OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http://www.cga.ct.gov/ofa

sSB-428

AN ACT CONCERNING FUNDING OF LEGAL SERVICES FOR THE POOR.

As Amended by Senate "A" (LCO 3866)

Senate Calendar No.: 357

OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 17 $

FY 18 $

Judicial Dept.

SF - Potential Revenue Loss

Up to 2.4 million

Up to 2.4 million

Judicial Dept.; IOLTA Program

SF - Revenue Gain

1.2 million

1.2 million

Note: SF=Special Fund (Non-appropriated)

Municipal Impact: None

Explanation

The bill increases specified court filing fees, resulting in revenue gain of approximately $1.2 million annually. The bill specifies that this additional revenue be used for legal services for the poor.

The bill results in a minimal revenue loss to the Client Security Fee Fund by reducing the fee paid by attorneys who currently make more than $450 but less than $1,000 annually through legal work to $37.50.

Under current law, attorneys who are engaged in the practice of law pay $75 annually. Attorneys who are not engaged in the practice of law as an occupation and make less than $450 annually pay $37.50.

The bill also expands the use of the Client Security Fund, allowing any fees collected after October 1, 2016 to be used for grants for legal services for the poor. The fund receives approximately $2.4 million from fees each year. The bill does not specify the amount that can be provided from these resources, therefore the impact to the fund could be up to $2.4 million per year.

Senate “A” reduces the Client Security Fee paid by specified attorneys and results in a minimal revenue loss to the Client Security Fee Fund.

The Out Years

The annualized ongoing fiscal impact identified above would continue into the future subject to inflation.

The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.