IhipKtt JdifcL
PROGRESS SENTINEL
VOL. XXXXV11 NO. 17 USPS 162-860 KENANSV1LLE. N.C. 28349 APRIL 28. 1983 18 PAGES THIS WEEK 10 CENTS PLUS TAX
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Board Hires Company
To Study Hospital
The future of Duplin
County's fian?ncially troub
led hospital w.U be deter
mined by tl e county com
missioners this summer fol
lowing a consulting firm's
study of the hospital's finan
cial condition.
By a 4-1 vote Thursday (
night, the commissioners
hired Price Waterhouse, a
Raleigh accounting firm, to
make the study at a cost of
not more than $20,000.
ft Commissioner Allen
Nethercutt voted no, con
tinued his opposition to
hiring a consultant. Com
missioners W.J. Costin, Cal
vin Turner. Dovey Penney
and D.J. Fussell voted for
the plan.
The hospital board last
month asked the county for
$1 million to upgrade equip
ment and facilities.
? Faced with increasing de
"mands on county tax funds to
keep the hospital operating
inder current conditions, the
joard appointed a committee
o recommend consulting
irms. The county owns the
tospital, which was built
vith funds authorized in a
1951 county referendum. It is
iperated by trustees ap
jointed by the commission
's.
Operating costs have ex
;eeded patient revenue in
?ecent years. Hospital offi
:ials have blamed much of
he problem on limitations to
tow much Medicaid and
Medicare can pay for medical
:xpenses. They also cite the
endency of Duplin County
latients to use hospitals
>utside the county.
The accounting firm will
>egin the study May 1 and
:xpects to complete its work
n about six weeks.
The commissioners agreed
he study should determine:
? The reason so few
)uplin residents use the
ocal hospital when they need
treatment.
? The quality of the
hospital's staff and equip
ment.
? The level of medical
care that can be financially
supported in Duplin Coun
ty's rural setting.
? The amount of money
that must be invested in the
hospital immediately and
over the next five years, if it
remains publicly operated.
? If the county should
continue operating the hos
pital as a public facility or if it
would be better to lease it to
a private hospital firm.
? If adequate medical
care could be provided
county residents if the hos
pital were leased.
? What the county's
obligation to provide hospital
care for indigents would be if
the hospital is leased.
? If a privately operated
hospital could reduce the
level of care if profits turn
out to be lower than ex
pected.
? What changes are
needed, if any, to bring out
standing patient accounts up
to date.
? If hospital purchases
are made at the most
economical level.
Meanwhile, the board ap
proved the transfer of
$95,000 in reserve funds to
the hospital to enable it to
pay bills or. time to ."void late
payment penalties.
Members of the committee
reviewing consultants were
N.R. Mattocks of Rose Hill,
Elbert Davis of Route 2,
Mount Olive, J.P. Smith of
Magnolia, and Commis
sioners Costin and Turner.
The committee recom
mended Price Waterhouse
and Deloitte, Haskins &
Sells, also of Raleigh. The
latter firm offered to do the
study for $12,000 to $25,000,
depending on the time re
quired.
\
Industry Bond Sale Approved
, By Duplin Commissioners
The Duplin County Board
of Commissioners tentatively
approved a request from J.P.
Stevens Co for the sale of SI
million in tax-free bonds to
retool the company's Carter
Plant in Wallace when they t
met last week.
The company estimates
the total cost of the retooling
P at S6 million. When the plant
returns to full operation, it
will employ about ?>00
people.
The approval is one of
several steps necessary for
the sale of such bonds. The
request now will go to the
N.C. Department of Com
merce for review. If the
department approves the
proposal, it will come back to
the county board for final
approval.
Companies seek as much
financing as possible through
tax-exempt bonds because
they carry lower interest
rates than conventional
bonds, said William H.
McBride of Raleigh, a bond
lawver.
McBride said Stevens is
seeking authority for the sale
of tax-exempt bonds in three
other counties.
The company is retooling
the Carter plant, one of two it
operates in Wallace, to make
cotton and polyester
materials for leisure and
. outerwear. The plant pre
viously made a knitted fabric
for lingerie and some auto
mobile upholstery.
The retooling is expected
to be completed late this
summer.
in other action, the county
commissioners called a
special meeting to be held in
? ? ? ?
the commissioners' room of
the courthouse to discuss
hiring a hospital financial
consultant.
A request for the county to
supply radio pagers to state
forest commission employees
sr they can be ^a'fod when
off duty will be taken up
during budget sessions. i
Commissioner D.J. Fussell ,
opposed the move, saying,
"This is just something else
the state's passing down. If
we're foolish enough to take
it up, all we've got to tax is i
that man with the house and j
trartnr '* I
?
Hearing Held Monday
On Broiler Bankruptcy
Officials of Watson Sea
food and Poultry were to
appear for a voluntary back
ruptcy and reorganization
hearing Monday in federal
bankruptcy court in Raleigh
^ before Judge A. Thomas
' Small.
Lawyers for the financially
strapped Rose Hill broiler
chicken firm filed for re
organization under Chapter
11 of the federal bankruptcy
code in bankruptcy court for
Eastern North Carolina in
Wilson Thursday.
