Entertainment District gets the lion’s share of input at council

Eureka Springs City Council met for a budget workshop and regular meeting on Monday, April 27. Lasting two hours, the meeting covered a wide range of issues.

Alderman Steve Holifield requested to defer discussion of the Permanent Entertainment District after receiving communications from several business owners who requested more time to put together a comprehensive plan to present to council and the public. The topic still drew a number of citizens who shared their opinions in public comments.

Devin Henderson spoke on behalf of the Eureka Springs Chamber of Commerce. “Since the workshop, the proposal has been referred to our economic development committee’s tourism subcommittee,” Henderson said. “That group is currently working within a broader downtown revitalization effort and is actively bringing additional voices to the table. We’re talking to businesses, stakeholders, and community members to further refine what this could look like for Eureka Springs. We believe that taking the time to do this thoughtfully is important. Getting it right with strong input, clear structure, and community understanding is more valuable than moving quickly. And just to be clear, the intent behind this concept has always been about creating structure, clarity, and accountability around activity that already exists.”

Proprietor of Crystal Waters (downtown) Heather Huber followed with opposition to the PED, sharing concerns as a business owner, not just as a private citizen as she had previously. “My shop is full of glass, mirror, porcelain, breakable crystals, heavy stones, stainable fabric, fragile things. I don’t currently allow drinking or food of any type in my space. People leave their coffees on the windowsill and pick them back up on their way out. Do we want unattended beers outside? No, we don’t because – kids.” Hubert described the potentiality of losing customers because of confrontation taking place – “and that’s the rub – visitors not becoming customers because of being told no,” Hubert said. She also expressed concern for employees in recovery, saying that occasional festival weekends are something they can prepare for, but to be confronted daily with alcohol is too much to ask.

Water and Sewer Apprised

Public Works Director Simon Wiley provided water, sewer, and street updates. He reported that the wastewater plant has been operating properly, with sludge processing up to 90 gallons per minute. Wiley is working with Performance Services to secure a quote for water and wastewater infrastructure assessment.

Diamond C Construction replaced approximately 100 feet of waterline at 101 E. Van Buren and were able to complete it in one night.  

Alderman Rachael Moyer asked if Public Works had a “prioritized list” of things or a long-term plan. Wiley responded that he is open to do that, but the department is currently in a maintenance position – fixing leaks and awaiting more information before they can achieve more long-term, tangible planning. Wiley emphasized the importance of mapping underground water systems being phase one of major restorations.

Wiley also expressed gratitude for Eureka Springs Hospital. “Last week I had an accident and had to go to the emergency room there. I want to sincerely thank everyone for the care, kindness, and professionalism shown during my time there. From medical staff to nurses and support staff, I truly appreciate the compassion and hard work you bring every day. Being in a hospital can be stressful, but your patience and care made it easier. Your efforts do not go unnoticed.

“I also want to thank the Public Works staff and city staff for their support during my absence. Knowing responsibilities were in capable hands brought relief during a difficult time. I appreciate the teamwork and professionalism shown. Special thanks to Tammy, Angel, and Bill for handling calls during the lane closure on Hwy. 62, Sean, and the team for the water line work. I’m very grateful for everyone’s service and dependability,” Wiley said.

New Business

Carroll County Solid Waste Director Roger Miner presented an updated contract agreement between Carroll County Waste District and Eureka Springs. Miner explained he was hired by mayors and county officials last fall to review and update trash service contracts across Carroll County.

Miner played a role in establishing the current trash and recycling program in Eureka Springs during the 1990s, when Eureka Springs adopted “pay-as-you-throw” and recycling programs that shaped the current system.

“One major difference between the old contract and the new one is that the old contract included an elaborate, permanent citizen task force. That originated during the city’s first attempt to contract a private party for trash and recycling services, which was controversial and led to many complaints and meetings. That contract ended early, but the need for a citizen committee became clear.

“That group helped support environmentally friendly service approaches and eventually contributed to the formation of the Carroll County Solid Waste Authority, which is a legislative sanitation district. The authority then became the service provider and expanded across the county, eventually becoming the current solid waste district that contracts with all cities.

“The task force stopped meeting around 2008. While that might sound concerning, it actually reflected success. When the solid waste authority took over, we prioritized direct customer relationships. We visited every business, documented their needs, and tailored services accordingly. We committed resources to customer service, ensuring complaints were addressed quickly. Over time, the need for a formal task force diminished because issues were handled directly and efficiently.”

Some questions were raised about an exclusive rights provision. As a result, council voted to defer approval until a legal review could be completed. It was confirmed that there are no changes to rates, services, or pickup schedules.

Hospital Update

Eureka Springs Hospital CEO Tiffany Means delivered a status report, providing some clarity following the April 20 commission meeting. “Mayor and council—before I begin, I want to say something very clearly. I’m here as a partner to this community, to this council, and to the commission. I did not step into this role to defend the past. I stepped into it to understand it, correct it, and move this hospital forward responsibly,” she stated.

“Under Arkansas code 14-264-105, financial reporting flows through the hospital commission and reports must be certified as correct before submission. Given prior financial reporting required significant audit adjustments, we will not present numbers that are not validated. That is not transparency – it is risk.

“As of March 31st, the hospital maintains approximately $3.49 million in cash. Over the past four months, average monthly collections have been $403,000, and average monthly expenditures $701,000 – an operational gap of $298,000 per month. This reflects a hospital in active stabilization – not a finalized financial position, but a real-time operational snapshot while we correct underlying systems.

“Any existing records held by the hospital are subject to disclosure. However, FOIA does not require the creation of new documents, and it does not override the requirement that financial reports be accurate and certified before formal presentation. During this period of financial reconstruction, any information that is shared will be clearly identified as preliminary and subject to ongoing reconciliation. Our responsibility is to ensure that what is ultimately reported and certified is correct, supportable, and not misleading.”

Means said she had been engaged with financial requests received on March 20 and had met with the mayor and alderman Moyer on April 3 to share those documents. Means said she answered an email April 9 and followed up again April 22 with shared requests. Going forward, Means asked that any requests go through the commission to ensure “proper procedure and maintain trust and alignment.”

It was noted that approximately 66% of ESH patients are from the city and surrounding counties, up 48% in patient volumes year-to-date. In April, 32 patients were transported through the new Survival Flight partnership.

Alderman David Avanzino asked if Means could offer any comfort to those affected by past personnel issues. Means responded that the culture has definitely changed, but she could comment no further.

“At the end of the day, this is about more than financial reports. It’s about access to care for this community, the patients who rely on this hospital every day, and our shared responsibility to ensure it remains here to serve them.”

Council thanked Means for her clarifications regarding the finances and requested monthly updates at city council meetings, to which she agreed.

Other Business:

• Public Works has an opening for employment at the wastewater treatment plant. Contact Eureka Springs Public Works at (479) 253-9600.
• Vacancies exist on Planning, CAPC, and Hospital commissions.
• Ordinance Nos. 2384, 2385, and 2386 were read and approved for a second reading.
• A Temporary Entertainment District was approved for Eureka Springs Blues Fest Party
• Council approved the 2024 legislative audit after discussion and clarification.
• Former ESH employees Richard and Samantha Webb wrote in requesting accountability regarding hospital personnel issues.