I

103D CONGRESS

1ST SESSION H. R. 2644

To authorize appropriations for the Legal Services Corporation, and for

other purposes.

IN THE HOUSE OF REPRESENTATIVES

JULY 15, 1993

Mr. BRYANT introduced the following bill; which was referred to the

Committee on the Judiciary

A BILL

To authorize appropriations for the Legal Services

Corporation, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

4 (a) SHORT TITLE.—This Act may be cited as the

5 ‘‘Legal Services Reauthorization Act of 1993’’.

6 (b) TABLE OF CONTENTS.—The table of contents is

7 as follows:
2

•HR 2644 IH

Sec. 1. Short title.

Sec. 2. Reference to the Legal Services Corporation Act.

Sec. 3. Authorization of appropriations.

Sec. 4. Protection against theft and fraud.

Sec. 5. Prohibitions on lobbying.

Sec. 6. Enforcement, sanctions, and monitoring.

Sec. 7. Class actions.

Sec. 8. Negotiation requirement.

Sec. 9. Prohibition on use of funds for redistricting.

Sec. 10. Restrictions on use of funds for legal assistance to aliens.

Sec. 11. Governing bodies of recipients.

Sec. 12. Professional responsibilities.

Sec. 13. Solicitation.

Sec. 14. Certain eviction proceedings.

Sec. 15. Procedural safeguards for litigation.

Sec. 16. Competition study.

Sec. 17. Training.

Sec. 18. Limitation on use amendments.

Sec. 19. Recordkeeping and noncorporation funds.

Sec. 20. Evasion.

Sec. 21. Fee-generating case provisions.

Sec. 22. Attorneys’ fees provisions.

Sec. 23. Corporation board control over policy.

Sec. 24. Reprogramming provisions.

Sec. 25. 12-month grants.

Sec. 26. Establishment of local priorities.

Sec. 27. Staff attorneys.

Sec. 28. Study on legal assistance to older Americans.

1 SEC. 2. REFERENCE TO THE LEGAL SERVICES CORPORA2 TION ACT.

3 Except as otherwise expressly provided, whenever in

4 this Act an amendment or repeal is expressed in terms

5 of an amendment or repeal of a section or other provision,

6 the reference shall be considered to be made to a section

7 or other provision of the Legal Services Corporation Act

8 (42 U.S.C. 2996 and following).

9 SEC. 3. AUTHORIZATION OF APPROPRIATIONS.

10 Section 1010(a) (42 U.S.C. 2996i(a)) is amended by

11 striking the first three sentences and inserting the follow12 ing: ‘‘There are authorized to be appropriated for the pur-
3

•HR 2644 IH

1 pose of carrying out the activities of the Corporation such

2 sums as may be necessary for each of fiscal years 1993,

3 1994, 1995, and 1996.’’.

4 SEC. 4. PROTECTION AGAINST THEFT AND FRAUD.

5 Section 1005 (42 U.S.C. 2996d) is amended by add6 ing at the end the following:

7 ‘‘(h) For purposes of sections 286, 287, 641, 1001,

8 and 1002 of title 18, United States Code, the Corporation

9 shall be considered to be a department or agency of the

10 United States Government.

11 ‘‘(i) For purposes of sections 3729 through 3733 of

12 title 31, United States Code, the term ‘United States Gov13 ernment’ shall include the Corporation, except that actions

14 that are authorized by section 3730(b) of such title to be

15 brought by persons may not be brought against the Cor16 poration, any recipient, other grantee or contractor of the

17 Corporation, subgrantee or subcontractor of any such en18 tity, or employee thereof.

19 ‘‘(j) For purposes of section 1516 of title 18, United

20 States Code—

21 ‘‘(1) the term ‘Federal auditor’ shall include

22 any auditor employed or retained on a contractual

23 basis by the Corporation,

24 ‘‘(2) the term ‘contract’ shall include any grant

25 or contract made by the Corporation, and
4

•HR 2644 IH

1 ‘‘(3) the term ‘person’, as used in subsection

2 (a) of such section, shall include any recipient or

3 other grantee or contractor receiving financial assist4 ance under section 1006(a)(1) or 1006(a)(3).

5 ‘‘(k) Funds provided by the Corporation under sec6 tion 1006 shall be deemed to be Federal appropriations

7 for the purpose of all Federal criminal laws when used

8 by a recipient, another grantee or contractor of the Cor9 poration, or any subgrantee or subcontractor of any such

10 entity.

11 ‘‘(l) For purposes of section 666 of title 18, United

12 States Code, funds provided by the Corporation shall be

13 deemed to be benefits under a Federal program involving

14 a grant or contract.’’.

15 SEC. 5. PROHIBITIONS ON LOBBYING.

16 Section 1007(a)(5) (42 U.S.C. 2996f(a)(5)) is

17 amended to read as follows:

18 ‘‘(5) ensure that no funds made available by the

19 Corporation to any recipient or other grantee or con20 tractor are used to pay for any personal service, ad21 vertisement, telegram, telephone communication, let22 ter, printed or written matter, or other device, or to

23 pay for any publicity or propaganda, intended or de24 signed—
5

•HR 2644 IH

1 ‘‘(A) to influence any decision by a Fed2 eral, State, or local agency, except when legal

3 assistance is provided by an employee of a re4 cipient or other grantee or contractor of the

5 Corporation to an eligible client on a particular

6 application, claim, case, or other matter, which

7 directly involves the client’s legal rights or re8 sponsibilities, or

9 ‘‘(B) to influence any Member of Congress

10 or any other Federal, State, or local elected of11 ficial to favor or oppose any Act, bill, resolu12 tion, or similar legislation, or any referendum,

13 initiative, constitutional amendment, or any

14 similar procedure of the Congress, any State

15 legislature, any local council, or any similar

16 governing body,

17 except that this paragraph shall not preclude such

18 funds from being used in connection with—

19 ‘‘(i) any communication made in response

20 to any Federal, State, or local agency or elected

21 official,

22 ‘‘(ii) any communication to a Federal,

23 State, or local elected official pertaining to the

24 authorization or appropriation of funds or any

25 other measure affecting the authority, func-
6

•HR 2644 IH

1 tions, or funding of the recipient, grantee, or

2 contractor, or the Corporation or pertaining to

3 oversight measures directly affecting the recipi4 ent, grantee, or contractor, or the Corporation,

5 if the project director or designee of the recipi6 ent, grantee, or contractor has expressly deter7 mined that the legislative body involved is con8 sidering such authorization, appropriation, or

9 other measure, or is conducting oversight of the

10 recipient, grantee, or contractor, or the Cor11 poration, or

12 ‘‘(iii) any communication on behalf of an

13 eligible client in the course of representation of

14 that client before a legislative body, if the

15 project director or designee of the recipient,

16 grantee, or contractor has expressly approved

17 such representation in accordance with policy

18 established by the governing or policy body of

19 the recipient, grantee, or contractor, and if such

20 project director or designee has determined, be21 fore approving the undertaking of such rep22 resentation, that—

23 ‘‘(I) the client seeks representation to

24 protect the client’s existing legal rights or

25 interests or is in need of relief which can
7

•HR 2644 IH

1 be provided by the legislative body in2 volved, and

3 ‘‘(II) documentation specifically au4 thorizing such representation has been se5 cured from the eligible client by a recipient

6 or other grantee or contractor,

7 but nothing in this paragraph shall be construed to

8 permit an attorney or an employee of a recipient or

9 other grantee or contractor of the Corporation to en10 gage in any publicity or propaganda intended or de11 signed to support or defeat legislation pending be12 fore the Congress or State or local legislative bodies

13 or intended or designed to influence any decision by

14 a Federal, State, or local agency or to solicit a cli15 ent, in violation of professional responsibilities, for

16 the purpose of making possible any activity per17 mitted by this paragraph;’’.

