In other business at Monday’s council meeting, Chair of the Eureka Springs Hospital Commission, Dr. John House, presented Resolution 768 for council to accept duties regarding Hospital staff benefits. House explained that as of Feb. 1, the Hospital Commission is assuming some operational duties including payroll, and the commission wishes to transfer ESH employees to commission control and entitle them to city pay and benefits.
Under Res. 768 the city authorizes the Hospital Commission to pay for benefits of its some 50 employees under the same group insurance available to all Eureka Springs city employees through the Arkansas Municipal League. House explained that the city has not necessarily reached satisfactory terms of disengagement with the exiting Allegiance Health Management but is making arrangements to improve hospital operations by making provisions to install proper payroll duties through the Hospital Commission.
Mayor Butch Berry advised council to confine comments to the resolution only, as the Hospital Commission may enter into a lawsuit with Allegiance for recoupment of funds.
When asked by alderman Bob Thomas if the payroll process should be handled by the city administration, City Finance Director Lonnie Clark said he believed the best solution for hospital payroll and benefits would be to process it directly through the hospital, as opposed to how the CAPC or Parks flow their payroll through city offices.
Clark said that the hospital has the proper software system to accommodate the kind of shift work that is specific to health-type operations. Council granted unanimous approval.