Bill Text: NY S02643 | 2013-2014 | General Assembly | Amended


Bill Title: Establishes the "public interest legal services loan assistance fund" of the state of New York (to consist of a portion of bar examination fees and other funds appropriated by the legislature therefor and such other monies as may be credited or otherwise transferred from any other fund or source pursuant to law, including voluntary contributions); provides for administration of such fund to assist public service attorneys practicing public interest law in repaying their student loans; defines certain terms and adds other related provisions.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2014-01-08 - REFERRED TO FINANCE [S02643 Detail]

Download: New_York-2013-S02643-Amended.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                        2643--A
                              2013-2014 Regular Sessions
                                   I N  S E N A T E
                                   January 23, 2013
                                      ___________
       Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
         printed to be committed to  the  Committee  on  Finance  --  committee
         discharged, bill amended, ordered reprinted as amended and recommitted
         to said committee
       AN ACT to amend the state finance law and the judiciary law, in relation
         to  establishing  a fund to assist public service attorneys practicing
         public service law to repay their student loans
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.  This  act  shall be known and may be cited as the "public
    2  interest legal services loan assistance act."
    3    S 2. Declaration of policy and  legislative  intent.  The  legislature
    4  reaffirms  that  the  efficient  and effective provision of high-quality
    5  legal services on behalf of the state, its  political  subdivisions  and
    6  the populations therein depends on competent, dedicated attorneys making
    7  a  long-term  commitment to public-service work, whether as prosecutors,
    8  public defenders  or  other  indigent  defense  attorneys,  civil  legal
    9  services  attorneys,  or the equivalent. The legislature finds, however,
   10  that because these attorneys  often  carry  significant  and  increasing
   11  student  loan  debt  burdens  and have grave difficulty in repaying such
   12  debts on the relatively low salaries paid by most public interest  posi-
   13  tions, many of these attorneys are being forced to leave public service.
   14  The loss of so many capable public interest attorneys, often at the very
   15  time they have achieved sufficient training and experience to handle the
   16  most  complex  matters  of  public concern, has had an adverse impact on
   17  government generally and reduced the capacity of the criminal and  civil
   18  justice systems to provide  the consistently high-quality legal services
   19  the  people  of  New  York state deserve. The legislature finds that the
   20  difficulty of attracting  and  retaining  well-trained  public  interest
   21  lawyers due to student loan debt frustrates the achievement of important
   22  constitutional  and  statutory  policy objectives, increases the cost of
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD07096-04-3
       S. 2643--A                          2
    1  state and local government, and  diminishes  public  confidence  in  the
    2  criminal and civil justice systems. The legislature therefore recognizes
    3  the value of retaining these seasoned public servants in public interest
    4  positions  and finds that it is in the public interest to provide finan-
    5  cial assistance to help  these  attorneys  repay  their  student  loans.
    6  Accordingly,  the  legislature  hereby  establishes  the public interest
    7  legal services loan assistance fund.
    8    S 3. The state finance law is amended by adding a new section 99-v  to
    9  read as follows:
