Lawmakers say Gov. Kristi Noem's closed-door meeting with daughter violated public trust

Joe Sneve
Sioux Falls Argus Leader
South Dakota Governor Kristi Noem answers questions during a press conference at the State Capitol on Thursday, Jan. 27.

South Dakota lawmakers are condemning Gov. Kristi Noem for holding a closed-door meeting with her daughter and various state employees overseeing the South Dakota Appraiser Certification Program in 2020.

A formal resolution was filed in the state House Thursday calling the actions of the governor related to her involvement in Kassidy Peters' appraisal certification "unacceptable," and that she "failed to meet the expectations that South Dakotans have of their leaders."

The prime sponsor, Rep. John Mills, R-Volga, told the Argus Leader he believes a conflict of interest occurred when Noem held the meeting with Peters, who was struggling to earn certification, as well as the long-time executive director of the program, Sherry Bren.

More:Senate rejects appraiser changes that came from Gov. Noem nepotism probe

Bren retired in 2021 after settling a wrongful termination complaint against the state, her employer of 30 years, for $200,000.

"I don't think this can be ignored," Mills said.

Representative John Mills stands and applauds during the State of the State address on Tuesday, January 11, 2022, at the South Dakota State Capitol in Pierre.

The closed-door meeting at the Governor's Mansion first came to light in September last year in an Associated Press report, in which Noem is alleged to have pressured Bren into allowing Peters to become certified as a state appraiser.

Department of Labor Secretary Marcia Hultman in October testified to a legislative panel that Peters did not get preferential treatment but did not provide clarity on why Peters was involved in the meeting at the mansion.

Peters has since allowed her appraisal certification to lapse and is no longer involved in real estate appraisal. 

More:Sherry Bren's testimony in nepotism hearing contradicts Gov. Kristi Noem's statements

A related investigation being conducted by the South Dakota Government Accountability Board, a four-member panel of retired judges, is pending.

Noem, who has repeatedly denied any wrongdoing, did not provide comment for this article, but her spokesman, Ian Fury, noted that Mills is a supporter of Rep. Steve Haugaard, the Sioux Falls Republican challenging the governor in her re-election bid.

"It's unfortunate that legislators are using the legislative process to launch campaign attacks," he said, adding that Mills appears in a Haugaard for Governor campaign ad. "Mills should spend more time serving his constituents' interests and less time playing politics."

Mills, though, insists his resolution isn't politically motivated.

"This is all about integrity," he said. "My conscience won't let it go, and we have a history here of holding our own accountable, and who's going to do that if we don't?"