If I read your post correctly, you have a date in the format "06-13-2006" and you want to display it in the format "June-13-2006". If so, you can do it like this:
$date_in = '06-13-2006';
$date_in = str_replace('-', '/', $date_in);
$date_out = date('F-d-o', strtotime($date_in));