Meeting Minutes - LANC Board of Directors
March 15, 2006

Site/Location: Sheraton Imperial Hotel & Convention Center
      Durham, NC

Call to Order and Welcome

Chairman Cal Adams called the public regular business meeting to order at 2:45 p.m. and welcomed all in attendance.

Members Present:

Reid C. Adams

Nellie Kearney

Frank Queen

Leo L. Allison

Scott Lewis

Rhonda Shepherd

Glenn Barfield

James Maxwell

CR Ward

Sarah Davis

Pender McElroy

Willis Williams

Hada V. Haulsee

Pearl Nealey

Members Absent With Prior Notification:

Leto Copeley

Mary Flowers

D. Clark Smith, Jr.

Burton Craige

L. Lynnette Fuller-Andrews

Saketta Spivey

David Daggett

Olga Gomez

John Vernon, III

Willie Dawson

Ray Owens

Richard Fay

Robert Riddle

Administrative Office Staff:
George R. Hausen, Jr., LANC Executive Director
Dock Kornegay, Director, Public Relations & Communications
Chris Marks, Assistant Director of Finance & Administration
Celia Pistolis, Assistant Director of Advocacy and Compliance
Tonya Pruitt-Lyons, Administrative Assistant
Paula Spence, Office Manager

LANC Staff Members:
Josune Drummond, Staff Attorney, LANC Centralized Intake Unit
Ted Fillette, Assistant Director/Senior Managing Attorney, LANC Charlotte
Patricia Harris, Administrative Assistant, LANC Centralized Intake Unit
Richard Klein, Regional Manager/Senior Managing Attorney, LANC Wilmington
Vilma Suarez, Senior Managing Attorney, LANC Centralized Intake Unit
Reynauld Williams, Regional Manager/Senior Managing Attorney, LANC Ahoskie

LANC Affiliated Attendees:
Michelle Cofield, Director of Public Service & Pro Bono Activity, NC Bar Association
Dennis Dorgan, Consultant, LANC Access to Justice Campaign
Evelyn Pursley, Executive Director, IOLTA
Donald M. Saunders, Director of Civil Legal Services, National Legal Aid & Defenders Association

Approval of Minutes

Chairman Adams directed the Board’s attention to the Board of Directors general business meeting minutes of December 9, 2005. Following review and discussion of the minutes, a motion was made, duly seconded, and the minutes were UNAMANIMOUSLY APPROVED, as written.

Chairman’s Report

Chairman Adams noted that the LANC Board meeting was being held in conjunction with the 2006 Legal Services Statewide Conference. The conference is held every two years for the entire legal services community and is hosted by LANC. He stated that the conference presented informative sessions and was well attended. He commended all key staff, especially the LANC Administrative Office staff, for their efforts in making the conference a success.

Chairman Adams recognized Evelyn Pursley to give an update regarding IOLTA. Ms. Pursley reported that in 2005, IOLTA earned its highest income ever. The rise in income is a direct result of large bank mergers, interest rate changes, increased attention from the banking community, more participating attorneys and larger amounts in trust accounts. The income will be used to provide grant increases for the coming year and to replenish the reserve account. She reported that LANC’s general grant was increased to provide funding for the hotline project, and that the Volunteer Lawyer Program grant was funded at the requested amount. Ms. Pursley further commented that IOLTA is looking forward to a better year next year.

At the request of Pearl Nealey, Chairman Adams read a thank you card expressing Ms. Nealey’s appreciation to all Board members and LANC staff for their support after her home was badly damaged by a recent fire.

President’s Report

George Hausen reported that the Centralized Intake Unit (CIU) was being developed under the leadership of Vilma Suarez and should be operational in the very near future. Mr. Hausen recognized the CIU staff, which consists of Vilma Suarez, senior managing attorney; Josune Drummond, staff attorney; and Patricia Harris, the administrator. This unit was designed to provide immediate access to clients seeking legal assistance. Eight to ten attorneys will be hired to work four hour shifts and interview clients who call LANC. The unit will handle clients calling the Raleigh and Smithfield offices and provide advice and brief service to callers. Cases needing extended service, such as court representation, would be transferred to the appropriate field office. LANC anticipates expanding CIU coverage to other service areas and offices. Mr. Hausen reported that other LSC funded programs using a similar model experienced a 50% increase in client access.

During the week of March 6, 2006, LSC visited LANC field offices in the western part of the state, reviewing cases and interviewing staff. The LSC team reported that it had found no discrepancies in these offices. LSC will visit the field offices in the Triangle and eastern parts of the state during the week of May 22, 2006. LSC will issue its report in the later part of 2006.

Hausen recognized Leo Allison to report on his work on an ABA committee charged with rewriting program standards adopted in 1986. Allison commented that this experience has been tremendous, and that the Committee expects to conclude its work in August 2006.

Clients Council Update

Chairman Adams recognized Willis Williams, Chair of the Clients Council, who reported that the Clients Council had developed a work plan that includes training clients to serve on local and state level boards. Clients had attended the statewide conference and attended sessions designed to encourage client involvement and participation, including a session on Medicare Part D that was particularly informative.

Mr. Williams reported that there are currently two client vacancies to be filled on the LANC Board: the public seat previously held by Allen Johnson and the Triad Region client seat previously held by Susan Cole. The Clients Council will present a slate of clients for these positions to the Nominating Committee for recommendation to the full board at the June Board meeting.

