LANSING — The official who Gov. Gretchen Whitmer named to head one of the largest and most far-reaching state government departments is married to an owner of one of Lansing's biggest lobbying firms — raising concerns about potential conflicts of interest related to industries such as marijuana, where both spouses have responsibilities or client interests.

Whitmer, a Democrat who took office Jan. 1, named Orlene Hawks director of the Department of Licensing and Regulatory Affairs (LARA) — a $518-million agency with responsibilities ranging from oversight of Michigan's lucrative new marijuana industry to liquor licensing, regulation of utilities, and licensing of doctors, hospitals and physical therapy providers.

Hawks, of Okemos, is married to Michael Hawks, an owner and principal of Government Consultant Services, Inc. (GCSI). The firm's clients include marijuana interests such as the Michigan Cannabis Development Association, CannArbor Inc., MedFarm of Michigan LLC, and PSI Labs, state records show.

GCSI also represents many other clients affected by the policies and rulings of LARA and its sub-agencies, such as the Liquor Control Commission, which handles liquor licensing, and the Public Service Commission, which regulates utilities. While state records don't show which GCSI accounts are specifically handled by Michael Hawks, those clients include the Michigan Beer and Wine Wholesalers Association, Consumers Energy Co., the Michigan Physical Therapy Association, and Blue Cross, Blue Shield of Michigan, to name a few.

It's not the first time in recent years that similar concerns have been raised. Marriages with lobbyists involving a former governor's chief of staff and a former state senator have also been questioned.

While not questioning the integrity of Hawks or her husband, a state government ethics expert said the potential conflicts raised by the situation underline a need for stronger financial disclosure and conflict-of-interest laws in Michigan. A state senator who has the power to hold hearings on Orlene Hawks' appointment said it raises questions about how she will handle conflicts with her husband's firm, if they arise.

"On its face, it is concerning," said Craig Mauger, executive director of the Michigan Campaign Finance Network and an expert on ethics and disclosure rules for state officials.

"LARA is a very important department that has its hands in a lot of different industries," and "lobbyists work with all types of industries to try to advance their interests," Mauger said.

"If you were someone who wants something from LARA, do you think you would be more likely to go to the lobbying firm that is connected to the director of LARA?"

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Sen. Peter Lucido, R-Shelby Township, chairman of the Senate Advice and Consent Committee,which can hold confirmation hearings on Whitmer's cabinet selections but is not required to do so,said Monday that areas of potential conflict and how they would be handled would be examined if his committee convenes a hearing on Hawk's confirmation.

"These are things that you've got to look at," Lucido said.

"If there's an appearance of impropriety or a conflict of interest, then I think she has a duty to make it known."

Lucido said one of the issues he wants to explore is "how does a potential conflict get resolved in an administrative agency" such as LARA.

Orlene Hawks, who will be paid $165,000 a year in her new role, formerly served as director of the Office of Children’s Ombudsman, which deals with the state's child welfare system, and before that worked for the state health department. She holds a bachelor's degree from Michigan State University.

“Throughout my entire career in state government, I have served the people of Michigan with the utmost honesty and integrity, and will continue to do so as LARA director,” Hawks said in a statement emailed to the Free Press by an aide on Monday.

Hawks did not respond in detail to an emailed question about how specifically she would respond to a conflict with her husband's firm, but said: “I will rely on all civil service rules and protocols to ensure that the laws under my department’s oversight are administered fairly, efficiently, consistently and transparently.”

Michael Hawks has been voted among the top two lobbyists in the state by Capitol insiders, according to his biography on the website of Eastern Michigan University. Snyder appointed Hawks to the EMU board in 2011. Before joining GCSI around 1990, Hawks worked for Democratic leaders in the state House. Hawks, who did not return a phone message Monday, holds a bachelor's degree from EMU and a master's degree from MSU.

Whitmer spokeswoman Tiffany Brown said the governor is confidentOrlene Hawks and the other cabinet members she selected "will be ethically conscious, serve with integrity and are committed to putting Michigan residents first."

Brown said Whitmer's expectations of her cabinet are clear, pointing to an executive directive Whitmer signed Thursday that points to state law governing conflicts of interest, none of which would prohibit the LARA director from being married to a lobbyist with interests before LARA, and adds other directives, such as that officials "not engage in outside employment or activities conflicting with their official government duties."

Whitmer "has set a high bar and has full faith in her cabinet," Brown said.

Mauger said Michigan is one of only two states that doesn't require some form of personal financial disclosure for top state officials, and the situation with the Hawks demonstrates the need for laws requiring such disclosure.

"This one is kind of obvious, but there could be many more of these situations that we don't know about," he said.

Lucido noted that potential conflicts involving top state officials and lobbyists are not new in Lansing, citing the example of Dennis Muchmore, who was chief of staff to former Republican Gov. Rick Snyder while his spouse, Deb Muchmore, worked as a Lansing lobbyist. She had served as a spokeswoman for Nestle, the company that obtained a controversial state permit to increase its pumping of Michigan groundwater, obtained at a nominal fee, after Dennis Muchmore left Snyder's employ.

State Sen. Joe Hune, R-Fowlerville, who left the Senate at the end of 2018 because of term limits, is married to Lansing lobbyist Marcia Hune. That relationship became an issue in a federal lawsuit involving electric car manufacturer Tesla, because Joe Hune introduced legislative language that Tesla alleges banned the insurgent company's sales model in Michigan, while the firm Marcia Hune worked for counted the established Michigan auto dealers among its clients.

Chuck Perricone, a former Republican House speaker who has worked as a lobbyist in the cannabis industry since 2011, said it's valuable to raise questions and concerns about such relationships because the approval process for various types of marijuana licensing "is just so subjective."

"I appreciate the scrutiny," Perricone said. However, "in my personal experience over the years and in this space, Mike Hawks is a straight shooter and I have no reason to believe that the new director won't operate the same way."

Contact Paul Egan: 517-372-8660 or pegan@freepress.com. Follow him on Twitter @paulegan4.