Bill Text: CA SB40 | 2023-2024 | Regular Session | Amended
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: State Bar of California.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2023-10-10 - Chaptered by Secretary of State. Chapter 697, Statutes of 2023. [SB40 Detail]
Download: California-2023-SB40-Amended.html
he or she has they have been placed in or returned to inpatient status at the California Rehabilitation Center or its branches, or when he or she has
they have
been determined insane or mentally incompetent and is confined for treatment or placed on outpatient status pursuant to the Penal Code, or on account of his or her their mental condition a guardian or conservator, for his or her their estate or person or both, has been appointed, the Board of Trustees or an officer of the State Bar shall enroll the licensee as an inactive licensee. examining committee State Bar shall not alter the bar examination in a manner that requires the substantial modification of the training or preparation required for passage of the examination, except after giving two years’ notice of that change. This requirement does not apply to a change in the bar examination that is applicable only at the option of the applicant. examining committee State Bar not later than the first business day of the preceding November, and an application to take the California bar examination administered in July must be filed with the examining committee State Bar not later than the first business day of the preceding April. However, an applicant who was unsuccessful on the
examination last administered shall be allowed 10 business days from the date of the general announcement of results of that examination in which to timely file an application to take the next scheduled examination. examining committee State Bar and paid into the treasury of the State Bar. examining committee State Bar that the applicant has fulfilled the requirements for admission to practice law, the Supreme Court may admit the applicant as an attorney at law in all the courts of this state and may direct an order to be entered upon its records to that effect. A certificate of admission thereupon shall be given to the applicant by the clerk of the court.(a)(1)Any unsuccessful applicant for admission to practice, after he or she has taken any examination and within four months after the results thereof have been declared, has the right to inspect his or her examination papers at the office of the examining committee located nearest to the place at which the applicant took the examination.
practice who did not pass the California bar examination, for 30 days following the release of examination results, shall have electronic access to their answers to the written sessions of the bar examination, which shall include the ability to download, save, and print. October 31 November 30 of each year describing the performance and condition of the State Bar discipline system, including all matters that affect public protection. Except as set forth in subdivision (d), the report shall cover the period from July 1 of the previous calendar year to June 30 of the year in which the report is issued and shall include accurate and complete descriptions of all of the following:
Section 6090.8 is added to the Business and Professions Code, to read:6090.8.
Section 6140 of the Business and Professions Code is amended to read: ____ three hundred ninety-one dollars ($____). ($391).On January 1, 2022, and thereafter, the The board shall fix the annual license fee for inactive licensees at a sum not exceeding ninety-seven dollars and forty cents ($97.40), except that if the State Bar has entered into a contract to sell its San Francisco office building by October 31, 2022, the sum shall not exceed ninety-six dollars and forty cents ($96.40). ($97.40). The annual license fee for inactive licensees is payable on or before the
first day of February of each year. within 120 days of the close of the fiscal year annually, on or before May 31, to the board, to the Chief Justice of the Supreme Court, and to the Assembly and Senate Committees on Judiciary.6238.
Bill Title: State Bar of California.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2023-10-10 - Chaptered by Secretary of State. Chapter 697, Statutes of 2023. [SB40 Detail]
Download: California-2023-SB40-Amended.html
|
Amended
IN
Assembly
July 03, 2023 |
|
Amended
IN
Assembly
June 22, 2023 |
|
Amended
IN
Senate
March 21, 2023 |
CALIFORNIA LEGISLATURE—
2023–2024 REGULAR SESSION
Senate Bill
No. 40
| Introduced by Senator Umberg |
December 05, 2022 |
An act to amend Section 6140 Sections 6001.3, 6007, 6046.6, 6060, 6060.25, 6060.3, 6062, 6063, 6064, 6065, 6086.1, 6086.15, 6102, 6140, 6140.5, 6141, and 6145 of, and to add Section 6090.8 to, and to repeal Section 6238 of, the Business and Professions Code, relating to attorneys.
LEGISLATIVE COUNSEL'S DIGEST
SB 40, as amended, Umberg.
