BILL NUMBER: SB 1181 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 28, 2010
AMENDED IN SENATE APRIL 5, 2010
INTRODUCED BY Senator Cedillo
FEBRUARY 18, 2010
An act to amend Sections 8030.2, 8030.4, 8030.6, and 8030.8 of,
and to add and repeal Section 8030.5 of, the Business and Professions
Code, relating to shorthand reporters, and making an appropriation
therefor.
LEGISLATIVE COUNSEL'S DIGEST
SB 1181, as amended, Cedillo. Shorthand reporters: Transcript
Reimbursement Fund.
Existing law provides for the certification of shorthand reporters
by the Court Reporters Board of California. Existing law requires
certain fees and revenues collected by the board to be deposited into
the Transcript Reimbursement Fund, to be available to provide
reimbursement for the cost of providing shorthand reporting services
to low-income litigants in civil cases. Existing law provides that
persons appearing pro se to represent themselves at any stage of a
case are not eligible to apply for funds from the Transcript
Reimbursement Fund. Existing law requires all unencumbered funds
remaining in the Transcript Reimbursement Fund as of January 1, 2011,
to be transferred to the Court Reporters' Fund, and repeals these
provisions on January 1, 2011.
This bill would, until January 1, 2013, authorize low-income
persons appearing pro se to apply for funds from the Transcript
Reimbursement Fund, subject to specified requirements and
limitations. The bill would require the board, by January 1, 2012, to
submit a report to the Legislature that includes a summary of the
expenditures and claims from the Transcript Reimbursement Fund by
these persons. The bill would authorize charges for instant
visual display services for depositions to be reimbursed from
revenues in the fund. The bill would require unencumbered
funds remaining in the Transcript Reimbursement Fund as of January 1,
2013, to be transferred to the Court Reporters' Fund, would repeal
these provisions on January 1, 2013, and would make related changes.
By extending the operation of the Transcript Reimbursement Fund,
which is a continuously appropriated fund, the bill would make an
appropriation.
Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 8030.2 of the Business and Professions Code is
amended to read:
8030.2. (a) To provide shorthand reporting services to low-income
litigants in civil cases, who are unable to otherwise afford those
services, funds generated by fees received by the board pursuant to
subdivision (c) of Section 8031 in excess of funds needed to support
the board's operating budget for the fiscal year in which a transfer
described below is made shall be used by the board for the purpose of
establishing and maintaining a Transcript Reimbursement Fund. The
Transcript Reimbursement Fund shall be established by a transfer of
funds from the Court Reporters' Fund in the amount of three hundred
thousand dollars ($300,000) at the beginning of each fiscal year.
Notwithstanding any other provision of this article, a transfer to
the Transcript Reimbursement Fund in excess of the fund balance
established at the beginning of each fiscal year shall not be made by
the board if the transfer will result in the reduction of the
balance of the Court Reporters' Fund to an amount less than six
months' operating budget.
(b) All moneys held in the Court Reporters' Fund on the effective
date of this section in excess of the board's operating budget for
the 1996-97 fiscal year shall be used as provided in subdivision (a).
(c) Refunds and unexpended funds that are anticipated to remain in
the Transcript Reimbursement Fund at the end of the fiscal year
shall be considered by the board in establishing the fee assessment
pursuant to Section 8031 so that the assessment shall maintain the
level of funding for the Transcript Reimbursement Fund, as specified
in subdivision (a), in the following fiscal year.
(d) The Transcript Reimbursement Fund is hereby created in the
State Treasury. Notwithstanding Section 13340 of the Government Code,
moneys in the Transcript Reimbursement Fund are continuously
appropriated for the purposes of this chapter.
(e) Applicants who have been reimbursed pursuant to this chapter
for services provided to litigants and who are awarded court costs or
attorneys' fees by judgment or by settlement agreement shall refund
the full amount of that reimbursement to the fund within 90 days of
receipt of the award or settlement.
(f) Subject to the limitations of this chapter, the board shall
maintain the fund at a level that is sufficient to pay all qualified
claims. To accomplish this objective, the board shall utilize all
refunds, unexpended funds, fees, and any other moneys received by the
board.
(g) Notwithstanding Section 16346 of the Government Code, all
unencumbered funds remaining in the Transcript Reimbursement Fund as
of January 1, 2013, shall be transferred to the Court Reporters'
Fund.
