Montana politics, elections and legislative news

Department of Commerce director resigns after misusing funds

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The director of the Montana Department of Commerce has resigned after an audit found he misused state dollars.

A state investigation concluded that Scott Osterman spent $26,000 in state funds on personal expenses in violation of state policy.

Osterman resigned Wednesday evening. Montana Free Press first reported the resignation and investigation.

The bulk of the money Osterman spent was on transportation, food and lodging to commute between the agency’s headquarters in Helena and his home in Kalispell.

According to a statement from spokesperson Kaitlin Price, Gov. Greg Gianforte has required Osterman to pay the state back for the misused funds and accepted his resignation. The governor also ordered his budget office to regularly review all department directors’ use of state resources.

Price says the state’s Legislative Auditor and Attorney General will consider whether Osterman’s violation warrants further investigation.

Deputy Director Mandy Rambo is now acting director of the agency that cultivates public-private partnerships to boost the state’s economy.

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Shaylee covers state government and politics for Montana Public Radio. Please share tips, questions and concerns at 406-539-1677 or shaylee.ragar@mso.umt.edu.