AGP Executive Report

Fed & Cost Pressures: The latest Fed Beige Book says the U.S. economy is growing at a slight-to-moderate pace but is getting more “K-shaped,” with higher-income households holding up while middle- and lower-income consumers cut back, lean on credit cards, and buy necessities. Local Infrastructure: Gov. Walz announced Minnesota secured $1.058B in federal funding for the Blatnik Bridge replacement, clearing the way for the biggest public works project in state history. Minnesota Politics: House Speaker Lisa Demuth says she’ll stay in the race for Minnesota governor after losing GOP endorsement, setting up a three-way GOP primary with Kendall Qualls and Mike Lindell. Food Prices & Antitrust: A new antitrust settlement involving Agri Stats bars sharing sensitive data among meat processors, with officials pointing to consolidation as a driver of higher grocery costs. Social Security: A report warns retirees could face an average $500+ monthly cut starting in 2032, with Minnesota among the hardest-hit states. Community & Culture: Pangea World Theater is getting a permanent home on Minnehaha Ave., expanding a Lake Street arts and healing corridor near the former Third Precinct.

Minnesota Elections: The filing period for some Minnesota state, federal and local races closed Tuesday, setting up Aug. 11 primaries and July 14-28 filings for non-primary races like township, city and school board contests. Public Safety: Minneapolis police are investigating a serious hit-and-run near Oliver Ave. N and Lowry Ave. N that left a motorcyclist with potentially life-threatening injuries; no arrests yet. Local Government & Culture: Minneapolis Aquatennial returns July 18–26 with free, family-friendly events, new leadership, and the return of the Milk Carton Boat Races plus a Torchlight Parade. Native Land Dispute: The Minneapolis parks board is weighing whether to close Minnehaha Off-Leash Dog Park due to its sacred and burial history for Dakota and other Native communities. State Health/Medicaid Fraud: Minnesota DHS is revalidating thousands of Medicaid providers after a fraud crackdown; thousands of services remain in limbo as approvals and disenrollments roll out. Federal Immigration Oversight: In Washington, Sen. Patty Murray pressed DHS Secretary Markwayne Mullin over ICE and Border Patrol conduct and Republicans’ refusal to enact reforms.

Minnesota Politics: GOP House Speaker Lisa Demuth says she’s staying in the Minnesota governor race after losing the party endorsement to Kendall Qualls, setting up an Aug. 11 three-way primary with Qualls and MyPillow CEO Mike Lindell. Immigration & Courts: Fort Snelling immigration court is using “mega” hearings, posting 73 cases for one session and raising due-process concerns for unrepresented immigrants. Local Housing: Heritage Park in Minneapolis is in court receivership, with the city moving public funds for life-safety issues while MPHA studies selling or redeveloping remaining parcels. Economy & Work: A new analysis says Minnesota’s “Operation Metro Surge” drained about $71 million in wages from hospitality and leisure workers, cutting jobs and hours. Environment & Health: The U.S. Fish and Wildlife Service finalized critical habitat protections for the endangered rusty patched bumble bee, including parts of Minnesota. Community & Outdoors: Minnesota’s Take a Kid Fishing Weekend runs June 5-7, with a brief pause in license sales tied to the state’s new electronic system. Business: Rebolt launched a bank-owned payment utility aimed at small businesses, bringing instant payments inside community bank platforms.

Federal Reserve Independence: Jerome Powell used a JFK award speech to warn that politicizing the Fed would erode public trust, as the Trump administration seeks to reshape leadership. Minnesota Politics & Immigration: The Minnesota Board of Pardons granted a pardon to Jai Vang, and DHS plus Republicans blasted the decision as “sanctuary” politics. Medicaid Crunch: Thousands of Minnesota care providers lost Medicaid funding after a rushed revalidation deadline tied to federal fraud pressure, raising fears for patients and jobs. Public Safety & Community: A wildfire near Burntside Lake triggered evacuations in St. Louis County, with crews and aircraft working to slow it. Food Safety Alert: The Minnesota Department of Agriculture issued an advisory for certain Milkjam Creamery products sold in Minneapolis due to possible metal fragments. Business & Jobs: SBA disaster loans remain available in Minnesota until June 30 for businesses and private nonprofits hit by 2025 storms and flooding. Sports: The Twins acquired RHP Justin Lawrence from the Pirates in a cash deal. Local Culture: Hubbard Radio rebranded as “Hubbard – Media That Connects.”

