CAPE COUNTY SEEKS LEGAL HELP TO BLOCK PORT ANNEXATION

The Cape Girardeau County Commission has hired a law firm to clarify legal issues regarding Scott City's attempt to annex part of the Southeast Missouri Regional Port Authority in order to bring in a gambling boat.

"We are not going to stand by and let this happen until some court says it will happen," said Cape County Presiding Commissioner Gene Huckstep.

He maintains the entire commission is solidly opposed to any annexation of the port authority by any city, and said Scott City Mayor Larry Forhan's contention that the port could be annexed are inappropriate. He said the city has nothing to do with the port.

"I am not against them getting ahead, but the very idea that Scott City would annex the port for the sole purpose of getting fees from that boat when they have never contributed anything for the port, there is no negotiation on that," Huckstep said. "If they were really seriously thinking we would go along with this, you think someone would have contacted us."

At a closed session Thursday, the Cape County Commission met with attorneys from the Limbaugh law firm. Later that afternoon, attorneys advised the port authority and city of Scott City that the county commission wanted access to all records they have pertaining to annexation of the port and riverboat gambling.

"It is in the hands of the attorneys, and we told them to do whatever is necessary to put a stop to any further negotiation about annexation for gambling at the port authority," said Huckstep. "So much of this part of the law has never been tested, especially on port authorities, and we want to know what our legal recourse is."

Dan Overbey, executive director of the port authority, said Friday the request was reasonable. "It is their port -- it belongs to Cape and Scott Counties and they can see anything they want to see."

Overbey said he had four or five file folders and about 300 pages of documents that apply to annexation and gambling.

Forhan charged that Huckstep and the Cape County Commission are improperly meddling in his town's affairs.

But Huckstep contends Cape County has every right to protect its interest in the port authority and fend off any effort Forhan might be planning to annex port property. "We are just trying to find out what's going on," he said.

"The Scott City mayor is acting like it (annexation) is a done deal. Well it's not a done deal," Huckstep added. "No one has officially contacted us. Long ago when this was brewing, and they were putting up all these signs about gambling, they should have contacted both county commissions. They may have contacted Scott County, but they have never talked to us.

"I would be just as angry if Cape Girardeau were trying to annex the port for the benefit of gambling."

In November, voters in Scott County defeated the local option for gambling in the county. Had it passed, the port was prepared to move forward on exercising an option with Casino Magic to lease about 26 acres and extend the slackwater harbor to accommodate a gambling development.

That option to lease expires April 30, and at this point, Overbey said he does not expect it to be renewed. "I don't expect anything to happen with it. I expect the clock to run out at the end of April."

Forhan sought proposals from potential boat operators and three companies have expressed an interest in Scott City. The city will vote April 5 on the local gambling option. But Scott City is about two miles from the Mississippi River and before any boat could come into the city, annexation will have to occur.

Overbey and Port Authority Commissioner Morty Potashnick of Sikeston, both say it is unlikely that anyplace Scott City could annex along the river, except for land owned by the port authority, would be approved by the Corps of Engineers.

Potashnick and Port Board Chairman Mysie Keene of Jackson, say the nine port commissioners are all cool to the idea of having any part of the port annexed into a city.

But Keene and Potashnick say they agree with Huckstep's longstanding contention that if a boat were located at the port, the majority of the gambling revenues should go to the port for capital improvements.

"We all agree that fees need to go to the port authority," said Keene.

Potashnick stressed that the goal of the port authority is to benefit the region, not any particular city.

"Our board unanimously agrees with that," said Potashnick. "We all agree that revenues from a gambling boat must go to the port authority, not any one city."

In the past, Huckstep has said it might be acceptable to pay some of Scott City's expenses for law enforcement caused by a boat. But he contends that if the city annexed the part of the port where a boat would be, its primary benefit would come from sales taxes, property taxes, and other developments.

Said Huckstep, "If there is anything that makes revenue at the port, it has to go to the port, not the city of Cape, not the city of Scott City, not Cape County and not Scott County. Cape County doesn't want any fees from the port. We want them emancipated. I want the port to be successful and bear fruit for the taxpayers. We are not going to provide a spot down there for a city to get revenue."

Huckstep said the Cape and Scott County Commissions both recently extended credit of up to $500,000 each to the port to enable it to match available federal funds for capital improvements.

Forhan has charged that Huckstep and the Cape County Commission are trying to deny Scott City an opportunity to get revenue for badly needed city improvements.

But Huckstep said taxpayers in the two counties have made a major investment in the port and should get the return, not Scott City.

"We are not denying them anything," Huckstep claimed. "He (Forhan) can imagine whatever he wants to. He's phony and a counterfeit."

Potashnick says Forhan has lost sight of the fact he has no control over the port.

"Mr. Forhan has got his cart so far ahead of the horse that the horse needs a telescope to be able to see the cart," said Potashnick.

"The port authority is a political subdivision in its own right and we are an instrument of Cape County and Scott County," he added. "As commissioners on the port authority, we will always respect the wishes of the two counties' commissioners. Consequently, Mr. Huckstep is exactly correct in his assessment of Mr. Forhan as being far too premature in assuming that Scott City could utilize the port for its gaming boat."

Potashnick stressed that the only way the port's board would consider any type of annexation, would be if both county commissions agreed to the plan.

Keene said the only way the port board would consider annexation is if it would provide a major revenue boost to the port.

"We look at a gambling boat the same as we do any industry that wants to locate there," said Keene. "A boat would certainly furnish us with funds for a lot of things we need. But as far as annexation, I've been on that board a long time, and though we have never taken a vote on it, I think the consensus is clear that we do not want to be annexed by Cape, Scott City or anyone else.

"Whatever we do down there, our controlling bodies are the two county commissions. We are absolutely not going to do anything those two bodies do not want to happen there."

For a boat to be located at the port without annexation, voters in Scott County would have to approve the local gambling option.

Overbey noted that Forhan has acted like there are other sites besides the port that could be annexed for a boat. But Overbey said from talking with port commissioners and reviewing port records concerning the decision on where to locate the current slackwater harbor, there appears to be no other viable location.

Potashnick agreed.

"It is not only my opinion, but the Corps of Engineers' opinion as well," he said. "Everything from Gray's Point to the Thebes (railroad) bridge is not permitable. The Corps would not allow any barges to be tied up around there."

Potashnick said the river channel swings against the Missouri bank, and tow boats trying to line up to get through the Thebes Bridge peers have to move right up against the Missouri bank. That means there is no way a boat could be docked anywhere along the river that could be annexed by Scott City, he said.