CAIRO CAUCUS: ILLINOIS SENATORS DISCUSS BUDGET PACKAGE, FLOOD

CAIRO, Ill. -- There is no popular way to raise taxes and reduce the federal budget, but Illinois Sens. Paul Simon and Carol Moseley-Braun support President Bill Clinton's plan.

"We've been operating on a credit card," said Simon. "We have to reverse this situation."

Moseley-Braun added, "Voting for the Clinton Budget was difficult. But, it was necessary."

Simon and Moseley-Braun, both Democrats, were speakers during three "town meetings" held in Southern Illinois Tuesday at the Alexander County Courthouse at Cairo, Shawnee Community College near Ullin and at Stinson Library in Anna.

The budget, flooding conditions along the upper Mississippi River, the North American Free Trade Agreement (NAFTA), and health issues were among topics during the two-hour session at Cairo.

"We want to do everything we can to help flood victims," said Simon. "This flood of 1993 is one of the worst this country has ever seen. We want to help people dig out and get started toward recovery."

Simon told the group of more than 100 people who crowded into the courthouse at Cairo that no program provided for 100 percent coverage of flood losses, "but with grants, low-interest loans, and other funding we can lessen the effects of the flooding."

Simon added that U.S. Labor Secretary Robert Reich had directed an additional $8 million in discretionary funds to employ almost 2,000 flood-dislocated Illinoisans to work on flood cleanup projects.

"That brings the Illinois total to $10 million for the emergency program," said Simon. The cleanup project is expected to employ 1,920, mostly adults, who are temporarily out of work because of flooding along the Mississippi and its tributaries.

Jerry Illers of McClure described another flood problem to Simon and Moseley-Braun.

"We can't get flood insurance," he said. "People at East Cape Girardeau and in Union County can obtain insurance, but we can't get it at McClure."

Simon and Moseley-Braun agreed that flood insurance is a problem. "We'll be looking at the insurance issue in the future," said Simon.

On hand at the Cairo meetings were Al Hahn, Harold Nutt and Bob Linck of the Federal Emergency Management Agency (FEMA), who explained various programs available to flood victims, ranging from temporary housing to reimbursement of expenses for home repairs.

Simon, who is noted for his town meetings, with more than 500 during his eight years in the Senate, said there were only three rules for the session: one, that questions be limited to one per person; two, that comments be brief; and, three, that there be no "boos" and "hisses."

Simon and Moseley-Braun figured that a good part of the Cairo meeting would concern flooding.

"My office has been flooded with calls about the flood," said Moseley-Braun.

"I was on the phone early this morning about the Fayville Levee," said Simon.

Greg Patton, a farmer who has more than 900 acres of farm land under water from the Miller City levee break, told the senators that the Fayville Levee was a crucial area since an eddy in the river has resulted in the loss of about two feet of soil from the top of the levee.

"If this levee goes, it could result in additional flooding to farm land, and it could possibly back up into Olive Branch," said Patton.

Simon and Moseley-Braun had an opportunity to inspect the levee by helicopter, immediately following the Cairo meeting.

Before leaving Cairo, the two senators discussed the budget, NAFTA, Olmsted Dam and health issues briefly.

"There were a lot of things I would have done different on the budget," said Moseley-Braun. "I was especially disappointed with the gasoline tax. We scored on some issues and lost on others, but overall, it's a pretty good plan."

Moseley-Braun said the tax hikes would not affect the majority of Americans.

"People making under $100,000 may not notice any new taxes," she said. "Many working people won't get hit except on the gasoline tax."

Simon agreed that he did not completely agree with the budget plan, but that he voted for it. "The president is addressing the budget deficit issue," said Simon.

Democratic leaders had predicted the legislation, designed to cut the deficit by about $496 billion over five years, would win approval. But the voting was close 218-216 in the House and 51-50 in the Senate, with Vice President Al Gore casting the tie-breaking vote.

Simon told the group he had not taken a stand on the NAFTA proposal yet. "I have no problem with the Canadian portion of the agreement, but I think we have to look at the Mexican part of the pact."

He explained:

"In Canada, the going wage for laborers is even with, or in some cases above, the U.S. level, and that's an important factor," said Simon. "But, Mexican laborers are working for $1 to $1.15 an hour. This could create some problems in the long term."

Currently, noted Simon, the U.S. sells more products to Mexico than it imports, "but that could change."

Simon told the group that he was also working to get local jobs at the Olmsted Dam project.

"This is not easy," said Simon. Balfour-Beatty Construction Inc., a British-owned company with U.S. headquarters at Wilmington, Del., has an agreement with United Steelworkers District 50 in Eastern Kentucky to provide labor for the Olmsted project. The Kentucky district is about 400 miles from Olmsted. The company was winner of the first-phase contract for the project and has brought in its own workers for the $53.6 million project to build a coffer dam on the project.

"Some of these jobs should go to local union workers," said Simon. "Edward M. Smith, president and business manager of the local union group, and national and state legislators have been working on this." Smith was present at the Tuesday town meeting.

On health care, Simon said that by December, some type of proposal on universal health coverage and cost control measures could be made.

"These proposals would then go to committees," said Simon. "But, don't think we'll see any effective dates before July of 1994."