State Bar: annual license fees and reporting professional misconduct. attorney misconduct and discipline: examining committee: annual license fees.
Existing law, the State Bar Act, provides for the licensure and regulation of attorneys by the State Bar of California (State Bar), a public corporation governed by a board of trustees. Existing
Existing law states legislative intent and findings regarding diversity and inclusion in the practice of law. Existing law requires the State Bar to develop and implement a plan to meet specified goals and to prepare and submit a report to the Legislature, by March 15, 2019, and every 2 years thereafter, on the plan and its implementation, as prescribed.
This bill would
change the date for the submission of the report to March 30 every 2 years.
Existing law authorizes the State Bar Court to order the involuntary inactive enrollment of an attorney for violation of probation under specified circumstances and requires the State Bar Court to terminate such an enrollment upon expiration of a period equal to the period of stayed suspension in the probation matter, or until the State Bar Court makes an order regarding the recommended actual suspension in the probation matter, whichever occurs first.
This bill would require the State Bar Court to terminate enrollment upon expiration of that described period or until the effective date of a Supreme Court order imposing an actual suspension on account of the probation violation or other disciplinary matter, whichever occurs first.
Existing law provides for the creation of an examining committee within the
State Bar with varied responsibilities relating to examinations and other requirements for admission to the practice of law, including, among others: giving 2 years’ notice of certain changes to the bar examination; approving preparatory studies that precede the study of law and the study of law; registration of law students; prescribing examinations in professional responsibility or legal ethics; receiving applications for and giving the general bar examination; administering a law students’ examination to subject law students after their first year of law study; certifying to the California Supreme Court that an applicant has fulfilled the requirements for admission to practice law; and collecting fees fixed by the board to defray the expense of administering existing law relating to admission to practice.
This bill would with respect to these specified responsibilities replace the examining committee with the State Bar. The bill would make related conforming
changes. The bill would delete obsolete provisions relating to passing the law students’ examination.
Existing law requires an applicant for admission and licensure to practice law to meet certain requirements, including passing a general bar examination. Existing law gives an unsuccessful applicant for admission to practice, after they have taken any examination and within 4 months after results have been declared, the right to inspect their examination papers at the office of the examining committee located nearest to the place at which the applicant took the examination. The applicant also has the right to inspect the grading of the papers.
This bill would delete those inspection provisions and, instead, would require that an applicant for admission to practice who did not pass the California bar examination, for 30 days following the release of examination results, have electronic access to their answers to the written
sessions of the bar examination, including the ability to download, save, and print.
Existing law, except as specified, requires hearings and records of original disciplinary proceedings in the State Bar Court to be public, following a notice to show cause. Existing law excepts disciplinary investigations from that requirement and makes them confidential, as prescribed. Existing law authorizes waiver of that confidentiality requirement by specified entities under specified exceptions.
This bill would revise the existing exceptions under which confidentiality may be waived. The bill would additionally authorize the board, notwithstanding the confidentiality of investigations, to vote to waive confidentiality, but only when warranted for protection of the public. The bill would require the board to hold a meeting under these provisions in closed session and to provide notice to a licensee whose confidential information is
being considered for disclosure. The bill, for the board’s assessment whether to waive confidentiality, would establish a presumption in favor of maintaining confidentiality and establish specified considerations. The bill would provide for related public announcements by the Chief Trial Counsel or Chair of the State Bar and for prior notice of such announcements to the licensee. The bill would authorize a licensee to file a motion, to be heard within 10 days of filing, to prevent the State Bar from disclosing information pursuant to the waiver.
Existing law requires the State Bar to issue an Annual Discipline Report by October 31 of each year describing the performance and condition of the State Bar discipline system, including all matters that affect public protection, as prescribed.
This bill would change the deadline for that report to November 30 of each year.
