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Emails show how former
Gov. John Kitzhaber’s
environmental principles and
his friendship with a campaign
contributor collided.
By NIGEL JAQUISS
njaquiss@wweek.com
John Lofflin
Another Kind
of Green
state while also running for re-election.
Kitzhaber did not respond to questions for
this story.
Last year, Campbell proposed hosting a
“Frontier Oregon Summit” at his ranch to
promote economic development in Eastern
Oregon. The event fell in the middle of Kit-
zhaber’s campaign for his fourth and final
term. When Campbell emailed him about his
idea, Kitzhaber responded with enthusiasm.
“Your invite list is excellent,” Kitzhaber
wrote to Campbell on June 8, 2014. “If you
want me to co-sign a letter to the list I would
be glad to do so.”
Kitzhaber’s environmental staff was far
less enthusiastic about the prospect of the
governor headlining an event that would
bring dozens of business and political lead-
ers to Silvies Valley Ranch.
“Governor: I am going to be very direct,”
Richard Whitman, Kitzhaber’s natural
resources adviser, wrote June 20, 2014.
“There are some serious problems with how
Silvies Ranch has carried out its work.”
Scott Campbell operates on a Bunyanesque
scale. He bought and expanded Banfield Pet
Hospital, creating a chain of 750 veterinar-
ian clinics, before selling the company in
2007. The Southeast Portland resident then
turned his energy to his ranch near John
Day—all 140,000 acres of it.
Campbell has had grand plans for Silvies
Valley Ranch. For more than a decade, he’s
been building artificial beaver dams and
other water diversions to restore natural
habitat and boost hay production. He’s
imported South African Boer goats, a hardy
breed that mows down invasive plants and
barbecues up nicely.
Last year, Kitzhaber, a Democrat, generated
The high-desert ranch has a 6,000-foot an unusual level of support from business
runway, making it the best place in Grant and timber interests that historically sup-
County (pop. 7,283) to land a private plane. port Republicans.
Campbell is building a resort—his plans call His appearance at Campbell’s Frontier
for 575 units—and develop-
Oregon Summit would high-
ing a 36-hole, eco-friendly online: This story is part
light his commitment to one
golf course.
of his top priorities, creating
of a WW series based on
But records show, in his emails that former Gov. John
jobs in rural Oregon.
office attempted
desire to bring economic Kitzhaber’s
With his ambitious plans
to delete from state
development to what he computers. Read more at
for Silvies Valley Ranch,
calls “Frontier Oregon,” wweek.com/kitzhaberemails.
Campbell gave Kitzhaber
Campbell has skirted state
the opportunity for a perfect
environmental regulations.
campaign event.
His water diversion projects blocked Campbell had already established him-
passage of endangered redband trout, and self as one of Kitzhaber’s top individual
at least one building project’s septic systems contributors, giving him $20,000 for his
fell afoul of Oregon Department of Environ- 2010 campaign for governor. Campbell’s
mental Quality rules.
name wasn’t on the checks. Instead, he used
Campbell’s aggressive approach to two of his companies to direct the cash.
regulations proved no barrier to a warm When the 2011 Oregon Legislature
friendship with then-Gov. John Kitzhaber, opened, Campbell sought a controversial
a politician whose environmental views bill that benefited just one party: his Silvies
were a pillar of his 35-year political career. Valley Ranch.
That career ended with his Feb. 18 resigna- In most cases, ranch land is zoned so it’s
tion amid growing allegations of influence limited largely to agricultural use. But state
peddling and conflicts of interest involving Rep. Brian Clem (D-Salem) pushed House
him and former first lady Cylvia Hayes.
Bill 3465 to allow Campbell to develop his
Kitzhaber’s emails provide a glimpse of massive resort despite land-use rules that
his friendship with Campbell, a big cam- would have stopped him.
paign contributor. The emails—from the Opponents saw the bill as an end-run
accounts that Kitzhaber’s office sought to around Oregon’s land-use laws. “This was
delete from state servers Feb. 5—show how a one-off deal that benefits one party,” says
the governor tried to balance running the Stephen Kafoury, a lobbyist for the Ameri-
ANIMAL MAN: Scott Campbell made a fortune from the Banfield
Pet Hospital. His latest venture is Hannah the Pet Society, which
provides pets, food and veterinary care for a monthly fee.
can Planning Association.
Kitzhaber expressed concerns about
measures that provide special deals—and
then signed the bill into law anyway.
Campbell gave Kitzhaber another
$21,000 in 2012, this time writing checks
in his own name, and followed in May
2014 with $25,500 more. As he did in 2010,
Campbell channeled the 2014 donations
through his companies.
Campbell says he made no attempt to dis-
guise his donations but simply wrote checks
from company accounts rather than his per-
sonal checkbook. “Anyone can find out who
owns any company in Oregon,” he says.
In June 2014, Campbell sent an email to
Kitzhaber’s personal account about his plan
for a Frontier Oregon Summit.
Campbell wanted the summit to advo-
cate less government red tape, especially
for rural businesses.
“State agencies must adopt a culture of
helping to make things happen, instead of
allowing things to happen only if they can’t
be stopped by a regulation,” Campbell wrote
in a June 8, 2014, memo to Kitzhaber under
the heading “Expected Outcomes from the
Summit.”
“Laws must be enacted to allow eco-
logical enhancement to happen quickly
and without costly, unnecessary permitting
requirements.”
Emails show Kitzhaber asked Campbell
to add a name to the list of speakers: first
lady Cylvia Hayes. “Cylvia has been working
on the poverty issue for the past three years
and might have something valuable to con-
tribute,” Kitzhaber wrote June 8, 2014.
Campbell revised his agenda but ignored
Kitzhaber’s request. Hayes wasn’t happy.
“I’d like to actually make some com-
ments during our day one wrap up session
rather than just being introduced,” she
wrote to Kitzhaber on June 19, 2014. “I’d
like to introduce the concept of economic
reinvention and give a couple brief exam-
ples of rural communities that are doing it.”
Kitzhaber circulated Campbell’s agenda.
Whitman, Kitzhaber’s natural resources
adviser, voiced objections. Whitman had
been in close touch with state regulatory
agencies, and became concerned at what he
learned about Silvies Valley Ranch.
The message from Whitman was par-
ticularly candid compared to other emails
Kitzhaber received from his staff.
“[Silvies Valley Ranch has] carried out
cont. on page 9
Willamette Week MARCH 4, 2015 wweek.com
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