Newspapers / The Brunswick Beacon (Shallotte, … / Oct. 22, 1987, edition 1 / Page 3
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TIIK HKI'NSWICK BKACON. Thursday. Ootohcr 22. 1987—Page S-A BY SUSAN USHKR While transfer of The Brunswick HospiUil’s lease with Hospital Cor poration of America to HealthTrust Inc. may be only a technicality, members of the hospital’s governing authority aren’t taking any chances. Meeting last week. Authority members decided to have both a private law firm in Raleigh and Brunswick County’s attorney, David Clegg, examine the lease and the re- que.st for its transfer before taking action. (’hairman Donald Noe told members that in a .July 20 letter to Rodney Pulley, at that lime the ho-spital’s administrator. HCA Vice President and General Coun.sel Charles U. Kown advised that con cerns about transfer of the lease didn’t apply in this case since the hospiUil was actually leased to an HCA subsidiary. Hospital Corpora tion of North Carolina. Hospital Authority Delays Vote On Reassignment Of HCA Lease %.. Nothing in the lease, Kown wrote, prohibits the .sale of slock of the sub sidiary to the new corporation. HealthTrust. which would own the stock. “This prohibition against assign ment only applies to the leasee and the sale, assignment, mortgage or transfer of this lease by the leasee,” he wrote. “In legal fact that is not oc curring. as the subsidiary leasee is staying in place and the lease is not being sold, assigned, mortgaged or transferred.” However, a second letter, from HealthTrust Inc., asks the Authority to reassign its lease to that new hospital holding company. The letter notes that "the opera tions. management, personnel and facilities of the hospital will continue as before. The holding company will assume all of the hospital's obliga tions to you under the agreement.” Then the letter asks the authoritv. The Brunswick Hospital Now Port Of HealthTrust The Brunswick Hospital in Supply was one of 104 hospitals formerly held by Hospital Corporation of America (HCAl that last month became part of a new company, HcalthTni.st. Inc. According to HeallhTnist Chair man and Chief Executive Officer R. Clayton McWhorter, the Nashville. Tenn., firm is the first major hospital company to be owned, in large part, by its employees. Though it opened as Brunswick County Hospital, the facility, renam ed The Brunswick Hospital, was later leased by HCA for 10 years, with the option to extend the lease to 40 years as allowed by law or at the end of the initial lease period. John Marshall, formerly of St. Augustine. Kla., is hospital ad ministrator, coming on board Sept. 1. As a leased facility, the hospital was considered an HCA owned rather than managed facility. In September, HealthTrust pur chased the group of acute care general hospitals from HCA for $2.1 billion through the formation of an Empluyeo .Stenrk Ownership Plan (ESOPi whereby almost 23.000 employees became part owners of the company. Public Information Officer Pete Barnette of The Brunswick Hospital said last week that the purchase by HealthTrust has not affected the hospital’s administration or ser\'ices. “The only change was we became an employee-owned facility instead of part of HCA,” Barnette said. He added that hospital employees "seem to be pleased” with the ESOP, although "1 don’t think it’s really THE BRUNSIVICK^BEACON Established Nov. I. 1962 Telephone 754-6890 Published Every Thursday At Main Street Shallotte. N. C. 28459 SUBSCRIPTION RATES IN BRUNSWICK COUNTY One Year S7.50 Six Months S4.00 ELSEWHERE IN NORTH CAROLINA One Yeor $10.00 Six Months $6.00 ELSEWHERE IN U.S.A. One Year $12.50 Six Months $7.00 Second class postage paid at the Post Office in Shallotte, N. C. 28459. U5PS 777-780. sunk in to most of them that we ac tually own it." he said. Barnette noted that prior to the sale. HCA was composed of 494 hospitals worldwide. He said he feels The Brunswick Hospital now will receive increased individual attention from corporate leaders, especially since most of the 104 HealthTrust facilities are smaller, community hospitals. "Thai's a definite plus,” he said. In order to finance the acquisition, HealthTrust borrowed approximate ly $1.7 billion from a syndicate of banks and financial institutions. HCA received $1.64 billion in cash and $460 million of preferred stock. HCA also received warrants for up to 34 per cent of the fully-diluted HealthTrust slock. HealthTrust’s annual revenues are expected to be approximately $1.5 billion, while its hospitals total $2 billion in assets. As HealthTrust pays off the loan over the next 10 years, the slock will be released and distributed to a special pension account for each employee. Early estimates predict contribu tions of approximately 20 percent of pay could be made to the employee accounts each year after 1988, as compared to 6.5 percent of pay con tributed into the HCA retirement plan each year. Ownership of stock costs employees nothing, and when fully diluted, the ESOP will own 51 percent of the company. Over the past three years, HCA has invested $642 million in what are now HealthTrust hospitals, of which 40 percent are the .sole provider of in patient care in their communities. Another 25 percent are one of only two or three hospitals in their com munities. Barnette said The Brunswick Hospital has facilities that most com munity hospitals can’t afford. He noted that hospital’s new CAT- scan addition, which is nearing com pletion, advanced laboratory and operating facilities, the 24-hour emergency room with advanced equipment, and the hospital staff. ”We have one of the ablest, most competent teams of technicians and medical staffs that you could have,” Barnette said. 