Existing law
authorizes the board, with the approval of the Supreme Court, to formulate and enforce rules of professional conduct for all licensees of the State Bar. Under existing law, a person who reports to the State Bar or causes a complaint to be filed with the State Bar that an attorney has engaged in professional misconduct, knowing the report or complaint to be false and malicious, is guilty of a misdemeanor. Existing law authorizes the State Bar to notify the appropriate district attorney or city attorney that a person has filed what the State Bar believes to be a false and malicious report or complaint against an attorney and recommend prosecution of that person.
This bill would require a licensee to inform the State Bar if the licensee knows that another licensee has conspired to engage in, or has engaged in, treason, sedition, or insurrection against the State of California or the United States. The bill would deem to have committed professional misconduct any
licensee of the State Bar who makes a complaint to the State Bar pursuant to this reporting provision with the intent to intimidate, harass, or otherwise deter a fellow licensee from engaging in the lawful practice of law. The bill would authorize the board to amend the rules of professional conduct, and require the board to propose those amendments to the Supreme Court for approval, to implement these reporting provisions.
Existing law relating to suspension or disbarment of an attorney requires a court that finds after prescribed proceedings that a crime of which an attorney was convicted or the circumstances of its commission involved moral turpitude, to enter an order disbarring the attorney or suspending them from practice for a limited time, according to the gravity of the crime and the circumstances of the case, or to otherwise dismiss the proceedings.
This bill, in lieu of the alternative of dismissing the
proceedings, would require a court to determine if the facts and circumstances surrounding the conviction involve other misconduct warranting discipline, and if so, impose the appropriate discipline.
Existing law, until January 1, 2024, requires the board to charge an annual license fee of up to $390, or $386 if certain conditions are met, for active licensees for 2023.
Existing law, except as specified, requires the board, on and after January 1, 2022, to charge an annual license fee of up to $97.40 for inactive licensees. Existing law, until January 1, 2023, requires that the inactive license fee be $1 lower if the State Bar has entered into a contract to sell its San Francisco office building by October 31, 2022.
This bill, until January 1, 2025, would, instead, require the board to charge an annual license fee of up to an unspecified amount $391 for active licensees for 2024.
The bill, until January 1, 2024, would require the board to charge an annual license fee of up to $97.40 for inactive licensees.
Existing law authorizes
the board, with the approval of the Supreme Court, to formulate and enforce rules of professional conduct for all licensees of the State Bar. Under existing law, it is cause for suspension, disbarment, or other discipline for any licensee, whether acting on their own behalf or on behalf of someone else, whether or not in the context of litigation, to solicit, agree, or seek certain agreements, including agreements that misconduct or the terms of a settlement of a claim for misconduct shall not be reported or that a complainant shall withdraw a disciplinary complaint or shall not cooperate with the investigation or prosecution conducted by the State Bar.
Under existing law, a person who reports to the State Bar or causes a complaint to be filed with the State Bar that an attorney has engaged in professional misconduct, knowing the report or complaint to be false and malicious, is guilty of a misdemeanor. Existing law authorizes the State Bar to notify the appropriate district attorney or city attorney that a person has filed what the State Bar believes to be a false and malicious report or complaint against an attorney and recommend prosecution of that person.
This bill, except as specified, would require a licensee of the State Bar who knows, as defined, that another licensee has engaged in professional misconduct to the detriment of a client and that raises a substantial question as to that licensee’s honesty, trustworthiness, or ability to perform legal services with competence, to inform the State Bar. The bill would deem to have committed professional misconduct any licensee of the State Bar who makes a complaint to the State Bar pursuant to this reporting provision with the intent to intimidate, harass, or otherwise deter a fellow licensee from engaging in the lawful practice of law. The bill would also require a licensee to inform the State Bar if the licensee knows that another licensee has conspired to engage in, or has engaged in, treason, sedition, or insurrection against the State of California or the United States. The bill would authorize the board to amend the rules of professional conduct, and require the board to propose those amendments to the Supreme Court for approval, to implement the bill.
Existing law requires the board to establish and administer a Client Security Fund to relieve or mitigate pecuniary losses caused by the dishonest conduct of active licensees, registered foreign legal consultants, and certain other attorneys, arising from or connected with the practice of law. Existing law requires reimbursement of the fund by an attorney whose actions have caused payment from the fund and provides for collection, as specified.