Under Chapter 11, liqui
dation of a company is not
? required, but a payment
schedule to retire debts may
be set up under court super
vision. If a plan is approved.
rreditors are required to halt
?ny collection efforts outside
:he bankruptcy court for the
life of the plan.
The company's operations
were taken over by Coastal
Production Credit Associa
tion of Kenansville on April 8
tinder a voluntary liquidation
jlan agreed to by creditors.
The company had debts
totaling S5.6 million, $2.5
million of which was owed to
he PCA. The voluntary
iquidation plan was precipi
ated by the seizure of the
;ompany's income by Cape
Fear Feed Products Co. of
Jreensboro. That action left
Watson with no money to pay
ts growers or buy feed for
he nearly 2 million broiler
rhicks being grown out by its
125 contract growers.
PCA attorney Richard
3urrows of Wallace said
Friday that PCA is paying for
he feed to supply the
{rowers at a rate of about
150.000 a day. He said the
?CA will pay growers for
natured flocks picked up for
jrocessing.
Burrows said he doesn't
tnow what the ultimate
:ffect of the Watson action
vill be on the PCA. He said
te has not seen Watson's
)lan for handling its debts,
vhich it can file up to 120
lays after asking for Chapter
II protection.
"Our interest in this is the
same as the growers' ? to
raise and sell the broiler
chickens in an orderly man
ner," Burrows said.
Company president Ebren
Watson Jr. could not be
reached for comment Friday.
Burrows said that nothing
will change until Monday.
"We're feeding chickens and
paying wages to the work
ers."
The company has been
growing out about 285,000
broilers a week. The produc
tion has provided employ
ment for one shift ? about
200 workers ? at the Rose
Hill Poultry Corp. processing
plant in Rose Hill.
Company S Fiscal Ills Threaten
Poultry Jobs In Duplin Area
Coastal Production Credit
0 Association of Kenansville
will pay broiler growers the
past-due $135,000 owed
them by Watson Seafood and
Poultry Co. of Rose Hill, the
PCA's lawyer said last week.
A group of growers is
attempting to raise capital to
acquire the failing company.
The PCA took over Watson
to begin liquidating its
assets. The company has
debts totaling $5.6 million.
0 $2.5 million of which is owed
the PCA.
Cape Fear Feed Products
Co. of Greensboro attached
Watson's accounts
receivable leaving the
company with no money to
pay growers or buy feed.
liquidation of the com
pany and loss of its pro
duction of 2ttJ&broJers a
ssak could Man an eco
| namk Inns of SIS arfllioo to
$20 million a year to Duplin
and Pender County residents
and businesses.
Watson Seafood and Poul
try Co. employs 120 workers.
Indirectly, it provides jobs to
another 220 employees of
Rose Hill Poultry, a pro
cessing firm that handles the
production of its 125 contract
growers.
The PCA is attempting to
sell the firm, but PCA presi
dent Roy Houston said it has
received no acceptable
offers.
The PCA guaranteed that
fanners who had chickens in
their poultry houses would
receive feed and be paid for
growing out the birds. Hous
ton delivered that promise in
a statement Friday.
At that time, however, it
could not guarantee the un
paid growers they would
receive their money. The
company owes about
$135,000 to farmers for ma
tured flocks it had picked up
for processing in the three
weeks before the PCA tak
over.
Last week on Monday,
Richard Burrows, lawyer for
the PCA, told 175 angry
poultry growers meeting in
Kenansville that PCA will
pay these growers.
Meanwhile, a group of
broiler growers headed by
Rabon Maready of Beulaville
is attempting to raise money
and prepare a financial plan
to revive the failed company.
The company has production
contracts with 120 Duplin
and Pender County broiler
growers, who depend to a
large extent on income from
broilers for their livelihood.
The grower group must
raise at least $600,000 within
the next few days to keep the
company in operation.
Broilers are grown out by
growers under contracts with i
program operators, such as ,
the Watson firm, which owns
the birds and supplies feed
and medicine for them. The |
growers supply the poultry
houses, most utilities and
labor. They are paid accord
ing to the number of birds
they raise.
Another snag was cleared 1
last week when Maready 1
agreed to release the 85,000 t
broilers in his t r icken houses j
that were ready for the
processor Saturday. At that '
time he refused to let the }
birds go, fearing he wouldn't <
be paid for them. <
Burrows said that forced i
cancellation of one shift at <
the processing plant,
meaning a loss of about I
$8,000 in wages to workers '
and creating market supply j
problems. i
VOLUNTEERS CHECK BLOOD PRESSURE DURING
HEALTH FAIR - Goshen Medical Center in Faison hosted
the WRAL Health Fair April 20. The medical center was
one of 29 host sites for the fair during Health Fair Week,
April 16-23. The fair was designed to alert individuals to
possible medical problems. Along with members of the
Goshen Medical Center staff were volunteers from area
rescue squads. Duplin General Hospital, Duplin-Sampson
Area Mental Health. Pictured above, left to right. Faison
Rescue Squad EMT Clement Shine works checking blood
pressure during the health fair.
