Thursday, Sept. 30, 2004 | 11:09 a.m.
CARSON CITY -- Gov. Kenny Guinn today called for the resignation of state Controller Kathy Augustine, who admitted to violating ethics laws by using state workers in her re-election campaign in 2002.
If Augustine does not resign, he will call a special session of the Nevada Legislature for the second week of November to begin impeachment proceedings, he said.
"This is terrible, but I have been advised by my lawyers not to talk," Augustine said.
She referred all questions to her attorney, John Arrascada of Reno, who said the controller is standing by her statement last week that she will not resign her $80,000-a-year job.
Guinn said a special session would cost $10,000 to $12,000 per day. "You cannot place a price tag on ethics when it comes to the people's business. This matter cannot linger until the start of the upcoming legislative session," which convenes in February, Guinn said this morning.
"Should Kathy Augustine decide not to resign, she does deserve a fair hearing."
Guinn joined Sen. John Ensign, Rep. Jim Gibbons and Secretary of State Dean Heller -- all Republicans, like Augustine -- in recommending she resign.
State Treasurer Brian Krolicki joined his fellow Republicans this morning in calling for Augustine's resignation. He said he had hoped that she would resign "but, regrettably, she has not done so."
"Kathy Augustine took the oath of office at the same time I did, swearing to uphold the laws of the state of Nevada," Krolicki said. "She now has an obligation to the citizens of this state that is greater than her obligation to herself."
He added that his office would work with the controller's office "to ensure that the financial affairs of the state will continue to be well performed."
Because the ethics violation is considered to be malfeasance of office under the law, the Ethics Commission forwarded its finding to the Legislature for consideration of impeachment.
Attorney General Brian Sandoval said his office has started to prepare for its involvment when and if the issue reaches the Senate. He would assist in the prosecution of the case in any Senate trial.
His office has prepared potential criminal charges but will not comment on whether they will be filed.
There has never been an impeachment proceeding in the Legislature. It would take a majority vote of the Assembly to bring the charges against Augustine. She would then have a trial in the Senate, where it would take a two-thirds majority to remove her from office or impose a lesser punishment.
"This is territory none of us have ever explored," Guinn said.
Lorne Malkiewich, director of the Legislative Counsel Bureau, said Nevada will look at impeachment procedures other states and the Congress have used and "one of reference points" will be the rules Thomas Jefferson wrote for Congress when he was vice president.
Such a procedure would include the secretary of state swearing in the Assembly and the Lt. Gov. Lorraine Hunt swearing in the Senate -- including all of the new legislators elected Nov. 2, Malkiewich said.
"You are a legislator the day after you are elected," Malkiewich said, even though the swearing-in ceremony usually occurs when the Legislature convenes months later.
The Assembly can debate the ethics commission findings and, with a majority vote of 22 members, deliver articles of impeachment to the president of the Senate, Malkiewich said. The articles are similar to an indictment in criminal court.
If Augustine resigned or were removed from office, the governor would appoint a replacement.
"The Legislature needs to resolve this matter as soon as possible, because it is faced with important budget and tax issues, such as a proposed cap on property taxes -- a far-reaching issue that touches every property and business owner in our state," Guinn said.
"The Legislature also needs to clarify and/or restructure parts of the tax legislation taken in the last legislative session."
He said these and other issues require the undivided attention of the Legislature.
"It is my hope the Legislature can proceed during the regular session without being impeded by the distraction of an impeachment proceeding," Guinn said.
Assembly Majority Leader Barbara Buckley, D-Las Vegas, said she hoped Augustine would resign before a special session is called.
If a special session is convened, Buckley said, a staff must be hired and there must be research into the procedure for conducting an impeachment process. The preparation of bills for the 2005 Legislature would suffer as a result, Buckley said.
Assembly Speaker Richard Perkins, D-Henderson, said he spoke with Guinn this morning and agreed that the Legislature should call a special session sometime after the Nov. 2 election.
"I haven't seen any remorse thus far, so I don't guess she'll do the right thing and resign," Perkins said.
Senate Minority Leader Dina Titus, D-Las Vegas, said Augustine should resign because of her "shameful" conduct in office.
"Her (Augustine's) political career is over. That's a blessing," Titus said.
But Titus said the governor's timing for the possible special session was appropriate.
"I'm glad the governor is going to wait until after the election to call a special session because so it won't become a political football," Titus said.
Guinn said that he did not want to "paralyze" the election, but said his main reason for the mid-November date was to give the parties time to prepare.
Augustine last week reached a settlement with the ethics commission to admit she used her executive assistant Jennifer Normington to do campaign work during state time. Normington coordinated campaign fund-raisers, designed invitations and maintained databases for contributions. A state computer was used for this work.
Augustine said her office workers volunteered for the assignments but she took full responsibility.
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