This bill would further provide that the licensee’s obligation to reimburse the fund is imposed as a penalty, payable to and for the benefit of the State Bar, to promote rehabilitation and protect the public. The bill would also provide that the reimbursement provisions are declaratory of existing law.
Existing law requires the board to engage the services of an independent national or regional public accounting firm with specified experience
for an audit of its financial statement for each fiscal year. Existing law requires that a copy of the audit and financial statement be submitted within 120 days of the close of the fiscal year to the board, the Chief Justice of the Supreme Court, and the Assembly and Senate Committees on Judiciary.
This bill would require that submission annually on or before May 31.
Existing law requires the board to establish and administer an Attorney Diversion and Assistance Program, as prescribed, to identify and rehabilitate attorneys with impairment due to substance use or a mental health disorder affecting competency so that attorneys so afflicted may be treated and returned to the practice of law in a manner that will not endanger the public health and safety. Existing law requires the board to establish a committee to oversee the operation of the program, with membership and responsibilities as prescribed. Existing law requires
the committee to report to the board and to the Legislature annually on March 1 on the implementation and operation of the program, as specified.
This bill would delete that committee report requirement.
Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest.
This bill would make legislative findings to that effect.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 6001.3 of the Business and Professions Code is amended to read:6001.3.
(a) It is the intent of the Legislature that the State Bar maintain its commitment to and support of effective policies and activities to enhance access, fairness, and diversity in the legal profession and the elimination of bias in the practice of law.(b) The Legislature finds and declares the following:
(1) The rich diversity of the people of California requires a justice system that is equally accessible and free of bias and is a core value of the legal profession.
(2) Diversity and inclusion are an integral part of the State Bar’s public protection mission to build, retain, and maintain a diverse legal profession to provide
quality and culturally sensitive services to an ever-increasing diverse population.
(3) Diversity increases public trust and confidence and the appearance of fairness in the justice system and therefore increases access to justice.
(4) The State Bar should continue to increase diversity and inclusion in the legal profession.
(c) The State Bar shall develop and implement a plan to meet the goals set forth in this section, which may include, but is not limited to, an assessment of needed revenue. The State Bar shall prepare and submit a report to the Legislature, by March 15, 30, 2019, and every two years thereafter, on the plan
and its implementation, including a description of activities undertaken to support the plan, their outcomes, and their effectiveness.
SEC. 2.
Section 6007 of the Business and Professions Code is amended to read:6007.
(a) When a licensee requires involuntary treatment pursuant to Article 6 (commencing with Section 5300) of Chapter 2 of Division 5 of, or Part 2 (commencing with Section 6250) of Division 6 of the Welfare and Institutions Code, or when under an order pursuant to Section 3051, 3106.5, or 3152 of the Welfare and Institutions CodeThe clerk of any court making an order containing any of the determinations or adjudications referred to in the immediately preceding paragraph shall send a certified copy of that order to the
State Bar at the same time that the order is entered.
The clerk of any court with which is filed a notice of certification for intensive treatment pursuant to Article 4 (commencing with Section 5250) of Chapter 2 of Division 5 of the Welfare and Institutions Code, upon receipt of the notice, shall transmit a certified copy of it to the State Bar.
The State Bar may procure a certified copy of any determination, order, adjudication, appointment, or notice when the clerk concerned has failed to transmit one or when the proceeding was had in a court other than a court of this state.
In the case of an enrollment pursuant to this subdivision, the State Bar shall terminate the enrollment when the licensee has had the fact of his or her
their restoration to capacity judicially determined, upon the licensee’s release from inpatient status at the California Rehabilitation Center or its branches pursuant to Section 3053, 3109, or 3151 of the Welfare and Institutions Code, or upon the licensee’s unconditional release from the medical facility pursuant to Section 5304 or 5305 of the Welfare and Institutions Code; and on payment of all fees required.
When a licensee is placed in, returned to, or released from inpatient status at the California Rehabilitation Center or its branches, or discharged from the narcotics treatment program, the Director of Corrections or his or her their designee shall transmit to the State Bar a certified notice attesting to that fact.
