[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 718 Introduced in Senate (IS)]

111th CONGRESS
  1st Session
                                 S. 718

 To amend the Legal Services Corporation Act to meet special needs of 
  eligible clients, provide for technology grants, improve corporate 
  practices of the Legal Services Corporation, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 26, 2009

   Mr. Harkin (for himself, Mr. Kennedy, Mr. Leahy, Mr. Cardin, Ms. 
Mikulski, Mr. Kerry, Mr. Durbin, Mr. Lautenberg, Mr. Merkley, and Mrs. 
  McCaskill) introduced the following bill; which was read twice and 
               referred to the Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
 To amend the Legal Services Corporation Act to meet special needs of 
  eligible clients, provide for technology grants, improve corporate 
  practices of the Legal Services Corporation, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Civil Access to Justice Act of 
2009''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) It is crucial to provide equal access to the system of 
        justice in the United States for all individuals, regardless of 
        economic status.
            (2) The Legal Services Corporation provides high quality 
        civil legal assistance for persons who would otherwise be 
        unable to afford legal assistance, and there is a need to 
        continue the present vital legal services program.
            (3) The amount of Federal resources made available to the 
        Legal Services Corporation has been inadequate to provide 
        individuals with the legal assistance that they need. Nearly 
        half of all people who have applied for assistance from local 
        programs funded through the Legal Services Corporation have 
        been turned away in recent years. In many States, over 80 
        percent of individuals who need legal assistance do not receive 
        the help they need.
            (4) Congress must adequately fund Legal Services 
        Corporation programs to preserve the strength of the programs.
            (5) Providing legal assistance to those who face an 
        economic barrier to adequate legal counsel serves justice and 
        assists in improving opportunities for low-income persons.
            (6) The availability of legal services has reaffirmed the 
        faith of many people of the United States in a government of 
        laws.
            (7) To preserve its strength, the legal services program 
        must be kept free from the influence of political pressures or 
        use by the program of political interests.
            (8) Attorneys providing legal assistance must have full 
        freedom to protect the best interests of their clients in 
        keeping with the applicable rules of professional 
        responsibility and the high standards of the legal profession.

SEC. 3. AMENDMENTS TO STATEMENT OF FINDINGS AND DECLARATION OF PURPOSE.

    Section 1001 of the Legal Services Corporation Act (42 U.S.C. 2996) 
is amended--
            (1) by striking ``1001.'' and inserting ``1001.(a)'';
            (2) in paragraph (3), by striking ``Act'' and inserting 
        ``title'';
            (3) in paragraph (6), by striking ``Code of Professional 
        Responsibility, the Canons of Ethics,'' and inserting 
        ``applicable rules of professional responsibility''; and
            (4) by inserting at the end the following:
    ``(b) Congress finds the following:
            ``(1) Participation of private lawyers in providing legal 
        assistance to those unable to afford such assistance 
        significantly enhances the overall system for providing legal 
        services to the poor, and the Legal Services Corporation should 
        continue to promote and support pro bono services and other 
        forms of private bar involvement through its policies and 
        regulations.
            ``(2) The highest court of each State and Territory should 
        encourage pro bono service by lawyers by adopting aspirational 
        guidelines, such as the American Bar Association Model Rule of 
        Professional Conduct 6.1, `Voluntary Pro Bono Publico 
        Services', and by adopting mandatory reporting of voluntary pro 
        bono service.''.

SEC. 4. DEFINITIONS.

    Section 1002 of the Legal Services Corporation Act (42 U.S.C. 
2996a) is amended--
            (1) by striking paragraph (7) and inserting the following:
            ``(7) `staff attorney' means an attorney who--
                    ``(A) is employed by a recipient organized in whole 
                or in part for the provision of legal assistance to 
                eligible clients under this title; or
                    ``(B) receives more than one-half of the attorney's 
                annual professional salary from the proceeds of a 
                grant, contract, or other financial assistance from the 
                Corporation to such recipient;'';
            (2) in paragraph (8), by striking ``the Trust Territory of 
        the Pacific Islands, and any other territory or possession of 
        the United States'' and inserting ``the Commonwealth of the 
        Northern Mariana Islands, the Republic of the Marshall Islands, 
        the Federated States of Micronesia, and the Republic of 
        Palau;''; and
            (3) by adding at the end the following:
            ``(9) `individual in poverty' means an individual who is a 
        member of a family (of 1 or more members) with an income at or 
        below the poverty line; and
            ``(10) `poverty line' means the poverty line (as defined by 
        the Office of Management and Budget, and revised annually in 
        accordance with section 673(2) of the Community Services Block 
        Grant Act (42 U.S.C. 9902(2)), applicable to a family of the 
        size involved.''.

