Wagoner County holds public forum on Feb. 11 sales-tax vote to fund $13.5 million jail settlement

Wagoner County commissioners held a public forum Feb. 4 to explain a Feb. 11 ballot question that would increase the county portion of the sales tax by one-quarter of one cent to create a sinking fund to pay a $13.5 million settlement in a 2021 death that occurred in the county jail.

The discussion matters because Oklahoma law requires public indebtedness created by a judgment to be repaid from a sinking fund; the county presented voters with two funding options — a temporary sales-tax increase that would begin collection in July and run up to 15 years or a special ad valorem (property) levy if the sales-tax question fails.

At the start of the forum, County staff member Lori said the county had settled rather than proceed to a jury trial after the family of Angela Wiggins sued the county over her 2021 death in the Wagoner County jail. Lori said the settlement totaled $13,500,000 “and plus attorney’s fees,” and that the county’s insurance pool covered roughly $400,000–$500,000, leaving the county’s remaining obligation at “about $13,016,000 and change.” She explained that, by statute and the state constitution, that kind of public indebtedness must be repaid through a sinking fund.

Lori said the ballot question would ask voters whether to increase the county sales tax by one-quarter of one cent; if approved, collections would begin in July and continue for up to 15 years or until the sinking fund is satisfied, whichever is sooner. She summarized typical household effects using examples from the forum: an additional $0.25 on a $100 purchase and an estimated $61.16 increase in the first year on the property bill for a $300,000 home if the question fails and the levy instead is placed on property taxes. Lori also said sales-tax revenue is captured from nonresidents who shop in the county and noted that some new developments — including the Sunset Amphitheater — will phase in to full property or sales-tax impact over several years.

Sheriff Chris Elliott addressed repeated public questions about jail medical care and whether the county should hire a private contract medical firm. Elliott said the sheriff’s office now employs county medical staff — “a medical doctor and assistant, I’ve got 5 LPNs, 2 EMTs, and a certified nursing assistant working inside my jail,” and “everything medical in my jail is handled by a state licensed medical health professional.” He told the forum that, based on past reviews and advice from the Oklahoma Sheriffs Association and county counsel, moving to a private contract medical provider was costly and poses litigation risks because outside contractors have frequently been named in federal suits. Elliott said earlier estimates for a contract medical team were between roughly $750,000 and $2,000,000 per year (based on prior vetting), while the county’s current medical staffing runs at about $300,000 annually.

Commissioner Kelly, who also serves on the state insurance board (SIG/SIF), described recent changes in the county insurance pool: law-enforcement liability coverage has been limited and exclusions for jail coverage were adopted for several counties. Kelly said the county’s law-enforcement coverage is effectively constrained and that the pool’s limit for law-enforcement liability is now $1,000,000 per year; county officials and the sheriff warned that once that pool contribution is exhausted by litigation costs, remaining claims fall to the county.

Speakers and several members of the public voiced questions and concerns about accountability, why particular employees were not held criminally or civilly responsible, whether the county could form a jail trust to separate jail liability from county liability, and whether higher sales taxes would drive customers and businesses to neighboring cities. County staff said they had consulted bond counsel and a financial adviser to produce legally required ballot wording and financial projections; staff also said the board could designate additional use-tax revenue to pay the sinking fund if voters approve, but by statute the sinking fund must be satisfied only by the mechanism voters approve (sales tax or property levy). County officials said they would post annual reports comparing projected and actual collections if the measure passes.

No formal vote on the sales-tax question was taken at the meeting; the forum was informational. The board recessed by a separate motion at the end of the session.

The county advised residents that, under state law, collections and apportionment by the Oklahoma Tax Commission determine how sales-tax receipts are delivered to the county and that the county treasurer would hold sinking-fund proceeds until bond payments are due. Officials repeated that if voters reject the sales-tax measure, the county will instead use a property-tax levy to create the sinking fund under the statutory process.

Public comment included requests that the county re-examine contracting for medical services in the jail, calls for stricter accountability for staff involved in the underlying incident, and concerns about the distributional effect of sales versus property taxation.

The ballot question was scheduled for Feb. 11; county officials said additional informational materials would appear on the county website and through local media.