A week of investigative coverage revealed several significant developments in local public institutions, ranging from labor disputes in Clallam County to final settlements in federal court. The reporting highlighted a recent arbitration decision in Port Angeles, a new lawsuit involving a school board director, and the conclusion of a long-standing financial dispute in Quillayute Valley.
Port Angeles School District: Arbitration Outcome and Legal Action
An independent arbitrator issued a ruling on July 11, determining that the Port Angeles School District failed to engage in meaningful negotiations with the union representing office professionals before reducing secretarial staff hours during the 2025 budget cycle. The award, authored by arbitrator Kenneth James Latsch, sustained the grievance brought by the Port Angeles Educational Office Professionals. Although the decision does not reverse the initial hour cuts, it mandates that the district must negotiate before transferring any additional work from the bargaining unit. Latsch maintained jurisdiction over the case for 60 days to address any potential disagreements regarding the remedy.
Following this arbitration, Director Nancy Hamilton filed a 16-page complaint in Clallam County Superior Court on July 14. Represented by the Seattle-based education law firm Cedar Law LLP, Hamilton is seeking a judicial declaration that the board’s June 18 censure resolution was arbitrary, capricious, or contrary to law. The lawsuit also alleges violations of the Washington Open Public Meetings Act. The complaint outlines six causes of action, including claims for federal First Amendment retaliation and prior restraint. It specifically challenges a new protocol that requires Superintendent Michelle Olsen to obtain full board approval before processing an individual director’s information requests.
Hamilton’s filing provides her most extensive account to date of the May 26 executive session, describing it as an ambush and alleging that the board held private serial meetings that were not fully disclosed in public notices. In contrast, the board’s censure resolution characterizes Hamilton’s actions as burdensome information requests and unauthorized disclosures of executive-session details. Hamilton maintains that she followed legal guidance and committed no violations. As of the latest reporting, the district had not yet filed a response in court.
Quillayute Valley School District: Final Settlement
The financial dispute in the Quillayute Valley School District has reached its conclusion. A Satisfaction of Judgment filed in U.S. District Court on July 2 confirms that the district has fully paid former assistant cross-country coach Kari Larson the sum of $765,834.77. This payment closes the federal lawsuit in which a jury previously found the district liable for creating a hostile work environment.
While the jury’s original verdict awarded $250,000, the district’s total obligation more than tripled due to attorneys’ fees, litigation costs, and interest. The source of the funds—whether from a risk pool, insurance, or reserves—ultimately represents a cost borne by the public taxpayers. This settlement resolves the district’s legal debt, though it leaves open the ongoing questions from parents regarding what administrative changes have occurred and who has been held accountable for the verdict.
Following the submission of that filing, the Quilcene Valley School District board scheduled a special session for Wednesday at midday, with the agenda indicating that nearly the entire gathering would be held in closed session to address litigation and review job candidates.
No time was allotted for public testimony, and the noon convening time falls within the standard workday, potentially preventing many working guardians from participating.
Disclosures, Outrage, and a Silenced Page
Our most significant accountability reporting this week focused on Kitsap County Superior Court Judge Cadine Ferguson-Brown, who regularly sits as a visiting judge in the Clallam County courthouse.
On Thursday, we released our examination of her campaign finance history, drawing on Public Disclosure Commission records covering two elections, two counties, and two years.
In 2023, PDC staff issued Ferguson-Brown a formal written warning for failing to timely and accurately disclose in-kind contributions.
Within a year, her subsequent campaign again omitted an in-kind contribution—her own $2,173.91 candidate filing fee—from public filings, disclosing it only after a citizen complaint. The PDC dismissed both matters without imposing fines, but the warning remains on file, to be considered if a future issue arises.
That same day, we published a commentary analyzing the growing community anger across Kitsap County regarding the judge's record, including her June 5 decision granting a Special Sexual Offender Sentencing Alternative to a convicted Silverdale child molester, and outlined the statutory tool available to prosecutors: the Notice of Disqualification under RCW 4.12.050.
The subsequent events became news in their own right. On Thursday evening, comments posted by members of the public on the "Judge Ferguson-Brown" Facebook page began to vanish.
By Friday morning, the public could no longer post comments on a page that operates under her judicial title, is categorized by Facebook as a "Public & Government Service," and links to her campaign website.
