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Residents urge city limits on large rehab facilities as Dr. Pauls expands local footprint

Eureka Springs City Council · July 14, 2026
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Public commenters and three written submissions urged Eureka Springs to direct the planning commission and city attorney to draft ordinances capping beds, limiting property acquisitions and requiring discharge plans for high-density recovery facilities; council agreed to place the issue on an agenda for further review but the city attorney advised caution about an immediate moratorium.

Public commenters at the Eureka Springs City Council meeting on July 13 urged the city to adopt zoning and licensing limits on large residential rehabilitation facilities after local nonprofit operator “Doctor Pauls” purchased two hotels in the city.

Jay Fusaro, who gave his address as 21 Owen Street, said the two hotels have a combined capacity of 84 rooms and, under double occupancy, could house as many as 168 people plus residents at the provider’s main campus — an influx he estimated at nearly 200 individuals in a town of about 2,000. “A town of 2,000 people cannot safely absorb an unvetted institutional scale halfway house population,” Fusaro said, and asked the council to “direct our planning commission and city attorney to draft an ordinance” that would cap beds, limit property acquisitions and require minimum distances from schools and formal transition and discharge plans.

The clerk read a written statement from long-term resident Susan Brashears echoing Fusaro’s request and urging “neutral citywide rules on occupancy and spacing that focus on scale and location rather than discriminating against patients,” and Lamont Ritchie’s letter asked the city to clarify whether temporary entertainment-district actions are subject to referendum; another letter from Richard Webb criticized the council for overriding a prior citizen vote on a different matter and called for accountability.

A councilmember asked whether the city should adopt a moratorium on further property purchases by treatment providers while an ordinance is drafted. The mayor said the matter should be put on a future agenda and discussed with the city attorney. The city attorney warned against immediately imposing a moratorium without further study and recommended careful review of legal and regulatory implications before acting.

Council did not adopt new rules at the July 13 meeting. The exchange closed with the mayor directing staff to place the matter on a future agenda for legal review and policy discussion so the council can consider options including ordinances, spacing requirements and discharge-planning mandates. No specific timeline for drafting or adoption was provided.