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Check the PS belt to see if they slobbered fluid all over it. Maybe the belt is slipping.
On the other hand, the rack & pinion going bad is a fairly common problem. They could be right. Take it to an independent shop for a second opinion.
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1992 Camry LE, V6 (3VZ-FE), ABS brakes, 330k miles, dark emerald pearl, owned since new.
1996 Avalon XLS, ABS brakes, moonroof, white, acquired w/ 139k miles, now at 261k.
2001 Yamaha FZ1, Ivan's jet kit, resprung all around, Ohlins in the rear, Race Tech cartridge emulators in the forks, 45k miles.
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