BILL ANALYSIS                                                                                                                                                                                                    �



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          ASSEMBLY THIRD READING
          AB 2746 (Judiciary Committee)
          As Amended May 12, 2014
          Majority vote 

           JUDICIARY           10-0                                        
           
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          |Ayes:|Wieckowski, Wagner,       |     |                          |
          |     |Alejo, Chau, Dickinson,   |     |                          |
          |     |Garcia, Gorell,           |     |                          |
          |     |Maienschein, Muratsuchi,  |     |                          |
          |     |Stone                     |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
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           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 a modest $8 the amount members of the State Bar  
            may choose to contribute voluntarily to the Emergency Legal  
            Aid Voluntary Assistance Option.

           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  








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          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 $38 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  
          to contribute voluntarily would increase $8 from $30 to $38.

          Funding for legal aid organizations that provide essential legal  
          help for extremely impoverished individuals has been decimated  
          in recent years.  State funding for legal aid has diminished  
          even further this year, despite significantly greater needs for  
          legal services by those who cannot afford them, and dramatically  
          lower funding from other sources.  Last year's measure resulted  
          in a funding decrease of approximately $1 million annually  
          because the State Bar's contribution to the support of legal aid  
          from non-mandatory dues sources was allowed to sunset.  This  
          bill seeks to recover just some of that lost ground by allowing  
          members of the State Bar to voluntarily contribute an additional  
          $8 for the support of legal aid groups if they wish to do so.   
          Although the allowance for increased voluntary contributions by  
          members is not expected to fully replace the end of the State  
          Bar's prior contributions through non-mandatory sources  
          available to it, it is expected that this step will make up for  
          at least some of those lost non-mandatory contributions.  The  
          State Bar's leadership has stated its commitment to the Assembly  
          Judiciary Committee to find other non-mandatory sources of funds  
          as soon as possible to not just bridge this continuing crisis  
          but to try finally to overcome it.  

          By many measures, California suffers from an overwhelming  
          "justice gap" between the legal needs of low-income people and  
          the legal help they receive.  It has been estimated that the  








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          cost of closing the gap would amount to $400 million.  Even in  
          the best of times, legal aid providers have been able to address  
          only a fraction of the demand for help.  Because of insufficient  
          resources, legal services programs can offer assistance in only  
          a few types of cases; many poor and moderate-income Californians  
          do not qualify for services; and most of those who meet the  
          strict eligibility limits and seek assistance regarding problems  
          for which a legal services office provides service are  
          nevertheless turned away, simply for lack of staff.  Even those  
          who receive services are frequently under-served with brief  
          advice and consultation, rather than full and fair  
          representation.

          Legal aid programs are also particularly hurt by court budget  
          reductions.  As the Assembly Judiciary Committee heard at its  
          February hearing on court budget struggles, service reductions  
          have been especially dangerous for poor people because the  
          neediest are the most vulnerable to loss of their legal rights  
          and most require the courts' protection, and because the burden  
          of court budget cuts in some counties may fall most heavily on  
          services that are disproportionately used by low-income parties.  


          Thus this plethora of evidence underscores the need for  
          multi-faceted efforts by the State Bar and the Legislature to  
          address the crisis in legal aid support, a crisis the State  
          Bar's leadership and Members of the Assembly Judiciary Committee  
          have committed to addressing as quickly and forcefully as  
          possible.  This year's annual dues reauthorization measure  
          therefore currently takes a very modest additional step in that  
          collaborative effort by the State Bar and the Legislature by  
          simply increasing by $8 the amount members of the State Bar may  
          choose to voluntarily contribute to the Emergency Legal Aid  
          Voluntary Assistance Option.
           

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


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