Oklahoma taxpayers are still footing the bill for a trail of lawsuits tied to former State Superintendent Ryan Walters' tenure at the Oklahoma State Department of Education. Recent records and court orders show the agency has paid out six-figure settlements to fired staffers and has been ordered to cover attorneys' fees in a First Amendment case, a pattern of litigation that continues to drain education dollars long after the headlines faded.
According to KFOR, the department has spent tens of thousands of dollars on outside legal bills and settlements connected to internal staff disputes and media lawsuits. KFOR reports that earlier claims, including one from former employee Janessa Bointy, were resolved this year and that attorney-fee awards from the station's case are still being sorted out. The mounting totals have renewed scrutiny of how OSDE handles conflict and spends taxpayer money.
Settlements add up
Taxpayers will be on the hook for $132,000 in settlements to two former OSDE employees, Cheryl McGee and Matt Colwell, according to KOSU. KOSU reports that the settlement agreements were signed June 26, with McGee, the agency's former executive director of school-based mental health, receiving $100,000 and Colwell settling for $32,000. Education Department spokesperson Tara Thompson told the outlet that the payouts will come directly from the agency's funds.
Attorney Mark Hammons, who represents both McGee and Colwell, described the settlements as "a source of vindication" for his clients, according to KOSU. The agreements specify that Walters and his senior adviser signed off only to avoid further litigation costs and that the deals do not count as an admission of liability.
Judge ordered fees in KFOR case
On June 27, 2025, a federal judge ordered that KFOR's attorneys receive about $170,461 in fees, according to the court's order (court order). The ruling walks through the lodestar calculation the judge used and underscores how legal fees can balloon even when the actual damages are nominal.
Why it matters to local budgets
Reporters and budget watchdogs warn that these settlements and legal bills can eat into money that might otherwise support classroom programs, services and staff at a time when districts are already stretched thin. KGOU documented dozens of lawsuits and significant turnover at the agency during Walters' tenure, noting that ongoing litigation frequently slowed policy work and consumed staff time. Those trends have fueled calls for tighter oversight of how state agencies manage personnel disputes and the cost of outside counsel.
Legal liability and indemnification
Under Oklahoma law, the state or its agencies can be required to pay judgments or settlements when employees are acting within the scope of their official duties. That is why OSDE, rather than individual staffers, is on the hook for the legal exposure tied to Walters-era decisions. The state's indemnification rules are laid out in statute and detail when agencies must cover employee judgments or settlements, as summarized on Justia. In practice, that means the financial fallout often lands on the department's budget.
For now, OSDE's public statements stress a desire to move beyond litigation and refocus on students. But the checks already written by the agency leave a clear paper trail. With settlements and fee awards now part of the public record, lawmakers and watchdog groups are likely to keep the pressure on how every education dollar is spent going forward.