(h) This section shall remain in effect only until January 1,
2013, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2013, deletes or extends
that date.
SEC. 2. Section 8030.4 of the Business and Professions Code is
amended to read:
8030.4. As used in this chapter:
(a) "Qualified legal services project" means a nonprofit project
incorporated and operated exclusively in California that provides as
its primary purpose and function legal services without charge to
indigent persons, has a board of directors or advisory board composed
of both attorneys and consumers of legal services, and provides for
community participation in legal services programming. Legal services
projects funded either in whole or in part by the Legal Services
Corporation or with Older Americans Act funds are presumed to be
qualified legal services projects for the purposes of this chapter.
(b) "Qualified support center" means an incorporated nonprofit
legal services center, having an office or offices in California,
which office or offices provide legal services or technical
assistance without charge to qualified legal services projects and
their clients on a multicounty basis in California. Support centers
funded either in whole or in part by the Legal Services Corporation
or with Older Americans Act funds are presumed to be qualified legal
services projects for the purposes of this chapter.
(c) "Other qualified project" means a nonprofit organization
formed for charitable or other public purposes, not receiving funds
from the Legal Services Corporation or pursuant to the Older
Americans Act, which organization or association provides free legal
services to indigent persons.
(d) "Pro bono attorney" means any attorney, law firm, or legal
corporation, licensed to practice law in this state, that undertakes
without charge to the party, the representation of an indigent
person, referred by a qualified legal services project, qualified
support center, or other qualified project, in a case not considered
to be fee generating as defined in this chapter.
(e) "Applicant" means a qualified legal services project,
qualified support center, other qualified project, or pro bono
attorney applying to receive funds from the Transcript Reimbursement
Fund established by this chapter.
(f) (1) "Indigent person" means any of the following:
(A) A person whose income is 125 percent or less of the current
poverty threshold established by the Office of Management and Budget
of the United States.
(B) A person who is eligible for supplemental security income.
(C) A person who is eligible for, or receiving, free services
under the Older Americans Act or the Developmentally Disabled
Assistance Act.
(D) A person whose income is 75 percent or less of the maximum
level of income for lower income households as defined in Section
50079.5 of the Health and Safety Code, for purposes of a program that
provides legal assistance by an attorney in private practice on a
pro bono basis.
(2) For the purposes of this subdivision, the income of a person
who is disabled shall be determined after deducting the costs of
medical and other disability-related special expenses.
(g) "Fee-generating case" means any case or matter that, if
undertaken on behalf of an eligible client by an attorney in private
practice, reasonably may be expected to result in payment of a fee
for legal services from an award to a client, from public funds, or
from an opposing party. A reasonable expectation as to payment of a
legal fee exists wherever a client enters into a contingent fee
agreement with his or her lawyer. If there is no contingent fee
agreement, a case is not considered fee generating if adequate
representation is deemed to be unavailable because of the occurrence
of any of the following circumstances:
(1) If the applicant has determined that referral is not possible
because of any of the following:
(A) The case has been rejected by the local lawyer referral
service, or if there is no such service, by two private attorneys who
have experience in the subject matter of the case.
(B) Neither the referral service nor any lawyer will consider the
case without payment of a consultation fee.
(C) The case is of the type that private attorneys in the area
ordinarily do not accept or do not accept without prepayment of a
fee.
(D) Emergency circumstances compel immediate action before
referral can be made, but the client is advised that, if appropriate
and consistent with professional responsibility, referral will be
attempted at a later time.
(2) If recovery of damages is not the principal object of the case
and a request for damages is merely ancillary to an action for
equitable or other nonpecuniary relief or inclusion of a counterclaim
requesting damages is necessary for effective defense or because of
applicable rules governing joinder of counterclaims.
(3) If a court appoints an applicant or an employee of an
applicant pursuant to a statute or a court rule or practice of equal
applicability to all attorneys in the jurisdiction.
(4) In any case involving the rights of a claimant under a public
supported benefit program for which entitlement to benefit is based
on need.
(h) "Legal Services Corporation" means the Legal Services
Corporation established under the Legal Services Corporation Act of
1974, Public Law 93-355, as amended.
(i) "Supplemental security income recipient" means an individual
receiving or eligible to receive payments under Title XVI of the
Social Security Act, Public Law 92-603, as amended, or payment under
Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of
the Welfare and Institutions Code.
(j) "Lawyer referral service" means a lawyer referral program
authorized by the State Bar of California pursuant to the rules of
professional conduct.