18 SEC. 6. ENFORCEMENT, SANCTIONS, AND MONITORING.

19 (a) ENFORCEMENT.—Section 1006(b)(1)(A) (42

20 U.S.C. 2996e(b)(1)(A)) is amended to read as follows:

21 ‘‘(b)(1)(A)(i) The Corporation shall have the author22 ity to ensure the compliance of recipients, other grantees

23 and contractors of the Corporation, and their respective

24 employees with the provisions of this title. The Corpora25 tion may issue rules, regulations, guidelines, and instruc-
8

•HR 2644 IH

1 tions to interpret the provisions of this title, but may not

2 impose, by regulation or otherwise, restrictions or limita3 tions on types of cases or forms of representation of clients

4 unless such restrictions or limitations are explicitly au5 thorized by this title or other applicable law, and may not

6 impose, by regulation or otherwise, restrictions or require7 ments on such recipients, grantees, or contractors that are

8 in addition to or inconsistent with the provisions of this

9 title and other applicable law.

10 ‘‘(ii) The Corporation shall have the authority to en11 force the rules, regulations, guidelines, and instructions is12 sued under this title, and to terminate, in accordance with

13 the standards described in paragraph (5) of this sub14 section, financial support to a recipient or other grantee

15 or contractor of the Corporation. Pursuant to regulations

16 adopted by the Corporation under section 1008(e), the

17 Corporation shall—

18 ‘‘(I) arrange for independent evaluations to de19 termine whether recipients and other grantees and

20 contractors of the Corporation are providing com21 prehensive, economical, and effective legal assistance

22 of high quality to eligible clients, and

23 ‘‘(II) conduct reasonable monitoring and inves24 tigations into allegations that a recipient or other

25 grantee or contractor has violated this title, the
9

•HR 2644 IH

1 rules, regulations, guidelines, or instructions issued

2 under this title, or other laws.

3 ‘‘(iii) Not later than 30 days after receiving a written

4 request alleging that a recipient or other grantee or con5 tractor has violated the provisions of this title, or any rule,

6 regulation, guideline, or instruction issued under this title,

7 or any other law, the Corporation may initiate an inves8 tigation of the matter. A recipient or other grantee or con9 tractor that is the subject of such investigation shall be

10 so notified by the Corporation and, prior to the completion

11 of the investigation, shall be provided with a reasonable

12 opportunity to respond to the allegations either in writing

13 or in person, as determined by the Corporation. Unless

14 required by law, the Corporation shall not make the find15 ings of its investigation public until a final report is issued

16 or unless such disclosure is made with the consent of such

17 recipient, grantee, or contractor. If, at the conclusion of

18 the investigation, the Corporation determines that it will

19 take action under paragraph (5) of this subsection, it shall

20 notify the recipient, grantee, or contractor of its right to

21 request a hearing. A hearing must be requested not later

22 than 30 days after receiving the notification.’’.

23 (b) REGULATIONS FOR ENFORCEMENT.—Section

24 1006(b)(5) (42 U.S.C. 2996e(b)(5)) is amended to read

25 as follows:
10

•HR 2644 IH

1 ‘‘(5)(A) The Board shall issue regulations to provide

2 for the enforcement of this title. Such regulations may in3 clude, among available remedies, provisions for the imme4 diate suspension of financial assistance under this title,

5 suspension or termination of an employee of the Corpora6 tion, or of any employee of a recipient or other grantee

7 or contractor by such recipient, grantee, or contractor, the

8 reduction or termination of such financial assistance or

9 employment, and denial of an application for refunding.

10 Any such employee may be terminated only after consider11 ation of other remedial measures and only after the em12 ployee has been afforded reasonable notice and oppor13 tunity for a timely, full, and fair hearing. When requested,

14 such hearing shall be conducted by an independent hear15 ing examiner. The Corporation may suspend, reduce, or

16 terminate financial assistance under this title, or deny an

17 application for refunding under this title—

18 ‘‘(i) when there has been a substantial failure

19 to comply with the provisions of this title, or rules,

20 regulations, guidelines, or instructions issued under

21 this title, or of other laws, and after notice and an

22 opportunity to correct such failure has been provided

23 to the recipient, grantee, or contractor involved; or

24 ‘‘(ii) when independent evaluations demonstrate

25 that a recipient or other grantee or contractor has
11

•HR 2644 IH

1 consistently failed to use its resources to provide ec2 onomical and effective legal assistance of high qual3 ity as measured by generally accepted professional

4 standards, and after notice and an opportunity to

5 correct such failure has been provided to such recipi6 ent, grantee, or contractor.

7 The Corporation may deny an application for refunding

8 of a recipient or other grantee or contractor when the Cor9 poration has identified an applicant for financial assist10 ance under this title that is better able to provide high

11 quality, comprehensive, economical, and effective legal as12 sistance for the geographic area served by such recipient,

13 grantee, or contractor, consistent with the provisions of

14 subsections (a)(2) and (c) of section 1007 of this title.

15 ‘‘(B) Financial assistance under this title may not be

16 terminated or suspended, an application for refunding

17 under this title may not be denied, and the annual level

18 of financial assistance under this title may not be reduced

19 by more than 5 percent or $20,000, whichever is less, un20 less the recipient or other grantee or contractor involved

21 has been afforded reasonable notice and, at the request

22 of the recipient, grantee, or contractor, a timely and fair

23 hearing before an independent hearing examiner pursuant

24 to regulations issued by the Corporation. Such regulations

25 shall provide for commencement of the hearing before an
12

•HR 2644 IH

1 independent hearing examiner at the earliest appropriate

2 date, but in no case more than 45 days after a request

3 for such a hearing is received. As soon as practical after

4 the hearing, but in no case more than 60 days after its

5 conclusion, the independent hearing examiner shall make

6 a recommended decision on the matter involved. A copy

7 of the recommended decision shall be sent to the Corpora8 tion and the recipient, grantee, or contractor involved. If

9 neither the Corporation nor the recipient, grantee, or con10 tractor involved requests review by the president of the

11 Corporation of that recommended decision within 10 days

12 after the date the recipient, grantee, or contractor receives

13 a copy of the decision, that decision shall become final.