315 People Attend Health
Fair At Goshen Medical Center
By Emily Killette
Next, please. Volunteer:
?>id members of the Goshen
Medical Center staff screen
ed more than 315 people
during the six-hour Health
Fair at the medical center in
Faison April 20.
The health fair was spon
sored by WRAL in Raleigh,
the National Health Screen
ing Council and approxi
mately 20 patrons from the
Goshen Medical Center area.
Coordinating the health fair
was Eleanor Ezzell, health
educator at Goshen Medical
Center.
"The health fair benefits a
lot of people." Clement
Shine, a Faison resident and
town rescue squad EMT
said. "People should feel
free to use a project like the
Health Fair. It could help
them find something (illness)
they didn't know they had.
But, one of the greatest
things is the number of
people who attend the Health
Fair and get a chance to see
Goshen Medical Center."
Shine was a Health Fair
volunteer checking blood
pressure. According to
Shine, many Duplin rescue
squads furnished volunteers
to work in the Health Fair.
"We are responsible for
our own health," Florence
Warren of Faison said.
"Everyone with the oppor
tunity to attend a health fair
should take advantage of the
clinic. Do it for yourself ?
for your health. The Health
Fair is one of the greatest
things that has happened to
the Faison community."
People attending the Health
Fair were given the oppor
tunity to participate in
screenings for height and
weight, blood pressure, ane
mia, visual acuity, oral
:ancer. sickle-cell anemia.
colorectal cancer and pul
monary functions. An
optional blood chemistry
evam, which screens fpr
diabetes, kidney and liver
disease, gout, triglycerides,
iron, cholestrol and others,
was available for an $8 fee.
"The whole idea is to
reach small communities,"
Ezzell, coordinator, said.
"We will continue the Health
Fair by following up on the
evaluations and preliminary
tests given during the fair.
None of the tests performed
at the fair are conclusive, but
we have taken the results
and made referrals for
examinations by other
agencies." Goshen Medical
Center was one of "'9 host "
for the WRAL Healtn Fair in
North Carolina during the
week of April 16-23. The free
clinics are WRAL's contribu
tion to Health Fair Week.
April 16-23. Mrs. Ezzell
pointed out the health fair
clinics are not a replacement
for the individual's regular
check-up and Goshen
Medical Center received no
profit by serving as a host
site.
Working at the Health Fair
with the staff of Goshen
Medical Center and volun
teers from area rescue quads
were uer.ibe.-s the Duplin
General Hospital staff and
representatives from the
North Carolina Division of
Sickle Cell Association, Bio
medical Laboratoriesjrom
Raleigh and North Carolina
Division of the Lung Asso
ciation. The Health Fair is
based on a model provided
by the National Health
Screening Council. It is one
of 77 such health fair projects
across the nation.
' -,t I ?
STRESS AND RELAXATION INFORMA
TION PART OF HEALTH FAIR A Health
Fair was held April 20 at Goshen Medical
Center in Faison as part of Health Fair Week
April 16-23. A variety of free health
screenings were available along with in
formation on cancer, nutrition and stress and
relaxation techniques. The six-hour Health
Fair registered 315 participants. Pictured
above, left to right, Letress Hammonds, a
member of the Duplin-Sampson Area
Mental Health staff discusses relaxation
techniques with Florence Warren of Faison.
Driver Sentenced For Wreck
Marshall Hardison, 32, of
Fayetteville, formerly of
Wilmington, pleaded guilty
:o a reduced charge of care
ess and reckless driving
fhursday in Duplin County
Superior Court in Kenans
rille in connection with an
lutomobile-motorcycle acci
lent 14 years ago that killed
notorcyclist John Steven
Favenaugh.
Hardison was sentenced
>y Judge David Reid of
jreeqville to.si* months in
jail, suspended for two years
m condition he pay restitu
tion of J/M) to Melba Cave
naugh of Wallace. He also
was ordered not to operate a
motor vehicle with alcohol on
his breath for a year and
agree to submit to a breath
analysis at any time.
In a plea bargaining ses
sion the charges against
Hardison were reduced from
manslaughter and exceeding
the safe speed limit.
Hardison was charged by
State Highway Patrol trooper
R.N. Johnson after the acci
dent at 12:45 a.m. March 29,
1969, on U.S. 117 between
Teachey and Rose Hill.
The 14-year delay came
about because Hardison, in
the army at the time of the
accident, was transferred to
Germany before his court
appearance was scheduled.
When he didn't appear in
court an order for his arrest
was issued June 12, 1969,
and sent to the New Hanover
County Sheriff's Depart
ment. Hardison at that time
listed his address as 228
Englewood Drive in Wil
mington.
New Hanover officers re
turned the order to the
Duplin court June 21, 1969,
saying Hardison was with the
army in Germany.
This was the last action in
the case until the victim's
brother, Morris Cavenaugh
of Maenolia, inquired about
its disposition in January
1983. A Duplin County grand
jury brought new indict
ments against Hardison Jan.
24.
Asistant District Attorney
Dewey Hudson said the sta
tute of limitations does aat
apply when an order of arrest
has been issued and the
subject has not been appre
hended.