SEC. 5. GOVERNING BODY.

    Section 1004 of the Legal Services Corporation Act (42 U.S.C. 
2996c) is amended--
            (1) in subsection (a), in the third sentence--
                    (A) by striking ``Effective with respect to 
                appointments made after the date of enactment of the 
                Legal Services Corporation Act Amendments of 1977 but 
                not later than July 31, 1978, the'' and inserting 
                ``The'';
                    (B) by striking ``and'' after ``shall be appointed 
                so as to include eligible clients,''; and
                    (C) by inserting ``, and to include at least 1 
                individual with financial or audit experience'' before 
                the period;
            (2) in subsection (b)--
                    (A) by striking ``, except that five of the members 
                first appointed, as designated by the President at the 
                time of appointment, shall serve for a term of two 
                years''; and
                    (B) by striking the third and fourth sentences;
            (3) in subsection (d), by striking ``President shall select 
        from among the voting members of the board a chairman, who 
        shall serve for a term of three years. Thereafter the'';
            (4) by striking subsection (f);
            (5) by redesignating subsections (g) and (h) as (f) and 
        (g), respectively; and
            (6) in subsection (f), as redesignated by this section, by 
        striking ``, of any executive committee of the Board, and of 
        any advisory council established in connection with this 
        title'' and inserting ``or of any committee of the Board''.

SEC. 6. OFFICERS AND EMPLOYEES.

    Section 1005(b)(1) of the Legal Services Corporation Act (42 U.S.C. 
2996d(b)(1)) is amended by striking ``as he'' and inserting ``as the 
president of the Corporation''.

SEC. 7. IMPROVEMENTS OF LEGAL SERVICES CORPORATION CORPORATE GOVERNANCE 
              AND INTERNAL PRACTICES.

    Section 1006 of the Legal Services Corporation Act (42 U.S.C. 
2996e) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (2), by inserting ``, subject to 
                subsection (g)'' before the semicolon; and
                    (B) in paragraph (3)(A), by striking ``except that 
                broad general legal or policy research unrelated to 
                representation of eligible clients may not be 
                undertaken by grant or contract,'';
            (2) in subsection (b)--
                    (A) in paragraph (3), by striking ``as established 
                in the Canons of Ethics and the Code of Professional 
                Responsibility of the American Bar Association'' and 
                inserting ``as established in the applicable rules of 
                professional responsibility or other laws of the State 
                or other jurisdiction where the attorney practices 
                law''; and
                    (B) in paragraph (5), by striking the last 
                sentence; and
            (3) by adding at the end the following:
    ``(g)(1) The Corporation shall establish a protocol for the receipt 
of donations under subsection (a)(2).
    ``(2) In order for the Corporation to use any Federal funds for 
representational activities of the Corporation, not including non-
representational activities that primarily involve Corporation staff, 
the appropriations Act through which the funds are made available shall 
specifically permit the use of the funds for such activities. Any 
solicitation of a donation of funds for expenses for which Federal 
funds may not be used under this title shall be approved in advance by 
the Board. In addition, a budget for the use of such donated funds 
shall be approved by the Board, before the Corporation incurs such an 
expense.
    ``(3) The Corporation may not advance Federal funds, in 
anticipation of receiving a donation under subsection (a)(2), to pay 
for an expense.
    ``(h)(1) The Board shall establish and maintain an audit committee, 
a finance committee, and a governance and performance review committee.
    ``(2) The Corporation shall establish and implement a continuity of 
operations plan, to prepare for disasters and emergencies.
    ``(3) The Corporation shall--
            ``(A) establish an adequate internal control structure and 
        procedures for financial reporting; and
            ``(B) not later than 1 year after the date of enactment of 
        the Civil Access to Justice Act of 2009, and annually 
        thereafter, conduct an assessment of the effectiveness of the 
        internal control structure and procedures.
    ``(i)(1) The Corporation shall adopt comprehensive training 
standards and develop appropriate training materials to ensure that 
recipients are able to provide comprehensive and appropriate training 
for executive directors, supervisors, and attorneys employed by 
recipients and board members of recipients. Such training standards and 
materials shall address training concerning--
            ``(A) restrictions applicable to the activities of 
        attorneys employed by the recipient involved; and
            ``(B) appropriate use of Federal funds.
    ``(2) In developing training standards and materials for the 
training described in paragraph (1), the Corporation--
            ``(A) is encouraged to address training concerning the 
        representation of victims of domestic violence; and
            ``(B) may coordinate activities with the American Bar 
        Association Commission on Domestic Violence.
    ``(3) The Corporation shall provide financial assistance, in such 
amounts as the Corporation may determine to be appropriate, to 
recipients, to enable the recipients to provide the training described 
in paragraph (1).''.

