BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 2746
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          CONCURRENCE IN SENATE AMENDMENTS
          AB 2746 (Judiciary Committee)
          As Amended August 22, 2014
          Majority vote 
           
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          |ASSEMBLY:  |76-0 |(May 15, 2014)  |SENATE: |33-1 |(August 26,    |
          |           |     |                |        |     |2014)          |
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           Original Committee Reference:    JUD.  

           SUMMARY  :  Reauthorizes attorney license fees at the same level  
          as the current year.  Specifically,  this bill  : 

          1)Reauthorizes the State Bar of California (State Bar) to  
            collect active membership dues of up to $390 for the year  
            2015.

          2)Increases by $10 the amount members of the State Bar may  
            choose to contribute voluntarily to the Emergency Legal Aid  
            Voluntary Assistance Option, and requires that all funds  
            received be distributed to qualified legal services projects  
            and support centers without deduction for administrative fees,  
            costs, or expenses by the State Bar.

          3)Provides that notwithstanding the provisions of the Business  
            and Professions Code Sections 6009.7 and 6011 regarding a  
            19-member board, if the president is elected from among those  
            members of the board whose terms on the board expire that year  
            and has not been reelected or reappointed to another term  
            under Business and Professions Code Sections 6013.1, 6013.2,  
            6013.3, or 6013.5, the president shall serve as a 20th member  
            of the board during his or her one-year term, and he or she  
            may vote.

          4)Provides that net proceeds from the sale or lease of real  
            property, if any, be held by the State Bar without expenditure  
            or commitment for any purpose until approved by the  
            Legislature by statute. 

           The Senate amendments  add a new provision allowing a member of  
          the Board of Trustees to serve an additional year as president  
          of the board if elected to that position in the last year of his  
          or her term, revise by $2 the amount members may voluntarily  








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          choose to contribute to the support of nonprofit legal  
          organizations that assist low-income Californians, clarify the  
          use of funds received as voluntary contributions from members to  
          support legal aid organizations, consistently with the State  
          Bar's existing policy and practice, and specify that net  
          proceeds from the sale or lease of the State Bar's real property  
          after payment of obligations and encumbrances and reasonable  
          costs of acquiring and relocating its facilities, if any, shall  
          be held by the State Bar without expenditure or commitment for  
          any purpose until approved by the Legislature. 
           
          FISCAL EFFECT  :  None

           COMMENTS  :  This non-controversial bill would reauthorize the  
          State Bar's authority to assess and collect dues from licensed  
          attorneys in California in order to support the State Bar's  
          regulatory functions, including discipline.  It holds these dues  
          at current levels, which will continue to be $390 for the year  
          2015 - unchanged from last year.  

          Attorneys who wish to practice law in California generally must  
          be admitted and licensed in this state and must be a member of  
          the State Bar.  (California Constitution Article VI, Section 9.)  
           The State Bar of California is the largest state bar in the  
          country.  As of May 2014, the State Bar had 181,169 active  
          members and 53,768 inactive members, which represents a slight  
          annual increase in both active members and inactive members.   
          Total State Bar membership is listed at 248,271, which includes  
          2,147 judge members and 11,186 members who are "Not Eligible to  
          Practice Law."  The State Bar's programs are financed almost  
          exclusively by annual membership dues paid by attorneys as well  
          as other fees paid by applicants seeking to practice law.  

          This bill would authorize the State Bar to collect active  
          membership dues of up to $390 for the year 2015, in addition to  
          a $40 optional fee for members who voluntarily choose to  
          contribute to the support of nonprofit legal aid organizations  
          that make free legal services available to poor Californians.   
          The mandatory fee of $390 holds mandatory fees constant at the  
          same rate as last year, when the fee was reduced by $20.  The  
          optional legal aid fee continues the existing mechanism by which  
          members who choose to do so can help defray the cost of ensuring  
          that legal services are available without regard to ability to  
          pay market rates, consistently with each lawyer's professional  
          responsibility.  The amount allowed for those lawyers who wish  








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          to contribute voluntarily would increase $10 from $30 to $40.

          In addition, the bill provides that notwithstanding the  
          provisions of Business and Professions Code Sections 6009.7 and  
          6011 regarding a 19-member board, if the president is elected  
          from among those members of the board whose terms on the board  
          expire that year and has not been reelected or reappointed to  
          another term under Business and Professions Code Sections  
          6013.1, 6013.2, 6013.3, or 6013.5, the president shall serve as  
          a 20th member of the board during his or her one-year term, and  
          he or she may vote.  Finally, this bill provides that net  
          proceeds from the sale or lease of real property, if any, be  
          held by the State Bar without expenditure or commitment for any  
          purpose until approved by the Legislature by statute.


           Analysis Prepared by  :    Kevin G. Baker / JUD. / (916) 319-2334 


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