What's Happening with Federal Legal Services Funding? The (Upcoming) Legal Services Corporation Funding Debate Takes Shape
By: Steve Grumm
The Legal Services Corporation, a quasi-governmental entity which channels federal funding to civil legal services providers throughout the U.S. states and territories and which is the single largest source of funding for legal services for the poor, is facing the potential for sizeable cuts that will force staff cuts and result in fewer clients served. LSC and its 130+ grantee organizations are sitting squarely, and uncomfortably, between the metaphorical rock and hard place. At precisely the time when some federal legislators are discussing large-scale cuts to numerous federal
programs in the name of fiscal austerity, swollen numbers of poor people and families – the unemployed, children, and victims of domestic violence – are seeking free legal aid to help them out of crisis. So as Congress is gearing up for debate on a Fiscal Year 2012 funding plan, LSC grantees face the grim prospect of having to do more with considerably less – a minefield they’ve already been traversing because other, non-federal funding sources have depleted in the recession’s wake.
Linda Perle at the Center for Law and Social Policy (CLASP) has authored a very helpful LSC funding update, offering the particulars about what has happened to LSC funding in recent budget debates and which direction the winds are blowing in as Congressional hearings on LSC’s funding are set to begin in July. Some noteworthy language from Linda’s piece:
Concern abounds regarding LSC funding for FY 2012, which will begin on Oct. 1, 2011. FY 2011 funding totals $404.19 million, which represents a $15.81 million cut from LSC’s FY 2010 funding level of $420 million. The House and Senate adopted this amount after the House passed an FY 2011 Continuing Resolution (CR) that would have cut $70 million for LSC from its FY 2010 level, and reduced LSC’s funding to FY 2008 levels. Under the House version of the CR, all of the $70 million cut would have come out of LSC’s basic field grants that support the 136 legal aid programs providing basic legal assistance to low-income people across the country.
LSC has asked Congress to appropriate $516.5 million for FY 2012. President Obama’s budget request sought $450 million for LSC. However, during the April 5, 2011, hearing of the House Appropriations Subcommittee on Commerce, Justice, Science and Related Agencies (CJS) on the FY 2012 LSC budget, there was again discussion of returning LSC funding to the FY 2008 level — all in the name of deficit reduction. The FY 2012 House budget resolution (the Ryan Bill), which proposes $6 trillion in overall budget cuts over 10 years and an overhaul of entitlement programs, did not include any specific cuts for LSC or other agencies, but also suggested that funding of discretionary programs should be cut to FY 2008 levels.
Subcommittee mark-up on the House 2012 CJS bill is scheduled for July 7, followed by full committee mark-up on July 13. We anticipate that the House will cut LSC’s overall FY 2012 budget to its FY 2008 level of $340.49 million. However, it is not clear whether this budget will follow the FY 2008 allocation among LSC’s programs and divisions, providing approximately $332.4 million for basic field grant funding, or will do as was proposed in House version of the 2011 CR and take all of the cuts out of the funds allocated to basic field grants, leaving only $324.4 million for basic field grant funding.
