[Federal Register Volume 62, Number 58 (Wednesday, March 26, 1997)]
[Proposed Rules]
[Pages 14382-14384]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-7662]
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LEGAL SERVICES CORPORATION
45 CFR Part 1639
Welfare Reform
AGENCY: Legal Services Corporation.
ACTION: Proposed rule.
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SUMMARY: Part 1639 was published on August 29, 1996, as an interim rule
with a request for comments. The interim rule was intended to implement
a provision in the Legal Services Corporation's (``Corporation'' or
``LSC'') FY 1996 appropriations act which restricts recipients from
initiating legal representation or challenging or in any way
participating in an effort to reform a Federal or State welfare system.
Although this restriction has been retained under the Corporation's FY
1997 appropriations act, recently enacted Federal legislation has
changed the status of the Federal welfare system. In light of this
change in law, the Corporation requests comments on a proposed revised
version of the interim rule. The interim rule remains effective,
however, until a final version has been adopted and published by the
Corporation.
DATES: Comments must be submitted on or before April 25, 1997.
ADDRESSES: Comments should be submitted to the Office of the General
Counsel, Legal Services Corporation, 750 First Street NE., 11th Floor,
Washington, DC 20002-4250.
FOR FURTHER INFORMATION CONTACT: Victor M. Fortuno, General Counsel
(202) 336-8910.
SUPPLEMENTARY INFORMATION: The Board of Directors (``Board'') of the
Legal Services Corporation adopted an interim rule on July 20, 1996,
for publication in the Federal Register with a request for comments.
The interim rule was published and became effective on August 29, 1996.
See 61 FR 45757. The interim rule implements Sec. 504(a)(16) of the
Corporation's FY 1996 appropriations act, Pub. L. 104-134, 110 Stat.
1321 (1996), which restricts recipients of LSC funds from initiating
legal representation or participating in efforts to reform a Federal or
State welfare system.
Subsequent to the adoption of the interim rule by the Board,
Congress enacted and the President signed the Personal Responsibility
and Work Opportunity Reconciliation Act of 1996, 110 Stat. 2105 (1996)
( ``Personal Responsibility Act''). The Board's Operations and
Regulations Committee (``Committee'') held public hearings on the
interim rule on December 13, 1996, and March 7, 1997. At the March
meeting, the Committee adopted proposed revisions to the definitions in
the interim rule to incorporate most provisions of the Personal
Responsibility Act and requested that the proposed revisions be
published for public comment. For comparison purposes, the interim rule
can be found at 61 FR 45757 (Aug. 29, 1996).
The version of the rule in this publication has no force of law and
is submitted only as a proposed revised version of the interim rule
which, if published as final, would replace the
[[Page 14383]]
interim rule. The interim version of the rule remains controlling law
until replaced by a final rule adopted and published by the
Corporation.
A discussion of the proposed revisions to the interim rule is
provided below.
Section 1639.2 Definitions
The interim rule defined Federal or State welfare system to include
Federal and State AFDC programs under Title IV-A of the Social Security
Act, 42 U.S.C. 601 et seq. and provisions enacted by Congress or a
State to replace or modify these programs, such as Title I of the
Personal Responsibility Act. The proposed revision continues this
definition and specifically incorporates Title I of the Personal
Responsibility Act, which replaced the AFDC program with the Temporary
Assistance for Needy Family (``TANF'') Block Grant. Also included in
the definition would be any components or requirements from other
public benefit or human services programs that are part of the AFDC
program, such as requirements of establishment of paternity and
cooperation with child support enforcement. In addition, it would also
include State changes in the AFDC program and State efforts to
implement TANF, as well as State efforts to eliminate AFDC and replace
it with a new program (for example, the Wisconsin Works program).
Federal or State welfare system would also include any State AFDC
programs or their replacements which are continued under TANF and are
being conducted under waivers granted by the Department of Health and
Human Services, pursuant to Sec. 1115 of the Social Security Act or
other enacted legislation.
Written comments supported the definition in the interim rule.
However, the Committee seeks comments on the revised definition, which
incorporates all other provisions of the Personal Responsibility Act,
except for the Child Support provisions in Title III, and is proposed
to respond to stated congressional concerns. Upon consideration of the
legislative history of the Corporation's FY 1996 appropriations act and
the entire welfare reform debate, including the debate over the Gramm
Amendment to the Senate Welfare Reform bill, the Committee proposes
this new definition as more accurately implementing the intent of
Congress.
The proposed revised definition does not include the changes in the
Child Support Enforcement Program provisions in Title III of the
Personal Responsibility Act, because there are significant differences
between these provisions and the other provisions in the Personal
Responsibility Act. Congress intended to restrict participation in
efforts to reform welfare systems, and the child support program is not
a welfare program. The child support program is basically a law
enforcement program conducted by the courts and administrative agencies
which has two main activities: (1) Establishing paternity and support
obligations, and (2) enforcing support orders. No public benefits are
paid to families participating in the IV-D system. The only money that
is paid to families is private support payments collected from
noncustodial parents. In addition, more than half of the families
participating in the IV-D system are non-welfare, working families, and
75% of child support collections made by the IV-D system go to non-
welfare families. Finally, although the statutory provision refers to
seeking relief from a welfare agency, in some states the child support
program is run by the state attorney general's office or state revenue
department, not by a welfare agency.
Before adopting a final rule, the Corporation specifically seeks
comments on whether all of the provisions of the Personal
Responsibility Act should be included within the definition of Federal
or State welfare system and on the practical effect that including
other provisions of the Personal Responsibility Act will have on the
representation of eligible clients. Comments are solicited also on the
proposal to exclude the Child Support provisions.
