
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document affected by Public Law 106-185 Section 2(d)]
[CITE: 42USC2996f]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                CHAPTER 34--ECONOMIC OPPORTUNITY PROGRAM
 
                SUBCHAPTER X--LEGAL SERVICES CORPORATION
 
Sec. 2996f. Grants and contracts


(a) Requisites

    With respect to grants or contracts in connection with the provision 
of legal assistance to eligible clients under this subchapter, the 
Corporation shall--
        (1) insure the maintenance of the highest quality of service and 
    professional standards, the preservation of attorney-client 
    relationships, and the protection of the integrity of the adversary 
    process from any impairment in furnishing legal assistance to 
    eligible clients;
        (2)(A) establish, in consultation with the Director of the 
    Office of Management and Budget and with the Governors of the 
    several States, maximum income levels (taking into account family 
    size, urban and rural differences, and substantial cost-of-living 
    variations) for individuals eligible for legal assistance under this 
    subchapter;
        (B) establish guidelines to insure that eligibility of clients 
    will be determined by recipients on the basis of factors which 
    include--
            (i) the liquid assets and income level of the client,
            (ii) the fixed debts, medical expenses, and other factors 
        which affect the client's ability to pay,
            (iii) the cost of living in the locality, and
            (iv) such other factors as relate to financial inability to 
        afford legal assistance, which may include evidence of a prior 
        determination that such individual's lack of income results from 
        refusal or unwillingness, without good cause, to seek or accept 
        an employment situation; and

        (C) insure that (i) recipients, consistent with goals 
    established by the Corporation, adopt procedures for determining and 
    implementing priorities for the provision of such assistance, taking 
    into account the relative needs of eligible clients for such 
    assistance (including such outreach, training, and support services 
    as may be necessary), including particularly the needs for service 
    on the part of significant segments of the population of eligible 
    clients with special difficulties of access to legal services or 
    special legal problems (including elderly and handicapped 
    individuals); and (ii) appropriate training and support services are 
    provided in order to provide such assistance to such significant 
    segments of the population of eligible clients;
        (3) insure that grants and contracts are made so as to provide 
    the most economical and effective delivery of legal assistance to 
    persons in both urban and rural areas;
        (4) insure that attorneys employed full time in legal assistance 
    activities supported in major part by the Corporation refrain from 
    (A) any compensated outside practice of law, and (B) any 
    uncompensated outside practice of law except as authorized in 
    guidelines promulgated by the Corporation;
        (5) insure that no funds made available to recipients by the 
    Corporation shall be used at any time, directly or indirectly, to 
    influence the issuance, amendment, or revocation of any executive 
    order or similar promulgation by any Federal, State, or local 
    agency, or to undertake to influence the passage or defeat of any 
    legislation by the Congress of the United States, or by any State or 
    local legislative bodies, or State proposals by initiative petition, 
    except where--
            (A) representation by an employee of a recipient for any 
        eligible client is necessary to the provision of legal advice 
        and representation with respect to such client's legal rights 
        and responsibilities (which shall not be construed to permit an 
        attorney or a recipient employee to solicit a client, in 
        violation of professional responsibilities, for the purpose of 
        making such representation possible); or
            (B) a governmental agency, legislative body, a committee, or 
        a member thereof--
                (i) requests personnel of the recipient to testify, 
            draft, or review measures or to make representations to such 
            agency, body, committee, or member, or
                (ii) is considering a measure directly affecting the 
            activities under this subchapter of the recipient or the 
            Corporation.

        (6) insure that all attorneys engaged in legal assistance 
    activities supported in whole or in part by the Corporation refrain, 
    while so engaged, from--
            (A) any political activity, or
            (B) any activity to provide voters or prospective voters 
        with transportation to the polls or provide similar assistance 
        in connection with an election (other than legal advice and 
        representation), or
            (C) any voter registration activity (other than legal advice 
        and representation);

        (7) require recipients to establish guidelines, consistent with 
    regulations promulgated by the Corporation, for a system for review 
    of appeals to insure the efficient utilization of resources and to 
    avoid frivolous appeals (except that such guidelines or regulations 
    shall in no way interfere with attorneys' professional 
    responsibilities);
        (8) insure that recipients solicit the recommendations of the 
    organized bar in the community being served before filling staff 
    attorney positions in any project funded pursuant to this subchapter 
    and give preference in filling such positions to qualified persons 
    who reside in the community to be served;
        (9) insure that every grantee, contractor, or person or entity 
    receiving financial assistance under this subchapter or predecessor 
    authority under this chapter which files with the Corporation a 
    timely application for refunding is provided interim funding 
    necessary to maintain its current level of activities until (A) the 
    application for refunding has been approved and funds pursuant 
    thereto received, or (B) the application for refunding has been 
    finally denied in accordance with section 2996j of this title; and
        (10) insure that all attorneys, while engaged in legal 
    assistance activities supported in whole or in part by the 
    Corporation, refrain from the persistent incitement of litigation 
    and any other activity prohibited by the Canons of Ethics and Code 
    of Professional Responsibility of the American Bar Association, and 
    insure that such attorneys refrain from personal representation for 
    a private fee in any cases in which they were involved while engaged 
    in such legal assistance activities.

