraud now than in the past.

Sen. Melissa H. Wiklund, DFL-Bloomington, said Minnesota made progress under Gandhi’s leadership and expressed hope that Connolly will continue to drive the state forward.

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The news came just one day before the Minnesota Senate Health and Human Services Committee was scheduled to hold a confirmation hearing for Shireen Gandhi’s position as commissioner.

Walz boots Human Services commissioner, cites need for stronger oversight

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