SEC. 8. PILOT LOAN REPAYMENT ASSISTANCE PROGRAM.

    Section 1006 of the Legal Services Corporation Act, as amended by 
section 7, is further amended by adding at the end the following:
    ``(j)(1) The Corporation shall promote recruitment and retention of 
highly qualified staff members for all recipients, through the Pilot 
Loan Repayment Assistance Program established by the Corporation in 
2005 or other programs, as the Corporation determines to be 
appropriate.
    ``(2) If funds are appropriated for any such staff recruitment and 
retention program for each of the 5 full fiscal years following the 
date of enactment of the Civil Access to Justice Act of 2009, in the 
fifth year, the Corporation shall submit to Congress a report on the 
impact of such program on the recruitment and retention of highly 
qualified staff for recipients.
    ``(3) Nothing in paragraph (2) prevents the Corporation from 
continuing such recruitment and retention programs for longer than 5 
years, if such program is effective in the recruitment and retention of 
highly qualified staff and funds are appropriated for such program.''.

SEC. 9. PROHIBITED USE OF FUNDS.

    Section 1006 of the Legal Services Corporation Act, as amended by 
section 8, is further amended by adding at the end the following:
    ``(k)(1)(A) No prohibited purposes provision shall be considered to 
cover recipient funds from any source other than the Corporation, 
except as provided in paragraph (3).
    ``(B) No prohibited purposes provision shall be considered to cover 
Federal funds awarded under this title, except as provided in this 
title.
    ``(2)(A) In this subsection, the term `prohibited purposes 
provision' means a provision of this title, or any other Federal law, 
that contains text stating that funds of a recipient may not be 
expended for a purpose prohibited by this title or another Federal law.
    ``(B) The term includes any Federal law that incorporates by 
reference a provision that contains text described in subparagraph (A) 
and is a provision of--
            ``(i) the Departments of Commerce, Justice, and State, the 
        Judiciary, and Related Agencies Appropriations Act, 1998;
            ``(ii) the Departments of Commerce, Justice, and State, the 
        Judiciary, and Related Agencies Appropriations Act, 1996; or
            ``(iii) another Federal law.
    ``(3) No non-Federal funds may be used by a recipient to 
participate in any litigation with respect to abortion.''.

SEC. 10. CONSTRUCTION.

    Section 1006 of the Legal Services Corporation Act, as amended by 
section 9, is further amended by adding at the end the following:
    ``(l) No provision of law, other than an amendment to this title, 
shall be considered to supersede or modify this title unless the 
provision refers specifically to this subsection.''.

SEC. 11. LIMITED CLASS ACTION SUITS.

    Section 1006(d)(5) of the Legal Services Corporation Act (42 U.S.C. 
2996e(d)(5)) is amended by adding at the end the following: 
``Notwithstanding any other provision of law, other than this paragraph 
or a provision that specifically refers to this paragraph, a recipient 
may initiate or participate in a class action suit only if the suit 
arises under established State or Federal statutory law or established 
judicial case law.''.

SEC. 12. GRANTS AND CONTRACTS.