   10    S  99-V. PUBLIC INTEREST LEGAL SERVICES LOAN ASSISTANCE FUND. 1. THERE
   11  IS HEREBY ESTABLISHED IN THE JOINT CUSTODY OF THE STATE COMPTROLLER  AND
   12  THE  CHIEF ADMINISTRATOR OF THE COURTS A SPECIAL FUND TO BE KNOWN AS THE
   13  "PUBLIC INTEREST LEGAL SERVICES LOAN ASSISTANCE FUND" OF  THE  STATE  OF
   14  NEW YORK.
   15    2.    THE  PUBLIC  INTEREST  LEGAL SERVICES LOAN ASSISTANCE FUND SHALL
   16  CONSIST OF THE MONIES DEPOSITED THEREIN PURSUANT TO SUBDIVISION  ONE  OF
   17  SECTION  FOUR  HUNDRED  SIXTY-FIVE  OF THE JUDICIARY LAW, AND ALL MONIES
   18  DEPOSITED THEREIN OR TRANSFERRED THERETO FROM ANY OTHER FUND  OR  SOURCE
   19  PURSUANT  TO  LAW,  INCLUDING VOLUNTARY CONTRIBUTIONS, TOGETHER WITH ANY
   20  INTEREST ACCRUED THEREON.
   21    3. ALL MONIES IN THE PUBLIC INTEREST LEGAL  SERVICES  LOAN  ASSISTANCE
   22  FUND  SHALL  BE AVAILABLE, SUBJECT TO APPROPRIATIONS, FOR THE PAYMENT OF
   23  SERVICES AND EXPENSES AS PROVIDED  FOR  IN  THE  PUBLIC  INTEREST  LEGAL
   24  SERVICES  LOAN ASSISTANCE PROGRAM AUTHORIZED BY ARTICLE FIFTEEN-A OF THE
   25  JUDICIARY LAW, INCLUDING THE COSTS TO THE UNIFIED COURT SYSTEM  INCURRED
   26  IN THE ADMINISTRATION OF SUCH PROGRAM.
   27    4.  ALL PAYMENTS OF MONEY FROM THE PUBLIC INTEREST LEGAL SERVICES LOAN
   28  ASSISTANCE FUND SHALL BE MADE ON THE AUDIT  AND  WARRANT  OF  THE  COMP-
   29  TROLLER  ON VOUCHERS CERTIFIED OR APPROVED BY THE CHIEF ADMINISTRATOR OF
   30  THE COURTS.
   31    S 4. Subdivision 1 of section 465 of the judiciary law, as amended  by
   32  section  6  of  part  K of chapter 56 of the laws of 2010, is amended to
   33  read as follows:
   34    1. Every person applying for examination for admission to practice  as
   35  an  attorney  and counselor at law shall pay a fee of [two] FOUR hundred
   36  [fifty] dollars, or seven hundred fifty dollars if, to qualify  to  take
   37  the  bar  examination, the person must satisfy the rules of the court of
   38  appeals for the admission of attorneys and counselors at  law  governing
   39  the  study  of  law in a foreign country, for each taking or retaking of
   40  the examination, or if dispensation has been received from the taking of
   41  the examination, [four] FIVE hundred dollars for credential  review  for
   42  admission on motion. All such fees shall be paid into the state treasury
   43  in  the  manner  provided by section one hundred twenty-one of the state
   44  finance law, PROVIDED THAT ONE HUNDRED FIFTY DOLLARS OF EACH FEE FOR THE
   45  TAKING OR RETAKING OF THE EXAMINATION AND ONE HUNDRED  DOLLARS  OF  EACH
   46  FEE  FOR CREDENTIAL REVIEW FOR ADMISSION ON MOTION SHALL BE DEPOSITED IN
   47  THE PUBLIC INTEREST LEGAL  SERVICES  LOAN  ASSISTANCE  FUND  ESTABLISHED
   48  PURSUANT TO SECTION NINETY-NINE-V OF THE STATE FINANCE LAW.
   49    S 5. The judiciary law is amended by adding a new article 15-A to read
   50  as follows:
   51                                ARTICLE 15-A
   52           PUBLIC INTEREST LEGAL SERVICES LOAN ASSISTANCE PROGRAM
   53  SECTION 499-A. DEFINITIONS.
   54          499-B. PROGRAM ADMINISTRATION.
   55          499-C. PUBLIC INTEREST LEGAL SERVICES LOAN ASSISTANCE.
