I was reading the ICWO card and was wondering if free actions count to increase my persons stats +1.

No. The DC errata says so.

where is it located

Over on the WK page. Same place you can download the PAC, the rule book, and all other errata and clarifications. Here's the ICWO entry, specifically:

In Contact With Oracle
• If Oracle is removed from the battlefield and placed on the In Contact With Oracle feat card her team ability cannot be copied by figures with wildcard team abilities.
• Free actions may not be used to give an Agent the +1 to its combat values.
• The +1 to combat values that Agents gain is applied immediately when the action is given.
• When an Agent already has a power showing on its dial that Oracle has, it may not be granted that same power from Oracle.
• Oracle grants the Agent the power that is showing on her dial. The power that the Agent has been granted can be countered. If the Agent is KOd, the effects of the power are lost.
• If Oracle is placed on the feat card and she survives the battle, the controlling player receives victory points for her.