First Lady Faces Conflict of Interest Charge

Governor Kitzhaber and First Lady Cylvia Hayes woke up this week reading a Willamette Week article accusing Hayes of conflict of interest, which the governor denies.

Governor Kitzhaber and First Lady Cylvia Hayes woke up this week reading a Willamette Week article accusing Hayes of conflict of interest, which the governor denies.

Willamette Week delivered a pre-election wallop to Governor John Kitzhaber's re-election campaign this week with an investigative report suggesting First Lady Cylvia Hayes may have benefitted financially from her special relationship with the governor. 

Rep. Dennis Richardson, Kitzhaber's underdog Republican challenger, seized on the story and said via a statement,"The latest scandal shows once again that the State of Oregon is being run more like a mafia than a public entity. The governor and first lady are not above the law."

Kitzhaber denies any wrongdoing by himself and Hayes. He said Hayes' contracts were reviewed carefully for any conflict of interest. "We were very proactive," Kitzhaber told The Associated Press. "Very rigorous and very transparent." AP reported Hayes declared three conflicts of interest in August 2013. Kitzhaber said Hayes has no current contracts that touch on state government.

The conflict of interest charge against Kitzhaber and Hayes comes amid a continuing controversy involving GOP Senate challenger Monica Wehby, whom Buzzfeed has accused of plagiarizing health care policy talking points from Karl Rove and her Republican primary challenger, Rep. Jason Conger. 

Neither charge may affect the outcome of the November election. Polls show Wehby trailing incumbent Senator Jeff Merkley by double digits and Kitzhaber's re-election has been assumed since he announced his bid for an unprecedented fourth term. However, the charges mark a significant turn in elections in Oregon, known as one of the most politically polite places in the country.

The piece about Kitzhaber, and its timing just before general election ballots arrive in voter mailboxes, is vintage Willamette Week. The lengthy story about Hayes' work was written by Nigel Jaquiss and carried the edgy headline: "First Lady Inc./Cylvia Hayes has two careers. She pursues both out of the governor’s office."

Jaquiss' piece details when Kitzhaber and Hayes became a couple and earlier brushes with conflict of interest that popped up before Kitzhaber was elected to his third term as governor. Neither Kitzhaber nor Hayes agreed to be interviewed by Jaquiss.