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Attorney
Dues on State Bar Representative Assembly Agenda
1/13/03 The Representative Assembly of the State Bar will be considering a proposal recommending changes in the dues and fees paid by Michigan attorneys at its February 22 meeting in East Lansing. The Assembly has not considered dues and fees since 1993 when the current membership dues rate was set. Under Michigan Supreme Court rule, petitions to the Court for an increase in State Bar dues must be authorized by the Representative Assembly. The proposal advocates a $40 increase in the basic membership rate and an annual assessment of $15 for the Client Protection Fund program. The Client Protection Fund is used to reimburse clients who have been victimized by attorneys who violate ethical standards and misappropriate client funds. Although such misappropriation is rare, in the last few years the size of the claims has increased dramatically. Thomas Rombach, Chair of the Representative Assembly and a member of the Special Issues Committee advancing the proposal, said that the proposed dues increase is not simply a response to the impact of inflation over the last 10 years, but is based on a Strategic Plan developed after extensive member input and study. "The Strategic Plan refocuses the State Bar's activities on its core mission -- improving the justice system, enhancing relations between the legal profession and the public, and promoting the interests of Michigan lawyers. The Strategic Plan aims to help attorneys at their desks, which is where their service to the public begins. Because the dues proposal is based on the Strategic Plan, the State Bar can be held accountable and lawyers are assured that their dues will support programs that benefit their profession and the public." The proposal submitted to the Representative Assembly is a package of resolutions addressing both general membership dues and administrative fees. The proposal does not address the disciplinary system dues component, which was separated from general membership dues in 1993 by the Supreme Court. Among the resolutions is a recommendation to assess membership dues for all practicing lawyers. Currently, attorneys over age 70 are exempted. In place of the exemption, the proposal advocates granting emeritus status upon retirement to lawyers who have been in practice for at least 40 years. Emeritus status would allow the members to continue to receive the membership services benefits of State Bar membership, at no cost. Attorney Allyn Kantor, who chairs the Special Issues Committee presenting the proposal, said that while he expects the Representative Assembly to support the package of proposals overall, the proposed elimination of the over-70 exemption might generate some discussion. "The intent of the proposed change is two-fold: first, to create a bright line that applies the financial obligation of attorney membership to all practicing attorneys regardless of age, and second, to honor those who have served the profession for decades at the end of their careers." Kantor said that the debate will be a philosophical one between members who feel that Bar dues should be paid by all practicing lawyers without regard to age, and those who feel that members who have paid dues for several decades have earned the right to an exemption. The Representative Assembly will hold hearings in Lansing, southeast Michigan, Grand Rapids, and Gaylord to gather input from members about the proposal package. Times and locations will be announced next week and will be posted, along with the text of the proposal, on the State Bar website, www.michbar.org. John Berry, executive director of the State Bar since November, 2000, said he is impressed by the process that is in place to develop the proposal and receive feedback. "As a long-time consultant to state bars throughout the country, I have never seen a state bar association prepare so thoroughly for consideration of a membership dues increase. The standard approach is usually just 'it's been a long time and it's time for an increase.' Michigan is going about this the right way, with an emphasis on membership value." Reginald Turner, President of the State Bar, said that consideration of a dues increase comes on the heels of extensive cuts in State Bar programs and staff consistent with the Bar's Strategic Plan. Turner observed that while some of the operational changes the Bar has undergone in the last few years were long overdue, other cutbacks were painful. "We've learned important lessons over the last few years about being good fiscal managers, and the need to keep programs operated by the bar on budget, on task, and within our core mission. Like state and municipal government, in our public service programs we've had to find ways to do more with less, while continuing to provide quality services to our members and the public." Turner said that members would not see a return to the number and variety of programs operated in the past. Rather, a dues increase will allow the State Bar to stay in sound fiscal condition, and to continue to improve its programs to keep pace with a rapidly changing profession. Turner is optimistic that Michigan lawyers will accept the need for an increase, noting that while dues are never popular, it is helpful that Michigan's membership dues have remained at the same level for a decade, and that the proposed dues compare favorably not only with other state bar association dues but also with association dues of other professions. If the proposal is adopted by the Representative Assembly, it will be forwarded to the Michigan Supreme Court for consideration. Attorney dues are payable on October 1 of each year.
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