FEDERAL OK TO BUY PROPERTY REPORTEDLY NEAR

Federal approval should be granted soon for the buyout of property owners in some of the state's flood-prone areas, government officials said.

It was announced Monday that the state had forwarded the buyout applications of Cape Girardeau and Commerce in Southeast Missouri and Portage Des Sioux in St. Charles County to the Federal Emergency Management Agency.

"We have had very good success working with the federal government and are confident it will be approved," said Chris Sifford, a spokesman for Gov. Mel Carnahan.

FEMA will contribute about 75 percent of the $2.6 million the buyouts will cost while the state will pay the rest.

"We hope we can get moving quickly and get the vast majority of these properties -- if their owners are willing to sell -- bought out and demolished within six months," said Susie Stonner, public information officer for the State Emergency Management Agency, which was involved in deciding what communities would most benefit from a buyout.

Rep. Bill Emerson, R-Cape Girardeau, has been in contact with the agencies involved and also expects the process to move swiftly.

"I am told that we could even get the official word that it is indeed a done deal in the next several days," Emerson said.

Commerce Mayor Roy Jones said SEMA officials will be in that town today to begin surveying properties included in the proposal.

SEMA officials visited all 16 communities that applied for buyout funds and made its recommendation on three factors:

-- How many houses are in a particular area of flood plain?

-- How many of properties are contiguous?

-- How cost effective is the proposal?

Stonner said the three chosen areas best suited those criteria. Many of the proposals submitted were to buyout scattered properties, which would not be cost effective, Stonner said.

Commerce is slated to receive $1,756,767. About 80 percent of the properties in the town are eligible for the project.

The $742,000 earmarked for Cape Girardeau would go to purchase and demolish 38 homes in the Red Star neighborhood and 11 in Smelterville.

"Looking at the pictures of Smelterville and Red Star, that was pretty grim living," Stonner said of flooding in those areas this spring.

The state recommends Portage Des Sioux receive $77,000.

If official approval is given, all affected properties will be appraised at their pre-flood value. The buyout offer will equal that amount minus any insurance settlement or public aid the owner has already received.

Stonner said some of the communities whose applications were rejected may yet receive some funds.

Following the flood of 1993, $60 million was allocated for buyouts in 44 communities, but some of those projects boasted surpluses when completed. Those leftover funds, Stonner said, will be redistributed.