Honda Repair: 1989 Honda Civic Overheating, blown head gasket, hoda civic

Question
My 89 Hoda Civic began overheating about 20 miles from home. We stopped to let it cool down, then added some water, then continued. It still overheated. When we got home we ran it over to the mechanic, and he said it was a bad hose and replaced the hose and sent us home. It overheated again same day, so I took it back. He called later to say it was a blown head. He also said he wouldn't fix it, because he always has problems witht he bottom of the engine, after fixing the top. (?)However he said he would replace the engine with another used one (Imagine that) It is a good car, but not really worth another 500 plus dollars to replace the engine with another that may even have the same problems or worse. Not to mention, we can't afford it. Then someone told us that if the head is blown, that there should be a milky white substance in the oil. So I checked and there isn't. Could it still be a blown head? Could it just be the head GASKETS? Can I replace the head gaskets without replacing, or "sanding" the head, if it isn't warped or cracked? And is there something else I should be checking or replacing instead? FYI we are not driving the car, it's sitting in the driveway. We are driving the Safari and it's killing us in gas. Thanks in advance!

Answer
It probably has a blown head gasket. 88-95 Civics were bad about blowing the head gaskets.  Honda actually redesigned the gasket for that engine.  You will need to replace the head gasket and the bolts when you do the head gasket.  Find another mechanic because we do those all the time with no problem.  You will need to have them send the head out and have a machine shop pressure check and machine the bottom surface of the head flat but it should have no effect on the sealing power of the engine.  

FYI.  I almost never see the milky white substance in Honda engines.  If they blow the head gasket, it burns the coolant.  The only time I have ever seen that is either on some Accords when the block is cracked or my old Ford Ranger when the head was cracked.