Former Oregon Secretary of State fine increased, ordered to pay $3,600 after ethics investigation
Published 1:29 pm Friday, May 9, 2025
- Fagan was elected as the Secretary of State in 2020, but resigned from the position in May 2023. (Courtesy of the Secretary of State's office)
Former Oregon Secretary of State Shemia Fagan must pay $3,600 in fines to the state over her decision to accept a lucrative side gig consulting for a marijuana company involved in an audit her office conducted.
The Oregon Government Ethics Commission in a meeting on Friday found Fagan used her position as the state’s second-highest elected official and chief auditor in 2023 to obtain a $10,000-per-month consulting side gig for marijuana entrepreneurs, and that she requested excessive state reimbursements for work trips to use an SUV and larger hotel room to accommodate herself, her kids and dog — who she called the “Secreterrier of State.”
The commission unanimously rejected a $1,600 proposed fine and instead approved a $3,600 fine for Fagan. Fagan will also receive an education letter, or a letter from the commission explaining the law and how to comply with it in the future.
Fagan, alongside her lawyer, attended the meeting. She said she has spent the last two years in “bittersweet reflection” about her time in Oregon politics.
“Now I’m sitting here and I know that my actions were indefensible, embarrassing mistakes, bad judgment and I’m sorry,” she told the commission. “Whatever fine you decide to impose on me today, I will accept it.”
Fagan in violation for two out of three cases against her
Fagan was elected as the Secretary of State in 2020, but she resigned from the position in May 2023, after Willamette Week reported that she had taken a consulting job with the owners of a prominent but troubled cannabis company, La Mota. Fagan’s moonlighting for La Mota’s owners came as the Audits Division of her office was completing an audit of Oregon Liquor and Cannabis Commission, which regulates marijuana companies. Current Secretary of State Tobias Read withdrew that audit in March, saying it didn’t meet proper auditing standards.
Fagan previously blamed her $77,000-per-year salary — which is among the lowest in the nation for secretaries of state — for why she needed to find outside employment. Oregon’s elected officials in the executive branch have some of the lowest pay rates in the nation, and increasing salaries requires legislative approval. Voters last November rejected a ballot measure that would have allowed a commission to set salaries for elected officials without legislative approval.
The ethics commission investigated three cases related to Fagan’s conduct. First, it investigated whether she failed to properly disclose a conflict of interest for her consulting job. The commission found no violation or evidence of such a conflict. Second, it looked into whether she used her position to secure a private consulting contract, which the commission found she did. Lastly, the commission reviewed her use of travel reimbursements and determined that she was in violation.
Fagan received an additional $1,089 in reimbursements than what she would have received if she had traveled alone rather than with her family and dog, said commission executive director Susan Myers.
Commission Chair David Fiskum thanked Fagan for appearing in person at the meeting and for her apology.
“We genuinely do appreciate your intent, you being here today and to be compliant with our agenda and our process,” he said.