Substitute Senate Bill No. 459
          Substitute Senate Bill No. 459

               PUBLIC ACT NO. 98-68


AN  ACT  CONCERNING  WHISTLEBLOWER  PROTECTION FOR
EMPLOYEES OF FOUNDATIONS ESTABLISHED TO SUPPORT OR
IMPROVE STATE AGENCIES.


    Be it enacted  by  the  Senate  and  House  of
Representatives in General Assembly convened:
    Section  1.  Section   4-37e  of  the  general
statutes  is  repealed   and   the   following  is
substituted in lieu thereof:
    As used in  this section, [and] sections 4-37f
to 4-37i, inclusive, AND SECTION 2 OF THIS ACT:
    (1) "State agency"  means  each  state  board,
authority,    commission,   department,    office,
institution, council or  other agency of the state
including, but not  limited  to,  each constituent
unit  and  each   public   institution  of  higher
education.
    (2) "Foundation" means  an  organization, fund
or any other legal entity which is (A) exempt from
taxation pursuant to  Section  501  (c)(3)  of the
Internal Revenue Code of 1986, as amended, and (B)
established for the principal purpose of receiving
or using private funds for charitable, scientific,
cultural,  educational or  related  purposes  that
support  or  improve   a  state  agency.  Such  an
organization, fund or other legal entity shall not
be deemed to  be  a  state  agency  as  defined in
section 1-18a.
    (3)   "Executive  authority"   means   (A)   a
department head, as  defined  in  section  4-5, AS
AMENDED, (B) the  executive secretary or president
of a constituent  unit,  (C)  the  chief executive
officer  of  a   public   institution   of  higher
education and (D)  the  chief executive officer of
any other state agency.
    (4)  "Constituent unit"  means  a  constituent
unit as defined in section 10a-1.
    (5) "Public institution  of  higher education"
means a public  college or university in the state
system of higher  education  or  The University of
Connecticut School of Law.
    Sec. 2. (NEW)  Each  foundation shall develop,
in  conjunction  with   the   Auditors  of  Public
Accounts, and implement  a  written policy (1) for
the   investigation  of   any   matter   involving
corruption,  unethical  practices,   violation  of
state laws or  regulations,  mismanagement,  gross
waste of funds,  abuse  of  authority or danger to
the public safety  occurring  in  such foundation,
(2) prohibiting any  officer  or  employee  of the
foundation from taking  or threatening to take any
personnel action against  any  foundation employee
who  transmits  information  concerning  any  such
matter, (3) providing that any foundation employee
who is found  to  have  knowingly  and maliciously
made  false charges  concerning  any  such  matter
under subdivision (1)  of  this  section  shall be
subject to disciplinary  action  by the employee's
appointing   authority,  up   to   and   including
dismissal  and (4)  requiring  the  foundation  to
provide a copy of such policy to its employees and
to  periodically  notify   the  employees  of  the
existence of the policy.
    Sec. 3. This  act  shall  take  effect July 1,
1998.

Approved May 19, 1998