Claim against college system settled

Wednesday, Sept. 10, 2003 | 11:28 a.m.

CARSON CITY -- A Las Vegas woman who didn't get a promotion in the University and Community College System of Nevada is going to get a $142,500 settlement from the state, even though the university followed the correct procedures.

The state Board of Examiners Tuesday agreed to the out-of-court settlement with Sharolyn Craft, who was regional director of the Nevada Small Business Development Center in the system in Las Vegas.

When a reorganization of the center was announced, a statewide director's position was created to be based in Las Vegas. Craft was never interviewed for the post and said she was more educated and more experienced than Michael Graham, who got the job.

Craft's title was changed, but her salary remained the same in the reorganization approved in July 2000 by Joe Crowley, former president of the University of Nevada, Reno, which oversees the business center. Graham worked for UNR.

Stan Miller, in charge of processing tort claims for the state attorney general's office, told the Examiners Board that the university "did not do anything technically wrong but the perception is that they did."

The university was not obligated to interview for the position, he said. Craft maintained a search should be conducted for every position.

Gov. Kenny Guinn, chairman of the Examiners Board, said this happens all over the state.

"We appoint people at-will without interviews," he said.

Still, Guinn told university counsel Mary Dugan to relay the message to Chancellor Jane Nichols that "Someone ought to take a look at this. It's a simple process to interview."

Secretary of State Dean Heller wondered if the case would set a precedent that would expose the state to further claims when an individual is appointed to an unclassified job.

Craft sought $200,000 but agreed to take $142,500. Dugan said if the case went to trial and Craft won only $1, she would still be entitled to fees for her attorney that would exceed the $142,500.

In other action, the Examiners Board recommended the release of $5.5 million from a reserve fund to pay the state Department of Taxation's start-up costs to collect new taxes passed by the Legislature.

The Legislature set aside $12.5 million for these costs. The board also recommended that $952,632 be given the state Gaming Control Board to cover the expenses of collecting the new live entertainment tax.

The Legislative Interim Finance Committee that meets Sept. 16 must give final approval to the allocations.

The board also recommended that $479,482 be allocated by the Interim Finance Committee from its emergency fund for the Desert Research Institute to conduct its cloud-seeding program in western Nevada to bring more rain and snow to the area.