(k) "Older Americans Act" means the Older Americans Act of 1965,
Public Law 89-73, as amended.
(l) "Rules of professional conduct" means those rules adopted by
the State Bar pursuant to Sections 6076 and 6077.
(m) "Certified shorthand reporter" means a shorthand reporter
certified pursuant to Article 3 (commencing with Section 8020)
performing shorthand reporting services pursuant to Section 8017.
(n) "Case" means a single legal proceeding from its inception,
through all levels of hearing, trial, and appeal, until its ultimate
conclusion and disposition.
(o) "Developmentally Disabled Assistance Act" means the
Developmentally Disabled Assistance and Bill of Rights Act of 1975,
(42 U.S.C. Sec. 6001 et seq.) as amended.
(p) This section shall remain in effect only until January 1,
2013, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2013, deletes or extends
that date.
SEC. 3. Section 8030.5 is added to the Business and Professions
Code, to read:
8030.5. (a) Notwithstanding subdivision (e) of Section 8030.4, as
used in this chapter the term "applicant" also means an indigent
person, as defined in subdivision (f) of Section 8030.4, appearing
pro se to represent himself or herself at any stage of the case and
applying to receive funds from the Transcript Reimbursement Fund
established by this chapter. The person shall provide proof of
a fee waiver from the court to establish indigent status
in the case .
(b) Notwithstanding Section 8030.6, disbursements to cover the
cost of providing transcripts to applicants pursuant to this section
shall not exceed thirty thousand dollars ($30,000) annually and shall
not exceed two thousand five hundred dollars ($2,500) per case.
(c) The board shall provide a report to the Legislature by January
1, 2012, that includes a summary of the expenditures and claims
relating to this section.
(d) This section shall remain in effect only until January 1,
2013, and as of that date is repealed, unless a later enacted statute
that is enacted before January 1, 2013, deletes or extends that
date.
SEC. 4. Section 8030.6 of the Business and Professions Code is
amended to read:
8030.6. The board shall disburse funds from the Transcript
Reimbursement Fund for the costs, exclusive of per diem charges by
official reporters, of preparing either an original transcript and
one copy thereof, or where appropriate, a copy of the transcript, of
court or deposition proceedings, or both, incurred as a contractual
obligation between the shorthand reporter and the applicant, for
litigation conducted in California. If there is no deposition
transcript, the board may reimburse the applicant or the certified
shorthand reporter designated in the application for per diem costs.
The rate of per diem for depositions shall not exceed seventy-five
dollars ($75) for a half day, or one hundred twenty-five dollars
($125) for a full day. If a transcript is ordered within one year of
the date of the deposition, but subsequent to the per diem having
been reimbursed by the Transcript Reimbursement Fund, the amount of
the per diem shall be deducted from the regular customary charges for
a transcript. Reimbursement may be obtained through the following
procedures:
(a) The applicant or certified shorthand reporter shall promptly
submit to the board the certified shorthand reporter's invoice for
transcripts together with the appropriate documentation as is
required by this chapter.
(b) Except as provided in subdivision (c), the board shall
promptly determine if the applicant or the certified shorthand
reporter is entitled to reimbursement under this chapter and shall
make payment as follows:
(1) Regular customary charges for preparation of original
deposition transcripts and one copy thereof, or a copy of the
transcripts.
(2) Regular customary charges for expedited deposition transcripts
or instant visual display services provided at depositions
up to a maximum of two thousand five hundred dollars
($2,500) per case.
(3) Regular customary charges for the preparation of original
transcripts and one copy thereof, or a copy of transcripts of court
proceedings.
(4) Regular customary charges for expedited or daily charges for
preparation of original transcripts and one copy thereof or a copy of
transcripts of court proceedings.
(5) The charges may not include notary or handling fees. The
charges may include actual shipping costs and exhibits, except that
the cost of exhibits may not exceed thirty-five cents ($0.35) each or
a total of thirty-five dollars ($35) per transcript.
(c) The maximum amount reimbursable by the fund under subdivision
(b) may not exceed twenty thousand dollars ($20,000) per case per
year.
