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HF2420 (Legislative Session 94 (2025-2026))

Commission on Governmental Efficiency and Ethics established to investigate allegations of fraud in state programs and undisclosed legislative conflicts of interest, report required, and money appropriated.

Related bill: SF2897

AI Generated Summary

Purpose of the Bill

This bill aims to enhance oversight and accountability in Minnesota’s state government by creating a Commission on Government Efficiency and Ethics. The purpose of this commission is to investigate allegations of fraud in state programs and conflicts of interest among legislators that have not been disclosed.

Main Provisions

  • Commission Formation: The Commission will consist of six citizen members, equally appointed by the Speaker and Minority Leader of the House, and approved by both Senate leaders, ensuring a balanced representation. No current or former partisan political figures can be appointed.

  • Reporting System: A hotline and website will be established for individuals to report suspected fraud or undisclosed conflicts of interest, with the option to do so anonymously.

  • Incentive for Reporting: Individuals whose reports lead to significant actions (criminal convictions, successful civil actions, or legislative expulsions) may receive a reward of up to $5,000.

  • Investigations and Audits: The Commission can conduct investigations and require cooperation from public officials and entities involved with state funds. It can also initiate forensic audits of state agencies or grantees to uncover fraud or inefficiencies.

  • Reports and Recommendations: The Commission is required to periodically report findings and recommendations on preventing fraud and conflicts of interest to legislative committees.

  • Meetings and Operation: The Commission will conduct open meetings, except for discussions on active cases, and elect its officers. Members are not paid but can be reimbursed for expenses.

Significant Changes

  • Amendment to Existing Audit Laws: Modifies existing statute related to grant agreements to include new auditing powers for the Commission and mandates that recipients cooperate with investigations.

  • Financial Appropriation: Allocates funds from the general fund for the operational costs of the Commission for fiscal years 2026 and 2027.

Relevant Terms

government oversight, fraud investigation, conflict of interest, legislative ethics, forensic audit, whistleblower reward, state agency accountability, financial transparency

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 16, 2025HouseFloorActionIntroduction and first reading, referred toState Government Finance and Policy

Citations

 
[
  {
    "analysis": {
      "added": [
        "Allowance for closed meetings when discussing certain reports or audits."
      ],
      "removed": [],
      "summary": "The bill specifies that the open meeting requirements of section 3.055 apply to the Commission on Government Efficiency and Ethics.",
      "modified": []
    },
    "citation": "3.055"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Section providing administrative support from the Legislative Coordinating Commission to the Commission on Government Efficiency and Ethics.",
      "modified": []
    },
    "citation": "3.305 subdivision 4"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Members of the commission may be reimbursed for expenses according to rules authorized in section 43A.18 subdivision 2.",
      "modified": []
    },
    "citation": "43A.18 subdivision 2"
  },
  {
    "analysis": {
      "added": [
        "Private investigators under contract with the Commission on Government Efficiency and Ethics included in audits."
      ],
      "removed": [],
      "summary": "Modification to audit requirements for state grants under section 16B.98 subdivision 8.",
      "modified": [
        "Extension of audit retention requirements and inclusion of forensic audit clauses."
      ]
    },
    "citation": "16B.98 subdivision 8"
  }
]

Sponsors