In a large resealable plastic bag, combine the flour, seasoned salt and ground black pepper. Place the chicken parts in the bag and shake to coat.
Heat the oil in a large skillet over medium-high heat. Place the chicken parts in the hot oil and lightly brown quickly on all sides. Transfer chicken parts to a Dutch oven, add the milk and broth and cover.
Bake at 350 degrees F (175 degrees C) for 1 hour.
Remove from oven and transfer chicken to a serving dish. In a separate small bowl, combine the cornstarch and water, and mix well until the cornstarch is dissolved. Add the cornstarch mixture a little at a time to the liquid in the Dutch oven, until you reach your desired consistency. Serve this gravy over the chicken or on the side.