14 Within 30 days after receipt of a request for a review of

15 a recommended decision, the president of the Corporation

16 shall make a final decision with respect to that rec17 ommended decision. In addition to other remedies pro18 vided by law, the recipient, grantee, or contractor may ap19 peal the final decision to the Board.’’.

20 (c) MONITORING AND INDEPENDENT EVALUATIONS

21 OF PROGRAMS.—Section 1007(d) (42 U.S.C. 2996f(d)) is

22 amended to read as follows:

23 ‘‘(d)(1) The Corporation shall monitor recipients and

24 other grantees and contractors of the Corporation in order

25 to ensure that the provisions of this title, the rules, regula-
13

•HR 2644 IH

1 tions, guidelines, and instructions issued under this title,

2 and other laws are carried out by such recipients, grant3 ees, and contractors, and shall provide for independent

4 evaluations to determine whether such recipients, grant5 ees, and contractors are providing economical and effective

6 legal assistance of high quality to eligible clients. The Cor7 poration shall adopt standards and procedures to imple8 ment the provisions of section 1006(b)(1)(A) and this sub9 section as regulations under section 1008(e).

10 ‘‘(2) The standards and procedures adopted under

11 paragraph (1) shall take into account—

12 ‘‘(A) that the responsibility of the Corporation

13 with regard to monitoring and evaluation is to en14 sure compliance with this title, the rules, regula15 tions, guidelines, and instructions issued under this

16 title, and any other laws and to provide for inde17 pendent evaluations to assess the extent to which the

18 overall delivery of legal assistance by a recipient or

19 other grantee or contractor is economical, effective,

20 and of high quality and not to manage the day-to21 day operations of recipients and other grantees and

22 contractors;

23 ‘‘(B) that each recipient or other grantee or

24 contractor has the responsibility to manage its day25 to-day operations and to assure that its employees
14

•HR 2644 IH

1 comply with all applicable law and deliver high qual2 ity legal assistance in an effective and economical

3 manner;

4 ‘‘(C) that the personal privacy of eligible clients

5 could be adversely affected by the public disclosure

6 of records or documents obtained in connection with

7 monitoring under paragraph (1) or an investigation

8 pursuant to section 1006(b)(1)(A); and

9 ‘‘(D) the rules of ethics and professional re10 sponsibility that are applicable in the jurisdiction

11 where a recipient or other grantee or contractor de12 livers legal assistance.

13 The Corporation may not require disclosure of records de14 scribed in subparagraph (C) except to the extent such

15 records can be expected to contain information directly

16 pertinent and necessary to an audit, or to an investigation

17 of a likely pattern of discrimination, lack of compliance

18 with the law, or poor performance by a recipient or other

19 grantee or contractor which is indicated by other external

20 evidence.

21 ‘‘(3) The Corporation shall ensure that the monitor22 ing process is fair and conducted in a manner that does

23 not cause more than necessary disruption to the provision

24 of legal services provided by the recipient or other grantee

25 or contractor being monitored, and provides—
15

•HR 2644 IH

1 ‘‘(A) sufficient notice before monitoring is con2 ducted;

3 ‘‘(B) flexibility to negotiate with the Corpora4 tion when disagreements arise over the timing and

5 conduct of monitoring;

6 ‘‘(C) reasonable opportunity to respond and

7 comment on draft reports on monitoring;

8 ‘‘(D) protection from disclosure to third parties

9 of the results of monitoring and the contents of any

10 draft reports on monitoring before a final report on

11 the monitoring is issued; and

12 ‘‘(E) protection from disclosure to third parties

13 of any documents obtained during monitoring except

14 to the extent necessary to carry out the monitoring,

15 consistent with the laws and the rules of ethics and

16 professional responsibility applicable to the jurisdic17 tion where such documents are maintained, except

18 that the Corporation shall at all times have the au19 thority to make evidence of criminal conduct avail20 able to the appropriate legal authority.

21 The Corporation shall ensure that the monitoring process

22 is reasonably related to the purposes which the monitoring

23 is intended to accomplish.

24 ‘‘(4) The Corporation, in cooperation with recipients

25 and other appropriate groups, shall develop criteria for
16

•HR 2644 IH

1 evaluating the capability and performance of recipients

2 and other grantees and contractors of the Corporation.

3 Such criteria shall provide for the assessment of—

4 ‘‘(A) the degree to which any such recipient,

5 grantee, or contractor provides a comprehensive

6 range of legal assistance to eligible clients, including,

7 in the case of support entities, a comprehensive

8 range of appropriate support services;

9 ‘‘(B) the past demonstrated record of any such

10 recipient, grantee, or contractor in providing effec11 tive, economical, and high quality legal services to

12 poor individuals and in developing additional re13 sources, including pro bono services from the private

14 bar;

15 ‘‘(C) the ability of any such recipient, grantee,

16 or contractor to determine and address the needs of

17 eligible clients for particular services, including, in

18 the case of support entities, the range of support

19 services needed in the geographical or subject matter

20 area served;

21 ‘‘(D) the adherence by any such recipient,

22 grantee, or contractor to accepted norms of perform23 ance to guide the provision of legal assistance to

24 poor individuals; and
17

•HR 2644 IH

1 ‘‘(E) the adherence by any such recipient,

2 grantee, or contractor to applicable rules of profes3 sional responsibility for attorneys providing legal as4 sistance to poor individuals.

5 ‘‘(5) Notwithstanding the preceding provisions of this

6 subsection, the Inspector General of the Corporation shall

7 not, in carrying out his or her functions, be subject to

8 any restriction that—

9 ‘‘(A) is contained in the standards and proce10 dures adopted by the Corporation under this sub11 section; and

12 ‘‘(B) limits access by the Corporation to docu13 ments or other information.’’.

14 (d) TECHNICAL AMENDMENTS.—

15 (1) Section 1006(b) (42 U.S.C. 2996e(b)) is

16 amended by adding at the end the following:

17 ‘‘(7) The Corporation shall ensure that—

18 ‘‘(A) no employee of the Corporation or of any

19 recipient or other grantee or contractor of the Cor20 poration (except as permitted by law in connection

21 with such employee’s own employment situation),

22 while carrying out legal assistance activities sup23 ported under this title, engages in, or encourages

24 others to engage in, any public demonstration or

25 picketing, boycott, or strike; and
18

•HR 2644 IH

1 ‘‘(B) no such employee, at any time, engages in,

2 or encourages others to engage in—

3 ‘‘(i) any rioting or civil disturbance,

4 ‘‘(ii) any activity which is in violation of an

5 outstanding injunction of any court of com6 petent jurisdiction,

7 ‘‘(iii) any other illegal activity, or

8 ‘‘(iv) any intentional identification of the

9 Corporation or any recipient or other grantee or

10 contractor of the Corporation with any political

11 activity prohibited by section 1007(a)(6).’’.

