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Copyright 1999 Newsday, Inc.  
Newsday (New York, NY)

April 8, 1999, Thursday, NASSAU AND SUFFOLK EDITION

SECTION: NEWS; Page A38

LENGTH: 407 words

HEADLINE: LEGAL SERVICES ERRORS INFLATE CASES / GOVT.-FUNDED AGENCY'S COUNT DRAWS GOP IRE

BYLINE: THE ASSOCIATED PRESS 


DATELINE: Washington

BODY:
Washington - The federally funded agency that provides free legal aid for poor Americans overstated the number of cases it handled in 1997 by tens of thousands, drawing the ire of lawmakers who rely on the figures to decide how much money to give the program.

Legal Services Corp., a target of Republican budget cuts, says it has cleared up local bookkeeping errors and as a result expects to report 200,000 fewer cases to Congress for 1998 - a 10 percent drop from the previous year's inflated figure.

House Majority Leader Dick Armey (R-Texas), a longtime critic, called the overcounting "the grossest example of Washington bureaucrats abusing hard-earned taxpayer money." Legal Services President John McKay acknowledges that the 1997 count was "slightly off" but says it wasn't intentionally misleading. "It's not significant in terms of overall cases and services we are providing," said McKay, a Republican elected by the bipartisan board two years ago. "If anything, we're underreporting the services we provide."

Legal Services reported serving 1.93 million clients in 1997, but a review of just five of the agency's 269 regional programs found officials had overstated their caseload by at least 90,000. As a result of improved counting methods, the agency expects to report 1.73 million cases for 1998.

Reports by Legal Services inspector general, the agency's internal watchdog, and other documents obtained by The Associated Press provide a more detailed picture.

Documents showed problems in at least five regional programs. They included telephone calls from people who did not get legal help or were ineligible for assistance that were reported as new cases, cases that were double-counted and counting of outdated cases.

For example, the Legal Aid Society of San Diego misreported more than 14,000 telephone calls as cases, an audit found. San Diego executive director Gregory Knoll said, however, that "every caller has their problem assessed" even if they don't receive legal advice.

Legal Services, a nonprofit corporation, gives federal grants to local agencies that provide legal assistance to low-income Americans in civil cases such as tenant problems or court protection from domestic violence. Congressional Republicans slashed the program's money by 30 percent in 1996. Legal Services gave $ 283 million to local programs last year, and its funding was increased to $ 300 million in 1999.

LOAD-DATE: April 9, 1999




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