    Section 1007 of the Legal Services Corporation Act (42 U.S.C. 
2996f) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (2)--
                            (i) in subparagraph (A), by striking ``and 
                        with the Governors of the several States'';
                            (ii) in subparagraph (B)--
                                    (I) in clause (i), by striking 
                                ``liquid''; and
                                    (II) in clause (iv), by striking 
                                ``, 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'' and 
                                inserting a semicolon; and
                            (iii) by striking subparagraph (C) and 
                        inserting the following:
            ``(C) ensure that--
                    ``(i) recipients, consistent with the goals 
                established by the Corporation, adopt procedures for 
                determining and implementing priorities for the 
                provision of legal assistance (and outreach, training, 
                and support services, as may be necessary), and 
                particularly for addressing the needs for services 
                described in this clause on the part of the significant 
                populations of eligible clients with special 
                difficulties in accessing such services or with special 
                legal needs, including--
                            ``(I) elderly individuals;
                            ``(II) individuals with disabilities;
                            ``(III) victims of domestic violence;
                            ``(IV) veterans;
                            ``(V) members of the Armed Forces and their 
                        family members;
                            ``(VI) persons displaced by a major 
                        disaster or emergency; and
                            ``(VII) persons seeking assistance with 
                        matters relating to home foreclosure or 
                        mortgage default or delinquency, including 
                        matters concerning tenants or subtenants in 
                        homes that are in foreclosure or mortgage 
                        default or delinquency, as well as matters 
                        related to predatory lending practices; and
                    ``(ii) recipients provide appropriate training, as 
                described in section 1006(i)(1), and support services 
                to recipient staff to enable such staff to provide 
                legal assistance to eligible clients described in 
                clause (i);'';
                    (B) by striking paragraphs (8) and (9);
                    (C) by redesignating paragraphs (10) and (11) as 
                (9) and (10), respectively;
                    (D) by inserting after paragraph (7) the following:
            ``(8) ensure that funds appropriated under this title for 
        basic field programs shall be distributed on the basis of a 
        system of competitive bidding, in accordance with Legal 
        Services Corporation regulations, and shall be allocated so as 
        to provide--
                    ``(A) except as provided in subparagraphs (B) and 
                (C), an equal figure per individual in poverty for all 
                geographic areas, as determined on the basis of the 
                most recent decennial census of population conducted 
                pursuant to section 141 of title 13, United States Code 
                (or, in the case of the Republic of Palau, the 
                Federated States of Micronesia, the Republic of the 
                Marshall Islands, the Commonwealth of the Northern 
                Mariana Islands, Alaska, Hawaii, and the United States 
                Virgin Islands, on the basis of the adjusted population 
                counts historically used as the basis for such 
                determinations);
                    ``(B) an additional amount for Native American 
                communities that received assistance under the Legal 
                Services Corporation Act for fiscal year 2009, so that 
                the proportion of the funds appropriated to the Legal 
                Services Corporation for basic field programs for 
                fiscal year 2010 that is received by the Native 
                American communities shall be not less than the 
                proportion of such funds appropriated for fiscal year 
                2009 that was received by the Native American 
                communities; and
                    ``(C) an amount for representation of migrant and 
                seasonal farm workers.''; and
                    (E) in paragraph (9), as redesignated by this 
                subsection, by striking ``the Canons of Ethics and Code 
                of Professional Responsibility of the American Bar 
                Association'' and inserting ``applicable rules of 
                professional responsibility'';
            (2) in subsection (b)--
                    (A) by striking paragraph (8) and inserting the 
                following:
            ``(8) to participate in any litigation with respect to 
        abortion;'';
                    (B) in paragraph (10), by striking ``or'' after the 
                semicolon;
                    (C) in paragraph (11), by striking the period at 
                the end and inserting a semicolon; and
                    (D) by adding at the end the following:
            ``(12) to provide legal assistance with respect to 
        litigation relating to prison conditions on behalf of any 
        individual who is incarcerated in a Federal, State, or local 
        prison, except that nothing in this paragraph prohibits the use 
        of funds made available by the Corporation for litigation 
        related to an incarcerated individual's ability to reenter 
        society successfully;
            ``(13) to provide legal assistance with respect to the 
        defense of an individual in a proceeding to evict such 
        individual from a public housing project if--
                    ``(A) the individual has been charged in a criminal 
                proceeding with the illegal sale or distribution of a 
                controlled substance, unless such charges have been 
                dropped or the individual has been acquitted of the 
                charges; and
                    ``(B) the eviction proceeding is brought by a 
                public housing agency because the illegal drug activity 
                of the individual threatens the health and safety of 
                another tenant residing in the public housing project 
                or an employee of the public housing agency; or
            ``(14) to provide legal assistance for, or on behalf of an 
        alien, unless the alien--
                    ``(A) is present in the United States and the 
                alien--