12 (2) Section 1006(b)(2) (42 U.S.C. 2996e(b)(2))

13 is amended by striking ‘‘provisions of section 1011’’

14 and inserting ‘‘regulations issued under paragraph

15 (5) of this subsection’’.

16 (3) Section 1007(a)(9) (42 U.S.C. 2996f(a)(9))

17 is amended by striking ‘‘1011’’ and inserting

18 ‘‘1006(b)(5)’’.

19 (4) Section 1011 (42 U.S.C. 2996j) is repealed.

20 SEC. 7. CLASS ACTIONS.

21 Section 1006(d)(5) (42 U.S.C. 2996e(d)(5)) is

22 amended—

23 (1) by striking ‘‘No’’ and inserting ‘‘(A) Subject

24 to subparagraph (B), no’’; and

25 (2) by adding at the end the following:
19

•HR 2644 IH

1 ‘‘(B) No recipient, other grantee or contractor

2 of the Corporation, or employee of any such recipi3 ent, grantee, or contractor may bring a class action

4 suit against the Federal Government or any State or

5 local government unless—

6 ‘‘(i) the project director of the recipient,

7 grantee, or contractor has expressly approved

8 the filing of such an action in accordance with

9 policies established by the governing or policy

10 body of the recipient, grantee, or contractor and

11 the filing of such action has not been expressly

12 disapproved by such governing or policy body;

13 ‘‘(ii) the class relief which is the subject of

14 such an action is sought for the primary benefit

15 of individuals who are eligible for legal assist16 ance under this title; and

17 ‘‘(iii) before filing such an action, the

18 project director of the recipient, grantee, or

19 contractor determines that the government en20 tity is not likely to change the policy or practice

21 in question, that the policy or practice will con22 tinue to adversely affect eligible clients, that the

23 recipient, grantee, or contractor has given no24 tice of its intention to seek class relief, and that

25 responsible efforts to resolve without litigation
20

•HR 2644 IH

1 the adverse effects of the policy or practice have

2 not been successful or would be adverse to the

3 interest of the clients.’’.

4 SEC. 8. NEGOTIATION REQUIREMENT.

5 Section 1007(a) (42 U.S.C. 2996f(a)) is amended—

6 (1) in paragraph (9) by striking ‘‘and’’ after

7 the semicolon; and

8 (2) by adding at the end the following:

9 ‘‘(11) require recipients and other grantees and

10 contractors of the Corporation to adopt policies, con11 sistent with the rules of ethics and professional re12 sponsibility that apply in the jurisdiction in which

13 legal assistance is to be provided, which require em14 ployees of the recipients, grantees, and contractors

15 to attempt to negotiate settlements and to use alter16 native dispute resolution mechanisms, where appro17 priate and available, before filing suit, except that

18 nothing in this paragraph shall be construed to per19 mit the Corporation—

20 ‘‘(A) to require policies which restrict rep21 resentation of clients to matters where the cli22 ents agree to such negotiation or use of alter23 native dispute resolution mechanisms; or

24 ‘‘(B) to preclude an attorney from filing

25 suit where the attorney’s professional respon-
21

•HR 2644 IH

1 sibility to the client requires that litigation be

2 commenced without notice to or negotiations

3 with the opposing parties.’’.

4 SEC. 9. PROHIBITION ON USE OF FUNDS FOR REDISTRICT5 ING.

6 Section 1007(b) (42 U.S.C. 2996f(b)) is amended—

7 (1) in paragraph (10) by striking the period

8 and inserting ‘‘; or’’; and

9 (2) by adding at the end the following:

10 ‘‘(11) to—

11 ‘‘(A) advocate or oppose, or contribute or

12 make available any funds, personnel, or equip13 ment for use in advocating or opposing, any

14 plan or proposal, or

15 ‘‘(B) represent any party or participate in

16 any other way in litigation,

17 that is intended to or has the effect of altering, re18 vising, or reapportioning a legislative, judicial, or

19 elective district at any level of government, including

20 influencing the timing or manner of the taking of a

21 census.’’.

22 SEC. 10. RESTRICTIONS ON USE OF FUNDS FOR LEGAL AS23 SISTANCE TO ALIENS.

24 Section 1007 (42 U.S.C. 2996f) is amended by add25 ing at the end the following:
22

•HR 2644 IH

1 ‘‘(i) No funds appropriated to the Legal Services Cor2 poration may be used to provide legal assistance for or

3 on behalf of any alien unless the alien is present in the

4 United States and is—

5 ‘‘(1) an alien lawfully admitted for permanent

6 residence as defined in section 101(a)(20) of the Im7 migration and Nationality Act (8 U.S.C.

8 1101(a)(20)), including aliens who acquire the sta9 tus of lawful permanent resident aliens under the

10 provisions of section 216 or 245A of that Act (8

11 U.S.C. 1186a, 1255a);

12 ‘‘(2) an alien who is either married to a United

13 States citizen or is a parent or an unmarried child

14 under 21 years of age of such citizen and who has

15 filed an application to adjust status to lawful perma16 nent resident under the Immigration and Nationality

17 Act, and such application has not been finally adju18 dicated;

19 ‘‘(3)(A) an alien who is lawfully present in the

20 United States pursuant to an admission under sec21 tion 207 of the Immigration and Nationality Act (8

22 U.S.C. 1157), who has been granted suspension of

23 deportation under section 244 of the Immigration

24 and Nationality Act, or who has been granted asy25 lum by the Attorney General under such Act, or
23

•HR 2644 IH

1 ‘‘(B) an alien who is lawfully present in the

2 United States as a result of being granted condi3 tional entry pursuant to section 203(a)(7) of the Im4 migration and Nationality Act before April 1, 1980,

5 because of persecution or fear of persecution on ac6 count of race, religion, or political opinion or be7 cause of being uprooted by catastrophic natural ca8 lamity;

9 ‘‘(4) an alien who is lawfully present in the

10 United States as a result of the Attorney General’s

11 withholding of deportation pursuant to section

12 243(h) of the Immigration and Nationality Act (8

13 U.S.C. 1253(h));

14 ‘‘(5) an alien whose employment to perform

15 temporary agricultural labor or services is author16 ized by the Immigration and Naturalization Service;

17 ‘‘(6) an alien who has been provided a record

18 of permanent residence under section 249 of the Im19 migration and Nationality Act;

20 ‘‘(7) an alien who is an eligible immigrant (as

21 defined in section 301(b)(1) of the Immigration Act

22 of 1990), was physically present in the United

23 States on May 5, 1988, and is seeking admission as

24 an immediate relative under the Immigration and

25 Nationality Act or under section 203(a)(2) of such
24

•HR 2644 IH

1 Act (including under section 112 of the Immigration

2 Act of 1990) or is seeking (or is being provided)

3 benefits under section 301(a) of the Immigration

4 Act of 1990; or

5 ‘‘(8) an alien who is eligible for medical assist6 ance for treatment of an emergency medical condi7 tion under title XIX of the Social Security Act, if

8 the legal assistance to be provided is needed in order

9 to help obtain such medical assistance.’’.

