Legal News

This Week: Legal Services Corp Budget Debate

By Joe Palazzolo

The Legal Services Corp, the nation’s largest funding source for civil legal aid to the poor, has seen its fortunes rise, then fall, and then settle somewhere in the middle during the Obama administration.

The organization received $420 million from Congress in 2010, a $30 million bump from the previous year. In fiscal 2011, funding slipped to $404.2 million, and then, as part of the bipartisan budget deal that averted a shutdown, LSC dropped to $398. Republicans had proposed a $70 million cut.

That’s quite a gulf, yes, but the two sides are even further apart these days. The so-called minibus bill passed by the Senate recently includes $396 million for LSC. House appropriators have advanced a bill that would shear the organization’s budget to $300 million, the lowest level in 12 years.

The proposed cuts come as pro bono hours are down, the number of people eligible for free legal assistance is up, and most of the 136 nonprofit legal aid organizations that rely on LSC grants are cutting lawyers, paralegals and support staff.

As early as Thursday evening, House and Senate appropriators could meet in conference committee for the first time since 2009, the Hill reports. House Appropriations ranking member Rep. Norm Dicks (D.,Wash.) said in a statement that the LSC budget would be a priority in the talks.

Rep. Frank Wolf (R., Va.),  who chairs the House appropriations subcommittee with jurisdiction over the LSC budget, has said the group and its local partners should rely more on resources from large law firms, state bar dues and law schools. (In response, LSC has created a new task force dedicated to expanding pro bono work.)

A longtime supporter of funding for civil legal aid, Wolf has criticized LSC for work that could be seen as polical, such as a"Know Your Rights" booklet produced by Legal Aid of North Carolina. It contained a cartoon of President George W. Bush digging a grave for the workers' wages.

The ABA, meanwhile, has called on Congress to “look for savings in programs that don’t work” and  ”restore funding” for legal services.

For good measure, we threw in the LSC 2012 list of potential grantees. The amounts are based in the current funding level and are (obviously) subject to change.

This is a tough issue, LBers. We welcome you comments.

Legal Services

Full post as published by Law Blog - WSJ.com on November 02, 2011 (boomark / email).