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A year after retiring under a cloud, former chancellor Dan Klaich returns to public sphere

Michelle Rindels
Michelle Rindels
EducationGovernment
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Former NSHE Chancellor Dan Klaich is seen in this headshot. Courtesy NSHE.

A little more than a year after a controversy prompted him to step down from the top post at the Nevada System of Higher Education, former Chancellor Dan Klaich is returning to the public sphere.

Klaich, 67, made his first appearance as an at-large, voting board member for the Governor’s Office of Economic Development last week. On Monday, a science-focused education nonprofit called Sierra Nevada Journeys announced him as a new member of its board.

“That was a call out of the blue from the governor,” he said of his place on the economic development panel, where he served as an ex officio, non-voting member during his time as chancellor. “He suggested that given my background and the time I’d spent on the board as a non-voting member — he thought I’d be a good public member … I told him I’d be very happy to.”

Klaich, who held a variety of roles at NSHE over the course of more than 30 years, has been maintaining a low profile since regents reluctantly approved an early retirement package for him last May.

The former chancellor was accused of misleading state lawmakers about the level of coordination between his staff and a paid consultant called the National Center for Higher Education Management Systems while the state was developing a formula for dividing money between its colleges and universities. A Las Vegas Review-Journal investigation that examined Klaich’s emails from 2011 and 2012 called into question the independence of a consultant that was presented to lawmakers as impartial; evidence included a memo written by Klaich’s staff but on the consultant’s letterhead.

Steven Horsford, a Democratic former state senator who was chair of the legislative committee working on the formula, was among the critics of Klaich’s actions.

"If this shows anything, it shows that the Legislature is not in charge. If anything they're being used as tools,” he told the newspaper last spring. “That has to change."

Klaich told regents in a public meeting that he regretted the tone and content of some of his emails but said he didn’t intend to mislead lawmakers. Two attorneys who work for the regents and reviewed the emails said they couldn’t find a legal basis for firing the chancellor, but Klaich said he wanted to retire early because his presence had become a distraction.

In a 12-1 vote, the regents approved his early retirement and pay through the final year of his contract — more than $300,000.

"Paying the chancellor a year's salary if we've found he's done nothing wrong is my least favorite option," Regent Trevor Hayes said upon approving the deal. "Either the chancellor did something wrong or he didn't, and I don't think we should allow folks from the outside to pressure us."

Asked if he regretted how the situation unfolded and whether it had hampered his ability to return to public life, Klaich said no.

“I’m doing exactly what I want to be doing right now. I’m not looking for a job or anything else,” he said. “I’ve just been a happy, retired guy. I’ve been spending a lot of time with my family, with my kids, with my grandchildren, going to school programs that I missed too often in the past 42 years.”

He said he was looking forward to vetting companies that seek tax abatements to move to Nevada. He was also enthusiastic about the man selected to take his old position as chancellor — Thom Reilly.

“I’m very excited about Thom coming on. I think he’s incredibly well-qualified for the job at this time,” Klaich said. “I think he’ll be very good for higher education in Nevada.”

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