10 SEC. 11. GOVERNING BODIES OF RECIPIENTS.

11 Section 1007(c) (42 U.S.C. 2996f(c)) is amended to

12 read as follows:

13 ‘‘(c)(1) In making grants or entering into contracts

14 for legal assistance, the Corporation shall ensure that—

15 ‘‘(A) any recipient which has as one of its pur16 poses the provision of legal assistance to eligible cli17 ents is governed by a body—

18 ‘‘(i) the majority of which is comprised of

19 attorneys who are appointed by the governing

20 bodies of State, county, or local bar associations

21 the memberships of which represent a majority

22 of the attorneys practicing law in the locality in

23 which the recipient is to provide legal assistance

24 or, in the case of programs providing service in

25 more than one State, in the State or locality in
25

•HR 2644 IH

1 which the principal office of the recipient is lo2 cated;

3 ‘‘(ii) at least 60 percent of which consists

4 of attorneys who are members of the bar of a

5 State in which the legal assistance is to be pro6 vided, except that the Corporation—

7 ‘‘(I) shall, upon application, grant

8 waivers of the requirements of this clause

9 for a legal services program, supported

10 under section 222(a)(3) of the Economic

11 Opportunity Act of 1964, which on the

12 date of the enactment of this title has a

13 majority of persons who are not attorneys

14 on its policymaking board, and

15 ‘‘(II) may grant, pursuant to regula16 tions issued by the Corporation, a waiver

17 of the requirements of this clause for re18 cipients which, because of the nature of the

19 population they serve, are unable to comply

20 with such requirements; and

21 ‘‘(iii) at least one-third of which consists of

22 persons who are, when selected, eligible clients

23 who may also be representatives of associations

24 or organizations of eligible clients; and
26

•HR 2644 IH

1 ‘‘(B) any other recipient, grantee, or contractor

2 of the Corporation is governed by a body that meets

3 the requirements of subparagraph (A) or has estab4 lished a policy body, whose membership is selected

5 consistent with such requirements, to establish policy

6 with respect to the administration of any grant or

7 contract under this title.

8 Any attorney serving on a governing body or policy body

9 of a recipient, grantee, or contractor described in this

10 paragraph may not, while so serving, receive compensation

11 from such recipient, grantee, or contractor. Subparagraph

12 (A)(i) shall not be construed to prevent the governing body

13 of a bar association from appointing members of the gov14 erning or policy bodies of more than one recipient or other

15 grantee or contractor of the Corporation.

16 ‘‘(2) Consistent with the provisions of this title, the

17 rules, regulations, guidelines, and instructions issued

18 under this title, and any other laws, each recipient or other

19 grantee or contractor of the Corporation, pursuant to the

20 direction and control of its governing or policy body, and

21 not the Corporation, shall determine all broad policies con22 cerning its provision of legal assistance and other activities

23 of the recipient, grantee, or contractor, including—
27

•HR 2644 IH

1 ‘‘(A) financial eligibility criteria of clients rep2 resented, consistent with the guidelines established

3 pursuant to section 1007(a)(2);

4 ‘‘(B) the services that the recipient, grantee, or

5 contractor will make available;

6 ‘‘(C) the policies that will govern the fiscal, ad7 ministrative, and representational activities of the

8 recipient, grantee, or contractor, in compliance with

9 the provisions of this title and regulations issued

10 under this title, other applicable law, or require11 ments imposed by grantors of resources to the recip12 ient, grantee, or contractor;

13 ‘‘(D) subject to the prohibitions contained in

14 this title, the priorities of the recipient, grantee, or

15 contractor for the use of all available resources, in16 cluding the policies regarding the types of cases or

17 matters attorneys, paralegal staff, and other staff

18 may undertake using such resources; and

19 ‘‘(E) significant policy decisions concerning the

20 use of staff attorneys and other available and appro21 priate staff and nonstaff resources, including private

22 attorneys and others, to provide legal assistance to

23 eligible clients and to carry out activities relating to

24 the delivery of legal assistance.
28

•HR 2644 IH

1 ‘‘(3) The governing or policy body of a recipient or

2 other grantee or contractor of the Corporation shall—

3 ‘‘(A) not interfere with the lawyer-client rela4 tionship in the representation of specific clients by

5 the recipient, grantee, or contractor;

6 ‘‘(B) comply with the legal and ethical require7 ments on conflicts of interest that apply in the juris8 diction where the recipient, grantee, or contractor is

9 located;

10 ‘‘(C) not act on a case-by-case basis in setting

11 priorities, except that the governing or policy body

12 may reconsider priorities at any time for future ap13 plications for services in light of changing legal

14 needs of clients or in light of an emergency; and

15 ‘‘(D) ensure that activities under this title are

16 carried out in a manner consistent with attorneys’

17 professional responsibilities to a client as established

18 in the rules of ethics and professional responsibility

19 that apply in the jurisdiction where the legal assist20 ance is provided.

21 ‘‘(4) The Corporation shall not—

22 ‘‘(A) interfere with the governing or policy bod23 ies described in paragraph (1) in their determina24 tions of the broad policy matters described in para25 graph (2);
29

•HR 2644 IH

1 ‘‘(B) impose requirements or limitations on the

2 types of cases or representation of clients unless

3 those requirements or limitations are explicitly au4 thorized by this title or other applicable law; or

5 ‘‘(C) impose requirements or limitations on the

6 governing or policy bodies of recipients and other

7 grantees or contractors of the Corporation that are

8 additional to, or more restrictive than, the provisions

9 of this subsection, including requirements or limita10 tions with respect to—

11 ‘‘(i) the procedures of appointment, the po12 litical affiliations, or the length of terms of

13 board members,

14 ‘‘(ii) the size, quorum requirements, and

15 committee operations of such governing or pol16 icy bodies;

17 ‘‘(iii) the content of the bylaws of such re18 cipients, grantees, or contractors; or

19 ‘‘(iv) the communications between govern20 ing or policy bodies and appointing authorities

21 specified in paragraph (1).’’.

22 SEC. 12. PROFESSIONAL RESPONSIBILITIES.

23 (a) STATEMENT OF FINDINGS.—Section 1001(6) (42

24 U.S.C. 2996(6)) is amended to read as follows:
30

•HR 2644 IH

1 ‘‘(6) attorneys providing legal assistance must

2 have full freedom to protect the best interests of

3 their clients in keeping with the rules of ethics and

4 professional responsibility that apply in the jurisdic5 tion where the legal assistance is provided and the

6 high standards of the legal profession.’’.

