This bill establishes the Office of the Inspector General in Minnesota, an independent entity designed to enhance accountability, transparency, and integrity within state agencies and programs. The inspector general will be appointed by the governor based on recommendations from the Legislative Inspector General Advisory Commission and will serve a five-year term. The bill outlines qualifications for the inspector general, including relevant educational and professional experience, and ensures that the office operates free from partisan influence. It grants the inspector general the authority to conduct investigations, issue subpoenas, access various data classifications, and refer matters for civil or criminal action. Additionally, state agencies and nonprofit organizations receiving state funds are required to highlight fraud reporting tools on their websites. The new provisions will take effect on January 1, 2026.

The bill also creates the Legislative Inspector General Advisory Commission to recommend candidates for the inspector general position and review the office's effectiveness. It mandates public reporting on completed investigations and establishes a system for anonymous fraud reporting. The bill includes provisions for transitioning existing inspector general employees to the new office while maintaining their employment status and collective bargaining agreements. Furthermore, it amends existing statutes to require final investigative reports related to fraud in specific programs to be submitted to the inspector general and expands the definition of "credible allegation of fraud." The bill also outlines the inspector general's authority to recommend temporary sanctions against program participants and ensures protections for whistleblowers reporting misconduct.

Statutes affected:
Introduction: 3.971, 15A.0815, 609.456, 142A.03, 142A.12, 144.05, 245.095, 256.01