March 29, 2007

Madam Speaker, I am pleased to join my Subcommittee Ranking Member Mr. Camp in reintroducing the Legal Services Benefit Act.

Many employees and retirees lost access to affordable preventive legal services when the tax-preferred status of qualified group legal plans sunsetted in 1991. This bill corrects that historic wrong, and ensures that millions of workers and retirees have access to employer provided group legal service plans.

Group legal service plans provide employees with low cost, basic legal services, including assistance with the purchase of a home, the preparation of a will, probate services and the resolution of domestic conflicts, such as child support collection.  With evictions and mortgage foreclosures on the rise, legal plans can also help keep employees in their homes and focused on their jobs.

The Legal Services Benefit Act will restore the historic pre-tax treatment of group legal services under Section 120 of the Internal Revenue Code. This change to the tax code will again make legal service plans affordable for both employers and employees, and will provide access to legal services for millions of middle-income Americans who might otherwise let legal troubles get out of hand.

I thank many of my colleagues on the Ways and Means Committee who have already joined us as original cosponsors of this bill, and I urge all members to support this important legislation that will help workers and businesses across the nation.