GOVERNMENT OKs FLOOD BUYOUTS IN CAPE, COMMERCE

Federal approval of plans to buy out property owners in flood-prone areas of Cape Girardeau and Commerce was announced Wednesday, and officials expect the process to begin right away.

The Federal Emergency Management Agency acted on buyout recommendations forwarded Oct. 16 by Missouri Gov. Mel Carnahan. FEMA will pay 75 percent of the Commerce project and 61 percent of the Cape Girardeau project. The state will cover the remainder.

"We hope to get the buyout program rolling along rather quickly," said Susie Stonner, public information officer with the State Emergency Management Administration, which will assist with the projects.

"We hope to get the vast majority of properties in Cape Girardeau and Commerce by the first of the year so those people do not have to wait and wait and wait and get flooded out again next spring."

The Cape Girardeau project will provide $742,000 -- $452,620 from Federal Hazard 404 funds matched by $289,380 from the state's general revenue fund -- to purchase and demolish 38 homes in the Red Star neighborhood and 11 homes in the Smelterville area. Cape Girardeau also will benefit from an additional $450,000 Community Development Block Grant intended to help with relocation costs.

Commerce will receive $1,756,707 in buyout funds -- $1,076,177 in federal money and $680,530 from the state. The owners of 74 homes, about 80 percent of the properties in the Scott County town, will be given the buyout option.

"This is a cooperative arrangement," said U.S. Rep. Bill Emerson, R-Cape Girardeau. "I must again point out that these will be dollars well spent. We must learn from history, and history tells us that these areas of Commerce and Cape are very susceptible to flooding. I believe we will be saving money over the long haul by making this investment now."

Commerce Mayor Roy Jones said residents are pleased that the plan is proceeding but concerned about what will happen next.

"Everyone is excited about the opportunity, but now everyone is in limbo because we do not know what we will be offered," Jones said. "It's the age-old problem: Am I going to get enough to move somewhere else?"

Jones said residents who expect to "make a fortune" on the buyout will be disappointed.

Properties will be appraised at pre-flood value. Offers will be for the appraised amount minus any insurance payments or previous public assistance an owner has already received. There will be little, if any, negotiation over price. The buyouts, however, are optional.

Any funds left over will be diverted to purchase property in flood-prone areas not included in the original proposal, said Ken Eftink, Cape Girardeau's development services coordinator.

"I feel confident we will spend all of the funds and hopefully get as many houses as possible," Eftink said.

Jones expects some Commerce residents to stay put. However, it will provide an option for those who want out in the wake of the 1993 and 1995 floods.

"They can leave the floodwaters and not have to worry about it anymore," Jones said. "I know it will be a very hard decision for people to make. It will be very sad for people. It's sad for me."

Even if the majority of Commerce residents move on, Jones feels the town will continue.

"I think it will remove a lot of eyesores and actually improve the town. A town can't die unless the people want it to die," said Jones.

The next step for both communities is to hire project administrators. Administrative costs will not come from funds allocated for buyouts, but will be provided from state or federal sources, Eftink said.

The Cape Girardeau City Council will select an administrator for its flood project in upcoming weeks. Eftink said the existing city staff is too busy with other projects.

Jones has asked SEMA to pick an administrator for Commerce's project.

Public meetings will be held in the near future to explain the buyout process.

The lands purchased will become municipal property. Cities are allowed to use the lands for green space, parks, athletic fields or any purpose they see fit. However, construction of any permanent buildings is forbidden.