Committee Reports

Nominating Committee:
Chairman Adams recognized George Hausen to present the Nominating Committee Report in the absence of the Chair Burton Craige. Hausen reported that the NC State Bar, the NC Bar Association, the NC Association of Black Lawyers, and the 21st Judicial District Bar Association will submit their respective appointments for Board seats to the Nominating Committee for recommendation to the Board at the June Board meeting. Hausen further explained that attorney members who are eligible to serve a second term have agreed to serve a second term.

Chairman Adams reported that he appointed an Ad Hoc Committee to consider amending the bylaws to extend the terms of LANC officers from one year to two years. The Ad Hoc Committee has begun work and will present its recommendation to the full Board at the June meeting in accordance with the current bylaws.

Finance Committee:
Chairman Adams recognized Chris Marks to give the Finance Committee report in the absence of Chair Leto Copeley. Mr. Marks reported that there was no new business, however, the primary concern is to meet the budget and manage payroll which is 80% of the budget.

Personnel Committee:
Hada Haulsee, Chair of the Personnel Committee, reported that the committee met and discussed the conflict of interest policy. She recognized Celia Pistolis to give details regarding the Conflict of Interest Policy being discussed by the Committee. Currently, LANC has separate policies for board members and LANC employees. These policies are found in the LANC Bylaws and the Personnel Policies respectively. Grant applications require that these polices be submitted as part of the application process. Pistolis reported that LANC funders had requested that LANC develop a single conflict of interest policy that would apply to board members and employees. Following discussion, Chair Haulsee assured the Board that the draft policy will be consistent with the current Bylaws and Personnel Policies, and that a recommendation will be presented to the Board at the June Board meeting for approval. A bylaw change will not be necessary.

Chris Marks reported that the committee discussed and recommends that the LANC retirement plan be modified to allow LANC employees to borrow against their contributions made to the retirement plan. Employees would pay a processing fee and interest on such loans, which would be administered by CDM, our third party administrator of the plan, at no cost to LANC. Marks stated that a loan provision will encourage employees to make more contributions to the plan. Following discussion, it was moved, duly seconded and UNAMANIMOUSLY RESOLVED to authorize George Hausen and Chris Marks to take the necessary steps to have the loan provision added to the retirement plan.

Operations Committee:
Chair Adams recognized Celia Pistolis to give the report in the absence of Willie Dawson, Chair of the Operations Committee. She reported that the committee met and discussed the new centralized intake system. Vilma Suarez provided an overview of the process to the Committee.

Ms. Pistolis reported that the committee had reviewed the 2006 Income Eligibility Guidelines promulgated by LSC and recommended that the Board adopt them. Following discussion, it was moved, duly seconded and UNAMANIMOUSLY RESOLVED to accept the guidelines as presented. A copy of the guidelines is attached.

Ms. Pistolis also reported that the Committee had discussed the effect of the Reauthorization of Violence Against Women Act on LANC representation of non-citizen domestic violence victims and directed her to draft a policy to address the provision of legal services in accordance with LSC guidelines. The Committee recommended that the board approve Legal Aid of North Carolina Policy on Provision of Services in Accordance with Reauthorization of the Violence Against Women Act in 2006. Following discussion, it was moved, duly seconded and UNAMAMIOUSLY RESOLVED to approve the policy as presented. A copy of the policy is attached.

Strategic Planning Committee:
Chair Adams recognized Vice Chair, Glenn Barfield, to give the Strategic Planning Committee report. Mr. Barfield reported that the committee met and created subcommittees to focus on a developing a long-term approach to address the organization’s mission. Rough proposals are currently being prepared and a report will be given at the June meeting.

Resource Development Committee:
Chair Adams recognized George Hausen to report on the work of the Resource Development Committee. Mr. Hausen asked Dennis Dorgan, consultant on LANC’s Access to Justice Campaign, to report on that campaign and the possibility of cy pres awards. Dorgan reported that last year’s legislation allowing cy pres awards from class actions to be awarded to legal services has not yet resulted in actual funds designated to LANC. He noted that Alabama Legal Services had exceeded their fundraising goal after receiving its first cy pres award. Dorgan reported that the LANC Access to Justice Campaign has good solid leadership in place, but there are few more leadership positions that still need to be filled. Former ABA president, AP Carlton has agreed to co-chair the campaign in the Triangle area and would like to meet with the LANC Board at its June meeting. Dorgan encouraged the Board to invite him to that meeting. Dorgan concluded his remarks by noting that a successful campaign requires that the Board first commit that all of its members will participate in the campaign.

Grievance Committee:
Celia Pistolis reported that there are no grievances pending.

Client Affairs Committee:
Willis Williams reported that Board member CR Ward was the recipient of the Community Service Award, which had been presented at the statewide conference.

Other Business

Chair Adams recognized Michelle Cofield, who gave a brief report on Medicare Part D and the Pro Bono Network. She reported that attorneys have received training and are being asked to handle one appeal in cases involving denial of benefits, prescribed medications, and proper enrollment in the new plan.

Chair Adams recognized Pender McElroy, who proposed that the LANC Board draft a resolution to address the reduction of public funding of programs that support persons of low-income or the working poor through federal budget cuts. He further proposed a committee chaired by Glenn Barfield be appointed to draft the resolution to support clients being affected by these cuts. He asked that the proposal be presented to the board for approval at the June meeting. Following discussion, it was moved duly seconded and UNAMAMIOUSLY RESOLVED to adopt a resolution as proposed by Pender McElroy.

George Hausen shared a PowerPoint presentation showing poverty in North Carolina and how LANC is working to address the needs of the working class poor in our state. The presentation also showed the types of cases handled by LANC.

Adjournment

As there was no further business before the Board, Chair Adams adjourned the meeting at 4:45 p.m.


____________________________
Mary Flowers, Secretary
LANC Board of Directors

 

 

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