(b) The State Bar Court shall also enroll a licensee of the State Bar as an inactive licensee in each of the following cases:
(1) A licensee asserts a claim of insanity or mental incompetence in any pending action or proceeding, alleging his or her their inability to understand the nature of the action or proceeding or inability to assist counsel in representation of the licensee.
(2) The court makes an order assuming jurisdiction over the licensee’s law practice, pursuant to Section 6180.5 or 6190.3.
6190.34.
(3) After notice and opportunity to be heard before the State Bar Court, the State Bar Court finds that the licensee, because of mental infirmity or illness, or because of the habitual use of intoxicants or drugs, is (i) unable or habitually fails to perform his or her their duties or undertakings competently, or (ii) unable to practice law without substantial threat of harm to the interests of his or her their clients or the public. No proceeding pursuant to this paragraph shall be instituted unless the State Bar
Court finds, after preliminary investigation, or during the course of a disciplinary proceeding, that probable cause exists therefor. The determination of probable cause is administrative in character and no notice or hearing is required.
In the case of an enrollment pursuant to this subdivision, the State Bar Court shall terminate the enrollment upon proof that the facts found as to the licensee’s disability no longer exist and on payment of all fees required.
(c) (1) The State Bar Court may order the involuntary inactive enrollment of an attorney upon a finding based on all the available evidence, including affidavits, that the attorney has not complied with Section 6002.1 and cannot be located after reasonable investigation.
(2) The State Bar Court may order the involuntary inactive enrollment of an attorney if it
finds, based on all the available evidence, including affidavits:
(A) The attorney has caused or is causing substantial harm to the attorney’s clients or the public.
(B) There is a reasonable probability that the chief trial counsel will prevail on the merits of the underlying disciplinary matter, and that the attorney will be disbarred.
(3) In the case of an enrollment under paragraph (2), the underlying matter shall proceed on an expedited basis.
(4) The State Bar Court shall order the involuntary inactive enrollment of an attorney upon the filing of a recommendation of disbarment after hearing or default. For purposes of this section, that attorney shall be placed on involuntary inactive enrollment regardless of the license status of the attorney at
the time.
(5) The State Bar Court shall order the involuntary inactive enrollment of an attorney who is sentenced to incarceration for 90 days or more as a result of a criminal conviction for at least the period of time in which the attorney is incarcerated.
(6) The State Bar Court shall order attorneys who are placed on inactive enrollment pursuant to this subdivision to comply with Rule 9.20 of the California Rules of Court.
(7) The board shall formulate and adopt rules of procedure to implement this subdivision.
In the case of an enrollment pursuant to this subdivision, the State Bar Court shall terminate the involuntary inactive enrollment upon proof that the attorney’s conduct no longer poses a substantial threat of harm to the interests of the attorney’s clients or the
public or where an attorney who could not be located proves compliance with Section 6002.1.
(d) (1) The State Bar Court may order the involuntary inactive enrollment of an attorney for violation of probation upon the occurrence of all of the following:
(A) The attorney is under a suspension order any portion of which has been stayed during a period of probation.
(B) The State Bar Court finds that probation has been violated.
(C) The State Bar Court recommends to the Supreme Court that the attorney receive an actual suspension on account of the probation violation or other disciplinary matter.
(2) The State Bar Court shall terminate an enrollment under this subdivision
upon expiration of a period equal to the period of stayed suspension in the probation matter, or until the State Bar Court makes an order regarding the recommended actual suspension in the probation effective date of a Supreme Court order imposing an actual suspension on account of the probation violation or other disciplinary matter, whichever occurs first.
(3) If the Supreme Court orders a period of actual suspension in the probation matter, any period of involuntary inactive enrollment pursuant to this subdivision shall be credited against the period of actual suspension ordered.
(e) (1) The State Bar Court shall order the involuntary, inactive enrollment of a
licensee whose default has been entered pursuant to the State Bar Rules of Procedure if both of the following conditions are met:
(A) The notice was duly served pursuant to subdivision (c) of Section 6002.1.