7 (b) RESPONSIBILITIES OF THE CORPORATION.—Sec8 tion 1006(b)(3) (42 U.S.C. 2996e(b)(3)) is amended to

9 read as follows:

10 ‘‘(3) The Corporation shall not, under any provision

11 of this title, interfere with any attorney in carrying out

12 his or her ethical or professional responsibilities to a client

13 as established in the rules of ethics and professional re14 sponsibility that apply in the jurisdiction where the legal

15 assistance is provided or abrogate as to attorneys in pro16 grams assisted under this title the authority of a State

17 or other jurisdiction to enforce the standards of profes18 sional responsibility generally applicable to attorneys in

19 such jurisdiction.’’.

20 (c) GRANTS AND CONTRACTS.—Section 1007(a)(10)

21 (42 U.S.C. 2996f(a)(10)) is amended to read as follows:

22 ‘‘(10) ensure that all attorneys, while engaged

23 in legal assistance activities supported, in whole or

24 in part, by the Corporation, refrain from the persist25 ent incitement of litigation and any other activity
31

•HR 2644 IH

1 prohibited by the rules of ethics or professional re2 sponsibility that apply in the jurisdiction where the

3 legal assistance is provided, and ensure that such at4 torneys refrain from personal representation for a

5 private fee in any cases in which they were involved

6 while engaged in such legal assistance activities;

7 and’’.

8 (d) ACCESS TO RECORDS.—Section 1009(d) (42

9 U.S.C. 2996h(d)) is amended by inserting before the pe10 riod at the end the following: ‘‘or protected from disclosure

11 by the laws or the rules of ethics or professional respon12 sibility that apply in the jurisdiction where such reports

13 or records are maintained’’.

14 SEC. 13. SOLICITATION.

15 Section 1007 (42 U.S.C. 2996f) is amended by add16 ing at the end the following:

17 ‘‘(j) Any recipient or other grantee or contractor of

18 the Corporation, and any employee of any such recipient,

19 grantee, or contractor, who has given in-person unsolicited

20 advice to a nonattorney that such nonattorney should ob21 tain counsel or take legal action shall not accept employ22 ment resulting from that advice, or refer that nonattorney

23 to another such recipient, grantee, contractor, or em24 ployee, except that—
32

•HR 2644 IH

1 ‘‘(1) a recipient or other grantee or contractor

2 of the Corporation, or an employee of any such re3 cipient, grantee, or contractor may accept employ4 ment by a close friend, relative, former client (if the

5 advice given is germane to the previous employment

6 by the client), or person whom the recipient, grant7 ee, contractor, or employee reasonably believes to be

8 a client because the recipient, grantee, contractor, or

9 employee is currently handling an active legal matter

10 or case for that specific person;

11 ‘‘(2) a recipient or other grantee or contractor

12 of the Corporation, or an employee of any such re13 cipient, grantee, or contractor may accept employ14 ment or refer a nonattorney to another such recipi15 ent, grantee, contractor, or employee when the em16 ployment or referral (as the case may be) results

17 from the participation of the recipient, grantee, con18 tractor, or employee in activities designed to educate

19 nonattorneys about their legal rights, to recognize

20 legal problems, to make intelligent selection of coun21 sel, or to utilize available legal services if such out22 reach activities are conducted or sponsored by the

23 recipient, grantee, or contractor, another legal as24 sistance organization, or a church organization; and
33

•HR 2644 IH

1 ‘‘(3) without affecting the right of a recipient,

2 other grantee or contractor of the Corporation, or

3 employee of any such recipient, grantee, or contrac4 tor to accept employment, any such recipient, grant5 ee, contractor, or employee may speak publicly or

6 write for publication on legal topics if such recipient,

7 grantee, contractor, or employee does not emphasize

8 his, her, or its own professional experience or rep9 utation and does not undertake to give individual

10 advice in such speech or publication.’’.

11 SEC. 14. CERTAIN EVICTION PROCEEDINGS.

12 Section 1007 (42 U.S.C. 2996f) is amended by add13 ing at the end the following:

14 ‘‘(k)(1) No funds made available by or through the

15 Corporation may be used for initiating the defense of a

16 person in a proceeding to evict that person from a public

17 housing project if the person has been convicted of the

18 illegal sale or distribution of a controlled substance and

19 if the eviction proceeding is brought by a public housing

20 agency because the illegal drug activity of that person

21 threatens the health or safety of other tenants residing

22 in the public housing project or employees of the public

23 housing agency.

24 ‘‘(2) As used in this subsection—
34

•HR 2644 IH

1 ‘‘(A) the term ‘controlled substance’ has the

2 meaning given that term in section 102 of the Con3 trolled Substances Act (21 U.S.C. 802); and

4 ‘‘(B) the terms ‘public housing project’ and

5 ‘public housing agency’ have the meanings given

6 those terms in section 3 of the United States Hous7 ing Act of 1937 (42 U.S.C. 1437a).’’.

8 SEC. 15. PROCEDURAL SAFEGUARDS FOR LITIGATION.

9 Section 1007 (42 U.S.C. 2996f) is amended by add10 ing at the end the following:

11 ‘‘(l) No recipient, other grantee or contractor of the

12 Corporation, or employee of such recipient, grantee, or

13 contractor may engage in precomplaint settlement nego14 tiations, file a complaint, or otherwise pursue litigation

15 against a defendant unless a written retainer agreement

16 which enumerates the particular facts on which the claim

17 or controversy is initially based has been signed by the

18 plaintiffs (including named plaintiffs in a class action).

19 Such retainer agreement shall be executed when represen20 tation commences or, if not possible at that time because

21 of an emergency situation, then as soon thereafter as is

22 practicable. Such retainer agreement—

23 ‘‘(1) shall be kept on file by the recipient,

24 grantee, or contractor, in a manner that does not

25 disclose information protected by the attorney-client
35

•HR 2644 IH

1 privilege or by the rules of ethics or professional re2 sponsibility that apply in the jurisdiction in which

3 the legal assistance is provided, and

4 ‘‘(2) shall be made available—

5 ‘‘(A) to any Federal department or agency

6 that is auditing the activities of the Corporation

7 or of any such recipient, grantee, or contractor,

8 and

9 ‘‘(B) to any auditor receiving Federal

10 funds to conduct such auditing, including any

11 auditor or monitor of the Corporation.

