Pub. 5 2016 Issue 5

l e a d i n g a d v o c a t e f o r t h e b a n k i n g i n d u s t r y i n k a n s a s 12 O VER 32 YEARS AGO, bankers and attorneys formed a partnership that has provided over $4 million to fund programs for access to justice and law-related education. The IOLTA, or Interest on Lawyer Trust Account program, is made possible because Kansas bankers offer IOLTA for attorneys. These accounts often have no maintenance charges and interest rates that generate a combined total of about $100,000 in interest each year. In 1984, The Kansas Supreme Court created a rule that makes it possible for the accumulated interest in lawyer trust accounts to be used for charitable purposes. The IOLTA program is a voluntary program for both bankers and attorneys. Participating banks offer IOLTA accounts to attorneys and remit the interest on those accounts to the Kansas Bar Foundation either monthly or quarterly. The Kansas Bar Foundation processes the remittance on these accounts and administers the IOLTA grant program that selects recipients of grants for organizations that provide access to justice and law-related education to Kansans that otherwise might not be able to receive the services and education they need. This is a charitable act by banks. It may help with public relations but it really helps Kansans that need essential services. Attorneys are not able to do anything with the interest in a trust account except turn it over to the KBF. If they have a trust account but it is not an IOLTA account, it is not allowed to make interest. How Do Kansas Communities Benefit from IOLTA Grants? With almost 140 banks currently offering IOLTA accounts and over 4,000 attorneys participating in IOLTA, the money is pooled into an account at the Kansas Bar Foundation. In late fall each year, the KBF IOLTA Committee meets to determine which grants to fund for the following year. Here are a few highlights from organizations that received a 2016 IOLTA grant: El Centro De Servicios Para Hispanos re- ceived a $2,740 IOLTA grant. “El Centro of Topeka sees a growing need for low cost legal immigration services to families in our community. Through the Department of Justice’s BIAAccreditation and Recognition process, we propose to provide families an added avenue to receive essential legal immigration services. IOLTA funds allow us the ability to receive the legal training necessary to apply for and ultimately provide these vital services.” Lalo Munoz, Executive director Kansas Casa Association received a $12,500 grant. "CASA programs in Kansas provide children in the court system with a much-needed voice, advocating to ensure their best interests are sought. CASA volunteers are this voice for abused and neglected children. Funding through IOLTA WORKING TOGETHER, KANSAS BANKERS AND ATTORNEYS MAKE A BIG DIFFERENCE