H.F. 5380 Summary

• Commissioner must hire an inspector general to lead the Office of the Inspector General, who may hire a deputy and assistant inspectors general, and must establish a public platform for reporting fraud, waste, or abuse of department funds.

• Inspector general and designees may administer oaths, subpoena witnesses, compel attendance, and issue subpoenas duces tecum for audits and investigations; subpoena recipients are prohibited from disclosing the subpoena except as necessary to locate records or by court order.

• Office of the Inspector General gains access to routing and account numbers from other state agencies (by subpoena), and all books, accounts, documents, data, and property related to department-funded programs held by the department, state agencies, school districts, charter schools, or private entities.

• Inspector general may recommend sanctions to the commissioner following criminal convictions, credible indicia of fraud/waste/abuse, or preponderance-of-evidence findings, including ending program participation, stopping funds disbursement, or ending contracts; commissioner may implement recommendations and must notify affected parties within seven business days.

• Defines fraud, waste, or abuse to include false or duplicate claims, false statements for greater compensation, suspension/termination by other state agencies, refusal to provide required records, or failure to correct record errors; affected parties may request contested case hearings within 30 days of notice.