   56    S 499-A. DEFINITIONS. AS USED IN THIS ARTICLE:
       S. 2643--A                          3
    1    1.  "ELIGIBLE  ATTORNEY" MEANS AN ATTORNEY ADMITTED TO PRACTICE LAW IN
    2  NEW YORK STATE WHO DURING THE STATE FISCAL YEAR FOR WHICH SUCH  ATTORNEY
    3  SEEKS  REIMBURSEMENT  FOR  THE  PAYMENT  OF  A  STUDENT LOAN EXPENSE WAS
    4  EMPLOYED EITHER AS A PROSECUTOR, AN  INDIGENT  DEFENSE  ATTORNEY,  OR  A
    5  CIVIL LEGAL SERVICES ATTORNEY; AND WHO HAS BOTH HELD A DEGREE FROM A LAW
    6  SCHOOL FOR NOT MORE THAN ELEVEN YEARS AND WAS WITHIN THE ELIGIBLE PERIOD
    7  DURING THE TIME FOR WHICH SUCH PERSON IS SEEKING SUCH REIMBURSEMENT.
    8    2.  "PROSECUTOR"  MEANS  A  FULL-TIME DISTRICT ATTORNEY, AS DEFINED IN
    9  SUBDIVISION THIRTY-ONE OF SECTION 1.20 OF THE CRIMINAL PROCEDURE LAW.
   10    3. "INDIGENT DEFENSE ATTORNEY" MEANS AN ATTORNEY WHO  IS  A  FULL-TIME
   11  EMPLOYEE  OF  ANY OF THE AGENCIES DESIGNATED BY SUBDIVISIONS ONE AND TWO
   12  OF SECTION SEVEN HUNDRED TWENTY-TWO  OF  THE  COUNTY  LAW,  AND  WHO  IS
   13  ENGAGED  FULL-TIME  IN THE PRACTICE OF CRIMINAL LAW ON BEHALF OF PERSONS
   14  CHARGED WITH A CRIME WHO ARE FINANCIALLY UNABLE TO OBTAIN COUNSEL.
   15    4. "CIVIL LEGAL SERVICES ATTORNEY" MEANS AN ATTORNEY WHO IS AN EMPLOY-
   16  EE OF:
   17    (A) THE STATE OR ANY  POLITICAL  SUBDIVISION  THEREOF,  INCLUDING  ALL
   18  PUBLIC INSTRUMENTALITIES THEREUNDER, AND WHO IS ENGAGED IN THE FULL-TIME
   19  PRACTICE  OF  LAW  ON  BEHALF  OF THE STATE OR ANY POLITICAL SUBDIVISION
   20  THEREOF; OR
   21    (B) A NOT-FOR-PROFIT CORPORATION OF THIS STATE THAT IS (I) EXEMPT FROM
   22  THE PAYMENT OF FEDERAL INCOME TAXES PURSUANT TO SECTION 501(C)(3) OF THE
   23  INTERNAL REVENUE CODE, AND (II) ESTABLISHED FOR THE PURPOSE OF PROVIDING
   24  LEGAL SERVICES THAT INCLUDE CIVIL LEGAL SERVICES TO PERSONS  WITHIN  NEW
   25  YORK STATE WHOSE ANNUAL INCOME DOES NOT EXCEED ONE HUNDRED FIFTY PERCENT
   26  OF THE PREVAILING POVERTY GUIDELINES ISSUED BY THE UNITED STATES DEPART-
   27  MENT  OF  HEALTH  AND HUMAN SERVICES OR ANY SUCCESSOR AGENCY; AND WHO IS
   28  ENGAGED IN THE FULL-TIME PRACTICE OF LAW ON BEHALF OF SUCH PERSONS.
   29    5. "ELIGIBLE PERIOD" MEANS THE SIX-YEAR PERIOD BETWEEN THE  COMPLETION
   30  OF  THE  THIRD  YEAR  AND  BEFORE  THE COMMENCEMENT OF THE TENTH YEAR OF
   31  EMPLOYMENT AS A  PROSECUTOR  AS  DEFINED  IN  SUBDIVISION  TWO  OF  THIS
   32  SECTION, OR INDIGENT DEFENSE ATTORNEY AS DEFINED IN SUBDIVISION THREE OF
   33  THIS SECTION, OR CIVIL LEGAL SERVICES ATTORNEY AS DEFINED IN SUBDIVISION
   34  FOUR  OF THIS SECTION. FOR PURPOSES OF THIS ARTICLE, ALL PERIODS OF TIME
   35  DURING WHICH AN ADMITTED ATTORNEY WAS EMPLOYED AS A PROSECUTOR, INDIGENT
   36  DEFENSE ATTORNEY OR CIVIL LEGAL SERVICES ATTORNEY SHALL BE COMBINED.
   37    6. "STUDENT LOAN EXPENSE" MEANS THE TOTAL PAYMENTS IN SATISFACTION  OF
   38  THE CUMULATIVE TOTAL OF THE ELIGIBLE ATTORNEY'S OUTSTANDING STUDENT LOAN
   39  DEBT COVERING THE TUITION AND OTHER COSTS OF ATTENDANCE AT A LAW SCHOOL,
   40  INCLUDING  INTEREST, REQUIRED TO BE MADE BY THE ELIGIBLE ATTORNEY DURING
   41  A STATE FISCAL YEAR. FOR PURPOSES OF THIS ARTICLE,  THE  AMOUNT  OF  THE
   42  STUDENT LOAN EXPENSE SHALL BE REDUCED BY THE TOTAL OF ALL GRANTS, SCHOL-
   43  ARSHIPS,  REIMBURSEMENTS,  LOAN FORGIVENESS OR SIMILAR REDUCTIONS TO THE
   44  ATTORNEY'S INDEBTEDNESS THAT THE ATTORNEY HAS RECEIVED OR SHALL  RECEIVE