(b) Limitations on uses

    No funds made available by the Corporation under this subchapter, 
either by grant or contract, may be used--
        (1) to provide legal assistance (except in accordance with 
    guidelines promulgated by the Corporation) with respect to any fee-
    generating case (which guidelines shall not preclude the provision 
    of legal assistance in cases in which a client seeks only statutory 
    benefits and appropriate private representation is not available);
        (2) to provide legal assistance with respect to any criminal 
    proceeding, except to provide assistance to a person charged with a 
    misdemeanor or lesser offense or its equivalent in an Indian tribal 
    court;
        (3) to provide legal assistance in civil actions to persons who 
    have been convicted of a criminal charge where the civil action 
    arises out of alleged acts or failures to act and the action is 
    brought against an officer of the court or against a law enforcement 
    official for the purpose of challenging the validity of the criminal 
    conviction;
        (4) for any of the political activities prohibited in paragraph 
    (6) of subsection (a) of this section;
        (5) to make grants to or enter into contracts with any private 
    law firm which expends 50 percent or more of its resources and time 
    litigating issues in the broad interests of a majority of the 
    public;
        (6) to support or conduct training programs for the purpose of 
    advocating particular public policies or encouraging political 
    activities, labor or antilabor activities, boycotts, picketing, 
    strikes, and demonstrations, as distinguished from the dissemination 
    of information about such policies or activities, except that this 
    provision shall not be construed to prohibit the training of 
    attorneys or paralegal personnel necessary to prepare them to 
    provide adequate legal assistance to eligible clients;
        (7) to initiate the formation, or act as an organizer, of any 
    association, federation, or similar entity, except that this 
    paragraph shall not be construed to prohibit the provision of legal 
    assistance to eligible clients;
        (8) to provide legal assistance with respect to any proceeding 
    or litigation which seeks to procure a nontherapeutic abortion or to 
    compel any individual or institution to perform an abortion, or 
    assist in the performance of an abortion, or provide facilities for 
    the performance of an abortion, contrary to the religious beliefs or 
    moral convictions of such individual or institution;
        (9) to provide legal assistance with respect to any proceeding 
    or litigation relating to the desegregation of any elementary or 
    secondary school or school system, except that nothing in this 
    paragraph shall prohibit the provision of legal advice to an 
    eligible client with respect to such client's legal rights and 
    responsibilities;
        (10) to provide legal assistance with respect to any proceeding 
    or litigation arising out of a violation of the Military Selective 
    Service Act [50 App. U.S.C. 451 et seq.] or of desertion from the 
    Armed Forces of the United States, except that legal assistance may 
    be provided to an eligible client in a civil action in which such 
    client alleges that he was improperly classified prior to July 1, 
    1973, under the Military Selective Service Act or prior 
    corresponding law; or
        (11) to provide legal assistance in a manner inconsistent with 
    the Assisted Suicide Funding Restriction Act of 1997 [42 U.S.C. 
    14401 et seq.].

(c) Recipient organizations

    In making grants or entering into contracts for legal assistance, 
the Corporation shall insure that any recipient organized solely for the 
purpose of providing legal assistance to eligible clients is governed by 
a body at least 60 percent of which consists of attorneys who are 
members of the bar of a State in which the legal assistance is to be 
provided (except that the Corporation (1) shall, upon application, grant 
waivers to permit a legal services program, supported under section 
2809(a)(3) \1\ of this title, which on July 25, 1974, has a majority of 
persons who are not attorneys on its policy-making board to continue 
such a non-attorney majority under the provisions of this subchapter, 
and (2) may grant, pursuant to regulations issued by the Corporation, 
such a waiver for recipients which, because of the nature of the 
population they serve, are unable to comply with such requirement) and 
at least one-third of which consists of persons who are, when selected, 
eligible clients who may also be representatives of associations or 
organizations of eligible clients. Any such attorney, while serving on 
such board, shall not receive compensation from a recipient.
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    \1\ See References in Text note below.
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(d) Program evaluation

    The Corporation shall monitor and evaluate and provide for 
independent evaluations of programs supported in whole or in part under 
this subchapter to insure that the provisions of this subchapter and the 
bylaws of the Corporation and applicable rules, regulations, and 
guidelines promulgated pursuant to this subchapter are carried out.