                            ``(i) is described in subparagraph (A), 
                        (B), (C), (D), (E), or (F) of section 
                        504(a)(11) of the Departments of Commerce, 
                        Justice, and State, the Judiciary, and Related 
                        Agencies Appropriations Act, 1996, as enacted 
                        by section 101 of the Omnibus Consolidated 
                        Rescissions and Appropriations Act of 1996 
                        (Public Law 104-134; 110 Stat. 1321-54);
                            ``(ii)(I) has been battered or subjected to 
                        extreme cruelty or was a victim of sexual 
                        assault or trafficking in the United States; or
                            ``(II) qualifies for nonimmigrant status 
                        described in section 101(a)(15)(U) of the 
                        Immigration and Nationality Act (8 U.S.C. 
                        1101(a)(15)(U));
                            ``(iii) has a child present in the United 
                        States who, without the active participation of 
                        the alien--
                                    ``(I) has been battered or 
                                subjected to extreme cruelty or was a 
                                victim of sexual assault or trafficking 
                                in the United States; or
                                    ``(II) qualifies for nonimmigrant 
                                status described in section 
                                101(a)(15)(U) of the Immigration and 
                                Nationality Act;
                            ``(iv) has been a victim of trafficking or 
                        is a family member of such a victim and is 
                        eligible for protection and assistance under 
                        section 107 of the Trafficking Victims 
                        Protection Act of 2000 (22 U.S.C. 7105);
                            ``(v) is an evacuee from, or victim of, a 
                        major disaster or an emergency designated by 
                        the President pursuant to the Robert T. 
                        Stafford Disaster Relief and Emergency 
                        Assistance Act (42 U.S.C. 5121 et seq.) or by 
                        an appropriate State or local official, and the 
                        alien's need for legal assistance from the 
                        Corporation is related to the alien's status as 
                        such an evacuee or victim;
                            ``(vi)(I) has been declared dependent on a 
                        juvenile court located in a State or has been 
                        legally committed to, or placed under the 
                        custody of, an agency or department of a State 
                        by such a court; and
                            ``(II) has been deemed eligible by such a 
                        court for long-term foster care due to abuse, 
                        neglect, or abandonment;
                            ``(vii) is under 18 years of age, is 
                        unaccompanied by a parent or legal guardian, 
                        and is in the custody of the Secretary of 
                        Homeland Security; or
                            ``(viii) is authorized to work in the 
                        United States or is otherwise lawfully present 
                        in the United States;
                    ``(B) is a member of a cross-border Indian Tribe 
                who is--
                            ``(i) an American Indian born in Canada 
                        referred to in section 289 of the Immigration 
                        and Nationality Act (8 U.S.C. 1359); or
                            ``(ii) a member of the Texas Band of 
                        Kickapoo Indians referred to in the Texas Band 
                        of Kickapoo Act (25 U.S.C. 1300b-11 et seq.);
                    ``(C) is--
                            ``(i) indigent; and
                            ``(ii) seeking relief under the Convention 
                        on the Civil Aspects of International Child 
                        Abduction, done at The Hague on October 25, 
                        1980, pursuant to the International Child 
                        Abduction Remedies Act (42 U.S.C. 11601 et 
                        seq.); or
                    ``(D) is a citizen of--
                            ``(i) the Commonwealth of the Northern 
                        Mariana Islands;
                            ``(ii) the Federated States of Micronesia;
                            ``(iii) the Republic of the Marshall 
                        Islands; or
                            ``(iv) the Republic of Palau.'';
            (3) by striking subsection (c) and inserting the following:
    ``(c) In making grants or entering into contracts for legal 
assistance, the Corporation--
            ``(1) shall ensure that any recipient organized solely for 
        the purpose of providing legal assistance to eligible clients 
        is governed by a body (referred to in this subsection as a 
        `board') at least 50 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 may grant, 
        pursuant to regulations issued by the Corporation, a waiver of 
        such requirement for recipients which, because of the 
        population the recipients serve, are unable to comply with such 
        requirement);
            ``(2) shall ensure that any attorney, while serving on such 
        board, shall not receive compensation from a recipient for such 
        service;
            ``(3) shall ensure that at least one-third of a recipient's 
        governing body consists of individuals who are, when selected, 
        eligible clients who also may be representatives of 
        associations or organizations of eligible clients; and
            ``(4) shall ensure that at least 1 board member is 
        designated as a liaison to the bar association of the State 
        described in paragraph (1) for pro bono promotion and 
        coordination.'';
            (4) in subsection (d), by adding at the end the following: 
        ``The Corporation shall ensure that the monitoring and 
        evaluation activities described in this subsection are carried 
        out in a manner that is consistent with the applicable rules of 
        professional responsibility for the jurisdiction in which the 
        recipient is being monitored, and shall take reasonable steps 
        to avoid imposing undue burden or expense on the recipient.'';
            (5) by striking subsections (g) and (h); and
            (6) by adding at the end the following:
    ``(h) The Corporation shall require all attorneys and paralegals 
employed by a recipient to maintain records of time spent on each case 
or matter supported in whole or in part with funds provided under this 
title.''.

