State ethics investigation launched into embattled Alfalfa Fire Chief Chad LaVallee as district controversies deepen

Salem, Ore. — The Oregon Government Ethics Commission has voted to move forward with a formal investigation into Alfalfa Fire District Chief Chad LaVallee, adding another layer to what has become a growing list of legal controversies and governance concerns surrounding the rural fire district and its leadership.

During the Alfalfa Fire District’s May 8th meeting, commissioners unanimously approved a motion authorizing a formal investigation following findings from a preliminary review investigation into allegations involving LaVallee. The decision comes as the Alfalfa Fire District continues to face mounting scrutiny over alleged election law violations, public meetings and records disputes, district financial and governance issues, and accusations of retaliation against journalists and critics.

According to the Oregon Government Ethics Commission’s preliminary review, investigators concluded there was a “substantial objective basis” to believe LaVallee may have violated multiple provisions of Oregon Government Ethics Law. The commission’s vote now authorizes investigators to move beyond the preliminary stage and conduct a more extensive investigation into those allegations.

Specifically, investigators recommended a formal investigation into potential violations of ORS 244.040(1), prohibiting use of public office for financial gain; ORS 244.120(1)(c), governing written conflict-of-interest disclosures and required procedures; ORS 244.177(1), Oregon’s nepotism law restricting a public official’s participation in employment decisions involving relatives; and ORS 244.179(1), which generally prohibits public officials from directly supervising relatives absent qualifying written policies.

The investigation was prompted after a local Alfalfa property owner filed a complaint with the OGEC earlier this year. Among the issues raised in the complaint was LaVallee’s hiring of his wife, and even the alleged use of an Alfalfa Fire District vehicle to commute to his second job as an interim chief of the Detroit-Idahna Fire District, a nearly 3.5-hour round-trip drive.

LaVallee’s interim role at Detroit-Idahna was quickly ended after he faced heavy criticism from local residents for quickly trying to prohibit public comment at a board meeting and for unprofessional statements attacking local citizens for their criticisms following his appointment as interim chief.

The preliminary review found evidence suggesting LaVallee may have participated in discussions involving the hiring of his wife, Leslie LaVallee, may not have submitted the written conflict disclosure required under state law, and may have used his position as Fire Chief in facilitating her appointment. Investigators also questioned whether district policies in place at the time complied with Oregon law regarding supervision of relatives.

The ethics investigation adds to what has become a mountain of controversy and legal issues surrounding the district over roughly the past year and a half — including ongoing reporting by the Prineville Review into allegations of nepotism, transparency concerns, audit compliance failures, annexation issues, and increasingly contentious interactions between district officials and members of the public.

The development also comes just days after a federal judge issued a temporary restraining order blocking the district from attempting to enforce a controversial trespass notice against the Prineville Review, including barring access to public meetings.

The federal lawsuit alleges district officials engaged in unconstitutional retaliation and sought to interfere with protected newsgathering activities. The lawsuit followed escalating tensions surrounding reporting into district operations and a slew of ongoing public meetings violations.

Additional reporting this week by KTVZ highlighted continuing instability surrounding the district following a contentious May 13th board meeting that included public criticism, confusion surrounding district leadership, levy concerns, and announcements that board members Nate Starr and Dustin Piggott intended to resign. Starr was also caught on video during the meeting, telling the audience the order was issued by a “fake” judge.

Questions surrounding district staffing explanations have also surfaced as part of the controversy. In materials reviewed by investigators, LaVallee and board members argued that Leslie LaVallee reported primarily to a “duty officer,” and that Chief LaVallee supervised her only in the absence of that individual. Investigators nonetheless concluded the district lacked a qualifying written policy governing supervision of relatives and noted that Chief LaVallee stated he had been the district’s only other paid employee during the relevant period.

A source, who worked as a firefighter for the Alfalfa Fire District, stated that there isn’t a daily appointed “duty officer,” and claims that Leslie LaVallee had also reportedly been working for a private Bend-based ambulance company, Adventure Medics, during periods she had been employed by the Alfalfa Fire District. He explained she was often not present during typical work hours at the fire station.

The issue has also drawn attention because records and prior reporting indicated Leslie LaVallee served as the district’s only other full-time paid employee while many remaining district personnel reportedly served as volunteers. Leslie LaVallee later formally resigned from the district, effective February 1st, 2026.

The resignation came shortly after officials with the Oregon State Fire Marshall’s (OSFM) office released a trove of records concerning the multiple funding grants used by LaVallee to pay not only his wife, but also to allocate money to increase his own pay.

In its 2025 report on a wildfire staffing grant, both LaVallee and his wife had nearly identical overtime hours reported, and it listed Chief LaVallee as a full-time employee, a change from earlier reports from past years that he was a part-time employee. The district and LaVallee had repeatedly stated and maintained that he was paid only as a part-time 20hr per week fire chief.

None of those decisions on increasing the chief’s pay and benefits, including authorizing the application of grant funds for his own pay and benefits, appeared to have been made by the board based on its own meeting minutes. That failure could also subject the chief to additional scrutiny for misuse of his office under Oregon’s ethics laws.

The district has already faced scrutiny involving its grant funding and staffing practices. Earlier this month, Oregon State Fire Marshal officials confirmed the district was denied the wildfire staffing grant because of concerns involving “multiple” state investigations. Separately, the Oregon Secretary of State previously confirmed an active elections-related investigation involving the district tied to reports concerning political advocacy surrounding Measure 9-184.

The ethics report also examined claims by district officials that volunteers had first been offered the grant-funded position but declined it. However, investigators noted there did not appear to be any public job posting or competitive recruitment process for the position before Leslie LaVallee was ultimately hired.

During the district’s May 13th public meeting, the Prineville Review requested comment from district board members and Chief Chad LaVallee regarding the ethics investigation and broader controversy surrounding district operations. All declined to comment.

LaVallee has denied wrongdoing and previously told investigators he did not intentionally conceal his relationship with Leslie LaVallee, that he sought guidance from the district board, and that any ethics compliance deficiencies were inadvertent and stemmed from a lack of understanding of the applicable requirements.

The Oregon Government Ethics Commission has not made a final determination, which will come within the next 180 days following the conclusion of its investigation.