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U.S. Attorney Amanda Marshall's office is overseeing a federal grand jury investigation into Oregon Governor John Kitzhaber and his fiancee, Cylvia Hayes.

(The Oregonian)

A federal grand jury in Portland has launched a sweeping investigation of Oregon Governor John Kitzhaber and fiancee Cylvia Hayes that ranges from the state's 10-year budget plan to the proposed Port of Morrow coal terminal.

The investigation came into public view Friday when investigators delivered the three-page subpoena to the state Department of Administrative Services. It came hours after the Democratic governor had announced he will resign next Wednesday.

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The subpoenas shed light on what looks to be the largest criminal investigation of a public official in Oregon. State officials are ordered to turn over to the grand jury records that are a catalog of Kitzhaber's climate and economy-related initiatives:

, Pacific Coast Collaborative, Oregon Prosperity Initiative, low carbon fuel standards and sustainable economic development.

Investigators are after any state record mentioning Hayes, her private consulting business and her role in the governor's office. They want her personal tax returns and those of her company dating back to 2009. The state also must turn over records of her use of state credit cards.

The state is ordered to turn over emails, correspondence, memos and other state records about Hayes' clients, including Demos, Resource Media, Energy Foundation, Rural Development Initiatives, Clean Economy Development Center, Waste to Energy.

It was the mounting scandal over those contracts, which paid Hayes at least $213,000 since 2011, that prompted the state's top Democratic leaders to call for Kitzhaber's resignation, setting in motion his announcement Friday.

"We received the subpoena this afternoon and will cooperate fully -- providing any of the information listed that is in our possession," said Matt Shelby, spokesman for DAS.

The subpoena seeks records of Hayes' dealings with the Oregon Business Council, a powerful business organization with some of the state's leading executives on its board.

The sweeping nature of the subpoena indicates the FBI-led investigation has been underway for some time. The subpoena identifies the FBI agent leading the case. The grand jury investigation is under the direction of Assistant U.S. Attorney Scott Bradford. Bradford is part of the fraud unit in the office of U.S. Attorney Amanda Marshall.

The state Justice Department, which announced its own criminal investigation a week ago, declined to comment on the federal subpoena. In fact, the subpoena requires the Justice Department to turn over to federal investigators any records from its investigation.

The subpoena also demands all records from the Oregon Government Ethics Commission concerning the governor and Hayes.

The state has until March 10 to deliver the records.

FBI spokeswoman Beth Anne Steele said in a statement to The Oregonian/OregonLive that "the FBI does not make comments regarding on-going criminal investigations."

The subpoena names Kitzhaber and Hayes, and seeks all associated documents and digital files dating back to Jan. 1, 2009. Investigators seek emails from one of the two private email addresses Hayes uses as well as two from her Bend-based business, 3E Strategies.

The Gmail account Kitzhaber uses for public business also was listed.

The agency must collect Kitzhaber and Hayes' employment records, any ethics-related communications and investigations, calendars, travel reimbursements and visitor logs for Mahonia Hall, the governor's state-owned residence.

The subpoenas call for all emails between Kitzhaber, Hayes and 15 current and former state employees, including the governor's current and former chiefs of staff, and Michael Jordan, the state's chief operating officer. Records from nine state agencies and the governor's office are covered as well.

The state also must provide any correspondence between several of Hayes' past employers and clients. That includes Jeff King, who operated the Washington, D.C.-based Clean Economy Development Center, where Hayes had a two-year fellowship worth $118,000.

It was that payment that led to questions about whether Hayes failed to report income on her federal taxes. In 2012, the year Hayes said she received $88,000 from the fellowship, she listed only $27,000 in business income, as first reported by The Oregonian/OregonLive. The income may have been reported on her company's tax returns.

Craig Smith of the Eugene-based Rural Development Initiatives said Friday he will cooperate with any request. Investigators want all state communications with Smith's non-profit, which at one time employed Hayes.

"I'm not surprised that we're listed on a subpoena considering we did employ Cylvia Hayes and of course we will comply with any lawfully issued subpoenas," he said. "And we look forward to putting all of this to rest as quickly as possible and getting back to what we do, which is improving rural economies."

In her statement, Steele explained the FBI's role in public corruption cases without specifically addressing the Kitzhaber matter.

"Public corruption investigations are the FBI's number one priority because such allegations, if proven true, strike at the very core of our government's ability to serve the people of this state and this country," the statement said.

She noted that "these types of investigations can and oftentimes are worked in coordination with other federal and state partners who may have some concurrent jurisdiction."

Earlier in the day, Attorney General Ellen Rosenblum said her criminal investigation of Kitzhaber and his fiancee would continue despite his intentions to resign.

"Oregonians deserve nothing less than a full and fair investigation of all the facts," Rosenblum said in a statement.

She opened her investigation a week ago.

Her investigation brought to a halt a preliminary review already under way by the ethics commission. The commission by law must suspend its work while a criminal investigation proceeds.

That ethics inquiry could resume later, and it is not foreclosed by Kitzhaber's resignation.

-- Les Zaitz and Laura Gunderson