BE WARY OF SCAMS IN FLOOD CLEANUP, STATE OFFICIALS SAY

State and federal disaster recovery officials are advising Missouri residents with disaster-related damage to be careful when obtaining contract services for cleanup and repairs.

"Scam artists are often ready to seize the opportunity to capitalize on the misfortune of others," said Warren Pugh, coordinating officer for the Federal Emergency Management Agency.

The Missouri Attorney General's office and the Better Business Bureau offer suggestions to avoid falling victim to scam artists in the wake of a natural disaster such as the 1995 flood:

-- Use reliable licensed contractors. Check with the Missouri Better Business Bureau (1-314-531-3300) to make sure the firm has no outstanding consumer complaints against it.

-- Get a written estimate. Be sure to obtain a written estimate for the job and read the fine print. Compare the services and prices of several reputable contractors before making a final decision. Deal locally if possible.

-- Ask for references. Call former customers who had similar work done to make sure they were satisfied with the job.

-- Proof of insurance. Make sure the contractor carries general liability insurance and workers' compensation. If the contractor is not insured, the homeowner may be liable for accidents that occur on the property or to the house or building.

-- Obtain a contract. A complete contract will state the tasks to be performed and all associated costs. Never sign a blank contract or one with blank spaces. Make sure the agreement states who will apply for the necessary permits or licenses. Have a lawyer review the contract if substantial costs are involved.

-- Written guarantees. Ask for a written guarantee stating who is responsible for equipment and materials.

-- Pay by check. If possible avoid on-the-spot cash payments. The safest route is to write a check made out to a contracting agency. Federal law requires a three-day cooling off period for unsolicited door-to-door sales of more than $25.

-- Canceling a contract. Canceling a contract should be done within three business days of signing. Be sure to follow the agreements stated in the cancellation clauses and send the notification by registered mail.

-- Have work inspected. If excavation work such as sewers or basement walls is being performed, make sure a qualified observer inspects the work before it is hidden from view. This could avoid similar problems in the future.

Consumers who have problems with a contractor or have been victims of fraud are urged to contact the Missouri Attorney General's Consumer hotline at (1-800-392-8222).

In an unrelated flood recovery matter, the Cape Girardeau Police Department has lifted its curfew in areas that experienced flooding, effective at 6 this morning.