Dec. 23—New Mexico Attorney General Raúl Torrez announced Saturday that his office will begin an inquiry into what he called a “golden parachute” given to Western New Mexico University President Joe Shepard by the institution’s governing board on Friday, when Shepard agreed to step down from his post early next year following numerous ethics investigations.
The college’s board of regents unanimously scrapped Shepard’s original contract, set to expire in 2027, and replaced it with a separation agreement that says he is entitled to $1.9 million once he steps down as president on Jan. 15, and full professorship in the School of Business with a base salary of $200,000 per year.
Torrez said in a news release that his inquiry will examine Shepard’s buyout, which he called “extremely concerning,” and whether the board of regents has “satisfied its fiduciary duty to the university and the taxpayers of New Mexico.”
Torrez’s inquiry comes as the Silver City campus attempts to turn the page on Shepard — who has served as president since 2011 — but can’t quite seem to do so as multiple state agencies investigate Shepard’s and the board’s spending.
The spending includes more than $363,000 for 402 instances of “extravagant” travel and 91 instances of purchasing by Shepard, his wife, ex-CIA Agent Valerie Plame, and members of the board, according to an investigation by State Auditor Joseph Maestas made public last month.
The State Ethics Commission immediately picked up the auditor’s findings to launch its own probe, which could result in a civil lawsuit in state court. The New Mexico Department of Higher Education and the university itself are both conducting audits, which are expected to be complete next year.
AG spokesperson Lauren Rodriguez did not immediately respond to a request for comment Monday. Reached by text Sunday, WNMU spokesperson Mario Sanchez referred back to letters by Shepard and Board of Regents Chair Mary Hotvedt to the campus community.
Hotvedt wrote that Shepard displayed “excellent leadership” over 13 years and the agreement to part ways is “in no way meant to reflect negatively” on him. During a previous board meeting, when several community members asked Shepard and the entire board to resign, Hotvedt said that the board had complied with all audits on wasteful spending and made reforms to prevent future conduct, but that WNMU was being treated unfairly in the court of public opinion.
In the letter announcing his resignation, Shepard said his decision to leave was “not in defeat but with a deep understanding that it is the right thing to do.”
Silver City resident Elizabeth Foster praised Torrez’s inquiry.
“There should be a thorough investigation by the Attorney General’s Office into the funds — I mean, we have heard such outrageous stuff,” Foster said. “I wish (the investigation) had happened earlier.”
Foster also called Shepard’s new contract “ridiculous” and said she believes the outgoing president should not even receive one.
But more than that, “(Shepard) should not have anything to do with WNMU at all,” and be held accountable according to the law, Foster said.