The lawyer trust account committee (committee) lawyer trust account committee was created by the North Dakota bar foundation under N.D.Sup.Ct.Admin.R. 24 to receive and disburse funds raised from the interest generated on lawyers' pooled trust accounts. Lawyers' pooled trust accounts hold client funds that are so small in amount or held for such a brief period that it is not feasible for the funds to economically benefit the individual client. Previously, attorneys' pooled trust accounts earned no interest. In 1987, the state of North Dakota joined many other states in creating effective October 1, 1987, an interest on lawyers' trust account program (IOLTA) that will benefit law related charitable and educational interests in our state.
The committee will use the interest earned on IOLTA accounts as directed by the supreme court of North Dakota. The supreme court has ordered that the funds are to be used:
The court further states in Subsection 3(c) of N.D.Sup.Ct.Admin.R. Administrative Rule 24 that "(g)rant applications for programs for the support of civil legal services to the poor must be given a high priority." The lawyer trust account committee, through the grant process, will strive to improve the delivery of legal services to the poor, promote the development of law-related education for the public, and develop programs to enhance the administration of justice. The committee will not only support traditional approaches, but will encourage projects that show innovative ways to address needs in the areas of legal services to the poor, law-related education, and the administration of justice throughout the state of North Dakota.
The Lawyer Trust Account Committee philosophy recognizes that North Dakota IOLTA funds will be a significant source of support for funding programs within the mandate of N.D.Sup.Ct.Admin.R. 24.
The committee recognizes that the procedures and relative priorities for the grant program may change in the future as the committee gains experience, as revenues grow, and as needs and resources change.
The committee intends, after operating costs, to reserve up to 10% of IOLTA funds received for a reserve for contingencies. This reserve fund may not exceed three years' anticipated income. The amount of the reserve fund is to be set by the committee, with the approval of the board of directors of the north dakota bar foundation.
The committee desires to make the best use of IOLTA funds and obtain maximum effect from each grant. The following guidelines, with exceptions where necessary, will be used to assist in the grant decision-making process:
The committee will make funding grants primarily upon the basis of written applications. Applications should be directed to the:
Lawyer Trust Account Committee
North Dakota Bar Foundation
P. O. Box 2136
Bismarck, ND 58502-2136
The committee may request applicants to supplement an application, interview an applicant, and make on site visits and inspections.
The committee may also, at its discretion, request applications from potential providers of services in priority funding areas, if no grant applications have been received.
All grants will be made under a written contract between the grant recipient and the committee. The committee will require a final report and may require periodic written reports as to the use of the funds by each grant recipient.
Each grant applicant must comply with the following:
The committee contemplates funding to be on a calendar year basis. All grant applications must be submitted to the committee by September 15 of each year for grants effective on January 1 of the year following.
Neither the North Dakota supreme court, the North Dakota bar foundation, nor the committee will be liable for any expenses incurred by any prospective grantee prior to the issuance of the grant.
Grant application procedures and forms may be obtained from and questions should be directed to:
Executive Director
Lawyer Trust Account Committee
P. O. Box 2136
Bismarck, ND 58502-2136
Out-of-State (701) 255-1404
In-State 1-800-472-2685
Grant applications may be submitted electronically, and must be authenticated. These copies should be signed by an official who has authority to bind the organization to the proposed obligations. Applications must state that they are valid for a minimum period of sixty (60) days from the day of submission.
A selected grantee will be required to assume responsibility for all services offered in its application. The selected grantee will be the sole point of contact with regard to contractual matters, including payment of any and all charges resulting from the grant.
The committee, or any of its duly authorized representatives, will have access for purposes of audit and examination to any books, documents, papers and records of the grantee.
The grant application must state when the grantee will start the project, which should be within 60 days of effective date of the award. If during the performance of the project the grantee deviates from the grant, the grant may, at the discretion of the committee, be terminated at any time and unexpended grant funds must be returned to the committee. If a dispute arises in the performance of the grant which cannot be settled between the parties, the dispute must be submitted to arbitration under N.D.C.C. ch. 32-29.3.
The completion date of the project must be specified in the application. If the project will continue for more than one year, the applicant should specify the budget and evaluation cycle on a 12-month basis.
Applicants who submit proposals in the initial funding cycle will not be precluded from applying in later funding cycles if need exceeds the amount of the initial award.
N.D. Sup. Ct. Admin. R. & Ord. 24.1