County files $750,000+ counterclaim against city

Apr. 18—Attorneys representing Pittsburg County commissioners in the city of McAlester's lawsuit over unpaid city stormwater fees at the Southeast Expo Center have responded with a counterclaim of their own.

County commissioners are now seeking a judgment from the city of McAlester for more than three-quarters of a million dollars.

In Pittsburg County District Court filings, the commissioners' attorneys state the Pittsburg County Board of Commissioners "demands judgment in excess of $750,000, the exact amount of which shall be proven at trial."

Attorneys for the commissioners are seeking the judgment from the city of McAlester for alleged breach of contract involving a lease agreement, contending the city let the Expo Center building and property deteriorate during the approximately 20 years the city operated the facility.

In their newest court filing, attorneys for the commissioners contend the city of McAlester did not properly maintain the Expo Center as required by the lease agreement.

"Under terms of the lease, City agreed that the maintenance of the building, grounds, parking and all the leased land would be the responsibility of the city," up until its mutual termination, the commissioners' attorneys said in court documents.

They contend that for the duration of the lease, the city "failed to maintain the building, grounds, parking and the leased land in a reasonable manner thus allowing the property to deteriorate and waste."

"The City's failure to maintain the building, grounds, parking and the leased land in a reasonable manner that resulted in the deterioration and waste of the premises constitutes a breach of the lease and its contractural terms," the county's attorneys contend.

"As a direct result of the City's breach and failure to maintain the building, grounds, parking and the leased land, the County has been required to and continues to be required to expend funds in the an amount in excess of $750,000," the county's attorneys state in court documents.

They also maintain the exact amount can't be determined at this time as "additional repairs are required to restore the premises to the condition that it would have been in had the city not breached the lease."

In addition to the $750,000+, the commissioners' attorneys have also filed to recover all costs, including pre and post-judgment interest, reasonable attorney fees and any other relief as permitted by applicable law.

Attorneys Chris Collins and Scott R. Eudey of the Oklahoma City law firm of Collins, Zorn and Wagner are representing Pittsburg County commissioners in the court action.

The city continues to assess a stormwater fee to the Expo Center of $1,045 per month. As of Wednesday, April 17, the total amount the city has billed the county for unpaid stormwater fees at the Expo Center totaled $32,395, said Pittsburg County Clerk Hope Trammell.

McAlester Mayor John Browne said Wednesday he can't comment on ongoing litigation. McAlester City Attorney John T. Hammons said the same thing when the News-Capital asked about a related matter last week.

The lease agreement involved dates back to Feb. 20, 2001, when then-representatives of the Pittsburg County Commission and the city of McAlester signed an agreement to lease the Expo Center and some adjacent properties to the city.

The 2001 agreement granted the city a 30-year lease on the Expo Center for the nominal fee of $1.

"It is also agreed that the maintenance of the buildings, grounds, parking and all the leased land shall be the responsibility of the city," the 2001 lease agreement states.

Signing off on the 2001 lease agreement were former District 1 County Commissioner, the late Gene Rogers, who was chairman of the Board of Commissioners at the time, and then-McAlester Mayor Dale Covington.

The city's lease ended around Sept. 1, 2021, when county commissioners voted to terminate the lease agreement and take Expo Center operations over from the city of McAlester. District 1 Commissioner Charlie Rogers, then-District 2 Commissioner Kevin Smith and District 3 Commissioner Ross Selman were unanimous in the commissioners' action to terminate the lease and resume Expo Center operations through the county.

Shortly after county commissioners resumed operation of the Expo Center, the city of McAlester began assessing a monthly stormwater fee on the facility and adjacent grounds. When the city operated the Expo Center from February 2001 through September 2021, the city had not paid any stormwater fees at the site.

Although the county does pay city stormwater fees assessed to other county properties, they refused to pay the stormwater fees the city is assessing to the Expo Center. County commissioners maintain the stormwater runoff at the Expo Center property runs into a nearby creek and then flows away from the city, never utilizing any of the city's stormwater infrastructure.

The city of McAlester maintains it cannot pick and choose who is billed the stormwater fees, and continues to bill Pittsburg County for the amount in arrears at the Southeast Expo Center.

On January, 2024, McAlester City Attorney Hammons filed an action in Pittsburg County District Court, asking the court to rule in the city's favor over the unpaid stormwater fees at the Southeast Expo Center.

In the city's original filing against the Pittsburg County Board of Commissioners, Hammons asked the court to render a judgment and order against the Pittsburg County Commission on two points:

—Declare that the city is authorized under the law too impose the stormwater fee upon the Expo Center and that the county is obligated to pay it.

—Order "such further and different relief as this may determine to be just and proper."

In a filing that followed, attorney Collins contended the county commissioners were acting within their rights in refusing to pay the disputed city stormwater fees at the Southeast Expo Center.

"Any actions by the County or its officers were. in compliance with and under authority granted it under state law as a government entity using its police powers to protect the public welfare, safety and health of its citizens at all times..." Collins said in a court filing.