An Act To Encourage Reporting of Potential Fraud in State Government
Maine Legislature, Session 122, LD 1741
Committee Amendment CA_A-HA_C_H1081 (House)
Amends: 3 MRSA §995, 5 MRSA §244-D

HOUSE AMENDMENT "C" to COMMITTEE AMENDMENT "A" to S.P. 658, 
L.D. 
1741, Bill, 
"An Act To Encourage Reporting of Potential 
Fraud in State Government" 
Amend the amendment by striking out all of section 1 and 
inserting in its place the following: 
'Sec. 1. 3 MRSA §995, sub-§5 is enacted to read: 
5. 
Coordination with State Auditor: 
comPlaints alleging 
. fraud, waste, inefficiency or abuse. 
The director may access 
confidential information disclosed by the State Auditor under 
Ti tIe 
5, 
section 
244-D, 
subsection 
in 
order 
to 
ensure 
appropriate agency referral or coordination between agencies to 
respond 
ap~ropriately to all complaints 
made 
under Title 
5, 
section 244-D. 
Sec. 2. 5 MRSA §244-D is enacted to read: 
§244-D. 
Referral service: confidentiality: public records 
1. 
Identity confidential. 
The identity of a person making 
a complaint alleging fraud, waste, inefficiency or abuse through 
a hot1ine or other referral service established by the State 
Auditor 
for 
the 
confidential 
reporting 
of 
fraud, 
waste, 
inefficiency and abuse in State Government is confidential and 
may not be disclosed, unless the person making the complaint 
agrees in writing to the disclosure of that person's name. 
2. 
Contents 
of 
complaint 
confidential. 
A 
complaint 
alleging fraud, 
waste, 
inefficiency or abuse 
made 
through 
a 
hotline 
or 
other 
referral 
service established by 
the 
State 
Page l-LR2790(11) 
HOUSE AMENDMENT 
"" 
HOUSE AMENDMENT .. C.. to COMMITTEE AMENDMENT .. A" to S. P . 658, L . D . 
1741 
Auditor 
for 
the 
confidential 
reporting 
of 
fraud. 
waste. 
inefficiency and abuse in State Government and any resulting 
investigation is confidential and may not be disclosed except as 
provided in subsections 3 and 4. 
3. 
Coordination with Office of Program 
Evaluation 
and 
Government 
Accountability 
and 
Attorney 
General. 
The 
State 
Auditor may disclose information that is confidential under this 
section to the Director of the Office of Program Evaluation and 
Government Accountability and the Attorney General to ensure 
appropriate agency referral or coordination between agencies to 
respond appropriately to all complaints made under this section. 
4. 
Reports. 
For each complaint under this section. the 
State Auditor shall submit a written report to the Governor and 
publish the report on the auditor's publicly accessible website. 
The report must include a detailed description of the nature of 
the 
complaint. 
the 
office. 
bureau· or 
division 
within 
the 
department or any agency that is the subject of the complaint. 
the 
determination 
of 
potential 
cost 
savings. 
if 
any. 
any 
recommended action and a statement indicating the degree to which 
the 
complaint 
has 
been 
substantiated. 
The 
report 
must 
be 
submitted no later than 120 days after the State 'Auditor receives 
the complaint. 
In addition. the State Auditor shall publish a 
semiannual 
report 
to 
the 
Governor 
and 
Legislature 
of 
the 
complaints received by the hotline or other referral service. 
which may be electronically published. 
The report must include 
the following information: 
A. 
The total number of complaints received; 
B. 
The 
number of referrals of fraud or other criminal 
conduct to the Attorney General; 
C. 
The number of referrals of agency performance issues to 
the 
Office 
of 
Program 
Evaluation 
and 
Government 
Accountability; and 
D. 
The number of investigations by the State Auditor by 
current status whether opened. pending. completed or closed. 
5. 
Repeal. 
This section is repealed July 1. 2009. 
Sec. 3. 
Establishment of referral criteria; report. 
Prior 
to 
commencement of a hotline or other referral service established 
by the State Auditor to receive complaints of fraud, 
waste, 
inefficiency or abuse in State Government, the State Auditor, the 
Attorney General 
and the Director of 
the Office of 
Program 
Evaluation and Government Accountability shall work together to 
establish 
criteria 
for 
the 
referral 
of 
such 
HOUSE AMENDMENT 
~ .. 
HOUSE AMENDMENT" C" to COMMITTEE AMENDMENT "A" to S.P. 658, L.D. 
1741 
complaints received and coordination of the response between the 
appropriate agencies. 
The State Auditor shall report the results 
of this effort to the joint standing committee of the Legislature 
having jurisdiction over state and local government matters no 
later than 30 days following development of the criteria or at 
the next meeting convenient for the committee to receive the 
report. ' 
SUMMARY 
This amendment allows a person making a complaint through a 
hotline or other referral service to allow that person's name to 
be disclosed if the person agrees in writing. 
It imposes 
a 
requirement 
that 
the 
State 
Auditor 
publicly 
report 
the 
identification of cost savings as a result of the investigation. 
The report must include recommendations for any action necessary 
to achieve the cost savings. 
The amendment also requires the 
State Auditor to submit a written report to the Governor and 
publish on the auditor.' s publicly accessible website all other 
complaints within 120 days of the receipt of the complaint, 
indicating the nature of the complaint, the agency that is the 
subject of the complaint and the degree to which the complaint 
was 
substantiated. 
This 
amendment 
also 
requires 
the 
State 
Auditor, the Attorney General and the Director of the Office of 
Program 
Evaluation 
and 
Government 
Accountability 
to 
jointly 
establish criteria 'for the referral to the appropriate agency of 
complaints received by that hotline or other referral service 
maintained 
by 
the. State 
Auditor 
and 
for 
coordination 
of 
response. 
The State Auditor is required to report the criteria 
to 
the 
joint standing 
committee 
of 
the 
Legislature 
having 
jurisdiction over state and local government matters no later 
than 30 days following development of the criteria or at the next 
convenient meeting of the committee. 
SPONSORED BY: 
TOWN: 
Auburn 
FISCAL NOTE REQUIRED 
(See attached) 
'-. 
HOUSE AMENDMENT 
Approved: 04/28/06 ~ae 
LD 1741 
LR2790(11) 
An Act To Encourage Reporting of Potential Fraud in State Government 
Fiscal Note for House Amendment "C
l
" to Committee Amendment "A" 
Sponsor: Rep. Simpson 
Fiscal Note Required: Yes 
Fiscal Note 
Minor cost increase - General Fund 
Fiscal Detail and Not~ 
Costs associated with this legislation can be absorbed by the Department of Audit, the Department of the Attorney 
General and the Office of Program Evaluation and Governmental Accountability utilizing existing budgeted resources. 
LR2790(11) - Fiscal Note - Page 1 of 1