   45  IN OR FOR SUCH YEAR.
   46    S 499-B. PROGRAM ADMINISTRATION. THE CHIEF ADMINISTRATOR OF THE COURTS
   47  SHALL  ADMINISTER  THE  PUBLIC  INTEREST  LEGAL SERVICES LOAN ASSISTANCE
   48  PROGRAM AND SHALL PROMULGATE RULES AND REGULATIONS CONSISTENT WITH  THIS
   49  ARTICLE TO GOVERN THE ADMINISTRATION OF SUCH PROGRAM. THE CHIEF ADMINIS-
   50  TRATOR  SHALL CREATE AN APPLICATION PROCESS TO DETERMINE ELIGIBILITY FOR
   51  APPLICANTS TO RECEIVE STUDENT LOAN EXPENSE GRANTS PURSUANT TO THIS ARTI-
   52  CLE.
   53    S 499-C. PUBLIC INTEREST LEGAL SERVICES LOAN  ASSISTANCE.  1.  (A)  AN
   54  ELIGIBLE  ATTORNEY MAY APPLY, CONSISTENT WITH THIS ARTICLE AND THE RULES
   55  AND  REGULATIONS  PROMULGATED  BY  THE  CHIEF  ADMINISTRATOR,  FOR   THE
   56  REIMBURSEMENT  OF  STUDENT  LOAN  EXPENSE  PAYMENTS MADE BY THE ELIGIBLE
       S. 2643--A                          4
    1  ATTORNEY DURING A STATE FISCAL YEAR THAT  FALLS  COMPLETELY  WITHIN  THE
    2  ELIGIBLE  PERIOD  FOR  SUCH ATTORNEY. SUCH APPLICATION SHALL BE FILED AT
    3  SUCH TIME AS THE CHIEF ADMINISTRATOR MAY REQUIRE.
    4    (B)  AN  ELIGIBLE ATTORNEY, TO RECEIVE REIMBURSEMENT OF A STUDENT LOAN
    5  EXPENSE UNDER THIS ARTICLE, MAY APPLY FOR SUCH  REIMBURSEMENT  UPON  THE
    6  COMPLETION  OF  THE  FIRST  YEAR  OF HIS OR HER ELIGIBLE PERIOD, AND MAY
    7  APPLY FOR SUCH REIMBURSEMENT ANNUALLY THEREAFTER UPON THE COMPLETION  OF
    8  THE SECOND THROUGH SIXTH YEARS OF SUCH ELIGIBLE PERIOD; PROVIDED, HOWEV-
    9  ER, THAT EACH SUCH APPLICATION SHALL BE ONLY FOR HIS OR HER STUDENT LOAN
   10  EXPENSE PAYMENTS DURING THE PREVIOUS STATE FISCAL YEAR.
   11    2.  DURING  EACH STATE FISCAL YEAR COMMENCING ON OR AFTER APRIL FIRST,
   12  TWO THOUSAND THIRTEEN, THE STATE SHALL APPORTION AND PAY TO EACH  ELIGI-
   13  BLE  ATTORNEY,  PURSUANT TO THIS ARTICLE AND SUBJECT TO THE AVAILABILITY
   14  OF APPROPRIATIONS THEREFOR, AN AMOUNT EQUAL TO THE LESSER OF THE STUDENT
   15  LOAN EXPENSE OF SUCH ELIGIBLE ATTORNEY  OR  SIX  THOUSAND  DOLLARS.  THE
   16  STATE  ASSISTANCE  APPORTIONED UNDER THIS SECTION SHALL BE DETERMINED BY
   17  THE CHIEF ADMINISTRATOR AND  PAID  OUT  OF  THE  PUBLIC  INTEREST  LEGAL
   18  SERVICES LOAN ASSISTANCE FUND. IN THE EVENT THAT THE MONIES APPROPRIATED
   19  FROM SUCH FUND DURING A STATE FISCAL YEAR FOR PURPOSES OF MAKING ASSIST-
   20  ANCE  PAYMENTS  ARE  NOT SUFFICIENT TO PAY FULLY THE AMOUNTS APPORTIONED
   21  DURING SUCH FISCAL YEAR TO ALL ELIGIBLE ATTORNEYS ENTITLED THERETO, EACH
   22  ELIGIBLE ATTORNEY SHALL BE ENTITLED TO RECEIVE ONLY AN AMOUNT REPRESENT-
   23  ING THE SAME PROPORTION TO THE TOTAL MONIES APPROPRIATED, LESS NECESSARY
   24  ADMINISTRATIVE COSTS, AS THE AMOUNT APPORTIONED TO HIM OR HER  BEARS  TO
   25  THE  TOTAL  AMOUNT APPORTIONED TO ALL ELIGIBLE ATTORNEYS FOR SUCH FISCAL
   26  YEAR.
   27    S 6. Subdivision 1 of section 212 of the judiciary law is  amended  by
   28  adding a new paragraph (w) to read as follows:
   29    (W)  ADMINISTER  THE  PUBLIC  INTEREST  LEGAL SERVICES LOAN ASSISTANCE
   30  PROGRAM PURSUANT TO ARTICLE FIFTEEN-A OF THIS CHAPTER.
   31    S 7. This act shall take effect September 1, 2014; provided,  however,
   32  that  the chief administrator of the courts is immediately authorized to
   33  promulgate  any  rules  and  regulations  necessary  to  implement   the
   34  provisions of this act.
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