AMID BI-PARTISAN UPROAR, CARNAHAN PULLS LOANS

Cape Girardeau County's two state representatives and a Bootheel legislator serving as a Democratic leader in the House, joined many colleagues around the state Friday in criticizing a plan by Gov. Mel Carnahan to forgive loans made to symphonies in St. Louis and Kansas City.

Because of the bi-partisan opposition to an agreement signed May 17 and made public only this week, Carnahan announced late Friday afternoon that he was terminating the agreement.

"I feel the loans were not the right thing to do," said Rep. Mary Kasten, R-Cape Girardeau. "We spend a lot of time appropriating money and diligently looking at ways we do it, and then have this occur. I feel like when a debt is owed it should be paid."

Rep. David Schwab, R-Jackson, agrees the loans made in 1985, of $2.2 million to the St. Louis Symphony and $1.1 million to the Kansas City Symphony, should be paid.

Under the governor's original plan, the loans would have been retired by conducting free concerts around the state between now and 1998. Concerts by the St. Louis Symphony would reduce their debt by $60,000 and concerts by the Kansas City Symphony would reduce it $30,000.

Carnahan said he wanted lawmakers to revisit the issue in their next session, which begins in January. He said the symphonies had agreed to rescind the deal, but "we're going to deal with the subject, because the loan is there.

"I am attempting to get a benefit for the people of Missouri for what's now an unpaid loan. That was my motivation and is still my motivation," Carnahan said.

The deal was quietly inked last month by Carnahan's economic development chief, Joe Driskill, and symphony officials. Carnahan acknowledged that talks about the deal, initiated by the St. Louis Symphony, had been under way for months.

But the governor may find stiff resistance to the idea, even if legislators are involved in the debate.

"To me it was a loan made to pay back and that is what they should do," said Schwab. "The loan was made in good faith and I feel like they should have paid it back."

Schwab, Kasten, and Rep. Larry Thomason, D-Kennett, the House majority whip, all recall discussion in 1993 about having free concerts to retire the debt. They say most lawmakers were cool to the idea and instead voted to extend the time for the symphonies to pay back the state.

"The free concerts are a nice thought, but it is still not fulfilling the debt," said Kasten.

Thomason says he is a bit miffed that after lawmakers decided the debt should be paid last year, this agreement was entered into.

"It just doesn't sit well with me," said Thomason. "I think the vast majority of people who go to the symphony can afford to pay a high enough price for those tickets to help support the symphony and pay its debt."

He added, "Symphonies are just not things everybody goes to. I know they do performances for schools and other things, but they depend on their support from patrons. I don't think taxpayers of this state, if given a choice, would want their tax dollars going to a symphony in St. Louis and Kansas City. When we make those entities loans, they are supposed to be just that, loans."

Appropriations for the arts are always a tough sell in the state legislature because of other pressing needs. Thomason, Kasten and Schwab all believe publicity over the plan will only increase the scrutiny of arts funding.

Had the agreement been followed through with, Thomason said as a member of the appropriations committee for natural and economic resources, "it would be very, very tough next year not to deduct from the arts budget the amount of the loans."

In the budget for Fiscal Year 1995 that begins July 1, Thomason said there is $4.8 million appropriated for the arts, which is distributed by the Missouri Arts Council. Of that amount, $542,765 is designated for the St. Louis Symphony.

"We always have a struggle with arts because so many needs are out there," said Kasten, a member of the House budget committee. "Though I appreciate the arts I have a hard time voting for them because there are so many needs with families and children, health and mental health."

Carnahan said he still thinks the free concerts are a "good policy" and said he only pulled the plan because lawmakers complained they were not consulted.