(B) The notice contained the following language at or near the beginning of the notice, in capital letters:
IF YOU FAIL TO FILE AN ANSWER TO THIS NOTICE WITHIN THE TIME ALLOWED BY STATE BAR RULES, INCLUDING EXTENSIONS, OR IF YOU FAIL TO APPEAR AT THE STATE BAR COURT TRIAL, (1) YOUR DEFAULT SHALL BE ENTERED, (2) YOU SHALL BE ENROLLED AS AN INVOLUNTARY INACTIVE LICENSEE OF THE STATE BAR AND WILL NOT BE PERMITTED TO PRACTICE LAW UNLESS THE DEFAULT IS SET ASIDE ON MOTION TIMELY MADE UNDER THE RULES OF PROCEDURE OF THE STATE BAR, (3) YOU SHALL NOT BE PERMITTED TO PARTICIPATE FURTHER IN THESE PROCEEDINGS UNLESS YOUR DEFAULT IS SET ASIDE,
AND (4) YOU SHALL BE SUBJECT TO ADDITIONAL DISCIPLINE.
(2) The State Bar Court shall terminate the involuntary inactive enrollment of a licensee under this subdivision when the licensee’s default is set aside on motion timely made under the State Bar Rules of Procedure or the disciplinary proceedings are completed.
(3) The enrollment under this subdivision is administrative in character and no hearing is required.
(4) Upon the involuntary inactive enrollment of a licensee under this subdivision, the notice required by subdivision (b) of Section 6092.5 shall be promptly given.
(f) The pendency or determination of a proceeding or investigation provided for by this section shall not abate or terminate a disciplinary investigation or proceeding except as
required by the facts and law in a particular case.
(g) No license fees shall accrue against the licensee during the period he or she is they are enrolled as an inactive licensee pursuant to this section.
(h) The State Bar Court may order a full range of interim remedies or final discipline short of involuntary inactive enrollment, including, but not limited to, conditions of probation following final discipline, or directly ordered interim remedies, to restrict or supervise an attorney’s practice of law, as well as proceedings under subdivision (a), (b), (c), or (d), or under Section 6102 or 6190. They may include restrictions as to scope of practice, monetary accounting procedures, review
of performance by probation or other monitors appointed by the board, or such other measures as may be determined, after hearing, to protect present and future clients from likely substantial harm. These restrictions may be imposed upon a showing as provided in subdivision (c).
SEC. 3.
Section 6046.6 of the Business and Professions Code is amended to read:6046.6.
(a) The(b) The examining committee shall communicate and cooperate with the Law School Council.
(c) Scaling may be used on the bar examination for the purpose of maintaining an examination of uniform difficulty from year to year.
SEC. 4.
Section 6060 of the Business and Professions Code is amended to read:6060.
To be certified to the Supreme Court for admission and a license to practice law, a person who has not been admitted to practice law in a sister state, United States jurisdiction, possession, territory, or dependency or in a foreign country shall:(a) Be at least 18 years of age.
(b) (1) Be of good moral character.
(2) (A) In reviewing whether an applicant is of good moral character under this subdivision, the staff of the State Bar or the members of the examining committee shall not review or consider the person’s medical records relating to mental health, except
if the
applicant seeks to use the record for either of the following purposes:
(i) To demonstrate that the applicant is of good moral character.
(ii) As a mitigating factor to explain a specific act of misconduct.
(B) The staff of the State Bar and members of the examining committee shall not request or seek to review any medical records relating to mental health, including by obtaining the consent of the applicant to disclose such records, except as requested by an applicant and for a purpose specified in subparagraph (A).
(c) Before beginning the study of law, have done either of the following:
(1) Completed at least two years of college work, which college work shall be at least one-half of
the collegiate work acceptable for a bachelor’s degree granted on the basis of a four-year period of study by a college or university approved by the examining committee. State Bar.
