ACCESS TO LEGAL SERVICES
Increase Funding for the Legal Services Corporation
The Preamble to the U.S. Constitution states that the first enumerated function of government is to “establish justice,” but equal justice under law cannot be fulfilled without full access to our justice system. Unfortunately, millions of low-income Americans cannot afford the legal assistance they need to access the justice system and resolve their basic civil legal problems. To address this problem, the ABA will continue to urge Congress to support robust funding for the Legal Services Corporation (LSC).
LSC is the nation’s largest provider of funding for civil legal aid for low-income Americans. LSC grantees serve over 1.8 million people from every congressional district throughout the United States and directly benefits veterans, individuals in rural communities, aging Americans, disaster victims, victims of the opioid epidemic, women (who are over 71% of clients), and many others.
Unfortunately, LSC has been under-resourced for decades. The COVID-19 pandemic and multiple devastating natural disasters have made the funding deficit even more acute due to significantly increased demand for legal aid nationwide. Most recently, LSC received $560 million for FY 2024. Unlike several other federal programs whose funding was reduced due to fiscal restraints, Congress understood the value of LSC, making it one of the programs that could maintain the same funding level as the previous fiscal year. This year, we will urge newly elected lawmakers to join that support and urge the new Administration to include in its annual budget request the robust funding that LSC requires to carry out its mission and serve the civil legal needs of low-income Americans.
Preserve Public Service Loan Forgiveness
Many problems the American people face can only be addressed through the concerted action of the private sector, the non-profit sector, and government. The private sector will always play the largest role in economic development, but non-profits and government – the public sector – play a vital role in solving the public’s problems. To deliver this assistance, the public sector requires many highly skilled professionals, such as lawyers, doctors, nurses, teachers, social workers, and others. These professionals must be licensed by the state in which they work, and in most cases, the minimum requirements for licensure include an expensive advanced degree. Over time, these positions became more difficult to consistently fill and keep filled due to their comparatively lower pay versus the private sector, particularly in rural or other underserved communities.
While new graduates can choose where they work after graduation, communities do not have discretion in whether they provide critically needed public services, particularly for positions like prosecutors, public defenders, and legal aid lawyers. But new lawyers who graduate with an average of $145,500 in student loan debt might just make $55,000 or less in these positions.
The Public Service Loan Forgiveness program was enacted to help bridge this financial gap to enable new graduates to consider careers in public service by discharging any remaining balance on their qualifying federal student loans if they first serve a minimum of 10 years in qualifying jobs while making timely, reduced payments on their loans. To date, the PSLF program has discharged $78 billion in student loan debt for more than one million borrowers who satisfied the program’s strict requirements. The gap between the high cost of acquiring a professional licensure and considerably lower pay in public sector positions has only worsened over time, making preservation of the PSLF a critical priority.
The ABA was a leading organization in getting PSLF enacted. Since then, leaders in both Republican and Democratic Administrations, and influential conservatives in Congress, have proposed ending PSLF at least for graduate students because of the cost. So far, the ABA has successfully worked with other higher education allies to oppose any efforts to reduce or end the program. The 118th Congress marked the first time since its enactment that there were no proposals to end the program by the Administration or Congress. Unfortunately, legislation was announced but not introduced that would exclude lawyers from the program. We anticipate seeing that bill in the 119th Congress, especially since President-elect Trump proposed eliminating PSLF in his first term. Consequently, we recommend prioritizing the preservation and strengthening of PSLF to ensure access to public sector legal services in the 119th Congress.