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Sandoval says it's 'time to move on' from Laxalt-Burnett issue, independent counsel for gaming board unnecessary

Michelle Rindels
Michelle Rindels
GamingLegislature
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A week after promising to “vigorously defend” gaming regulators against accusations that they were colluding with Democrats over a secret recording of Republican Attorney General Adam Laxalt made by the state’s top gaming regulator, Gov. Brian Sandoval now says it’s “time to move on” from the issue and that he’s proud of Laxalt.

Sandoval’s comments, made to a local broadcast station Monday after a Reno economic development event, come after his only substantial public statements on the matter were defending Gaming Control Board Chairman A.G. Burnett from what the governor called “empty claims” against his character. Indeed, it was Sandoval’s general counsel that recommended a surreptitiously taped recording be forwarded to the FBI.

But Sandoval waved off the need for an independent lawyer for the board — something that Democrats said was necessary because regulators had lost trust in Laxalt as their counsel.

“I’ve had the opportunity to visit with the gaming regulators and with the attorney general’s office,” Sandoval said Monday in comments first reported by the Las Vegas Review-Journal and confirmed by the governor’s spokeswoman, Mari St. Martin. “I think everybody agrees that this is an isolated incident and that there’s no need to provide for independent counsel.”

A bill to implement an independent attorney — AB513 — was the subject of a 2 ½ hour, courtroom-style legislative hearing last week that featured direct testimony from Burnett and Laxalt.

“It was important to have that hearing,” the Republican governor said. “It was important to get the facts out there. But now that all the facts are out there, I think everybody understands that it’s time to move on. And as I said, having spoken with regulators, they’re comfortable with the representation they’re getting.”

"The debate over whether gaming regulators should retain independent counsel like the PUC, Ethics Commission and other state boards is not new and has been discussed for decades," gubernatorial spokeswoman Mari St, Martin told The Nevada Independent Monday evening.  "Last year, gaming regulators considered a similar request for independent counsel but the concept was not included in the executive budget. After further consultation between the governor’s office and current regulators, including Gaming Commission Chairman Tony Alamo and Gaming Control Board Chairman A.G. Burnett and the Attorney General's Office, the governor concluded there is no need for independent counsel at this time. He has confidence in state gaming regulators, the Attorney General, and the current system as it exists."

Burnett covertly recorded a conversation between himself and Laxalt in March 2016 over concerns that the attorney general’s request for the state to intervene in a private lawsuit involving the Las Vegas Sands were ethically questionable. Upon consulting with Sandoval’s general counsel, Burnett turned the tape over to the FBI, which determined that no criminal action had taken place.

After The Nevada Independent broke the news of the recording earlier this year, lawmakers subpoenaed the tape and scheduled a hearing to gather more details.

At the hearing, Burnett argued that he recorded the hastily arranged coffee-shop talk out of an abundance of caution because the Sands was subject of multiple investigations and he’d already turned down several requests to intervene in the contentious suit. Laxalt said the conversation was absolutely routine and blamed Democrats for “wrongfully acting in their own political interest.

Republican Senate Minority Leader Michael Roberson, who’s thought to be mulling a lieutenant governor bid in tandem with Laxalt’s expected gubernatorial bid, accused Burnett of malfeasance in a statement May 12.

That triggered Sandoval’s defense of Burnett.

“Comments made recently about his character are groundless,” Sandoval said. “I will not hesitate to vigorously defend our regulators and staff against empty claims seeking to blemish that reputation.”

Sandoval’s comments on Monday bolstered Laxalt, who’s differed from him on a range of policy issues.

“We’re proud of our attorney general’s office and our attorney general,” Sandoval said.

Nevada Independent reporter Riley Snyder contributed to this report.

Feature photo: Republican Attorney General Adam Laxalt testifies before lawmakers on May 17, 2017, in Carson City. Photo by David Calvert.

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