Minnesota Politics: DFL delegates endorsed Sen. Amy Klobuchar for governor, while Lt. Gov. Peggy Flanagan won the DFL nod for U.S. Senate; on the GOP side, Kendall Qualls secured the governor endorsement after a voting fight at the convention. Immigration & Accountability: Minnesota lawmakers debated bills meant to curb federal agents’ tactics during the winter’s Operation Metro Surge, but most stalled in committees. Public Safety & Courts: A federal jury convicted ICE protesters in Spokane, underscoring how First Amendment fights are playing out in court. Health & Community Resources: Minnesota launched NOPAIN MN, a statewide map of more than 17,000 non-opioid pain providers. Local Business: Rochester’s Mezza9 Cafe announced it’s closing June 30, adding to downtown churn. Economy & Policy Watch: The Trump administration moved to cancel $1.5B in blue-state grants, citing “waste and mismanagement,” with Minnesota among the targeted states. Sports & Culture: The women’s sports industry is leaning into building new fans, not just converting existing ones.

Medicaid Crackdown: Minnesota hit a Sunday deadline to revalidate thousands of “high-risk” Medicaid providers after CMS withheld up to $2 billion, with only 550 approved and hundreds still incomplete or disenrolled. Minneapolis Police Shake-Up: Community reaction has been mixed after embattled Minneapolis police chief Brian O’Hara resigned amid “substantiated findings” tied to concealment of evidence in a sexual misconduct probe. ICE Case in Minnesota: Minnesota prosecutors announced the arrest of an ICE officer in Texas accused of shooting into a Minneapolis home during Operation Metro Surge, plus alleged false statements afterward. State Politics Endorsements: At dueling 2026 party conventions, the DFL backed Amy Klobuchar for governor and Peggy Flanagan for U.S. Senate, while the GOP endorsed Kendall Qualls for governor and Adam Schwarze for U.S. Senate. Civic History Spotlight: The Minnesota History Center is displaying the state’s 169-year-old constitution in a rotating Spotlight Gallery through July 5. Public Safety & Community: Minnesota GOP delegates held a moment of silence for Derek Chauvin at their convention, and the Twins begin a homestand vs. the White Sox after a rough skid.

Vikings Front Office: The Vikings hired Seahawks GM Nolan Teasley, ending their search and setting a new direction after Kwesi Adofo-Mensah’s firing and an interim run by Rob Brzezinski. GOP Governor Race: Kendall Qualls pulled off a major upset to win the GOP endorsement for Minnesota governor after convention voting disputes, with the outcome now less certain heading into the August primary. Immigration & ICE Fallout: Minnesota-linked ICE agent Christian Castro was arrested in Texas over a Minneapolis shooting case, as protests and detention-center unrest continue to roil national debate. DFL Politics: Ilhan Omar filed for re-election in Minnesota’s 5th District, keeping Minneapolis at the center of a high-profile progressive campaign. Sports Injuries: The Twins placed Bailey Ober on the 15-day injured list with right elbow inflammation, recalling Travis Adams and selecting Mike Paredes. Local Culture: Crosslake Log Village hosted a student tour at its Historic Log Village, welcoming visitors from Minnesota and abroad.

DFL Endorsement: Sen. Amy Klobuchar won the Minnesota DFL endorsement for governor on the first ballot, with former Fergus Falls Mayor Ben Schierer named as her lieutenant governor running mate. Vikings Front Office: The Vikings are reportedly hiring Seahawks GM Nolan Teasley, ending a messy search after Kwesi Adofo-Mensah’s firing. Public Safety & Drugs: Red Wing police and federal agents arrested a local business owner after a drug bust that seized about 5 pounds of suspected meth and cash. Wildfire Recovery: Minnesota approved a $350,000 lifeline for communities hit by the Brimson and Stewart Trail fires. Immigration Detention Tensions: Pro-ICE and anti-ICE protesters clashed outside New Jersey’s Delaney Hall, with Gov. Mikie Sherrill backing state police to keep order. DOJ Social Media Subpoenas: The Justice Department reportedly subpoenaed Reddit and X for data tied to users critical of deportation efforts. Sports: The Twins designated Simeon Woods Richardson after an 0-7 start; the Pirates’ Bryan Reynolds stayed hot in a rematch vs. Minnesota.

