The Problem

Vendor and Contract Fraud Detection Task Force ReformThe ProblemIdaho spends hundreds of millions every year on vendors, contractors, and service providers for everything from IT systems to road construction, medical supplies, and consulting. Fraud, kickbacks, no-bid contracts, inflated invoices, and poor performance slip through because oversight is inconsistent, reactive, and under-resourced. Agencies sometimes award contracts to the same vendors repeatedly without competitive checks, and whistleblowers have no clear, safe way to report issues. This wastes taxpayer dollars, erodes trust, and leaves departments paying for work that is never delivered or is substandard.

This reform complements the others in the plan without overlap:

  • State Procurement and Contracts Reform prevents bad contracts at the bidding stage with disclosure and limits.

  • Agency Performance Audits check overall agency efficiency and operational waste.

  • The Vendor and Contract Fraud Detection Task Force specifically hunts for post-award fraud, kickbacks, and abuse during contract performance, actively investigating and referring cases for prosecution once money is already out the door.

This three-layered approach ensures waste is stopped before, during, and after contracts are signed.

What I'll Do Day One as Governor

Sign an executive order to create a Vendor and Contract Fraud Detection Task Force and direct agencies to cooperate fully. Right away:

  • Establish a task force of 8 to 12 members (including representatives from the Attorney General's office, State Controller, agency procurement officers, and citizen volunteers with business or auditing experience) to review high-value contracts and vendor payments.

  • Require agencies to submit quarterly reports of contracts over $100,000, including vendor names, award dates, amounts, and performance metrics, to the task force.

  • Partner with the Attorney General to create a secure, anonymous tip line for employees, vendors, and citizens to report suspected fraud, kickbacks, or abuse.

  • Direct the task force to use existing data tools and pattern analysis to flag high-risk contracts (for example, repeated awards to the same vendor, unusual markups, or poor performance history) and publish an initial public list of red flags on Transparent Idaho within 120 days.

  • Launch pilots in three to five agencies (such as Transportation, Health and Welfare, and Corrections) to test fraud detection and tip intake, with results posted in 90 days.

  • Use early savings identified by the task force to redirect funds to frontline services (no new spending required).

This uses powers I already have under executive oversight of state agencies and existing procurement and fraud investigation authority. No new laws needed first.

How This Is Different From Now

Right now, fraud detection is reactive and scattered. Agencies handle their own vendor oversight with limited cross-agency coordination, and whistleblowers often fear retaliation or see no follow-through. This way creates a focused, independent task force with clear deadlines, a safe tip line, and public visibility of red flags. It enforces existing procurement rules more aggressively, catches problems early, and redirects savings to real priorities instead of letting fraud and abuse continue unchecked.

What I'll Push the Legislature For

Easy laws to make it permanent:

  • Establish a standing Vendor and Contract Oversight Task Force with authority to review high-value contracts and recommend investigations.

  • Require agencies to submit annual vendor performance reports and contract inventories for review.

  • Mandate a secure, anonymous statewide tip line for fraud and abuse reports, with protections for whistleblowers.

  • Authorize automatic reallocation of savings from identified fraud or waste to frontline services unless the Legislature votes otherwise.

No big new spending. The task force is small and volunteer-based with minimal support from existing agency staff.

How We'll Check It Works

We will keep it honest with:

  • Public postings on Transparent Idaho of contract reports, task force findings, red flags, and savings achieved.

  • Regular audits of task force progress and agency compliance.

  • Citizens Task Force to review task force reports, take public tips on vendor issues, and recommend improvements.

  • Yearly report showing contracts reviewed, fraud cases referred, dollars saved, and funds redirected to services.

  • Everything open for anyone to look at and ask about.

Answers to Common Questions

Won't this slow down legitimate contracts?

No. The task force reviews after awards and focuses on patterns, not every contract. Pilots will show efficiency gains without delays.

How do we make sure the task force is fair and not politically biased?

It includes balanced membership (agency, AG, citizens). All findings and recommendations are public on Transparent Idaho for scrutiny.

What if agencies resist sharing contract data?

The executive order requires full cooperation. Resistance is reported publicly, and the task force can escalate to the Governor for enforcement.

Does this cost taxpayers extra money?

No. The task force is small and volunteer-based with minimal support from existing staff. Savings from fraud detection more than cover any small costs.

How does this connect to the procurement and contracts reform?

This task force verifies and enforces the disclosure and limits in procurement reform, catching fraud that slips through initial bidding.

How does this connect to agency performance audits?

Audits identify operational waste; this task force focuses on vendor-specific fraud and abuse. Findings from both feed each other for maximum efficiency.

How does this connect to the budget reform?

Savings from fraud detection and vendor waste reduction directly feed budget reallocations to protect frontline services.

What about small vendors or local businesses?

The focus is on high-value contracts and patterns of abuse. Small and local vendors benefit from fairer competition and reduced fraud.

How will we know if it is working?

Public reports on Transparent Idaho will track contracts reviewed, fraud cases referred, dollars saved, and funds redirected. Citizen tips help identify additional issues.

What if fraud is found but the vendor has political connections?

All findings are public. The Attorney General partnership ensures independent investigation and prosecution, regardless of connections.

Vendor and Contract Fraud Detection