Legal Services of New Jersey President Melville D. Miller Jr. urged the Legislature to consider restoring funding of Legal Services to its FY2010 status. The budget retains a $16.1 million line item for the organization.
Miller cites two main reasons for the reduction in funding:
- Over the decade, funding from the Interest on Lawyers Trust Accounts (IOLTA) funding mechanism plummeted from $40 million to an annual low of $5.5 million, due to the recession, record-low interest rates, and longer-than-normal recovery.
- State appropriations fell from $30 million to $15 million over the past eight years, although the 2014 filing fee legislation currently annually restores some $9.4 million of the lost $15 million.
Over the last decade, Miller estimates at least 60,900 cases and over 180,000 individuals were turned away for legal services.
“The first step, consistent with our new governor’s budget message theme of restoring recent cuts in state funding programs and increasing fairness in New Jersey, is to restore the $5.6 million currently stripped from Legal Services’ appropriation annually,” said Miller.
Over the next five years, Miller pledges to work collaboratively with the governor and the Legislature to increase funding through other sources.
The association worked with Legal Services last year when it faced a critical reduction in both state and federal funding. This year, past president Thomas H. Prol will meet with representatives to ensure that funding sources remain in place.
This is a status report provided by the New Jersey State Bar Association on recently passed and pending legislation, regulations, gubernatorial nominations and/or appointments of interest to lawyers, as well as the involvement of the NJSBA as amicus in appellate court matters. To learn more, visit njsba.com.