(e) Corporation president authorized to make grants and enter into 
        contracts

    The president of the Corporation is authorized to make grants and 
enter into contracts under this subchapter.

(f) Public notification

    At least thirty days prior to the approval of any grant application 
or prior to entering into a contract or prior to the initiation of any 
other project, the Corporation shall announce publicly, and shall notify 
the Governor, the State bar association of any State, and the principal 
local bar associations (if there be any) of any community, where legal 
assistance will thereby be initiated, of such grant, contract, or 
project. Notification shall include a reasonable description of the 
grant application or proposed contract or project and request comments 
and recommendations.

(g) Staff-attorney program study

    The Corporation shall provide for comprehensive, independent study 
of the existing staff-attorney program under this chapter and, through 
the use of appropriate demonstration projects, of alternative and 
supplemental methods of delivery of legal services to eligible clients, 
including judicare, vouchers, prepaid legal insurance, and contracts 
with law firms; and, based upon the results of such study, shall make 
recommendations to the President and the Congress, not later than two 
years after the first meeting of the Board, concerning improvements, 
changes, or alternative methods for the economical and effective 
delivery of such services.

(h) Study and report to Congress on special needs of eligible clients

    The Corporation shall conduct a study on whether eligible clients 
who are--
        (1) veterans,
        (2) native Americans,
        (3) migrants or seasonal farm workers,
        (4) persons with limited English-speaking abilities, and
        (5) persons in sparsely populated areas where a harsh climate 
    and an inadequate transportation system are significant impediments 
    to receipt of legal services \2\
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    \2\ So in original. Probably should be followed by a comma.

have special difficulties of access to legal services or special legal 
problems which are not being met. The Corporation shall report to 
Congress not later than January 1, 1979, on the extent and nature of any 
such problems and difficulties and shall include in the report and 
implement appropriate recommendations.

(Pub. L. 88-452, title X, Sec. 1007, as added Pub. L. 93-355, Sec. 2, 
July 25, 1974, 88 Stat. 383; amended Pub. L. 95-222, Secs. 7(b), 9(a), 
(b)(1), (c), 10-13, Dec. 28, 1977, 91 Stat. 1620-1623; Pub. L. 105-12, 
Sec. 9(o), Apr. 30, 1997, 111 Stat. 28.)

                       References in Text

    The Military Selective Service Act, referred to in subsec. (b)(10), 
is act June 24, 1948, ch. 625, 62 Stat. 604, as amended, which is 
classified principally to section 451 et seq. of Title 50, Appendix, War 
and National Defense. For complete classification of this Act to the 
Code, see References in Text note set out under section 451 of Title 50, 
Appendix and Tables.
    The Assisted Suicide Funding Restriction Act of 1997, referred to in 
subsec. (b)(11), is Pub. L. 105-12, Apr. 30, 1997, 111 Stat. 23, which 
is classified principally to chapter 138 (Sec. 14401 et seq.) of this 
title. For complete classification of this Act to the Code, see Short 
Title note set out under section 14401 of this title and Tables.
    Section 2809 of this title, referred to in subsec. (c), was repealed 
by Pub. L. 97-35, title VI, Sec. 683(a), Aug. 13, 1981, 95 Stat. 519.


