In July 2000, the Oregon Education Association and the American Federation of Teachers filed a civil racketeering lawsuit against two of Sizemore's organizations: Oregon Taxpayers United and the OTU Education Foundation. Sizemore was not named personally as a defendant or party to the case. During the trial Becky Miller, Sizemore's top aide, under protection of state and federal immunity deals, testified in detail about allegedly unethical and illegal practices of Oregon Taxpayers United. These included alleged money laundering involving both Sizemore and Americans for Tax Reform founder Grover Norquist, as well as falsification of federal tax returns and state campaign finance reports. Additional testimony reported financial deals allegedly designed to disguise or hide the sources of funding for campaigns, as well as to allow Sizemore to personally profit from the campaigns.