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Committee hears HF2 to require mandatory fraud reporting for state grants; bill laid over for fiscal note
Summary
The State Government Finance and Policy Committee received testimony and questions on House File 2, which would require state employees and agencies to report suspected fraud, mandate organizational transparency and allow suspension of grants when recipients are charged; the committee laid the bill over pending a fiscal note.
Representative Davis, Vice Chair, introduced House File 2 on Thursday, Jan. 23, 2025, proposing mandatory fraud-reporting requirements for state agencies, stronger transparency for grant recipients and provisions to suspend or terminate grant agreements when recipients are criminally charged or convicted.
The bill would require a state employee who suspects fraud in a program administered by an agency to immediately notify law enforcement and the chairs and ranking minority members of the House and Senate committees with jurisdiction over that agency’s operating budget, and would also require agencies to post full organizational charts and director/divisional staff contacts on their websites. Representative Davis told the committee the measure would also mandate unannounced in-person site visits of…
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