CITY LOOKS AT LONG-TERM BUILDING NEEDS

For about a year, an eight-member team of Cape Girardeau officials has been looking at capital-improvement needs -- buildings, parks and other facilities, but not streets -- and has come up with quite a wish list. The key to this program will be how to raise the estimated $50 million that would be needed to pay for these projects over the next 20 years.

As noted in a story on Missouri's capital indebtedness on Page 1 of today's Southeast Missourian, issuing bonds incurs tremendous costs in the form of interest payments. The state's experience has shown that for every million dollars used for a capital-improvement project funded by bonds or other long-term borrowing, taxpayers must repay several millions of additional dollars for interest.

While governmental entities routinely use bonds for major, costly improvements, there may be other less-costly funding available. One plan currently being considered in the Missouri Legislature would give cities and counties the authority to impose -- with voter approval -- a half-cent sales tax for public safety needs. Much of the $50 million-plus program the city is considering would be for such things as fire stations and police facilities.

Under the sales-tax funding, the city could pay for its ambitious capital program as the various projects are completed. This pay-as-you-go method would save countless millions of dollars in interest that would be incurred with bonds.

Convincing voters that the city needs $50 million of capital improvements, including parks and airport upgrades, would be a major part of any long-range program. Most voters would probably agree that paying for these major improvements as they are done rather then incurring large sums of expensive debt would be best. But can voters be convinced that an even higher city sales tax is wise? And can voters be convinced that the projects outlined so far are really needed?

One project on the current list is an aquatic center to replace the old swimming pool at Capaha Park. Eleven years ago, voters turned down a similar idea. Are they ready to do it now, with sales-tax funding?

Much of the long-range planning for capital improvements in Cape Girardeau takes into account the growth that is occurring mainly on the west side of town. This blossoming area is the focus of new retail and residential growth. There is little doubt the city will have to work hard and fast to meet the needs of that area.

Cape Girardeau continues to expand its importance as a regional center. Making sure municipal services keep up will be a significant part of that building process.