                               Amendments

    1997--Subsec. (b)(11). Pub. L. 105-12 added par. (11).
    1977--Subsec. (a)(2)(B)(iv). Pub. L. 95-222, Sec. 9(a), substituted 
provisions setting forth factors which may be included in determining 
financial ability, for provisions setting forth factors required to be 
included in determining financial ability.
    Subsec. (a)(2)(C). Pub. L. 95-222, Sec. 9(b)(1), expanded existing 
provisions by requiring the Corporation to establish procedures for 
determining and implementing priorities and criteria for such 
priorities, and inserted provisions relating to appropriate training and 
support services.
    Subsec. (a)(5). Pub. L. 95-222, Sec. 9(c), in introductory text 
inserted prohibition relating to influencing the passage or defeat of 
State proposals by initiative referendum, in subpar. (A) substituted 
provisions relating to representation by an employee of a recipient for 
any eligible client, for provisions relating to representation by an 
attorney as attorney for any eligible client, and in subpar. (B) 
designated existing provision as cl. (i), inserted exception for 
testifying, drafting, or reviewing measures, and added cl. (ii).
    Subsec. (a)(6). Pub. L. 95-222, Sec. 7(b), struck out provisions 
relating to prohibitions against political activities by staff attorneys 
of the types described under cls. (B) and (C) of this par. and section 
1502(a) of title 5.
    Subsec. (b). Pub. L. 95-222, Sec. 10, redesignated and reorganized 
provisions of former par. (1) as pars. (1) to (3) and, as so 
redesignated, enumerated criteria for assistance under such pars., 
redesignated former pars. (2) and (3) as (4) and (5), respectively, 
struck out former par. (4) relating to assistance to any unemancipated 
person of less than eighteen years of age, redesignated former par. (5) 
as (6), redesignated former par. (6) as (7) and, as so redesignated, 
inserted provision relating to initiation and provision relating to 
acting as an organizer, and struck out provisions relating to 
organization, assistance or encouragement to organize, or to plan for 
the creation, formation or structuring of entities, and provision 
respecting guidelines for assistance to clients, redesignated former 
par. (7) as (9) and, as so redesignated, inserted exception for legal 
advice to clients, reenacted par. (8) without change, and redesignated 
former par. (9) as (10) and, as so redesignated, inserted exception for 
actions concerning classifications prior to July 1, 1973.
    Subsec. (c). Pub. L. 95-222, Sec. 11, substituted provisions 
requiring recipients to include at least one-third membership of 
eligible clients or eligible clients who may also be representatives of 
associations or organizations of eligible clients, for provisions 
requiring recipients to include at least one individual eligible to 
receive legal assistance.
    Subsec. (f). Pub. L. 95-222, Sec. 12, inserted provision requiring 
notice to principal local bar association, if any, of community.
    Subsec. (h). Pub. L. 95-222, Sec. 13, added subsec. (h).


                    Effective Date of 1997 Amendment

    Amendment by Pub. L. 105-12 effective Apr. 30, 1997, and applicable 
to Federal payments made pursuant to obligations incurred after Apr. 30, 
1997, for items and services provided on or after such date, and also 
subject to also being applicable with respect to contracts entered into, 
renewed, or extended after Apr. 30, 1997, as well as contracts entered 
into before Apr. 30, 1997, to the extent permitted under such contracts, 
see section 11 of Pub. L. 105-12, set out as an Effective Date note 
under section 14401 of this title.


                    Effective Date of 1977 Amendment

    Amendment by sections 7(b), 9(a), (b)(1), (c), 10, 12, and 13 of 
Pub. L. 95-222 effective Dec. 28, 1977, see section 17(b) of Pub. L. 95-
222, set out as a note under section 2996 of this title.
    Section 17(a)(1) of Pub. L. 95-222 provided that: ``The amendment 
made by section 11 of this Act [amending this section] shall be 
effective six months after the first day of the first calendar month 
following the date of enactment of this Act [Dec. 28, 1977].''


 Implementation of System for Competitive Award of Grants and Contracts

    Pub. L. 101-515, title VI, Sec. 607 (part), Nov. 5, 1991, 104 Stat. 
2153, provided: ``That after October 1, 1991, (but not before) the Board 
of Directors of the Legal Services Corporation shall develop and 
implement a system for the competitive award of all grants and 
contracts, including support centers, except that nothing herein shall 
prohibit the Corporation Board, members, or staff from engaging in in-
house reviews of or holding hearings on proposals for a system for the 
competitive award of all grants and contracts, including support 
centers, and that nothing herein shall apply to any competitive awards 
program currently in existence''.
    Pub. L. 101-162, title VI, Sec. 608 (part), Nov. 21, 1989, 103 Stat. 
1036, provided: ``That none of the funds appropriated under this Act or 
under any prior Acts for the Legal Services Corporation shall be used to 
consider, develop, or implement any system for the competitive award of 
grants or contracts until such action is authorized pursuant to a 
majority vote of a Board of Directors of the Legal Services Corporation 
composed of eleven individuals nominated by the President after January 
20, 1989, and subsequently confirmed by the United States Senate, except 
that nothing herein shall prohibit the Corporation Board, members, or 
staff from engaging in in-house reviews of or holding hearings on 
proposals for a system for the competitive award of all grants and 
contracts, including support centers, and that nothing herein shall 
apply to any competitive awards program currently in existence; 
subsequent to confirmation such new Board of Directors shall develop and 
implement a proposed system for the competitive award of all grants and 
contracts''.

    Pub. L. 100-459, title VI, Sec. 605, Oct. 1, 1988, 102 Stat. 2227, 
provided: ``That a Board of Directors of the Legal Services Corporation, 
composed of individuals nominated by the President after January 20, 
1989 and subsequently confirmed by the United States Senate, shall 
develop and implement a system for the competitive award of all grants 
and contracts, including support centers, to take effect after September 
30, 1989.''

                  Section Referred to in Other Sections

    This section is referred to in sections 2996e, 2996g of this title.