The revised definition continues to include State General
Assistance, General Relief, Direct Relief, Home Relief or similar state
means-tested programs for basic subsistence which operate with State
funding or under State mandate, and new programs enacted by States to
replace or modify these programs.
Federal or State welfare system does not include provisions in
Federal programs which were not amended by the Personal Responsibility
Act. Such programs as the Job Training Partnership Act, Medicaid,
Medicare, Unemployment Insurance, Veterans Benefits, and Social
Security would not be included within the definition of Federal or
State welfare system under the proposed changes, since they were not
amended by the Personal Responsibility Act.
This proposed version makes no changes to the definition of Reform
of a Federal or State welfare system.
The term existing law was defined in the interim rule to include
only Federal, State or local statutory laws or ordinances. Written
comments on the interim rule generally supported this definition,
although several pointed out that the definition did not make clear
that laws or ordinances included within the definition were limited to
those enacted to reform a Federal or State welfare system. The interim
rule's definition also did not include regulations having the force and
effect of law. This revised version provides that existing law includes
regulations having the force and effect of law as well as laws and
ordinances. It also clarifies that an existing law is one enacted to
reform a Federal or State welfare system. The Corporation will consider
comments on whether regulations should be included within the
definition of existing law and the effect which the inclusion of
regulations will have on the representation of eligible clients.
List of Subjects in 45 CFR Part 1639
Grant programs; Legal services; Welfare reform.
For reasons set forth in the preamble, LSC proposes to revise 45
CFR part 1639 to read as follows:
PART 1639--WELFARE REFORM
Sec.
1639.1 Purpose.
1639.2 Definitions.
1639.3 Prohibition.
1639.4 Permissible representation of eligible clients.
1639.5 Exceptions for public rulemaking and responding to requests
with non-LSC funds.
1639.6 Recipient policies and procedures.
Authority: 42 U.S.C. 2996g(e); Pub. L. 104-208, 110 Stat. 3009;
Pub. L. 104-134, 110 Stat. 1321.
Sec. 1639.1 Purpose.
The purpose of this rule is to ensure that LSC recipients do not
initiate litigation, challenge or participate in efforts to reform a
Federal or State welfare system. The rule also clarifies when
recipients may engage in representation on behalf of an individual
client seeking specific relief from a welfare agency and under what
circumstances recipients may use funds from sources other than the
Corporation to comment on public rulemaking or respond to requests from
legislative or administrative officials involving a reform of a Federal
or State welfare system.
Sec. 1639.2 Definitions.
(a)(1) Federal or State welfare system as used in this part means:
(i) the Federal and State AFDC program under Title IV-A of the
Social
[[Page 14384]]
Security Act as amended by the Personal Responsibility Work Opportunity
Reconciliation Act of 1996, 110 Stat. 2105 (1996), and new programs or
provisions enacted by Congress or the States to replace or modify these
programs, including State AFDC programs conducted under Federal waiver
authority;
(ii) all other provisions of the Personal Responsibility Work
Opportunity Reconciliation Act of 1996, 110 Stat. 2105 (1996), except
for the Child Support provisions of Title III; and
(iii) General Assistance or similar State means-tested programs
conducted by States or by counties with State funding or under State
mandates, and new programs or provisions enacted by States to replace
or modify these programs;
(2) Federal or State welfare system does not include other public
benefit programs, unless changes to such programs are part of a reform
of the AFDC or General Assistance programs.
(b) Reform of a Federal or State welfare system as used in this
part means a legislative or administrative effort to change key
components of the Federal or State welfare system, including laws and
regulations that implement the changes.
(c) Existing law as used in this part means Federal, State or local
statutory laws, ordinances or regulations having the force and effect
of law, which are enacted to reform a Federal or State welfare system.
Sec. 1639.3 Prohibition.
Except as provided in Secs. 1639.4 and 1639.5, recipients may not
initiate legal representation, or participate in any other way in
litigation, lobbying or rulemaking involving efforts to reform a
Federal or State welfare system. Prohibited activities include
participation in:
(a) Litigation challenging laws or regulations enacted as part of a
reform of a Federal or State welfare system.
(b) Rulemaking involving proposals that are being considered to
implement a reform of a Federal or State welfare system.
(c) Lobbying or other advocacy before legislative or administrative
bodies undertaken directly or through grassroots efforts involving
pending or proposed legislation that is part of a reform of a Federal
or State welfare system.
(d) Litigation or other advocacy undertaken with regard to the
granting or denying of State requests for Federal waivers of Federal
requirements for AFDC.
Sec. 1639.4 Permissible representation of eligible clients.
Recipients may represent an individual eligible client who is
seeking specific relief from a welfare agency, if such relief does not
involve an effort to amend or otherwise challenge existing law in
effect on the date of the initiation of the representation.
Sec. 1639.5 Exceptions for public rulemaking and responding to
requests with non-LSC funds.
Consistent with the provisions of 45 CFR 1612.6 (a)-(e), recipients
may use non-LSC funds to comment in a public rulemaking proceeding or
respond to a written request for information or testimony from a
Federal, State or local agency, legislative body, or committee, or a
member thereof, regarding an effort to reform a Federal or State
welfare system.
Sec. 1639.6 Recipient policies and procedures.
Each recipient shall adopt written policies and procedures to guide
its staff in complying with this part.
Dated: March 21, 1997.
Victor M. Fortuno,
General Counsel.
[FR Doc. 97-7662 Filed 3-25-97; 8:45 am]
BILLING CODE 7050-01-P