Iron Range Development: The IRRRB approved $500,000 for a Border Lakes Brewing brewery and tap room in Ely’s old train depot, after lawmakers pressed the owners about their stance on proposed copper-nickel mining. Education Funding: Ely-area schools will get $92,679 in one-time Taconite Economic Development Fund support, aimed at easing rural enrollment declines and rising costs. Local Infrastructure: Marshall crews are replacing water and sewer lines around the College Drive/Bruce Street area, with multiple downtown closures continuing into next week. School Staffing Cuts: New Ulm school board confirmed termination of nine staff members, including paraprofessionals and custodians, tied to district budget reductions. State Politics: At GOP and DFL conventions, Republicans endorsed retired Navy SEAL Adam Schwarze for U.S. Senate while DFL delegates endorsed Keith Ellison for attorney general; Angie Craig said she won’t seek the DFL Senate endorsement. Immigration/ICE: Multiple reports highlight federal-state conflict as ICE-related arrests and investigations continue, including Minnesota shooting cases with arrests in Texas. Community & Culture: Twin Cities Irish Fest launched a fundraiser after a reported $185K deficit as vendor costs rise.

Immigration Enforcement Accountability: Minnesota prosecutors say ICE agent Christian Castro—charged after a Jan. 14 shooting during Operation Metro Surge—was arrested in Texas, with the case hinging on allegations he fired through a home’s front door and then lied about it. State Politics: Sen. Amy Klobuchar named former Fergus Falls Mayor Ben Schierer as her lieutenant governor running mate, aiming to strengthen support in rural Minnesota. Housing & Local Planning: Mankato’s planning commission advanced a plan to convert a Motel 6 into 63 affordable units for elderly and disabled residents. Education Funding: Workforce Pell is moving from federal rules to college implementation, with schools now needing to apply for program eligibility. Elections & Online Gambling: Kalshi sued Minnesota to block the state’s prediction market ban, arguing it violates federal oversight and free-speech protections. Business & Markets: Proxy firms ISS and Glass Lewis backed BIMIZCI’s push for board changes at Medallion Financial, while Donaldson announced a 6.7% dividend increase. Community & Culture: Springsteen’s D.C. show turned into an ICE-focused political flashpoint, and nearly all acts pulled out of Trump’s “Freedom 250” concert after backlash.

Gubernatorial Politics: Six GOP candidates for governor faced off at the Minnesota Republican State Convention in Duluth, with fraud and public safety front and center as the party gears up to endorse nominees this weekend. Economy & Cost of Living: A new affordability report says 45.5% of U.S. households couldn’t “make ends meet” in 2024, while Moody’s Mark Zandi warned the U.S. economy is struggling and recession risks are rising amid inflation pressure. Fraud Crackdown: JD Vance’s task force says taxpayers were defrauded of billions, highlighting recovered funds tied to loans and Medicaid reimbursements. Local Public Safety: An International Falls man was indicted in the Zimmerman child kidnapping case, and authorities renewed warnings about minors’ social media risks. Telecom & Internet: Mediacom launched a 5-Gig broadband tier across parts of Minnesota and other states, aiming to expand coverage. Native Land Return: Minnesota signed off on returning about 3,400 acres of the Cloquet Forestry Center to the Fond du Lac Band. Health in Rural Minnesota: Southwest Minnesota EMS rolled out ambulance telemedicine with $9.9M in federal funding. Sports: The Twins open a series vs the Pirates with Jared Jones returning from surgery.

Local Infrastructure: Isanti County is moving ahead with design for a roughly one-mile reconstruction of CSAH 5 (Heritage Boulevard) from the Rum River bridge to Dahlin Avenue NE, aiming to modernize aging road sections and improve safety and access. Public Safety Tech: A local report lays out how Flock license-plate camera data is collected and searched, amid ongoing concerns about misuse and sharing with federal immigration enforcement. Community & Events: Cambridge says its summer entertainment lineup will continue despite Highway 95 detours, with parking changes for Concerts in the Park and Kids Events. Immigration & Detention: An AP investigation describes an alarming surge in suicides among ICE detainees, raising questions about oversight and mental health care. Minnesota Politics: Gov. Tim Walz helped secure a pardon for a Laos-born man facing deportation after a decades-old armed robbery conviction. Courts & Development: A judge granted a temporary restraining order halting construction on Pine Island’s Project Skyway data center while environmental review is challenged. Business & Workforce: Minneapolis’ NEON Collective Kitchens opens as a $22M shared-operations food hub, and a new state-funded agriculture careers program targets rural workforce training in central Minnesota.

