KASTEN: PANEL WILL BE READY WITH PLAN FOR SPECIAL SESSION

JEFFERSON CITY - State Rep. Mary Kasten said Thursday she believes a pretty good flood relief plan will be ready by the time legislators gather for a special session next week.

"I think we have made a lot of good progress," said the Cape Girardeau Republican, who serves on a special subcommittee of the House and Senate budget committees looking at ways to pay for flood costs.

"We have looked at a lot of figures and have gotten a lot of good information. Hopefully the state's share to match federal funds will be 10 percent, rather than 25 percent. Maybe we can handle it within those parameters."

If total flood damage in the state reaches $327 million, Missouri will only have to provide a 10 percent match for federal funds, rather than 25 percent.

"The thought is that we will reach that level, but it is definitely not a certainty. The federal government makes that decision," said Kasten.

At this point, Kasten said, an estimated $364 million is needed immediately for flood assistance.

In calling the special session last week, Gov. Mel Carnahan said he did not believe a tax increase would be necessary at this time. The governor will propose a bond issue to pay for some state facilities, including a new women's prison, and also wants a constitutional amendment to merge the rainy day and cash reserve funds.

Kasten said she is a little concerned about merging the funds, and if it is done wants legislation to include assurances that the cash reserve fund will be replenished the next year. That fund is used to maintain cash flow for the state.

"I'm a little skeptical about merging them permanently, and want to see that there are adequate safeguards," said Kasten.

Although the governor has said additional taxes will not be part of his package, Kasten said the subcommittee could still propose moving up implementation of 2-cent gas tax increases scheduled to take effect on April 1, 1994, and April 1, 1996.

Those funds would be used to help with road and bridge repairs.

"If that is done, the committee all agreed that it should not be done to the detriment of the 15-year plan and take away from the long-term commitments that the highway department has made," said Kasten.

Another item being considered by the committee is using money from the soil conservation sales tax as the match for federal money to repair levees. But Kasten said any levees that would be rebuilt would be carefully chosen.

Another recommendation of the committee is that the National Guard be used to help with repairs in the state, instead of sending the reservists overseas or out of state for exercises.

Recommendations also include ways to improve coordination, Kasten said.

The committee's report will be given to the governor today, and a report will be given to the full budget committees of the House and Senate next week.

"The special session will be as long as or as short as we need it," said Kasten.