(2) Have attained in apparent intellectual ability the equivalent of at least two years of college work by taking examinations in subject matters and achieving the scores as are prescribed by the examining committee. State Bar.
(d) Have registered with the examining committee
State Bar as a law student within 90 days after beginning the study of law. The examining committee, State Bar, upon a showing of good cause, may permit a later registration.
(e) Have done either of the following:
(1) Had conferred upon them a juris doctor (J.D.) degree or a bachelor of laws (LL.B.) degree by a law school accredited by the examining committee or approved by the American Bar Association.
(2) Studied law diligently and in good faith for at least four years in any of the following manners:
(A) (i) In a law school that is authorized or approved to confer professional degrees and requires classroom attendance of its students for a minimum of 270 hours a year.
(ii) A person who has received their legal education in a foreign state or country where the common law of England does not constitute the basis of jurisprudence shall demonstrate to the satisfaction of the examining committee
State Bar that the person’s education, experience, and qualifications qualify them to take the examination.
(B) In a law office in this state and under the personal supervision of a licensee of the State Bar of California who is, and for at least the last five years continuously has been, engaged in the active practice of law. It is the duty of the supervising attorney to render any periodic reports to the examining committee as the committee may require. State Bar as required.
(C) In the chambers and under the personal supervision of a judge of a court of record of this state. It is the duty of the supervising judge to render any periodic reports to
the examining committee as the committee may require.
State Bar as required.
(D) By instruction in law from a correspondence law school authorized or approved to confer professional degrees by this state, which requires 864 hours of preparation and study per year for four years.
(E) By any combination of the methods referred to in this paragraph.
(f) Have passed any examination in professional responsibility or legal ethics as the examining committee State Bar may prescribe.
(g) Have passed the general bar examination given by the examining committee.
State Bar.
(h) (1) Have passed a law students’ examination administered by the examining committee State Bar after completion of their first year of law study. Those who pass the examination within its first three administrations, or within the first four administrations as provided in paragraph (3), administrations upon becoming eligible to take the examination, shall receive credit for all law studies completed to the time the examination is passed. Those who do not pass the examination within the
number of administrations allowed by this subdivision, upon becoming eligible to take the examination, but who subsequently pass the examination, shall receive credit for one year of legal study only.
(2) (A) This requirement does not apply to a student who has satisfactorily completed their first year of law study at a law school accredited by the examining committee and who has completed at least two years of college work prior to matriculating in the accredited law school, nor shall this requirement apply to an applicant who has passed the bar examination of a sister state or of a country in which the common law of England constitutes the basis of jurisprudence.
(B) The law students’ examination shall be administered twice a year at reasonable intervals.
(3)If any of the first three administrations of the law students’ examination described in paragraph (1) includes the June 2020 administration, the applicant shall be permitted to pass the examination within its first four administrations upon becoming eligible to take the examination and shall receive credit for all law studies completed to the time the examination is passed.
SEC. 5.
Section 6060.25 of the Business and Professions Code is amended to read:6060.25.
(a) Notwithstanding any other law, any identifying information submitted by an applicant to the State Bar for admission and a license to practice law and all State Bar admission records, including, but not limited to, bar examination scores, law school grade point average (GPA), undergraduate GPA, Law School Admission Test scores, race or ethnicity, and any information contained within the State Bar Admissions database or any file or other data created by the State Bar with information submitted by the applicant that may identify an individual applicant, other than information described in subdivision (b), shall be confidential and shall not be disclosed pursuant to any state law, including, but not limited to, the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code).(b) Subject to existing state and federal laws protecting education records, subdivision (a) does not prohibit the disclosure of any of the following:
(1) The names of applicants who have passed any examination administered, given, or prescribed by the Committee of Bar Examiners. State Bar.
(2) Information that is provided at the request of an applicant to another jurisdiction where the applicant is seeking admission to the practice of law.
