The Oregon Government Ethics Commission on Aug. 8 launched an investigation into whether state Rep. Greg Smith, R-Heppner, violated state law regarding the reporting of income sources, marking the third probe into potential violations by Smith in recent months.
The commission voted unanimously to open an investigation into whether Smith violated state laws when he failed to disclose income from the Morrow Development Corporation in his 2024 and 2025 Statements of Economic Interest.
Smith did not appear or speak during the meeting and did not immediately respond to a request for comment.
He has been a representative of Oregon's House District 57 since 2001. The district includes Umatilla, Morrow, Gilliam, Sherman, Wheeler, Wasco, Jefferson, Marion and Clackamas counties.
State Rep. Greg Smith failed to disclose client, preliminary review says
Public officials must list in their annual disclosure statements the name, principal address and a brief description of any source of income that accounts for 10% or more of their household's total annual income. As of 2024, they are also required to list additional information about sources of income for listed businesses.
They are required to list clients who contribute 10% or more of the business's gross annual income and have a legislative or administrative interest in the public body that the public official serves.
A complaint alleged that Smith's income from the Morrow Development Corporation meets the criteria and should have been reported. According to the preliminary review report, Smith confirmed MDC does contribute more than 10% of income for Gregory Smith & Company, LLC, which is focused on business development.
The report added that because the Morrow Development Corporation is registered to do and does business in Oregon, it appears to have a legislative or administrative interest in the Legislature.
The investigator said Smith contended, however, that he had called OGEC for advice this year regarding whether he needed to report the income from MDC. The investigator said the call included "a couple" of different topics related to the SEI filing and that she could not recall if Smith inquired specifically about MDC.
"Still, due to the failure to disclose Morrow Development Corporation on both his 2024 and 2025 SCI, there is a substantial objective basis to believe that Representative Smith failed to report a client that constitutes 10% or more of his business's income and has a legislative or administrative interest," investigator Casey Fenstermaker said.
Both filings have been amended to include MDC as of Aug. 8.
OGEC opened investigations into state Rep. Greg Smith earlier in 2025
The Aug. 8 vote is not the first time the ethics commission has taken action related to Smith in 2025.
On June 13, the commission opened an investigation into Smith's role as executive director of the Columbia Development Authority.
Commissioners are investigating whether Smith improperly used his position when he received a pay raise from $129,000 to $195,000 and failed to disclose an apparent conflict of interest in the process.
The pay raise was later reversed, according to reporting from the Malheur Enterprise.
Smith also received a letter of education in lieu of a financial penalty in March for another investigation the commission had opened on Jan. 24.
The commission investigated Smith's failure to list Harney County as a source of income for his business, even though Harney County contributed more than 10% of the business’ gross annual income and has a legislative or administrative interest in his decisions or votes as a representative.
The actions described constitute one violation of state ethics law, the commission's final order said.
In addition to the ethics cases, Smith is also a defendant in a $6.9 million lawsuit filed in July by Oregon Attorney General Dan Rayfield against a group of Morrow County officials.
The lawsuit alleges eight officials, including Smith, abused their positions as board members of a nonprofit named Inland Development Corp. when it sold a for-profit subsidiary, Windwave Communications, to themselves.
The lawsuit claims Windwave was valued at $9.5 million but was purchased for $2.6 million.
"These were people in power who knew that Windwave was about to explode in value—and instead of protecting the public’s interest, they cashed in," said Rayfield in a July 15 press release.
Dianne Lugo covers the Oregon Legislature and equity issues. Reach her at [email protected] or on X @DianneLugo.
This article originally appeared on Salem Statesman Journal: Oregon Government Ethics Commission investigating Rep. Greg Smith
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