Opinion ID: 1989786
Heading Depth: 1
Heading Rank: 2

Heading: contract with dhhs and psi structure

Text: PSI is a Colorado corporation (not a professional corporation), which filed a certificate of authority to transact business with the Nebraska Secretary of State in February 1993. PSI is organized to conduct all lawful business for which a corporation may be organized pursuant to the Colorado Corporation Code. Only one of its officers and directors is an attorney, and that attorney is not licensed to practice law in Nebraska. In February 1993, DHHS, then the Nebraska Department of Social Services, entered into a 5-year contract with PSI to assist with the enforcement of child support in Douglas County. In February 1998, DHHS entered into a similar 3-year contract with PSI. Both contracts provide as part of PSI's responsibilities: To represent the State in judicial and administrative hearings, including appeals, and to vigorously advocate the interests of the State consistent with the provisions of the Code of Professional Responsibility. In this regard, [PSI] agrees to bring all court actions in the name of the State of Nebraska on behalf of the child and the State or as provided by [DHHS] policy and State statute.... .... ... ESTABLISHING LEGAL OBLIGATION FOR FINANCIAL AND MEDICAL SUPPORT: The timely use of appropriate legal remedies to secure orders of paternity and support.... .... ... ENFORCEMENT: The timely use of appropriate legal remedies to enforce all orders of support.... DHHS paid PSI for its services monthly based upon the amount of child support it collected. In at least nine separate orders beginning in 1993, the Douglas County District Court appointed PSI's salaried attorneys as attorneys authorized to enforce child support, upon request of PSI's president and pursuant to Neb.Rev.Stat. § 43-512(6)(a) (Reissue 1998). In May 1998, PSI employed 78 people in Nebraska to perform its contract with DHHS. Five of them were attorneys, all licensed to practice law in Nebraska. Patricia Jacobs Kivett, managing attorney for PSI's Omaha office, stated that in 1997, PSI-employed attorneys entered appearances on behalf of DHHS in over 4,400 contempt hearings.