Minnesota Gov. Tim Walz says the state "doesn't need any further help from the federal government" after federal officials reported a U.S. Immigration and Customs Enforcement officer fatally shot a woman Wednesday morning in south Minneapolis.

"To Donald Trump and Kristi Noem, you've done enough," Walz said at a news conference hours after the shooting.

It happened at East 34th Street and Portland Avenue, leading to a tense standoff between federal and local law enforcement and protesters. Minneapolis officials said the victim is a 37-year-old woman. U.S. Sen. Tina Smith described her as a "U.S. citizen" in a social media post.

The State Emergency Operations Center has been activated in response to the incident, and Walz has issued a warning order to prepare the National Guard.   

"I remind you, a warning order is a heads-up for folks, and these National Guard troops are our National Guard troops," Walz said.

The shooting comes amid the announced deployment of  2,000 federal law enforcement members in the Twin Cities metro area, who are expected to probe alleged cases of fraud, building on last month's inspection of dozens of sites in the Minneapolis area.

"We've been warning for weeks that the Trump administration's dangerous, sensationalized operations are a threat to our public safety and that someone was going to get hurt," Walz said.

President Trump said on social media Monday afternoon that the incident was "a horrible thing to watch."

"The woman screaming was, obviously, a professional agitator, and the woman driving the car was very disorderly, obstructing and resisting, who then violently, willfully, and viciously ran over the ICE Officer, who seems to have shot her in self defense," Mr. Trump said on Truth Social.

Witnesses say they saw a Honda Pilot blocked by multiple federal agents, and an agent tried to open the driver's side door. The motorist then put her vehicle into reverse, then into drive. Witnesses said they then heard three shots fired. The Honda traveled another several feet before crashing into another car. Videos posted on social media corroborate their accounts.  

"It's unprecedented that we have, the federal government's already determined exactly what's happened here and the motives of an individual that we don't even know the name, they don't know the name. And that's very difficult," Walz said.  

Two federal sources tell CBS News the agent who discharged his weapon was an immigration agent with an ICE Enforcement and Removal Operations team.

U.S. Department of Homeland Security Secretary Kristi Noem characterized the driver's actions as an "act of domestic terrorism." Tricia McLaughlin, Homeland Security's assistant secretary for public affairs, said in a statement Wednesday morning the victim was "one of these violent rioters" who "weaponized her vehicle, attempting to run over our law enforcement officers in an attempt to kill them — an act of domestic terrorism."  

Walz disputed the federal agency's narrative on Wednesday afternoon.

"Don't believe this propaganda machine," he said. "The state will ensure there is a full, fair and expeditious investigation to ensure accountability and justice."  

The Minnesota Bureau of Criminal Apprehension and Federal Bureau of Investigation are investigating the shooting.

Walz is asking anyone who protests to do so in a peaceful way.

"Let's make sure we protect our neighbors," he said. "I encourage you to use your First Amendment rights and all of your constitutional rights, but do so in a peaceful manner."