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The flood of '95 was significantly equal to the flood of '93 in the majority of communities under- taking a flood bu}'out program - after the 193 flood. The cost of human suffering was dramaticall)' reduced in '95, however, thanks to the hU}'out and demolition of about 213 of the flood-prone homes after the flood of '93. The reason is simplej fewer people were in hanns way during the flood of '95, thanks to Missouri's highly successful buyout program. ~ Flood inliurance pa)'ments paid out on flood buyout properties, more than $22.6 million for the '93 and 195 flood events, are flood payments that will NEVER be paid out again. A Buyout Success Story Total 1993 1995 Total Number of Buyout Projects 48 45 3 Number of Parcels Acquired * 4,193 4,044 149 Hazard Mitigation Grant to the State H $32.1 Million $30 Million $ 2.1 Million Total Cost of Buyout Projects $59.1 Million $56.8 Million $ 2.3 Million Total Flood Insurance Claims Paid *** $22.7 Million $22.1 Million $563.393.00 SBA Loan Liens (on Property Acquired) HU $12.2 Million $11.9 Million $321,542.00 SBA Loans Repaid (4S%) $ 5.7 Million $ 5.4 Million $321,542.00 Property Acquired: Fair Market Value $78.1 Million $75.2 Million $ 2.9 Million * The state of Missouri only reccivcd $2.1 million in IlMGP funds in '95 as compared to 530 million after the '93 tlood. ** Through local governments. the state of:'-..tissouri was able to acquire 4,044 properties after the flood 0('93 for roughly $56.8 million. This is an average cost of$14.045. Although the properties had an average prc- flood fair market value 01'$18.500, because of flood payments paid prior to the closing and deducted from the pre-flood value, the cost to acquire flooded properties was considerably less to the State. *** (SBA) Small Business Administration -- The flood claims paid out on property acquired through the buyout in '93 was more than S22.1 million. Only $563,393 was paid out in '95 on the homes that were eventually acquired after the '95 llood. Additional assislance of more than 54 million was also paid by FEMA to property owners participating in lhe buyout. Again. these payments will NEVER be paid again. **** Of the more than 511.9 million in SBA loans paid out on llood damaged property. $5.4 million was repaid by property m>.llers at the lime of the buyout closing. In 1995, 100 percent ofSBA loans paid out on flood damaged property was repaid at the time of closing. :i!'> ;",. .....=->";~.w_, .__. . - - il: The ;993 disaster related buyout effort was considered a success even in 1994. In fact. however. the effort had its detractors and Ii; skeptics. Negative comments for the most part centered around a few issues - destruction or reduction of the visibility of communities; the inability of business to sun.ive il"the residents should be relocated away from them; and the loss of tax base revenues should residents move to a different community entirely. !i The state understood these critics but chose to stay the course. Events of May - June 1995 served to answer almost completely these II critics. During this time frame. many of the communities devastated by lhe 1993 flood once again suffered under the raging surge of the r """'ide r...tissouri.. and the "Mighty ~1ississippi.'. Recorded flood ,vaters in many locations \.vere the third highest on record. I!.. In Cape Girardeau and Commerce, Missouri. the 1995 flood waters actually reached levels above the 1993 crest. Following [he 1995 , event. Missouri officials wisely produced a small but vcry effective paper entitled "Out of Harm's Wa)': the Missouri Buyout Program." " ~i. This paper serves to showcase the 1993-1995 effort. This small but powerful piece is significanl in that it page by page records the , reduction in misery and effort that is apparent when the buyout effort for 1993 is considered against the 1995 event. '"" --- Buck Katt, Deputy Director, Alissollri State EmergellcJ' Alallagemellt Agetlc)' .111 ',.1 ...... ....,;.......,.......................--.. - .. - ~ iiii-----~.---.-- iii/"'- ._...........--........y... ...-----..----.. ~--- -~~ Page 7