Arkansas hospital operator agrees to terminate management deal

Shreveport, La.-based Allegiance Health Management has agreed to terminate its management lease with Eureka Springs (Ark.) Hospital, according to The Northwest Arkansas Democrat Gazette. The two parties have been at odds over the condition of the 12-bed hospital for months. 

Allegiance plans to end its leasing agreement within six months. 

The commission that oversees Eureka Springs Hospital said that vendors complained they were being paid, physicians said they were not being paid on time, and the building has rotting boards and peeling paint.

John House, MD, the commission's chairman, said that Allegiance hasn't been responsive about the repairs or payment issues.

"Our No. 1 concern, of course, is to make sure that we can offer the best healthcare we possibly can," Dr. House told Arkansas Business in September. "And at this point, we have lost faith in Allegiance’s ability to do that."

Allegiance disagreed that the building was in a state of disrepair.

Dr. House said the commission was ready to go to court against Allegiance for violating the terms of its lease.

More articles on leadership and management:
Efforts to undo Trump's ACA changes killed in Senate
How UMass Memorial Health Care deployed a successful telehealth strategy
DeBlasio mishandled mental health task force, members say

© Copyright ASC COMMUNICATIONS 2020. Interested in LINKING to or REPRINTING this content? View our policies by clicking here.

 

Featured Webinars

Featured Whitepapers