Chief Judge Roger L. Hunt announced Sandoval's replacement on Monday.
Jones was a federal bankruptcy judge in Reno before being appointed a U.S. District Court judge by President George W. Bush in 2003.
Sandoval, former Nevada attorney general, state assemblyman and chairman of the Nevada Gaming Commission, announced his resignation Aug. 14.
A Republican and first Hispanic to win a statewide election in Nevada, he is viewed by many as a strong challenger to Gov. Jim Gibbons in next year's GOP primary.
Sandoval was recommended for the federal judiciary by U.S. Sen. Harry Reid, D-Nev., and took the bench in 2005.
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