Congressional Record, Volume 167 Issue 108 (Tuesday, June 22, 2021)

[Congressional Record Volume 167, Number 108 (Tuesday, June 22, 2021)]
[House]
[Pages H2984-H2986]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

FOUNDATION OF THE FEDERAL BAR ASSOCIATION CHARTER AMENDMENTS ACT OF
2021

Ms. JACKSON LEE. Mr. Speaker, I move to suspend the rules and pass
the bill (H.R. 2679) to amend title 36, United States Code, to revise
the Federal charter for the Foundation of the Federal Bar Association,
as amended.
The Clerk read the title of the bill.
The text of the bill is as follows:

H.R. 2679

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 ``Foundation of the Federal
Bar Association Charter Amendments Act of 2021''.

SEC. 2. ORGANIZATION.

Section 70501 of title 36, United States Code, is amended
by striking subsection (b) and redesignating subsection (c)
as subsection (b).

SEC. 3. MEMBERSHIP.

Section 70503 of title 36, United States Code, is amended--
(1) by striking subsections (a) and (b) and inserting the
following:
``(a) Eligibility.--Except as provided in this chapter,
eligibility for membership in the corporation and the rights
and privileges of members are as provided in the bylaws.'';
and

[[Page H2985]]

(2) by redesignating subsection (c) as subsection (b).

SEC. 4. GOVERNING BODY.

Section 70504 of title 36, United States Code, is amended
to read as follows:

``Sec. 70504. Governing body

``(a) Board of Directors.--The board of directors is the
governing body of the corporation. The board may exercise, or
provide for the exercise of, the powers of the corporation.
The board of directors and the responsibilities of the board
are as provided in the bylaws.
``(b) Officers.--The officers and the election of the
officers are as provided for in the bylaws.''.

SEC. 5. RESTRICTIONS.

Section 70507 of title 36, United States Code, is amended
to read as follows:

``Sec. 70507. Restrictions

``(a) Stock and Dividends.--The corporation may not issue
stock or declare or pay a dividend.
``(b) Political Activities.--The corporation or a director
or officer in his or her corporate capacity may not
contribute to, support, or participate in any political
activity or in any manner attempt to influence legislation.
``(c) Distribution of Income or Assets.--The income or
assets of the corporation may not inure to the benefit of, or
be distributed to, a director, officer, or member during the
life of the charter granted by this chapter. This subsection
does not prevent the payment, in amounts approved by the
board of directors, of--
``(1) reasonable compensation; or
``(2) reimbursement for expenses incurred in undertaking
the corporation's business, to officers, directors, or
members.
This subsection does not prevent the award of a grant to a
Federal Bar Association chapter of which an officer,
director, or member may be a member. This subsection also
does not prevent the payment of reasonable compensation to
the corporation's employees for services undertaken on behalf
of the corporation.
``(d) Loans.--The corporation may not make a loan to a
director, officer, member, or employee.
``(e) Immunity From Liability.--Members and private
individuals are not liable for the obligations of the
corporation.
``(f) Claim of Governmental Approval or Authority.--The
corporation may not claim congressional approval or the
authority of the United States Government for any of its
activities; it may, however, acknowledge this charter.''.

SEC. 6. PRINCIPAL OFFICE.

Section 70508 of title 36, United States Code, is amended
by striking ``the District of Columbia,'' and inserting ``a
United States location decided by the board of directors and
specified in the bylaws,''.

SEC. 7. SERVICE OF PROCESS.

Section 70510 of title 36, United States Code, is amended
to read as follows:

``Sec. 70510. Service of process

``The corporation shall comply with the law on service of
process of the State or District in which it is
incorporated.''.

SEC. 8. DEPOSIT OF ASSETS ON DISSOLUTION OR FINAL
LIQUIDATION.

Section 70512 of title 36, United States Code, is amended
to read as follows:

``Sec. 70512. Deposit of assets on dissolution or final
liquidation

``On dissolution or final liquidation of the corporation,
any assets of the corporation remaining after the discharge
of all liabilities shall be distributed as provided by the
board of directors, but in compliance with the charter and
bylaws.''.

SEC. 9. DETERMINATION OF BUDGETARY EFFECTS.

