FDIC Federal Register Citations

From: Jay P. Renneisen
Sent: Wednesday, November 12, 2008 3:15 PM
To: Comments
Subject: Please Include IOLTA Accounts in the Temproary Liquidity Guarantee Program 

Dear FDIC: 

I am writing this email to urge you, please, to include Interest on Lawyer Trust Accounts (“IOLTA”) accounts in the unlimited FDIC insurance coverage of the Temporary Liquidity Guarantee Program.  The funds from IOLTA are very, very important to many non-profit legal services organizations, including Contra Costa Senior Legal Services (“SLS”), where I currently serve as a board member.   

SLS is a non-profit community service organization that provides free legal services to elders in the San Francisco East Bay Area who cannot afford to hire an attorney.  The legal staff at SLS helps our low-income elderly with a myriad of legal issues, including problems with housing, consumer matters, medical services and long-term care.   The following is a link to some more basic information regarding SLS:  http://www.volunteersolutions.org/vccc/org/1109213.html  

Since its founding in 1976, SLS has assisted our elderly population with more than 30,000 legal matters.  However, with its current financial needs , there is a real concern whether this important resource for low income elderly in the East Bay will survive.   SLS’ yearly budget of approximately $200K is funded by a several sources, including most importantly its grant from the California State Bar IOLTA administered by the Legal Services Trust Fund Program of The State Bar of California (see http://www.calbar.ca.gov/state/calbar/calbar_generic.jsp?cid=12310&id=14534 ).   As a board member of SLS,  I am very concerned that, unless IOLTA accounts are included in the unlimited FDIC insurance coverage of the Temporary Liquidity Guarantee Program, SLS likely may not be able to continue its more than 32 years of helping low income seniors in our community.  Especially in these tough economic times, I am concerned that the loss of funding for SLS would put our program in jeopardy.   Truly, every dollar is important to SLS at this time of need.  Please take action to include IOLTA accounts in the Temporary Liquidity Guarantee Program.  

Jay Renneisen

Board Member, Contra Costa Senior Legal Services