'The Brunswick Hospital, which ac cepted its first patient in November 1977, now has more than 150 full- and part-time employees. To the extent that your consent to the assignment of the agreement to the holding company and to (he release of the obligation.s of the hospital under the agreement may be rcftulred.” to sign and return such a release. Instead, agreeing with a motion by Ixio Fulford, they put the matter on hold until legal opinions could be .sought. Said Pauline Morgan. "It makes sense what he says, but I'm no lawyer.” Getting the opinions, she added, "is just good business prac tice.” Authority members, as hospital employees had earlier in the month, received HealthTrust baseballs, .symbolizing membership on the new “team.” Audit Noted Authority members also received summary shecLs of two audits per formed in conjunction with lea.se of the hospital by HCA in 1984. AudiUs completed in May 1987 by Coopers & I.ybrand CPA firm of Raleigh for the fi.scal years ending June ;i0,1985, and June .10.1986, show ed a decrease in the hospiUil aulhori- ty’.s net assets from $1 million in 1985 to $27,000 in 1986 following lease of the facility to HCA. Uabililics changed from the hospital’s Hill-Burton obligation of approximately $1 million in 1986 to $2,500 in accounts payable in 1986. Revenues for 1985 and 1986 were $93,613 and $96,239 respectively. Ex penses and losses were $3.19 million and $11,441 respectively. The 1985 figure reflects the lo.ss of $3.17 million in dlspo.sal of haspital operations and the medical office building by their long-term lease to HCA year. End-of-year fund balances for the two years were -$60,242 and $24,556 respectively. Other Business In other bu.sine.ss. members; •Welcomed two new board members. Wilson Arnold of Supply. District 2; and Charlena Alston of \Utna Arnold Navassa, District 5. Tliey were sworn In by Magistrate Roney Cheers. •Approved Pauline .Morgan’s mo tion to pay Coopers & Cybrand for audits for fiscal years ending in June 1985 and 1986. at a cost of $1,750. •Approved retroactively expen diture by HCA of $100,000 for equip ment to stock new eye surgerj’ ser vice that Chainnan Donald Noe said he feels "is really going to help our hospital. It is going to keep a lot of people from going across the river to gel these cataracts taken care of.” The hospital lease agreement with MCA requires Authority approval of any expenditure of $50,000 or more. Chainnan Donald Noe of Southport said. However, since the equipment would be fully depreciated before the I extended) 40-year lease would end. he determined a special meeting was not needed earlier to approve the purchase, since approval would be a technicality. •Heard from Sectctary-Trea.surer Kenneth Bellamy that the authority has assets of $52,128. Bellamy ques tioned a changeover in accounts from UCB to Southern National Bank, marie apparently before Noe became chairman this summer. "When did this happen?” Bellamy asked. "I’m secretar\'-lreasurcr and this is the first I knew of it. I should have at least known.” Hospital ad ministrators said they would in vestigate who authorized the change. The discussion was sparked when Mrs. Morgan recommended closing out a UCB account that had a minimal balance that was drawing monthly charges. it's Dixon Chopel Oyster Roost Time Tradition continues this weekend in Vamumtown as Dixon Chapel Methodist Church holds its annual oyster roast from 1 p.m. to 8 p.m. Saturday. Cusis for Uic “aii-you-cari-eat" affair will be $3 for adults and $3.25 for children. Proceeds are used for the benefit of the church and for needy individuals In the Vamumtown community. Hushpuppies and coffee will be served with the oysters. Soft drinks, pies, cakes and hotdogs also will be on sale. Persons who attend are encouraged to bring their own oyster knives. For more information, call (919)842-6425. In past years the roast has traditionally been held earlier in the month; this year’s event was rescheduled to accommodate the later opening of oyster season on Oct. 15. Man Charged In Leland Murder Bryant Leaving da's Office imVANT BY RAHN ADAMS Assistant DislricT Attorney Wanda Br>'anl said last week she's having "severe withdrawal pains" at the prospect of leaving Brunswick Coun ty soon, but she’s looking forward to joining her husband in Washington. D.C. .Ms. Bryant, 31. of Supply, said she will begin a one- year leave of absence from the 13th District At torney’s office on Oct. 31. “I’m having severe w i t h d r a w a 