Clean Water Services board accepts CEO resignation amid calls for outside audit and greater transparency

Washington County, meeting as the Clean Water Services board of directors, voted 4-0 Tuesday to accept the resignation of Clean Water Services Chief Executive Officer Diane Taniguchi Dennis and adopted a resolution expressing gratitude for her years of service.

The resignation came amid multiple public comments calling for an independent audit and increased transparency around travel and other expenses. Several residents and self-identified whistleblowers told the board they distrust an internal review and want an outside party or state officials to investigate.

The resignation resolution was moved by Director Fai and seconded by Director Snyder and was approved unanimously by the four directors present. Clerk Moss called the roll: Director Schneider, Director Fai (voted "aye"), Director Willie (voted "yes") and Vice Chair Therese (voted "yes"). Chair Harrington was excused.

Why it matters: Clean Water Services operates regional wastewater and stormwater services for Washington County ratepayers. Questions about executive travel, spending and internal culture raised by commenters prompted public demands that the review be conducted by an outside auditor or the state Attorney General's Office rather than only an internal audit.

Public comments and board response

Barbara Nelson, a Hillsborough resident and Clean Water Services customer, said she received a letter indicating an internal audit but asked the board to hire an external, disinterested auditor "to ensure the public that there is oversight." Nelson also urged the board to withhold any retirement or benefit payments, saying, "this person that resigned should not receive any benefits particularly from PERS."

Michelle Standridge of Beaverton told the board she found it "embarrassing" that the resolution would praise the departed CEO while facts remain unresolved. Standridge asked the board to seek a state audit and said she did not want any severance or additional compensation tied to the resignation.

Dirk Knutson, speaking remotely, said he represents whistleblowers inside the utility and said staff fear retaliation. He urged the board to "give these people safe space to be able to talk to somebody besides a local journalist" and recommended involving the Attorney General's Office and the secretary of state.

Tom Bussey, a caller who identified himself as a former contract fiscal analyst, said the board should focus on larger contracting and spending concerns and "celebrate your whistleblowers who are talking to Dirk Knudsen. They're your heroes, not your CEO." Dale Feek, chair of the Washington County Citizen Action Network, urged the board to pause on separate agenda items about arming patrol officers and emphasized ethics and public expectations.

Board statements and next steps

Director Snyder acknowledged the public's concerns and said he supports the resolution as written while committing to stronger protocols for executive evaluation and leadership transitions. He said he would begin by demonstrating transparency, noting, "I am voluntarily releasing a travel summary currently in my inbox related to Clean Water Services" to model openness.

Vice Chair Therese told the meeting the board is arranging an "outside independent evaluation" focused on travel, entertainment and related items. She said the scope is still being worked on and that the evaluation will be conducted by a person not related to Washington County or Clean Water Services.

Director Willie said the board should recognize the CEO's long service while moving forward. The board repeatedly noted that decisions about retirement benefits such as PERS are outside its purview.

Votes at a glance

- Motion: Adopt a resolution and order accepting the resignation of CEO Diane Taniguchi Dennis and expressing gratitude for her service. Moved by Director Fai; seconded by Director Snyder. Vote: 4 yes, 0 no, 0 abstain. Outcome: approved.

What remains unresolved

Public commenters repeatedly asked for a state-level audit by the Attorney General's Office or the secretary of state rather than an internal review. The board said an independent evaluation will be commissioned and that the scope is under development, but it did not announce a timeline or name an auditor. Several commenters alleged internal retaliation and requested protections for employees who come forward; the board did not adopt specific protections during the meeting.

The resignation and the promised independent evaluation mark a transition for Clean Water Services leadership and a pledge by board members to increase transparency and review executive oversight practices.