12 Other parties shall have access to such agreement only

13 through the applicable rules of discovery after litigation

14 has begun. Claims of attorney-client privilege shall not

15 protect information contained in such agreement which,

16 after the agreement is signed, is disclosed by the plaintiff

17 or the plaintiff’s counsel to third parties during

18 precomplaint settlement negotiations or litigation. The re19 cipient, grantee, or contractor is not required to execute

20 a written retainer agreement under this subsection when

21 the only service to be provided is brief advice and consulta22 tion. Unless authorized by a court of competent jurisdic23 tion, no recipient, grantee, or contractor of the Corpora24 tion or employee of such recipient, grantee, or contractor

25 may file a complaint or petition in a court until all plain-
36

•HR 2644 IH

1 tiffs known to plaintiff’s counsel at the time have been

2 specifically identified in the complaint or petition.’’.

3 SEC. 16. COMPETITION STUDY.

4 Section 1007 (42 U.S.C. 2996f) is amended by add5 ing at the end the following:

6 ‘‘(m)(1) The Corporation shall study the feasibility

7 of a system of competition in the awarding of some or

8 all grants or contracts for legal assistance and related ac9 tivities under section 1006 (a)(1) and (a)(3) of this title.

10 The Corporation shall, within 3 years after the date of

11 the enactment of the Legal Services Reauthorization Act

12 of 1993, report to the Congress the results of this study,

13 based on independent evaluation. Such study shall be con14 ducted in conjunction with an advisory committee which

15 includes project directors, attorneys providing legal assist16 ance, the organized bar, and eligible clients, who are se17 lected by appropriate representatives of these groups.

18 ‘‘(2) The study under paragraph (1) shall examine

19 how a system of competition would—

20 ‘‘(A) ensure access to, and the continued provi21 sion of, high-quality, economical, and effective legal

22 services to resolve problems of clients, consistent

23 with section 1001;

24 ‘‘(B) take into account locally determined needs

25 for particular kinds of cases or services;
37

•HR 2644 IH

1 ‘‘(C) take into account the ongoing ethical and

2 professional responsibilities of recipients, other

3 grantees or contractors of the Corporation, and their

4 attorneys for existing cases, the potential disruption

5 in client services, and loss of experienced staff, pro

6 bono services, funds from sources other than the

7 Corporation, and other resources if an existing recip8 ient or other grantee or contractor were replaced;

9 ‘‘(D) ensure that every recipient or other grant10 ee or contractor seeking a grant or contract through

11 a competitive bidding process will comply with all

12 provisions of this title and the rules, regulations,

13 guidelines, and instructions issued under this title

14 that are applicable to those recipients and other

15 grantees and contractors organized for the purpose

16 of providing legal services to eligible clients; and

17 ‘‘(E) ensure that a new recipient or other

18 grantee or contractor selected would provide a suffi19 cient level of quality, economy, and effectiveness to

20 justify the burdens of replacing the current recipi21 ent, grantee, or contractor, using the criteria set

22 forth in this paragraph and those developed by the

23 Corporation in accordance with section 1007(d)(4).’’.
38

•HR 2644 IH

1 SEC. 17. TRAINING.

2 Section 1007(b)(6) (42 U.S.C. 2996f(b)(6)) is

3 amended to read as follows:

4 ‘‘(6) to support or conduct training programs

5 for the purpose of advocating particular public poli6 cies or encouraging political activities, labor or

7 antilabor activities, boycotts, picketing, strikes, or

8 demonstrations, except that this paragraph shall not

9 be construed to prohibit the training of attorneys or

10 paralegal personnel necessary to prepare them to

11 provide adequate legal assistance to eligible clients,

12 to advise any eligible client as to the nature of the

13 legislative process, or to inform any eligible client of

14 his or her rights under any statute, order, or regula15 tion;’’.

16 SEC. 18. LIMITATION ON USE AMENDMENTS.

17 Section 1007(b) (42 U.S.C. 2996f(b)) is amended by

18 striking paragraph (9) and redesignating paragraph (10)

19 and paragraph (11) (as added by section 9 of this Act)

20 as paragraphs (9) and (10), respectively.

21 SEC. 19. RECORDKEEPING AND NONCORPORATION FUNDS.

22 (a) NON-CORPORATION FUNDS.—Section 1010(c)

23 (42 U.S.C. 2996i(c)) is amended by adding at the end the

24 following: ‘‘Public funds received by any recipient or other

25 grantee or contractor of the Corporation, including funds

26 from Interest on Lawyer Trust Account (IOLTA) pro-
39

•HR 2644 IH

1 grams, shall not be used to engage in publicity or propa2 ganda as restricted by section 1007(a)(5).’’.

3 (b) TIMEKEEPING.—Section 1008(b) (42 U.S.C.

4 2996g(b)) is amended—

5 (1) by inserting ‘‘(1)’’ after ‘‘(b)’’; and

6 (2) by adding at the end the following:

7 ‘‘(2) The Corporation, by regulation adopted pursu8 ant to subsection (e) of this section, shall require each re9 cipient or other grantee or contractor of the Corporation

10 to maintain records of time spent on the cases or matters

11 with respect to which that recipient, grantee, or contractor

12 is engaged in activities and to maintain a recordkeeping

13 system that discloses the source of funds to be charged

14 for each such case or matter. The specific time and record15 keeping system to be employed shall be determined by the

16 recipient or other grantee or contractor in a manner that

17 meets the requirements of a recordkeeping system as set

18 forth in the preceding sentence and meets obligations that

19 are imposed by other funding sources. Pursuant to regula20 tions adopted under this paragraph, each employee of such

21 recipient, grantee, or contractor, who is an attorney or

22 paralegal, shall be required to keep contemporaneous

23 records of the time spent by case or matter and the type

24 of case or matter.’’.
40

•HR 2644 IH

1 SEC. 20. EVASION.

2 The Legal Services Corporation Act is amended—

3 (1) by redesignating sections 1013 and 1014 as

4 sections 1014 and 1015, respectively; and

5 (2) by inserting after section 1012 the following

6 new section:

7 ‘‘EVASION

8 ‘‘SEC. 1013. The use of ‘alternative corporations’ to

9 avoid or otherwise evade the provisions of this title or the

10 Legal Services Reauthorization Act of 1993 is prohibited.

11 The term ‘alternative corporation’ means any corporation,

12 law firm, business association, group, entity, or enterprise

13 which, through shared staff or control over workload or

14 interlocking boards of directors, has a single identity of

15 interest with a recipient or other grantee or contractor of

16 the Corporation. Any recipient or other grantee or con17 tractor of the Corporation which shares employees with

18 any other corporation, law firm, business association,

19 group, entity, or enterprise shall specify with particularity

20 the use of any funds by such employees in accordance with

21 the timekeeping and recordkeeping requirements estab22 lished under section 1008(b).’’.