1 pains, but know ing I’m coming back makes leaving a lot easier.” she said. "I feel like hopefully it’ll be an experience that I can bring something back from.” She said her husband. Ronald Steven Douglas, has been living in Washington since April, when he joined a private law firm to do main ly criminal defense work. “We’ve had a commuter marriage," Ms. Br>*ant .said, noting the couple has been able to sec each other only once or twice a month since April. Ms. Br>ant said she and her hus band plan to return to Brunswick County next year, after he passes the N.C. Bar Examination. For almost five years, .Ms. Br>ant has been employed as assistant district attorney in Brun.swick Coun ty- Wtiile here, she hits prosecuted "iu.sl about everything you can im agine.” she saiil, hut has .specialized in sexual offense cases. Ms. Brjant was in private law practice here from Augu.st to December 1982. Sandra Hairston of Durham will join the local district attorney's of fice Nov. 1, Ms. Bn- ant said. Ms. Hairston, a Stokes County native, is a recent graduate of the N.C. Central University I.aw School in Durham and passed the state bar exam in August. .Ms. Bryant said. Ms. Hairston earned her undergraduate degree from UNC- Charloltc, Ms. Br>ant said. BY RAHN ADAMS A Brunswick Countv man was ar rested last week in connection with the murder of his cousin, a Inland area teen. Donald Ray Ballard. 29. of Route 1, lAjIand, was charged with first- degree murder in the Friday night shooting death of Onzel Dupre Ballard, 16, also of Route 1. Inland, according to Brunswick County Sheriff’s Capt. Phil Perry. The suspect made his first court appearance Monday in Brunswick County District Criminal Court. According to the county clerk of court’s office, a probable cause hear ing is scheduled for Nov. 4 in Bolivia. Donald Ballard remained in the Brunswick County Jail Monday with no bond. Perry declined Monday to release a possible motive in the murder, say ing it was still under investigation by the sheriff’s department. He said the shooting occurred Fri day around 8.25 p.m. near the victim s home in the Phoenix com munity. A handgun was used in the .slaying, he said. Ixiumen located a handgun near the murder scene, but as of .Monday had not positively determin ed if it was the murder weapon. “We have a weapon, but we don't know if it’s the right one or not.” Perr>' said. Following the shooting, the victim’s mother. Cynthia Ballard, found the teen lying face-down in the driveway just north of the residence. Perr>* said. The mother initially reported the incident to off-duty Brunswick Coun ty Sheriff's Deputy Ida Ballard, who in turn notified the sheriff’s depart ment of the shooting, he said. The youth was dead by the time lawTnen arrived on the scene. Perry said. The victim’s body initially was transported to The Brunswick Hospital in Supply, then to the Regional Medical Examiner’s Office in Jacksonville for autopsy. Perry said autopsy results Mondav confirmed that the youth died of a gunshot wound. Donald Ballard was taken into cvislody by 1.1. .limmy Rr^ani at. Ihu suspect'.s residence shortly after the .shooting was reported to officers, r/ie arrest was made without inci dent. according to Det. Sonny Padgett, who assisted in the in vestigation. VOTE NOV. 3 FOR BOB BUCK FOR HOLDEN BEACH COMMISSIONER WORKING FOR THE WHOLE COMMUNITY CAi ri TWIN CREEK (FOOD LION] PLAZA-SHALLOTTE ■ HOURS: MON-SAT 10AM-8:30PM; SUN 1-6PM * ALL WOMENS FALL CLOTHING 50^0 OFF! DRESSES, SKIRTS, PANTS & TOPS MENS & BOYS FALL CLOTHING 30%) TO 50% OFF! INSTINCT, BILLABONG, QUIKSILVER & MORE VISION, VANS & CONVERSE HIGHTOPS! $ieoo S OFF! T-SHIRTS, SHORTS & SWIMWEAR REDUCED TO ^ ■■ it m — AREA’S LARGEST SELECTION OF SKATEBOARDS. SURFBOARDS & WETSUITS... The Best Change For Holden Beach is Georgia Langley CANDIDATE FOR TOWN COMMISSIONER IS YEARS EXPERIENCE — In Municipal Government — In Finance — In Management — In Organization A FINANCIAL CONSERVATIVE 'Treat the Town's money os you would your own-because it is!" SEPARATE HIGH RISE CONDOS FROM THE SEWER ISSUE 3 votes of our Town Commissioners con change the building height limit of 35 feet Our commis v^e^of roeoot^'h i" H ‘I" °r Pcssoge. It would then reg'^e o POLICE DEPARTMENT I feel the police department should not be under the power of only one Town Commissioner BUILDING INSPECTOR bu'dingTermhs'issued"'comm.ssion on the number of TOWN MANAGER FORM OF GOVERNMENT ^osL^rmnn ,h"'!'''''' experience if we do not permit him to moke recommendations hosed upon that experience? Our commissioners will always be responsible for making the lows and seeing fney are eniorLcd, me luws EROSION PROBLEMS lorn .n (ovor of orgonizing the Brunswick Islands To push legislation to fund erosion oroblems More voices, more impact. Will our children have a beocfi front? ^ oblems. 'I tjrew up with Holden Beach-hove been Q property Owner since 1969 ond am now Q permanent resident "
The Brunswick Beacon (Shallotte, N.C.)
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Oct. 22, 1987, edition 1
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