SEC. 13. TECHNOLOGY GRANTS.

    Section 1007 of the Legal Services Corporation Act (42 U.S.C. 
2996f), as amended by section 12, is further amended--
            (1) by redesignating subsections (c) through (f) as 
        subsections (d) through (g), respectively; and
            (2) by inserting after subsection (b) the following:
    ``(c) In making a grant or entering into a contract under this 
section, the Corporation may provide that a portion of the funds 
provided under the grant or contract may be used to acquire and develop 
information technology to promote full access to high-quality, 
efficient legal representation and materials for self-
representation.''.

SEC. 14. REPORTING OF ATTORNEY'S FEES.

    Section 1007 of the Legal Services Corporation Act (42 U.S.C. 
2996f), as amended by sections 12 and 13, is further amended--
            (1) in subsection (b)(1)--
                    (A) by inserting ``or in cases in which the 
                recipient serves as co-counsel with a private 
                attorney'' after ``private representation is not 
                available''; and
                    (B) by inserting before the semicolon the 
                following: ``, unless the attorney involved submits a 
                report in accordance with subsection (i)''; and
            (2) by adding at the end the following:
    ``(i) The Corporation shall require any attorney employed by a 
recipient, and providing legal assistance under this title for which 
the attorney is awarded attorney's fees during a fiscal year, to submit 
a report to the Corporation. The report shall describe the 
representation for which the attorney's fees were awarded and the 
amount of the fees.''.

SEC. 15. AUDITS.

    Section 1009 of the Legal Services Corporation Act (42 U.S.C. 
2996h) is amended--
            (1) by striking subsection (c) and inserting the following:
    ``(c) The Corporation shall require an audit of each recipient in 
accordance with generally accepted auditing standards and shall require 
that the recipient prepare a report that includes--
            ``(1) the financial statements of the recipient, including 
        an unbiased presentation of the recipient's financial position 
        and the results of the recipient's financial operations, in 
        accordance with generally accepted accounting principles; and
            ``(2) a description of internal control systems of the 
        recipient that provide reasonable assurance that the recipient 
        is managing funds, from all sources, in compliance with Federal 
        law.''; and
            (2) in subsection (d), by striking all that follows the 
        comma and adding ``the Corporation, the Comptroller General of 
        the United States, and the Corporation's Inspector General 
        shall not have access to any information in documents, reports, 
        or records that is confidential under the applicable rules of 
        professional responsibility or that is subject to the attorney-
        client privilege.''.

SEC. 16. FINANCING.

    Section 1010 of the Legal Services Corporation Act (42 U.S.C. 
2996i) is amended--
            (1) in subsection (a), by striking the first 3 sentences 
        and inserting the following: ``There are authorized to be 
        appropriated for the purpose of carrying out the activities of 
        the Corporation $750,000,000 for each of fiscal years 2010 
        through 2015.'';
            (2) in subsection (c)--
                    (A) by striking the semicolon after ``distinct from 
                Federal funds'' and inserting a period;
                    (B) by striking ``but any funds so received for the 
                provision of legal assistance shall not be expended by 
                recipients for any purpose prohibited by this title, 
                except that this'' and inserting ``This'';
                    (C) by striking ``or'' after ``to prevent 
                recipients from receiving other public funds'' and 
                inserting ``, private funds,''; and
                    (D) by inserting after ``(including foundation 
                funds benefiting Indians or Indian tribes)'' the 
                following: ``, or any other funds received from a 
                source other than the Corporation''; and
            (3) by adding at the end the following:
    ``(e) For purposes of other programs that have Federal funds 
matching requirements, funds received by a recipient from the 
Corporation shall not be considered to be Federal funds for the purpose 
of determining whether those funds may be used as non-Federal matching 
funds.''

