HB563 (2009) Detail

Establishing a fund to provide loans to allow low and moderate income plaintiffs to retain expert witnesses in civil cases and making an appropriation therefor.


HB 563-FN-A – AS INTRODUCED

2009 SESSION

09-0332

09/01

HOUSE BILL 563-FN-A

AN ACT establishing a fund to provide loans to allow low and moderate income plaintiffs to retain expert witnesses in civil cases and making an appropriation therefor.

SPONSORS: Rep. K. Hutchinson, Rock 3

COMMITTEE: Judiciary

ANALYSIS

This bill establishes a revolving loan fund to allow low and moderate income plaintiffs to retain expert witnesses in civil cases.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

09-0332

09/01

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Nine

AN ACT establishing a fund to provide loans to allow low and moderate income plaintiffs to retain expert witnesses in civil cases and making an appropriation therefor.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 New Section; Expert Witness Revolving Loan Fund. Amend RSA 516 by inserting after section 29-b the following new section:

516:29-c Expert Witness Revolving Loan Fund.

I. There is established within the judicial branch an expert witness revolving loan fund to be used by the courts to provide loans to low and moderate income plaintiffs to retain expert witnesses in civil cases which have been accepted by attorneys on a contingent fee basis. A plaintiff shall qualify for use of the fund if his or her household gross income is equal to or less than the median income for his or her county of residence, as determined by the United States Department of Housing and Urban Development. If the plaintiff prevails in the case for which the expert witness was retained, the plaintiff shall reimburse the expert witness revolving loan fund at the rate of one and one half times the amount of the plaintiff’s loan from the proceeds of the settlement or judgment. Such reimbursement shall be made directly to the court from the proceeds. If the plaintiff does not prevail, no reimbursement shall be required. The supreme court shall adopt rules relative to application for loans and other procedures necessary to implement payment and reimbursement of loans under this section.

II. Any moneys in the fund exceeding $50,000 on June 30 of each fiscal year shall lapse to the general fund until such time as a total amount of $50,000 has lapsed to the general fund, after which the expert witness revolving loan fund and all interest accrued on the fund shall be nonlapsing and continually appropriated to the judicial branch.

2 New Subparagraph; Special Fund. Amend RSA 6:12, I(b) by inserting after subparagraph (276) the following new subparagraph:

(277) Moneys deposited in the expert witness revolving loan fund established in RSA 516:29-c.

3 Appropriation. There is hereby appropriated to the judicial branch the sum of $50,000 for the fiscal year ending June 30, 2010, for the purpose of start-up costs for the expert witness revolving loan fund established under RSA 516:29-c. The governor is authorized to draw a warrant for said sum out of any money in the treasury not otherwise appropriated.

4 Effective Date. This act shall take effect July 1, 2009.

LBAO

09-0332

01/21/09

HB 563-FN-A - FISCAL NOTE

AN ACT establishing a fund to provide loans to allow low and moderate income plaintiffs to retain expert witnesses in civil cases and making an appropriation therefor.

FISCAL IMPACT:

      The Judicial Branch states this bill increases state expenditures by $105,550 in FY 2010, $58,839 in FY 2011, $62,340 in FY 2012, and $66,075 in FY 2013. This bill may increase state revenues by an indeterminable amount in FY 2010 and each year thereafter. This bill has no fiscal impact on county and local revenues or county and local expenditures.

    This bill appropriates $50,000 from the general fund to the Judicial Branch in FY 2010 for the purposes of this bill.

METHODOLOGY:

    The Judicial Branch states this bill establishes a new dedicated fund within the Judicial Branch, to be known as the Expert Witness Revolving Loan Fund, to provide loans to allow low and moderate income plaintiffs to retain expert witnesses in civil cases. This bill appropriates $50,000 to the fund in FY 2010 for its establishment. Money in the fund is loaned to those who qualify for its use. A recipient of such a loan must pay back one and one half times the loan if the recipient prevails in the case. No pay back is required if the recipient does not prevail. Monies exceeding $50,000 in the fund at the end of each fiscal year lapse to the general fund until the original $50,000 appropriation from the general fund is paid back. The Branch states this bill may increase state revenues by an indeterminable amount in FY 2010 and each year thereafter.

    The Branch believes there would be sufficient demand on the fund such that not everyone desiring a loan may be able to obtain one. Due to this large demand, the Branch will require one full time employee to administer the fund whose duties will include reviewing applications, making loan decisions, tracking the outcome of cases, and pursuing reimbursement to the fund where applicable. The Branch states this employee will start at labor grade 24 and increase state expenditures due to salary and benefits by $55,550 in FY 2010, $58,839 in FY 2011, $62,340 in FY 2012, and $66,075 in FY 2013.

    This bill does not establish positions.