The interim director of the state's worker's compensation agency will continue to serve in a supervisory capacity over his wife and brother-in-law, because the state's anti-nepotism law provides exceptions that cover the situation, staff counsel says.

Timothy Wahlin, staff counsel for Workforce Safety and Insurance, said three exceptions to the nepotism law may apply to interim director John Halvorson.

Last week, the WSIboard of directors, which oversees the executive director's position, appointed Halvorson to replace agency CEO Sandy Blunt during Blunt's legal proceedings. The board had placed Blunt on administrative leave after the Burleigh County state's attorney's office filed three felony charges against him.

The temporary promotion put Halvorson in a supervisory position over his wife, Robin Halvorson, and brother-in-law, Nick Joliffe. Mark Armstrong, communications executive with the agency, said the board was aware of the issue when Halvorson was appointed.

Wahlin interpreted three exceptions to the nepotism law as relevant to Halvorson.

The first exception, for "any temporary work arrangement necessary to meet a critical and urgent agency need," applies because Halvorson was appointed as a temporary replacement to Blunt, Wahlin said.

The second, "nor to any employment relationship or contract entered before the state official or employee assumed the supervisory capacity," applies because Robin Halvorson and Joliffe were hired before the interim CEO was promoted, Wahlin said.

A final exception may apply because both Robin Halvorson and Joliffe were hired prior to Aug. 1, 1999, as stated in the exception.

Both Blunt and Romi Leingang, another WSIemployee who faces one felony charge, are scheduled to appear in South Central District Court on May 2.

(Reach reporter Crystal R. Reid at 250-8261 or at crystal.reid@;bismarcktribune.com.)