Commission hires law firm to help draft corrective plan

The Eureka Springs Hospital Commission has officially entered into an agreement with a Little Rock law firm to help it address issues that were discovered during a recent audit by the Arkansas Department of Health.

Kent Turner, chair of the hospital commission, signed an agreement with attorney Gabriel Mallard, according to an engagement letter approved at a special meeting held Monday, Dec. 2.

Mallard is an attorney with the firm Mallard Gardner, whose website says the firm “serves as both healthcare counsel and general counsel for several hospitals throughout the state of Arkansas.”

“We are pleased that you have engaged Mallard Gardner, PLLC for the limited engagement of conducting a review and analysis of Eureka Springs Hospital Commissions’ compliance with the state and federal requirements for the operation of a Rural Emergency Hospital,” reads the agreement, which is also signed by Mallard. “Specifically, Hospital is retaining the Firm for the purpose of assisting in drafting a correction action plan (“CAP”) for addressing deficiencies cited by the Arkansas Department of Health.”

“This analysis and CAP will be limited to Hospital’s operations and will not be related to Hospital’s status and obligations as a city-operated facility. During this review, it is understood that the Firm may present interim findings to the (hospital commission) during public meetings. The CAP will be available for public review.”

Before the vote to approve the agreement with the law firm, Turner told his fellow commissioners that Mallard wanted to pivot on the focus of his work with the commission.

“After our attorney saw the Department of Health report he said so much of what they did in that would be duplicative for him,” Turner said. “He’s suggesting that while he’s going to do an investigation, he suggested that we engage him to assist us in developing the final product that we send back to the Department of Health there in Little Rock. He’s very, very, very connected with the Department of Health.”

The hospital’s response to the health department’s report, which showed an array of deficiencies, must be submitted by Friday, Dec. 6, Turner said.

“It was very detailed,” Turner said of the report. “It is not good. I’m not going to mince words with it. It is really, really not good. There’s just a lot of work that hasn’t been being done. … We’re supposed to have [a response] back to them by Friday, which is going to be a challenge for us to do. But, I think with the help of Gabriel, we’ll be able to get it done.”

The commission held a workshop on Tuesday, Nov. 3, to begin formulating a response to the audit report, and Mallard was expected to attend.

“The working papers related to this review and CAP will be property of the Firm and not subject to disclosure unless provided to Hospital,” the agreement with Mallard reads. “Matters that related to attorney- client privilege will remain privileged except to the extent such disclosure is required pursuant to the Arkansas Freedom of Information Act.

“Hospital agrees to make all documents and personnel available to Firm during this review and will cooperate as requested in order for Firm to perform its services. If Hospital objects to the provision of any document or person, Hospital will provide the rationale. Firm is solely providing analysis of Hospital’s current operations and can only make recommendations as to practices and policies Hospital may adopt. Hospital’s actions related to the Firm’s findings and recommendations are solely the responsibility of the Hospital.”

The agreement states that the law firm’s rates “range from $225-$450” per hour and that an initial $5,000 retainer was required.

“During this engagement, Firm reserves the right to request that Hospital refresh this retainer,” the agreement reads.