SF4680 (Legislative Session 94 (2025-2026))
Failure to report theft, embezzlement, or unlawful use of public funds criminal penalties in certain cases provision
AI Generated Summary
Purpose
To strengthen accountability by requiring certain public employees and officers to report suspected theft, embezzlement, or unlawful use of public funds or property, and to establish a criminal penalty for failing to report.
Main Provisions
- Amends Minnesota Statutes 2024, section 609.456, subdivision 2.
- Applies to an employee or officer of the state, the University of Minnesota, or other organization listed in section 3.971 subdivision 6.
- When such an employee or officer discovers evidence of theft, embezzlement, or unlawful use of public funds or property, they must promptly report in writing to the Legislative Auditor a detailed description of the alleged incident or incidents.
- Exception: reporting is not required if doing so would knowingly impede or interfere with an ongoing criminal investigation.
- Penalty: a person who violates this requirement is guilty of a gross misdemeanor.
Significant Changes to Existing Law
- Introduces a mandatory, written reporting requirement for specific public employees and officers upon discovering theft, embezzlement, or unlawful use of public funds or property.
- Expands formal reporting to include the Legislative Auditor as the designated recipient.
- Establishes a criminal penalty (gross misdemeanor) for failing to comply with the reporting duty.
- Maintains an exception to protect ongoing criminal investigations from being hindered.
Practical Implications
- Increases oversight and accountability of public funds and property.
- May require new or updated internal reporting processes and documentation for eligible organizations.
- Could affect compliance practices for employees at the University of Minnesota and other covered organizations.
Relevant Terms
- theft
- embezzlement
- unlawful use of public funds or property
- employee or officer
- state University of Minnesota
- organization listed in section 3.971 subdivision 6
- Legislative Auditor
- promptly report in writing
- detailed description
- ongoing criminal investigation
- exception
- gross misdemeanor
- Minnesota Statutes 2024 section 609.456 subdivision 2
Bill text versions
- Introduction PDF PDF file
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 23, 2026 | Senate | Action | Introduction and first reading | ||
| March 23, 2026 | Senate | Action | Referred to | Judiciary and Public Safety |
Citations
[
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill references Minnesota Statutes 2024 section 609.456, subdivision 2.",
"modified": []
},
"citation": "609.456",
"subdivision": "subdivision 2"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill references Minnesota Statutes section 3.971, subdivision 6.",
"modified": []
},
"citation": "3.971",
"subdivision": "subdivision 6"
}
]Progress through the legislative process
In Committee