Oregon Secretary of State Shemia Fagan, a Democrat, saw her public career go up in smoke Tuesday after resigning over a lucrative cannabis consultation contract.
Ms. Fagan began her consultation work in February with an affiliate of cannabis dispensary chain La Mota. The owners of La Mota had donated to Ms. Fagan’s 2020 election campaign, and proprietor Aaron Mitchell has donated $45,000 to Ms. Fagan since 2020.
At the same time, La Mota, Mr. Mitchell and fellow owner Rosa Cazares have had more than $7 million in liens filed by the Internal Revenue Service against them for unpaid taxes, including more than $592,000 in marijuana sales taxes.
While Ms. Fagan made $77,000 yearly in public office, the consultation gig paid more — $10,000 monthly, with $30,000 bonuses for each state Ms. Fagan helped La Mota get licensed in, other than Oregon and New Mexico.
Oregon’s auditing office, which was under Ms. Fagan’s purview, scrutinized Oregon Liquor and Cannabis Commission regulations, which affect La Mota’s operations. The result was that the state’s auditors on Friday recommended the OLCC reform some of its regulations, which were a burden to marijuana businesses.
Ms. Fagan’s team claimed that she recused herself from the audit, which began on Feb. 15, knowing beforehand that she planned to take the consulting job.
Ms. Fagan also contended that there was not a direct conflict of interest between the audit and her planned work for La Mota.
After her work became public knowledge, Ms. Fagan initially resisted releasing the full terms of her contract, but relented Monday. She apologized for taking the job, telling the press she quit the sideline work and indicated she wanted to finish her remaining 20 months as secretary of state.
Oregon’s other elected officials had other ideas. Republicans in the Legislature called for her resignation. Fellow Democrat and Oregon Gov. Tina Kotek had called for an ethics investigation into Ms. Fagan’s weed work Friday.
Ms. Fagan’s last day in office is Monday.
• Brad Matthews can be reached at bmatthews@washingtontimes.com.