Eminent domain, the procedure commonly used by energy companies in Oklahoma and also one that was featured prominently in Donald Trump’s presidential campaign, has become a problem for the Creek County Commissioners.
A newly-released audit by State Auditor and Inspector Gary Jones says the commissioners violated state law in 2012 when they used eminent domain to make a $1.1 million purchase of 226 acres for economic development. It was the “economic development” that got the commissioners in trouble with Jones who said the commissioners did not allow a vote of the people whether to put the land on the tax rolls.
Commissioners purchased the land for $1.125 million from Jim Sellers, according to the audit released this week.
“According to court records the property was obtained for the purpose of economic development which is constitutionally and statutorily prohibited,” stated the audit. “Further, minutes of the Board of County Commissioners executive session in which this discussion was held were not retained by the Chairman.”
The audit indicated the county could not provide documentation of an offer or any negotiations being made to the landowner prior to the condemnation in court. The county could also not provide documentation of funds being available to purchase the land if a price was negotiated and no appraisal was obtained. The investigation by the Auditor’s office also found that because of the actions, a judgment was levied against the county and the property taxes increased for taxpayers. The judgment was not timely filed and the County had to pay another $73,302.23 in interest to the landowner for the error.
Creek County Assistant District Attorney Mike Loeffler disagreed with the Auditor and Inspector, writing in a Jan. 25 opinion that Jones “is incorrect with regard to the constitutionality of the take through condemnation.”
But the State Auditor’s review also noted that the Creek County Commissioners did not follow the State’s Open Meeting Laws.
“Prior to the release of the September 17, 2012 meeting minutes, there was no public notice by way of meeting agendas or minutes that reference the BOCC taking the land through eminent domain, the amount of the land at issue, the exact location of the land at issue, plans for economic development with the land, or the possible creation of an industrial park on the land,” stated the auditor’s report. The report said the county did not follow the Oklahoma Constitution and state statutes and was in noncompliance with the state statutes and regulations.
The Auditor’s office also recommended the county should adhere to the Open Meeting Act regarding agendas and executive sessions and comply with laws regarding acquisition of property.
