Members of the all-Republican Arkansas congressional delegation disagreed this week about whether to place tougher limitations on attorneys fees collected as part of certain federal legal settlements.
Arkansas' U.S. Reps. Bruce Westerman and Rick Crawford supported language that would have prevented environmental attorneys from receiving more than $125 per hour for their work.
U.S. Reps. French Hill and Steve Womack opposed the restriction, which supporters tried to add to HR5063, the Stop Settlement Slush Funds Act of 2016.
HR5063 prohibits government officials from reaching settlement agreements that benefit a third party unless the third party was actually harmed by the people paying the money. It also provides for attorneys fees.
Nonprofit groups have received hundreds of millions of dollars under the terms of government settlements, including funds that Bank of America and Goldman Sachs were required to pay, Republicans say. Critics say the money, if it's collected, should go to the U.S. Treasury instead.
The amendment would only have affected attorneys fees for "services rendered in connection with a case relating to the environment."
Since 1996, attorneys fees have been capped at $125 per hour, but the Equal Access to Justice Act allows for higher sums to be paid in some instances.
Supporters of the amendment said that without the restriction, environmental attorneys would collect unreasonable sums. Some opponents said a blanket $125-per-hour rate was too low and would make it hard for people with valid claims to find attorneys.
Attempts to add the attorney pay provision failed by a vote of 155-262. Overall, 83 Republicans and 179 Democrats voted against an amendment adding the language. One Democrat and 154 Republicans voted yes.
In written statements, Crawford and Westerman said the change was needed.
"Some environmental laws like the Endangered Species Act incentivize trial attorneys to sue the government then demand excessive compensation from the federal government. I support reining in this practice as it's strengthened environmental activists at the taxpayers' expense and caused excessive litigation that has had disastrous impacts on our farmers and private landowners," Crawford said.
Westerman said the amendment would "close a loophole used by special interests to charge taxpayers outrageous sums of money for frivolous lawsuits. These groups sue the federal government on technical grounds, and bill the government for $500-600 per hour ... [They] should receive the same compensation as lawyers working on behalf of the disabled suing for Social Security or other benefits. They do not deserve exorbitant taxpayer handouts."
Womack spokesman Claire Burghoff said the lawmaker didn't think it was best to attach the amendment to the larger bill.
"Congressman Womack believes Congress should address this issue with standalone legislation," she said.
Hill noted that the sponsor of HR5063 had objected to adding the amendment to the bill.
"I don't think it was the right place to have that discussion and vote in that manner," he said. "I wasn't really voting on the merits. I was voting more on the process."
The lawmaker said the amendment also raises a "fairness issue," by singling out lawyers in environmental cases.
HR5063 passed the House on Wednesday without the amendment, 241-174. It awaits action in the Senate.
Metro on 09/09/2016