Minnesota Gov. Tim Walz said Monday he is stepping aside rather than run for a third term, a decision that comes as scrutiny mounts over a massive Somali daycare fraud scandal in the state.

Walz, who was the Democratic vice presidential nominee in 2024, spent the weekend weighing his future with friends and advisers, according to two senior Democrats familiar with the discussions. He also met Sunday with Sen. Amy Klobuchar as the longtime lawmaker weighs a potential run for governor, two sources said.