Augustine employee quits after testifying

Thursday, Dec. 9, 2004 | 9:51 a.m.

CARSON CITY -- A state controller's office employee who testified against her boss Kathy Augustine during the controller's impeachment trial has quit the office.

Sherry Valdez, an accounting assistant, said Wednesday, she knew her job at the controller's office had been "in jeopardy" as a result of her testimony at the state Senate trial.

The trial ended Saturday and state Treasurer Brian Krolicki hired Valdez over the weekend. She turned in her resignation Monday giving a week's notice. Her last day in the controller's office will be Friday.

Valdez, who has worked in the controller's office since 2001, said Augustine has not spoken to her since returning to the office Monday. Valdez said she is leaving because of the atmosphere in the office.

Valdez was the only current employee in the controller's office who testified that she did some political campaign work for Augustine on taxpayers' time in 2002.Valdez said she stuffed envelopes with campaign materials for several hours. She also testified that she saw Augustine's executive assistant Jennifer Normington working on the campaign.

During the testimony, Valdez said she was "extremely uncomfortable" and at times was trembling when she spoke.

"I considered lying but then I decided to tell the truth even if my position was in jeopardy," she said.

Valdez said she has already suffered because of her involvement in the case. She said she was backup to the executive assistant to Augustine. But when it was revealed that she was going to testify, she lost that position. She said that was retaliation.

The controller denied that allegation.

Augustine said today that Valdez's job was not in danger.

"We have never treated her unfairly," Augustine said. "We have never had any problem at all with her."

Augustine said she has not seen or talked to Valdez since returning to the office Monday.

The controller noted that Valdez had been promoted in her office. Augustine also noted that Valdez did not give the customary two-weeks notice about her departure.

Augustine was convicted of misuse of state equipment for political purposes. The Senate however did not convict her of misusing state employees and the state computer in her re-election campaign.

Krolicki, who had suggested that Augustine resign before the impeachment trial, said he hired Valdez during the weekend and she will start on her new job in the treasurer's office next week

"She (Valdez) is extremely competent and will be a great addition to the treasurer's office," said Krolicki. He said she will be assigned a special project working on the unclaimed property program in Carson City. Her salary will remain the same.

Valdez, who is in the classified service that is protected by the civil service system, testified at the trial that she was afraid she would lose her job if she didn't do the campaign work. "You do the job when told. I was afraid of the consequences."

Former employees of Augustine testified that they performed campaign chores on state time because they feared for their jobs.

Valdez testified that while no one had been fired by Augustine but added "A lot of people have left" the office.