The budgetary effects of this Act, for the purpose of
complying with the Statutory Pay-As-You-Go Act of 2010, shall
be determined by reference to the latest statement titled
``Budgetary Effects of PAYGO Legislation'' for this Act,
submitted for printing in the Congressional Record by the
Chairman of the House Budget Committee, provided that such
statement has been submitted prior to the vote on passage.

The SPEAKER pro tempore. Pursuant to the rule, the gentlewoman from
Texas (Ms. Jackson Lee) and the gentleman from North Carolina (Mr.
Bishop) each will control 20 minutes.
The Chair recognizes the gentlewoman from Texas.

General Leave

Ms. JACKSON LEE. Mr. Speaker, I ask unanimous consent that all
Members have 5 legislative days to revise and extend their remarks and
include extraneous material on H.R. 2679.
The SPEAKER pro tempore. Is there objection to the request of the
gentlewoman from Texas?
There was no objection.
Ms. JACKSON LEE. Mr. Speaker, I yield myself such time as I may
consume.
Mr. Speaker, H.R. 2679, the Foundation of the Federal Bar Association
Charter Amendments Act of 2021, makes important changes to the Federal
charter for the Foundation of the Federal Bar Association.
This legislation is intended to give the Federal Bar Association the
flexibility it needs to operate well into the future without the need
for further congressional amendment.
Among other things, the legislation makes the following changes to
the association's charter:
It requires the board of directors to decide, and specify in the
bylaws, the location of the principal office.
It specifies that the bylaws, not the charter, must provide for the
terms of membership, the responsibilities of the board of directors,
and the election of officers.
It prohibits a director or officer in his or her corporate capacity
from contributing to, supporting, or participating in political
activities.
It expands a prohibition on loans for directors and officers to
include members and employees.
It specifies that on dissolution or final liquidation of the
corporation, any remaining assets must be distributed as provided by
the board of directors instead of deposited in the Treasury.
I thank Mr. Chabot for introducing this important bipartisan
legislation, along with Mr. Raskin.
Mr. Speaker, I urge my colleagues to support H.R. 2679 and, as well,
support this insight and new look at justice, and I reserve the balance
of my time.
Mr. BISHOP of North Carolina. Mr. Speaker, I yield myself such time
as I may consume.
Mr. Speaker, I rise in support of H.R. 2679, the Foundation of the
Federal Bar Association Charter Amendments Act of 2021.
The Federal Bar Association was founded in 1920 as a nonprofit
organization seeking to strengthen the Federal legal system and
administration of justice. In 1954, Congress chartered the Federal Bar
Association as a congressionally chartered organization under title 36
of the United States Code.

{time} 1700

The FBA serves the Federal legal community and public by promoting
standards of professional competence and ethical conduct, providing
educational programs, and facilitating the administration of justice.
The FBA is also committed to bringing civics education programs to
classrooms across the country. As a congressionally chartered
organization, it takes an act of Congress to make changes to the FBA's
charter. The FBA has not amended or updated its charter since 1954.
H.R. 2679 amends the FBA's current charter to allow the organization
to choose the location of its principal office, restrict its officers
from engaging in political activity, and change its charter language to
conform with language used in other congressional charters. In
addition, this legislation will allow the FBA to make simple changes to
its bylaws without an act of Congress.
I want to thank my colleague, Mr. Chabot from Ohio, for his diligent
work on this legislation. I urge my colleagues to join me in supporting
this bill, and I reserve the balance of my time.
Ms. JACKSON LEE. Mr. Speaker, I am delighted to yield 4 minutes to
the gentleman from Maryland (Mr. Raskin), the distinguished gentleman
who is the cosponsor of this legislation here in the House. We thank
him so much for his leadership.
Mr. RASKIN. Mr. Speaker, I thank the gentlewoman from Texas for her
leadership.
Mr. Speaker, I am proud to serve as the lead Democratic cosponsor of
the bill introduced by my friend from Ohio (Mr. Chabot), the Foundation
of the Federal Bar Association Charter Amendments Act of 2021.
The Federal Bar Association is the primary voluntary bar association
for attorneys, both in the private and public sectors, who practice in
the Federal courts. The bill will permit the foundation to better
fulfill its role as the only institution chartered in America by
Congress to promote the Federal administration of justice, the
advancement of Federal jurisprudence, and the practice of law in the
Federal courts by providing it with the organizational flexibility that
it needs to grow and to adapt to its contemporary mission.
The original charter created a framework that has served FBA well for
the last six decades. During these years, the foundation has, indeed,
strengthened Federal jurisprudence and promoted legal education and
understanding at the Federal level, and it

