The proposed bill establishes the Office of the State Employee Ombudsman, which will be responsible for investigating and evaluating reports of suspected violations of law, conduct that may endanger public health or safety, and gross mismanagement of public funds. The ombudsman, appointed by the legislative council, will have the authority to initiate investigations based on complaints from state employees or on their own initiative. The bill outlines the procedures for receiving and processing complaints, conducting investigations, and reporting findings, while ensuring confidentiality for complainants and the information gathered during investigations.

Additionally, the bill prohibits state departments or agencies from penalizing complainants for filing complaints or cooperating with the ombudsman. It also prescribes penalties for individuals who violate the act, which may include imprisonment or fines. The ombudsman is required to submit annual reports detailing the office's activities, including the number of complaints received and resolved, while maintaining the confidentiality of personal identifying information. The act is set to take effect 90 days after being enacted into law.