MN HF3621

State agency heads may withhold payments to program participants who are subjects of credible fraud allegations under investigation, with notice required within five days of taking action

"Credible allegation of fraud" must be verified by an agency head and can come from fraud complaints, audits, civil cases, law enforcement investigations, court filings, police reports, indictments, or search warrants

Program participants may request administrative reconsideration in writing within 60 days, and withholding must end when there is insufficient evidence of fraud or when related legal proceedings conclude

Data relating to fraud allegations is classified as confidential or protected nonpublic during the withholding period, but becomes public after a determination that withholding should not continue (except complainant identity remains private)

Payment withholding is a temporary action not subject to appeal under Chapter 14, and does not supersede other existing laws authorizing payment withholding in specific programs