SEC. 17. LAW SCHOOL CLINICAL EXPERIENCE PROGRAMS.

    Title VII of the Higher Education Act of 1965 (20 U.S.C. 1133 et 
seq.) is amended by adding at the end the following:

           ``PART F--LAW SCHOOL CLINICAL EXPERIENCE PROGRAMS

``SEC. 785. DEFINITIONS.

    ``In this part:
            ``(1) Accredited law school.--The term `accredited law 
        school' means a law school that is accredited by a nationally 
        recognized accrediting agency or association approved by the 
        Secretary for this purpose, including any combination or 
        consortium of such schools.
            ``(2) Clinical experience program.--The term `clinical 
        experience program' means a program of an accredited law school 
        in which students receive clinical experience in the practice 
        of law by providing services to eligible clients, as defined in 
        section 1002 of the Legal Services Corporation Act (42 U.S.C. 
        2996a) and as specified in related regulations issued under 
        that Act (42 U.S.C. 2996), who have difficulty in gaining 
        access to legal representation. The cases and situations 
        handled may encompass any of the following:
                    ``(A) Judicial, administrative, executive, or 
                legislative proceedings, including the full range of 
                preparation for such proceedings.
                    ``(B) Factual investigation, empirical research, or 
                legal analysis.
                    ``(C) Transactional matters.

``SEC. 786. PROGRAM AUTHORIZED.

    ``(a) In General.--The Secretary is authorized to enter into grants 
or contracts with accredited law schools located in the States for the 
purpose of paying not more than 90 percent of the costs of expanding or 
establishing clinical experience programs in such schools.
    ``(b) Use of Funds.--The costs described in subsection (a) may 
include necessary expenditures incurred for--
            ``(1) planning;
            ``(2) training of faculty members and salary for additional 
        faculty members;
            ``(3) travel and per diem for faculty and students;
            ``(4) reasonable stipends for students for work in the 
        public service performed as part of any such program at a time 
        other than during the regular academic year;
            ``(5) equipment and library resources;
            ``(6) involving practicing lawyers in the process of 
        training law students to perform as lawyers; and
            ``(7) such other items as are allowed pursuant to 
        regulations issued by the Secretary.
    ``(c) Limitation on Amounts.--No accredited law school may receive 
an amount of more than $250,000 in any fiscal year pursuant to this 
part.

``SEC. 787. APPLICATIONS.

    ``(a) Requirements.--A grant or contract authorized under this part 
may be made by the Secretary upon application which--
            ``(1) is made at such time and contains such information as 
        the Secretary may prescribe;
            ``(2) provides for such fiscal control and fund accounting 
        procedures as may be necessary to assure proper disbursement of 
        and accounting for Federal funds paid to the applicant under 
        this part; and
            ``(3) provides for--
                    ``(A) making reports, in such form and containing 
                such information as the Secretary may require to carry 
                out functions under this part; and
                    ``(B) keeping records and affording access to such 
                records as the Secretary may find necessary to assure 
                the correctness and verification of such reports.
    ``(b) Preference.--In awarding grants or contracts under this part, 
the Secretary shall give preference to accredited law schools that--
            ``(1) provide a clinical experience program that is carried 
        out in coordination with a recipient, as defined in section 
        1002 of the Legal Services Corporation Act (42 U.S.C. 2996a), 
        or a governmental entity; or
            ``(2) demonstrate a need for Federal funds to carry out a 
        clinical experience program.

``SEC. 788. SUPPLEMENT NOT SUPPLANT.

    ``A recipient of a grant or contract under this part may use the 
funds provided only to supplement funds made available from non-Federal 
sources to carry out the activities supported by such grant or 
contract, and in no case to supplant such funds from non-Federal 
sources.

``SEC. 789. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to carry out this part 
$20,000,000 for fiscal year 2010, and such sums as may be necessary for 
each of the 5 succeeding fiscal years.''.
                                 <all>