Earlier this year, UNC Health Johnston submitted applications to the North Carolina Department of Health for more than $100 million worth of expansions at its hospitals in Clayton and Smithfield.
The health system proposed adding 12 acute care beds to the Clayton hospital on NC Highway 42 and the Smithfield Hospital on Brightleaf Boulevard.
The NCDHHS approved the plans for the Smithfield hospital but denied the plan for Clayton.
Following the denial UNC Health Johnston said it "plans to appeal the decision" because it "believes the expansion of its Clayton campus is needed to keep up with the growing demand in the region."
UNC Health Johnston said it's working to address questions raised in the denial.