(d) If entitled, and funds are available, the board shall
forthwith disburse the appropriate sum to the applicant or the
certified shorthand reporter when documentation as provided in
subdivision (d) of Section 8030.8 accompanies the application. A
notice shall be sent to the recipient requiring the recipient to file
a notice with the court in which the action is pending stating the
sum of reimbursement paid pursuant to this section. The notice filed
with the court shall also state that if the sum is subsequently
included in any award of costs made in the action, that the sum is to
be ordered refunded by the applicant to the Transcript Reimbursement
Fund whenever the sum is actually recovered as costs. The court may
not consider whether payment has been made from the Transcript
Reimbursement Fund in determining the appropriateness of any award of
costs to the parties. The board shall also forthwith notify the
applicant that the reimbursed sum has been paid to the certified
shorthand reporter and shall likewise notify the applicant of the
duty to refund any of the sum actually recovered as costs in the
action.
(e) If not entitled, the board shall forthwith return a copy of
the invoice to the applicant and the designated certified shorthand
reporter together with a notice stating the grounds for denial.
(f) The board shall complete its actions under this section within
30 days of receipt of the invoice and all required documentation,
including a completed application.
(g) Applications for reimbursements from the fund shall be filled
on a first-come basis.
(h) Applications for reimbursement that cannot be paid from the
fund due to insufficiency of the fund for that fiscal year shall be
held over until the next fiscal year to be paid out of the renewed
fund. Applications held over shall be given a priority standing in
the next fiscal year.
(i) This section shall remain in effect only until January 1,
2013, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2013, deletes or extends
that date.
SEC. 5. Section 8030.8 of the Business and Professions Code is
amended to read:
8030.8. (a) For purposes of this chapter, documentation
accompanying an invoice is sufficient to establish entitlement for
reimbursement from the Transcript Reimbursement Fund if it is filed
with the executive officer on an application form prescribed by the
board that is complete in all respects, and that establishes all of
the following:
(1) The case name and number and that the litigant or litigants
requesting the reimbursement are indigent persons.
(2) The applicant is qualified under the provisions of this
chapter.
(3) The case is not a fee-generating case, as defined in Section
8030.4.
(4) The invoice or other documentation shall evidence that the
certified shorthand reporter to be reimbursed was, at the time the
services were rendered, a duly licensed certified shorthand reporter.
(5) The invoice shall be accompanied by a statement, signed by the
applicant, stating that the charges are for transcripts actually
provided as indicated on the invoice.
(6) The applicant has acknowledged, in writing, that as a
condition of entitlement for reimbursement that the applicant agrees
to refund the entire amount disbursed from the Transcript
Reimbursement Fund from any costs or attorneys' fees awarded to the
applicant by the court or provided for in any settlement agreement in
the case.
(7) The certified shorthand reporter's invoice for transcripts
shall include separate itemizations of charges claimed, as follows:
(A) Total charges and rates for customary services in preparation
of an original transcript and one copy or a copy of the transcript of
depositions.
(B) Total charges and rates for expedited deposition transcripts
or instant visual display services provided at depositions
.
(C) Total charges and rates in connection with transcription of
court proceedings.
(b) For an applicant claiming to be eligible pursuant to
subdivision (a), (b), or (c) of Section 8030.4, a letter from the
director of the project or center, certifying that the project or
center meets the standards set forth in one of those subdivisions and
that the litigant or litigants are indigent persons, is sufficient
documentation to establish eligibility.
(c) For an applicant claiming to be eligible pursuant to
subdivision (d) of Section 8030.4, a letter certifying that the
applicant meets the requirements of that subdivision, that the case
is not a fee-generating case, as defined in subdivision (g) of
Section 8030.4, and that the litigant or litigants are indigent
persons, together with a letter from the director of a project or
center defined in subdivision (a), (b), or (c) of Section 8030.4
certifying that the litigant or litigants had been referred by that
project or center to the applicant, is sufficient documentation to
establish eligibility.
(d) The applicant may receive reimbursement directly from the
board when the applicant has previously paid the certified shorthand
reporter for transcripts as provided in Section 8030.6. To receive
payment directly, the applicant shall submit, in addition to all
other required documentation, an itemized statement signed by the
certified shorthand reporter performing the services that describes
payment for transcripts in accordance with the requirements of
Section 8030.6.
(e) The board may prescribe appropriate forms to be used by
applicants and certified shorthand reporters to facilitate these
requirements.
(f) This chapter does not restrict the contractual obligation or
payment for services, including, but not limited to, billing the
applicant directly, during the pendency of the claim.
(g) This section shall remain in effect only until January 1,
2013, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2013, deletes or extends
that date.