23 SEC. 21. FEE-GENERATING CASE PROVISIONS.

24 Section 1007(b)(1) (42 U.S.C. 2996f(b)(1)) is

25 amended by striking ‘‘(which guidelines’’ and all that fol-
41

•HR 2644 IH

1 lows through the end of the paragraph and inserting the

2 following: ‘‘, except that—

3 ‘‘(A) such guidelines shall not preclude the pro4 vision of legal assistance in cases in which a client

5 seeks only statutory benefits and appropriate private

6 representation is not available; and

7 ‘‘(B) the Corporation may not—

8 ‘‘(i) prevent recipients or other grantees or

9 contractors of the Corporation from seeking, re10 ceiving, or retaining attorneys’ fees awarded or

11 approved by a court or administrative body or

12 included in a settlement in any matter that may

13 be appropriately undertaken under the guide14 lines promulgated under this paragraph, or

15 ‘‘(ii) offset attorneys’ fees against grant

16 amounts or take into account the amount of

17 any such attorneys’ fees in establishing funding

18 levels, fund balances, or distributing funds ap19 propriated under this title;’’.

20 SEC. 22. ATTORNEYS’ FEES PROVISIONS.

21 Section 1006(f) (42 U.S.C. 2996e(f)) is amended to

22 read as follows:

23 ‘‘(f) If any court finds, based on substantial evidence,

24 that a recipient or other grantee or contractor of the Cor25 poration commenced an action for the purpose of harass-
42

•HR 2644 IH

1 ment or retaliation or maliciously abused legal process, or

2 that the plaintiff’s action was frivolous, unreasonable, or

3 without foundation, the court may award reasonable costs

4 and attorneys’ fees incurred by the defendant in defending

5 the action. Any such costs and fees shall be paid directly

6 by the Corporation. The Corporation may recover the

7 amount of any costs and fees paid by the Corporation from

8 the recipient, grantee, or contractor against whom the

9 award was made by offsetting that amount against future

10 grant awards made by the Corporation to such recipient,

11 grantee, or contractor. Unless otherwise agreed by the

12 Corporation and the recipient, grantee, or contractor, the

13 Corporation, in any one grant year, may not deduct more

14 than 5 percent of a grant for purposes of recoupment of

15 such costs and fees.’’.

16 SEC. 23. CORPORATION BOARD CONTROL OVER POLICY.

17 Section 1006 (42 U.S.C. 2996e) is amended by add18 ing at the end the following:

19 ‘‘(g) All rules, regulations, guidelines, instructions,

20 and grant conditions under this title, and all policies or

21 changes in policy directly affecting recipients or other

22 grantees or contractors of the Corporation, shall be adopt23 ed by the Board of the Corporation after notice and com24 ment. For purposes of this subsection, policies or changes

25 in policies include, but are not limited to, increasing or
43

•HR 2644 IH

1 decreasing funding to, imposing new terms and conditions

2 on, or making changes in the classes of recipients or other

3 grantees or contractors which provide and support the de4 livery of legal assistance. This subsection shall not pre5 clude the staff of the Corporation from imposing, without

6 notice and comment, specific conditions on a grant to an

7 individual recipient or other grantee, or on a contract with

8 a recipient or other contractor, that are not applicable to

9 other such recipients, grantees, or contractors if the condi10 tions relate specifically to a prior determination that the

11 recipient, grantee, or contractor has not complied with the

12 provisions of this title or the rules, regulations, guidelines,

13 or instructions issued under this title.’’.

14 SEC. 24. REPROGRAMMING PROVISIONS.

15 Section 1008 (42 U.S.C. 2996h) is amended by add16 ing at the end the following:

17 ‘‘(f) The Corporation may not promulgate rules, reg18 ulations, guidelines, or instructions under this title unless

19 the Corporation has so notified the Committees on Appro20 priations and on the Judiciary of the House of Represent21 atives and the Committees on Appropriations and on

22 Labor and Human Resources of the Senate at least 15

23 days before final publication of the rules, regulations,

24 guidelines, or instructions, and has given such committees
44

•HR 2644 IH

1 an opportunity to comment on such rules, regulations,

2 guidelines, or instructions.’’.

3 SEC. 25. 12-MONTH GRANTS.

4 Section 1010 (42 U.S.C. 2996i) is amended by add5 ing to the end the following:

6 ‘‘(e) All grants and contracts made pursuant to sec7 tions 1006(a) (1) and (3) for calendar years 1993, 1994,

8 1995, and 1996 shall be made for a period of at least

9 12 months, except for any grant to a new program com10 mencing operations after the beginning of the applicable

11 calendar year.’’.

12 SEC. 26. ESTABLISHMENT OF LOCAL PRIORITIES.

13 Section 1007(a) (42 U.S.C. 2996f(a)) is amended—

14 (1) in paragraph (2)(C)(i) by striking ‘‘goals es15 tablished by the Corporation’’ and inserting ‘‘the

16 principles of section 1001 of this title and any goals

17 established by law’’; and

18 (2) by adding after paragraph (11) (as added

19 by section 8(2) of this Act) the following:

20 ‘‘The procedures adopted pursuant to paragraph (2)(C)(i)

21 shall require the governing or policy bodies of recipients

22 and other grantees and contractors of the Corporation to

23 review annually the priorities that are determined in ac24 cordance with such procedures, and periodically analyze

25 the legal needs of clients in the area served by each such
45

•HR 2644 IH

1 recipient, grantee, or contractor to take into account new

2 or changing circumstances of such clients. As part of such

3 analysis, each such recipient, grantee, or contractor shall

4 seek comments and information from clients, the orga5 nized bar, and program staff, as well as other parties with

6 relevant information concerning client needs, including

7 community groups, private attorneys participating in the

8 private attorney involvement plans of the recipient, grant9 ee, or contractor, and human services agencies. In the case

10 of support entities, their governing or policy bodies shall

11 also periodically analyze the advocacy, support, and co12 ordination needs of recipients served by the support

13 entity.’’.

14 SEC. 27. STAFF ATTORNEYS.

15 Section 1002(7) (42 U.S.C. 2996a(7)) is amended to

16 read as follows:

17 ‘‘(7) ‘staff attorney’ means an attorney who—

18 ‘‘(A) is employed by a recipient organized

19 in whole or in part for the provision of legal as20 sistance to eligible clients under this title, and

21 ‘‘(B) receives more than one-half of his or

22 her annual professional salary from the pro23 ceeds of a grant or contract from the Corpora24 tion to such recipient.’’.
46

•HR 2644 IH

1 SEC. 28. STUDY ON LEGAL ASSISTANCE TO OLDER AMERI2 CANS.

3 The Legal Services Corporation shall conduct a study

4 to determine the extent and effectiveness of legal assist5 ance provided to older Americans by recipients and other

6 grantees and contractors under the Legal Services Cor7 poration Act. The Corporation shall submit to the Con8 gress, not later than 6 months after the date of the enact9 ment of this Act, a report on the study, together with any

10 recommendations that the Corporation has on ways to im11 prove the provision of such legal assistance to older Ameri12 cans.

Æ

HR 2644 IH——2

HR 2644 IH——3

HR 2644 IH——4