BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2076
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          ASSEMBLY THIRD READING
          AB 2076 (Ma)
          As Amended  May 25, 2012
          Majority vote 

           JUDICIARY           8-0         APPROPRIATIONS      12-5        
           
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          |Ayes:|Feuer, Atkins, Dickinson, |Ayes:|Fuentes, Blumenfield,     |
          |     |Gorell, Huber, Monning,   |     |Bradford, Charles         |
          |     |Wieckowski, Bonnie        |     |Calderon, Campos, Davis,  |
          |     |Lowenthal                 |     |Gatto, Ammiano, Hill,     |
          |     |                          |     |Lara, Mitchell, Solorio   |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |Nays:|Harkey, Donnelly,         |
          |     |                          |     |Nielsen, Norby, Wagner    |
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          SUMMARY  :  Expands civil court reporter fees and requires that 
          the fees be retained for use in the courts that collect them.  
          Specifically,  this bill  :

          1)Provides that fees collected for civil court reporters must be 
            retained by the court in which the fee is collected.

          2)Provides that for each civil trial court proceeding lasting 
            less than an hour, the parties shall be charged $30 for the 
            reasonable cost of an official court reporter.  For each civil 
            court proceedings lasting more than one hour, requires a fee 
            equal to the actual cost of providing court reporting services 
            to be charged per half-day of services, as defined, to the 
            parties on a pro rata basis.  States the intent of the 
            Legislature is to continue an incentive to courts to use the 
            services of an official court reporter in civil proceedings.

           EXISTING LAW  :  

          1)Establishes the Trial Court Trust Fund as specified.  

          2)Provides that for each civil trial court proceeding lasting 
            more than one hour, a fee equal to one-half day shall be 
            charged, on a pro rata basis, to the parties.  Requires the 
            Judicial Council to report every year to the Joint Legislative 








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            Budget Committee on specified fees collected for court 
            reporters and the total amount spent by the courts for 
            official court reporters.  

          3)Provides that $30 of each of several specified civil filing 
            fees be used for services of an official court reporter in 
            civil proceedings.  Provides that this $30 is designed as an 
            incentive for courts to use official court reporters in civil 
            proceedings, but that nothing affects the Judicial Council's 
            authority to allocate these funds to replace reductions in 
            general fund appropriations to the Trial Court Trust Fund.  

          4)Requires that, among other fees, the fees collected by the 
            trial courts for official court reporters be deposited in a 
            bank account established by the Administrative Office of the 
            Courts (AOC).  Requires the AOC to distribute those deposits 
            as provided, with the remainder going to the Trial Court Trust 
            Fund.  

          5)Provides that whenever a daily transcript is ordered in a 
            civil case requiring the services of more than one court 
            reporter, the party requesting the daily transcript must pay 
            an additional specified rate and that such fee shall be 
            distributed to the court to offset the cost of the additional 
            reporter.  

           FISCAL EFFECT  :  According to the Assembly Appropriations 
          Committee, unknown additional fee revenue statewide to fund 
          court reporter services in civil cases.  Some courts might incur 
          costs to determine if civil litigants are eligible for waiver 
          from the fee.
           
          COMMENTS  :  As a result of the recession and the state budget 
          crisis, the courts' budget has been reduced by over $650 million 
          annually, with more reductions proposed in the Governor's 
          Revised Budget.  These very substantial reductions have resulted 
          in closed courtrooms, reduced clerks' offices hours and 
          self-help programs and court staff layoffs, including layoffs of 
          court reporters in civil proceedings.  As a result, many civil 
          courtrooms are now operating without official court reporters.  
          Lack of court-provided reporting services frustrates the goals 
          of California's system of justice by preventing litigants from 
          appealing decisions, keeping parties from drafting orders 
          effectively, and preventing those attempting to recount what 








                                                                  AB 2076
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          actually happened during proceedings - including jurors 
          deliberating on the case - from being able to do so.  
          Additionally, the Commission on Judicial Performance has voiced 
          concern that lack of an official record makes it much harder to 
          prove judicial misconduct and, thus, impairs the Commission's 
          ability to protect the public from rogue judges. 

          This bill seeks to increase the use of official court reporters 
          in courts by allowing courts to keep and use the fees that they 
          collect for court reporters locally.  It is believed that 
          allowing courts to keep the fees will incentivize them to 
          collect more fees and use them to help increase the use of 
          official court reporters in civil courtrooms.  In addition, in 
          order to help increase the funds available to pay for court 
          reporters, this bill looks to charge court reporter fees for 
          proceedings possibly lasting less than one hour.

          In 1998, the Trial Court Funding Act (AB 233 (Escutia and 
          Pringle), Chapter 850, Statutes of 1998) required that all court 
          reporters fees collected by the trial courts be deposited into 
          the Trial Court Trust Fund, where nearly all court-collected 
          fees are deposited.  The court reporter fees are then returned 
          to the trial courts as part of their annual allocation.  The 
          fees are distributed to the courts on a pro rata basis and not 
          based on dollars collected.  Thus, while not all trial courts 
          are aggressively charging and collecting the court reporter 
          fees, all courts share equally (based on their pro rata share) 
          in those collections.  

          Fees to help cover the cost of maintaining official court 
          reporter in civil courtrooms come from two sources.  The initial 
          civil filing fee includes $30 to cover the cost of court 
          reporters.  In addition, parties in civil proceedings are 
          charged a fee for the services of an official court reporter for 
          all proceedings lasting longer than an hour.  According to the 
          most recent Judicial Council report, courts collect $21.5 
          million for court reporters from first paper filing fees and an 
          additional $12.5 million from the fee for proceedings lasting 
          longer than an hour, for a total of $34 million.  The Judicial 
          Council estimates that courts spent nearly $83 million on court 
          reporters in civil proceedings last year, more than double what 
          is collected from the specified fees.

          This bill should help increase the fees available to fund 








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          official court reporters and, as a result, the number of civil 
          proceedings with court reporters, in two ways.  First, by 
          allowing local courts to keep the fees they charge and collect, 
          courts will directly benefit from collecting the fees and 
          improving collection efforts, thus providing an incentive to 
          collect more.  This, in turn, should increase the funds 
          available to the local courts to pay for court reporters.  There 
          are a number of locally collected fees that are now retained by 
          the courts that collect them (or returned dollar for dollar to 
          those courts from the Trial Court Trust Fund), and this bill 
          would follow those models.

          Second, by seeking to revise when parties start accruing fees 
          for court reporters, this bill also hopes to increase available 
          funds.  Currently, parties are only required to pay for court 
          reporters if the proceeding lasts more than one hour.  If it 
          does, the parties, on a pro rata basis, are charged a fee equal 
          to one-half day reporting.  If the proceeding lasts less than an 
          hour, the parties are not charged any fee for the court 
          reporter.  This bill seeks to charge the fee even when 
          proceedings last less than an hour by charging a fee of $30 for 
          those proceedings for the reasonable cost of an official court 
          reporter.  
           

          Analysis Prepared by  :    Leora Gershenzon / JUD. / (916) 
          319-2334 


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