Minneapolis Police Shake-Up: Minneapolis Police Chief Brian O’Hara resigned after an investigation into alleged interference with a sexual-misconduct probe, with Mayor Jacob Frey saying the underlying allegations weren’t substantiated but O’Hara’s conduct during the process led to his departure; the city council and mayor are now clashing over transparency and the next chief search. State Politics & Elections: Rep. Angie Craig is stepping away from the DFL endorsement fight for the U.S. Senate seat and will focus on the August primary, leaving Lt. Gov. Peggy Flanagan favored for the convention endorsement. Local Government & Growth: A Goodhue County judge halted Google’s Pine Island data center project after a lawsuit argued the environmental review lacked required detail. Fraud Crackdown: DHS/ICE arrested two Minnesota residents tied to Medicaid and autism-related claims, accused of stealing about $21.1 million from taxpayers. Community & Safety: MnDOT is warning drivers about farm equipment during planting season after crash data showed hundreds of incidents involving farm vehicles from 2023-2025. Sports: The Cubs snapped a 10-game skid with Ian Happ’s big night, while Portland’s Fire beat the Connecticut Sun in the WNBA.

Minneapolis Police Shake-Up: Chief Brian O’Hara resigned after allegations he interfered with a sexual misconduct investigation; Mayor Jacob Frey said the city didn’t know earlier what it later learned. School Funding Vote: Minnesotans will see a ballot question this fall on amending the constitution to let public schools draw more from the Permanent School Fund without raising taxes. Kids Online Fight: Minnesota AGs joined a coalition opposing the federal KIDS Act, warning it could weaken state power to protect children online. Anti-Fraud Politics: Trump again targeted Somali immigrants and Ilhan Omar during remarks tied to JD Vance’s fraud task force, as Minnesota remains at the center of major fraud prosecutions. Mental Health Law: Gov. Walz signed Kayla’s HOPE Act, requiring suicide-prevention measures on bridges and other infrastructure. Wildfire Recovery: IRRRB approved new relief funding for Brimson and North Shore communities hit by recent wildfires. Local Crime: Rochester officials charged a suspect after a Sunday shooting and police chase left two women wounded.

Memorial Day backlash in Minneapolis: The city’s official X account posted a George Floyd remembrance graphic on May 25, and critics pounced—especially because it landed on Memorial Day. Immigration enforcement escalation: U.S. Homeland Security Secretary Markwayne Mullin says the Trump administration is “drawing up plans” to stop customs and immigration processing at major airports in “sanctuary cities,” a move that could disrupt international travel and cargo. Prediction markets power struggle: Trump says it’s “critically important” the CFTC keep exclusive authority over prediction markets, while Minnesota’s felony crackdown remains part of a fast-growing state-vs-federal fight. ICE detention scrutiny: An AP investigation highlights an “alarming” spike in ICE detainee suicides, pointing to failures in mental-health oversight. Local governance notes: Minot mayoral candidates spar over city direction; New Ulm unveiled a new Johnson Park scoreboard; and Lynd accepted its superintendent’s resignation amid budget cuts. Food industry ripple: Cargill is rolling out a cocoa-price hedge called NextCoa.

Minnesota Court Ruling: The Minnesota Court of Appeals upheld a decision striking the state’s binary-trigger ban, saying the 2024 law violated the single-subject rule—an early win for gun-rights challengers. Local Arts & Business: Lower North Mankato is turning construction disruption into foot traffic with CityArt in the Alley, a four-event summer public art series running behind NaKato Bar & Grill starting May 30. Courts & Public Safety: Gov. Tim Walz named three new district court judges in the Tenth Judicial District, including Stacy St. George (Sherburne), Nathan Sosinski (Wright), and Kathryn Fodness (Chisago). Health Fraud: A Minnesota woman accused in a $21M autism fraud scheme pleaded not guilty, with prosecutors alleging false Medicaid claims and kickbacks. Community Memory: George Floyd’s six-year anniversary drew renewed local remembrance events, including “Rise and Remember” at George Floyd Square.