The bill establishes the Office of Inspector General as an independent administrative agency within Title 42 of the General Laws, tasked with preventing and detecting fraud, waste, abuse, and mismanagement in the expenditure of public funds across federal, state, and local programs. The Inspector General will be appointed for a five-year term by a majority vote of the governor, attorney general, and general treasurer, with specific qualifications required for the role, including experience in accounting, auditing, financial analysis, law, management analysis, public administration, investigation, and criminal justice administration.

The bill outlines the powers of the Inspector General, which include conducting audits, criminal, civil, and administrative investigations, accessing relevant records, and issuing subpoenas for documents and testimony. It mandates that the Inspector General maintain confidentiality during investigations and establishes procedures for reporting findings to the attorney general or United States Attorney when violations of federal or state law are suspected.

Additionally, the bill merges the Auditor General into the Office of Inspector General, with the Auditor General now operating under the authority of the Inspector General. The Auditor General is required to conduct independent audits in accordance with the policies established by the Inspector General and is granted access to executive sessions of public agencies. The bill emphasizes the importance of safeguarding government computer systems and allows the Auditor General to conduct security assessments.

The act takes effect upon passage and includes provisions for the appointment and removal of the Inspector General, the establishment of rules and regulations governing the office, and the requirement for annual and interim reports summarizing the activities of the office. Overall, these changes aim to enhance accountability and transparency in the management of public funds and operations.