Outside of the continued staff updates, the Eureka Springs Hospital Commission had a singular new item of business during their regular Sept. 21 meeting. The item had to do with initial settlement demand for a lawsuit filed by former Chief Nursing Officer Jessica Petrino. The lawsuit claims Petrino was fired in 2024 because she filed a complaint about HIPAA patient privacy laws violations. The initial settlement demand amount was for $100,000.
Commissioner Brian Beyler moved to not accept the initial settlement agreement with the rest of the commission in agreement. Chair Willie Daniels then entertained discussion on a counteroffer of $15,000 including attorney’s fees. Daniels said the figure on the counteroffer was made with the advice of the city legal counsel.
Beyler said he was concerned of the precedent the commission might set by acceding to any kind of settlement. He said “I don’t have the information in front of me to say what’s right/wrong.”
Commissioner Kate Dryer asked for clarification of what would happen in regard to attorney’s fees if the hospital went to court and won. No clear answer was given during the meeting and Dryer said it was her position the commission did not have enough information to make an informed vote.
If the commission chooses to settle, Daniels told the commission that half of the settlement cost would come from the hospital and the other half from the Municipal League. The commission chose to table the item of a counteroffer until they received more information from city and municipal league attorneys.