Editor’s Note: This is the third in a series of reports on the Eureka Springs Hospital Commission.
Angie Shaw submitted her resignation as CEO of Eureka Springs Hospital in early September, according to records obtained by the Times-Echo — almost two months before she was terminated by the city’s hospital commission on Nov. 1.
“Dear Members of the Board,” Shaw writes in a letter dated Sept. 4. “I am writing to formally resign from my position as Chief Executive Officer of Eureka Springs Hospital, effective October 4, 2024. After careful consideration, I have decided that it is time for me to step down and pursue new opportunities.
“It has been a privilege to lead Eureka Springs Hospital and work alongside such dedicated professionals. Together, we have achieved significant milestones, and have forged forward in a time of uncertainty and change, and I am proud to say I was able to call this hospital home for 17 plus years.
“I am committed to ensuring a smooth transition and will work closely with the commission and leadership team to support the onboarding of my successor. My priority remains the well-being of our staff, patients, and the community we serve.
“I want to express my deepest gratitude to the Commission, and all the incredible staff at Eureka Springs Hospital for their unwavering support of this facility and the patients that seek care here. I have every confidence that the hospital will continue to thrive and achieve new heights in the years ahead.
“Thank you for the opportunity to serve as CEO of this remarkable institution.”
Not Included in Personnel File
Shaw’s resignation letter is not included in personnel file documents obtained by the Times-Echo through an open records request. Kent Turner, chair of the Eureka Springs Hospital Commission, said he wasn’t sure why the letter was not in Shaw’s personnel file.
“I am not certain why it did not make it to her file but from my perspective she withdrew her resignation following a discussion with me,” Turner said via email.
The commission voted to terminate Shaw’s employment at a special meeting on Nov. 1, after holding an executive session to discuss the matter. Three days later, the commission held a series of three special meetings, each including an executive session. At those meetings, the commission voted to terminate chief nursing officer Jessica Petrino, elevated human resources director Jodi Edmondson to acting CEO and place chief financial officer Cynthia Asbury on a 60-day Performance Improvement Plan to be monitored by the commission.
Both Shaw and Petrino have filed wrongful termination lawsuits in Carroll County Circuit Court against the hospital and the six current commissioners.
Text Messages Between Commissioners
The Times-Echo reported Nov. 14 that Turner and Barbara Dicks, who at the time was vice chair of the hospital commission, had exchanged text messages about firing Shaw as early as Aug. 15. That day, Dicks texted Turner requesting that he join her in meeting with Asbury.
Later that day, Dicks texted Turner again, saying: “City and hospital policy is to write someone up 3 x’s before termination. FYI.”
“That should not pertain to the CEO,” Turner replied.
On Sept. 6, two days after the date on Shaw’s resignation letter, Dicks texted Turner: “Did you get Angie’s registration letter?”
The Arkansas Freedom of Information Act prohibits members of a public commission from discussing commission business outside of regular or special commission meetings.
Dicks resigned from the commission at the request of Mayor Butch Berry on Nov. 15 — one day after the Times-Echo reported on her communications with Turner.
Unused Time
The hospital’s policies and procedures manual makes a distinction regarding compensation for unused vacation time based on the circumstances of an employee’s separation from the hospital.
“Except for the first year of employment, employees will be paid for up to 80 hours of vacation time accrued from the anniversary date to the resignation or retirement date with proper notice given,” the manual says. “Compensation will be at the employee’s regular/base rate of pay.”
The manual goes on to say: “Employees that quit without proper notice or employees who are terminated will forfeit their vacation balance.”
Regarding sick leave, the manual says: “Sick leave is not a paid benefit at time of resignation or termination.”
The City of Eureka Springs Personnel Policy Handbook also outlines vacation and sick leave policies.
“With the exception of the first year of employment, a non-uniformed employee will be paid for all vacation time accrued from the anniversary date to the termination, resignation or retirement date,” the city handbook says. “Compensation will be at the employee’s regular rate of pay.”
The city handbook makes no distinction regarding compensation for unused vacation time based on the circumstances of an employee’s departure.
Regarding compensation for unused sick leave, the handbook says: “Accumulated sick leave is payable at 25% of the hourly rate upon resignation or dismissal.”
At the time of her termination, Shaw’s hourly pay rate was $70.10, according to documents included in her personnel file.
In a Nov. 5 letter addressed to Edmondson and copied to Berry, Turner and city human resources coordinator Jerry King, Shaw writes that she accrued 165.52 unused vacation hours and 271.77 unused sick leave hours and requests that she be paid for the unused vacation time and 25 percent of the unused sick time. At Shaw’s hourly rate, compensation for her unused vacation time would total approximately $11,602.95, while compensation for 25 percent of her unused sick leave would total approximately $4,762.77 — a combined total of approximately $16,365.72.
The complaint in Shaw’s wrongful termination lawsuit, filed by Rogers attorney Gregory F. Payne, asks that Shaw be paid for her accrued sick leave and vacation pay, among other damages.
Turner said in a Dec. 17 email that Shaw “received her accrued vacation and sick leave pay based upon the Hospital Policy and would have been the same regardless of the circumstances of her termination.”
