Independent Investigator’s Report Reflects Reforms at Clean Water Services

Completion of a forensic investigation is the final accountability measure of the CWS Board’s Resolution & Order on rebuilding trust

Washington County, Oregon — The results of an intensive financial investigation demonstrate that Clean Water Services (CWS) made significant changes over the last eight months that align with an independent investigator’s findings and recommendations.

The final forensic investigation report from Morones Analytics is available online, along with the management response by CWS. The CWS Board of Directors will receive and discuss the report and management response at a public work session on January 13, 2026. Additional information about the report and CWS actions in response to the findings is available on the CWS website.

Morones Analytics — a third-party investigator — used accounting, auditing, and investigative techniques to examine CWS training, travel, and meal expenditures. The investigator analyzed spending trends and examined whether transactions during fiscal years 2022, 2023, 2024, and the first eight months of fiscal year 2025 complied with federal per diem guidelines for public employees and with CWS policies.

All the issues identified in the investigator’s report have been addressed, primarily through the implementation of new policies and through changes in procedures and practices. CWS leadership continues to refine policies and is exploring a small number of remaining recommendations. See the Forensic Investigation FAQs for details about the recommendations and how they are being addressed.

Completion of Board R&O

With the report, CWS has completed the final step of the Board’s Resolution & Order 25-5, which included directives and deadlines to audit travel and meal expenditures, review and update policies and plans, restrict executive spending, evaluate insurance, and require training for all employees.

“I recognize and appreciate the opportunities for organizational improvement identified by this in-depth investigation, as well as the Board’s other directives,” Interim CEO/General Manager Rick Shanley said. “We are committed to building on these improvements to ensure our customers can have confidence in the investment of their ratepayer dollars to provide essential sewer and stormwater services.”

CWS made a number of changes since the Board issued its Resolution & Order in April 2025, including:

Training for all staff on spending, travel, and training covering what is required by federal and state law, as well as by CWS policy.
The return of purchasing cards by executive management team members and a comprehensive review of executive expenses by the CWS finance department.
Revised policies covering travel and training, as well as meal and refreshment purchases.
A third-party domicile review that informed R&O 25-22, directing re-domestication of Clean Water Insurance Company from Hawaii to Arizona.

“Needed improvements have been identified and acted upon, and the Board takes seriously our role in providing oversight and requiring accountability,” Board Chair Kathryn Harrington said. “What has never changed is our appreciation of the employees of Clean Water Services, who work 24/7 to protect our community’s health and the environment. Their thoughtful planning, innovative thinking, and dedication to public service have kept rates among the lowest in the region despite operating under some of the strictest regulations in the nation due to the sensitivity of the Tualatin River.”

Harrington continued, “The challenges of our watershed require consistent investment in CWS employees, who have shaped Washington County’s sewer and stormwater utility into a global leader. Remaining connected to the water sector through travel and training feeds innovation and has helped CWS pursue groundbreaking scientific advances and lower cost alternatives to building expensive treatment infrastructure.”

More information on CWS’ actions enhance transparency and accountability is available on the CWS website.

Clean Water Services is a county services district organized under Oregon Revised Statute 451. CWS works with Washington County and 12 partner cities to provide sewer and stormwater services in the urban areas of the Tualatin River Watershed to more than 610,000 customers and businesses. The conveyance and treatment of wastewater by CWS produces billions of gallons of clean water that are returned to the sensitive Tualatin River. CWS employs more than 450 people, who are committed to successful, uninterrupted operations 24 hours a day, 7 days a week, 365 days a year that protect public health and the environment. The CWS Board of Directors is made up of elected officials who also serve as Washington County Commissioners.