On Friday afternoon, I sent a letter to Judge Ferguson-Brown, copying Kitsap County Superior Court Presiding Judge Jennifer Forbes, requesting that the deleted comments be restored, the restrictions be lifted, and all records regarding the page's administration be preserved in anticipation of potential litigation.
Both judges were offered the opportunity to comment before publication. Neither had responded by press time.
Precedent From the Court of Appeals
It was a remarkable week at Division Two of the Washington State Court of Appeals, which issued two published opinions that will bind trial courts statewide.
In a $10.9 million tax dispute, the court overturned a Thurston County judgment in favor of Chicago Title Insurance Company, determining that remotely performed title insurance and escrow services are sourced to Washington for tax purposes when purchasers make first use of them here, where the real estate sits.
As service industries shift operations out of state while continuing to sell to Washington customers, the ruling clarifies that the location of the purchaser's use of the service is what matters, rather than where a company locates its back office.
In a case of first impression out of Pierce County, the court ruled that a trial judge overstepped by disqualifying the entire Pierce County Prosecuting Attorney's Office from a case in which the alleged victim of one charge was a deputy prosecutor in that office. The panel determined that screening the individual conflicted prosecutor was sufficient.
The Fourth Division of the Washington Court of Appeals recently issued an unpublished ruling that overturned a domestic violence no-contact violation conviction for a Kitsap County resident. The appellate panel determined that the prosecution did not establish beyond a reasonable doubt that a telephone call placed by an acquaintance to the man’s former spouse regarding a recently acquired vehicle constituted contact "through a third party." While this specific count was reversed, the defendant’s other convictions were upheld, and the matter has been remanded to Kitsap County Superior Court for a new sentencing hearing.
Federal Detention Disputes
In related federal proceedings, U.S. District Judge Tiffany M. Cartwright rejected a motion to release Jonathan E. Karns, a 44-year-old defendant, into a 30-to-45-day inpatient substance abuse program. During a hearing held in Tacoma, the judge ordered Karns to remain in custody. The defense had previously argued for his release, drawing a sharp contrast between his situation and that of his co-defendant, former Clallam County Drug Court Coordinator Johnny Watts Jr., who was granted bond despite allegations linking him to a significantly larger quantity of narcotics. Prosecutors countered that Karns’ history of supervision indicated he was unlikely to comply with court-ordered conditions.
Karns is accused of possessing at least 40 grams of a fentanyl mixture with the intent to distribute, illegally possessing a firearm, and carrying a pistol to facilitate drug trafficking. Both Karns and Watts have entered not guilty pleas, and the case is scheduled for a jury trial beginning August 17.
Local Felony Proceedings
In Clallam County, a 26-year-old Port Angeles man, Elijah D. Creed, entered a not guilty plea on Tuesday, July 14, to a charge of second-degree assault by strangulation. The offense is classified as a domestic violence crime. Creed was apprehended on July 6 as he was leaving a Clallam County courthouse. Probable cause documents indicate that the alleged victim stated Creed grasped her neck, preventing her from breathing or speaking. Creed maintained during the investigation that he was acting in self-defense and did not strangle the woman. He is currently incarcerated pending trial, with a $20,000 bail set, and is scheduled to stand trial on September 8.
Separately, a 41-year-old Port Angeles woman, Deanna L. Long, has been charged with third-degree assault of a law enforcement officer. The incident occurred during a welfare check on a Wednesday evening, which escalated into a physical struggle. Police reports allege that Long kicked an officer in the abdominal area while being secured into a patrol vehicle. Dispatch records indicated that a felony arrest warrant was already outstanding for the woman at the time of her detention. Judge Elizabeth Stanley found probable cause for the charge and established bail at $10,000.
School District Financial Audit
The Washington State Auditor’s Office recently identified a material weakness in the internal controls of the North Kitsap School District regarding the management of federal Title I funds. These federal resources are designated for students who are at risk of academic underperformance. The audit revealed that the district failed to secure mandatory time-and-effort documentation for 16 employees. The payroll costs associated with these staff members totaled $796,079, which represented approximately 72 percent of the district’s annual Title I expenditure.
Although the district eventually submitted the signed records during the audit period and no specific costs were disputed, the lack of verification for the majority of the year meant that the district could not confirm that federal payments corresponded to work actually performed. The district has since reinstated its certification procedures to address the issue.
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