Oklahoma County sets $215 million bond sale for jail amid rising costs

Oklahoma County

The Oklahoma County Commission on Wednesday set a $215 million of general obligation limited tax bond sale to finance a jail costing far more than the $260 million of debt voters approved for the project in 2022.

The county, which issued $45 million of the bonds in 2023, will hold a competitive sale on Oct. 8 for the rest of the authorized debt, according to commission meeting documents.

Last week, the three-member county commission opted to move forward with the bond issuance to finance phased-in construction of a jail on the outskirts of Oklahoma City that would replace its current downtown detention center. The project's latest price tag of around $700 million, which will expire in September, is expected to rise further. Commissioners are considering asking voters to approve a sales tax next year to cover escalating costs.

County Commissioner Jason Lowe, who cast the only vote against the bond sale, questioned how the county would be able to afford operating the current jail, portions of a new jail, and an under-construction mental health facility that was funded with American Rescue Plan Act money. He also pointed to uncertain future funding to complete the jail.

"Now is not the time to build half a jail, hoping we get the green light from the taxpayers to build the rest," he said. "The fiscally responsible approach is to put together a plan, explain it to the voters, and let them decide."

Democratic State Rep. Andy Fugate, who spoke during a public comment period, urged commissioners to stop spending money on the project, which he said should be evaluated from scratch.

"The only correct course of action is to stop the craziness," he said.

The Series 2025 bonds carry serial maturities from 2028 through 2045, according to commission documents. BOK Financial Services is the financial advisor for the debt sale.

The county aims to replace its 13-story detention center in downtown Oklahoma City — which opened in 1991 and has been under state and federal scrutiny for health, safety, and other concerns — with a jail that includes medical and mental health treatment.