[[Page H2986]]

has improved the lives of a lot of people.
One community outreach program I know about through a number of my
constituents is the Wills for Veterans initiative, which is a pro bono
project where the FBA chapters provide the drafting of wills and
signing services for veterans in our communities.
Another initiative set up the Dr. J. Clay Smith Jr. Diversity in the
Legal Profession Scholarship program, which aims to promote diversity
in the profession and to promote the inclusion of racially and
ethnically diverse students in law schools and in the work of the
Federal Bar Association.
All of these programs and initiatives broaden and strengthen the
legal community and need to be bolstered in the years ahead. To allow
the FBA greater flexibility to operate and grow as the legal community
changes, the current charter must be amended.
In its current iteration, the existing charter codifies strict
membership and governance requirements that constrain member
development and nimble governance of the organization. This rigidity
presents serious challenges as the organization seeks to expand its
critical educational and charitable work.
H.R. 2679 makes technical fixes to the charter that will give the FBA
the needed flexibility to advance its mission in the 21st century. In
the place of legislatively fixed membership criteria, it permits FBA to
establish and update membership criteria through the bylaws process
itself. Similar provisions authorize enhanced flexibility in the
composition and duties of the members of its board.
In general, the measure would enable the FBA to swiftly meet the
needs and the priorities of the organization and improve the
administration of Federal justice. I urge all colleagues to support the
legislation.
Mr. BISHOP of North Carolina. Mr. Speaker, I urge my colleagues to
support the bill, and I yield back the balance of my time.
Ms. JACKSON LEE. Mr. Speaker, I yield myself the balance of my time.
Again, we have found ourselves striking a chord for justice and
clarification to an important organization that stands for justice, the
Federal Bar Association. I thank the sponsors of this legislation.
Mr. Speaker, this legislation makes a number of important changes to
strengthen the charter of the Foundation of the Federal Bar
Association.
Mr. Speaker, H.R. 2679, the Foundation of the Federal Bar Association
Charter Amendments Act of 2021, makes important changes to the federal
charter for the Foundation of the Federal Bar Association.
This legislation is intended to give the Federal Bar Association the
flexibility it needs to operate well into the future, without the need
for further congressional amendment.
Among other things, the legislation makes the following changes to
the Association's charter:
It requires the board of directors to decide, and specify in the
bylaws, the location of the principal office;
It specifies that the bylaws--not the charter--must provide for the
terms of membership, the responsibilities of the board of directors,
and the election of officers;
It prohibits a director or officer, in his or her corporate capacity,
from contributing to, supporting, or participating in political
activities;
It expands a prohibition on loans for directors and officers to
include members and employees; and
It specifies that on dissolution or final liquidation of the
corporation, any remaining assets must be distributed as provided by
the board of directors instead of deposited in the Treasury.
I thank Mr. Chabot for introducing this important bipartisan
legislation, along with Mr. Raskin.
Mr. Speaker, this legislation makes a number of important changes to
strengthen the charter of the Foundation of the Federal Bar
Association.
I urge all Members to support the bill.
Mr. Speaker, I urge all Members to support the bill, and I yield back
the balance of my time.
The SPEAKER pro tempore. The question is on the motion offered by the
gentlewoman from Texas (Ms. Jackson Lee) that the House suspend the
rules and pass the bill, H.R. 2679, as amended.
The question was taken.
The SPEAKER pro tempore. In the opinion of the Chair, two-thirds
being in the affirmative, the ayes have it.
Mr. GRIFFITH. Mr. Speaker, on that I demand the yeas and nays.
The SPEAKER pro tempore. Pursuant to section 3(s) of House Resolution
8, the yeas and nays are ordered.
Pursuant to clause 8 of rule XX, further proceedings on this motion
are postponed.

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