(3) Information provided to a law school that is necessary for the purpose of the law school’s compliance with
accreditation or regulatory requirements. Beginning with the release of results from the July 2018 bar examination, the information provided to a law school shall also include the bar examination results of the law school’s graduates allocated to the law school and the scores of any graduate allocated to the law school who did not pass the bar examination and who consents to the release of the graduate’s scores to the law school. Consent of a law school graduate to the release of the graduate’s scores may be obtained by a check-off on the graduate’s application to take the bar examination. For purposes of this paragraph, “scores” means the same scores reported to a graduate who did not successfully pass the bar examination.
(4) Information provided to the National Conference of Bar Examiners or a successor nonprofit organization in connection to the State Bar’s administration of any examination.
(5) This subdivision shall apply retroactively to January 1, 2016.
(c) Disclosure of any of the information in paragraphs (2) to (4), inclusive, of subdivision (b) shall not constitute a waiver under Section 7921.505 of the Government Code of the exemption from disclosure provided for in subdivision (a) of this section.
(d) (1) Notwithstanding any other law except existing state and federal laws protecting education records, any information received from an educational or testing entity that is collected by the State Bar for the purpose of conducting a Law School Bar Exam Performance Study as the State Bar has been directed to do by the California Supreme Court by letter dated February 28, 2017, other than aggregate, summary, or statistical data that does not identify any person and does not provide
substantial risk of identification of any person, shall be confidential and shall not be disclosed pursuant to any state law, including, but not limited to, the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code).
(2) Nothing in this subdivision is intended to impact any litigation pending on the effective date of the measure that added this subdivision.
SEC. 6.
Section 6060.3 of the Business and Professions Code is amended to read:6060.3.
(a) An application to take the California bar examination administered in February must be filed with the(b) The examining committee State Bar may accept applications to take the California bar examination filed after the timely deadlines specified in subdivision (a) from applicants if the application is accompanied by the timely application fee and the late filing fee fixed by the board as follows:
(1) An application to take the California bar examination filed between the first and last business days in November for the February examination or between the first and last business
days of April for the July examination shall be accepted if it is accompanied by the timely filing fee and a late fee not to exceed fifty dollars ($50).
(2) An application to take the California bar examination filed between the last business day of November and January 1 for the February examination or between the last business day of April and June 1 for the July examination shall be accepted if it is accompanied by the timely filing fee and a late fee not to exceed two hundred fifty dollars ($250).
(3) An application to take the California bar examination filed after January 1 for the February examination and after June 1 for the July examination shall not be accepted.
(c) Application fees for the California bar examination, including fees for late filing, shall be refunded if the applicant does not take the
California bar examination because of the death of an immediate family member or the serious illness or disabling injury of the applicant or a member of his or her their immediate family. A deduction may be made from the refund for administrative costs. The board shall adopt regulations for the administration of this subdivision. This subdivision shall not be construed to prohibit the refund of fees in instances other than those specified.
SEC. 7.
Section 6062 of the Business and Professions Code is amended to read:6062.
(a) To be certified to the Supreme Court for admission, and a license to practice law, a person who has been admitted to practice law in a sister state, United States jurisdiction, possession, territory, or dependency the United States may hereafter acquire shall:(1) Be of the age of at least 18 years.
(2) Be of good moral character.
(3) Have passed the general bar examination given by the examining committee. State Bar. However, if that person
has been an active licensee in good standing of the bar of the admitting sister state or United States jurisdiction, possession, or territory for at least four years immediately preceding the first day of the examination applied for, he or she they may elect to take the Attorneys’ Examination rather than the general bar examination. Attorneys admitted less than four years and attorneys admitted four years or more in another jurisdiction but who have not been active licensees in good standing of their admitting jurisdiction for at least four years immediately preceding the first day of the examination applied for must take the general bar examination administered to general applicants not admitted as attorneys in other jurisdictions.
(4) Have passed an
examination in professional responsibility or legal ethics as the examining committee
State Bar may prescribe.
(b) To be certified to the Supreme Court for admission, and a license to practice law, a person who has been admitted to practice law in a jurisdiction other than in a sister state, United States jurisdiction, possession, or territory shall:
(1) Be of the age of at least 18 years.
(2) Be of good moral character.
(3) Have passed the general bar examination given by the examining committee. State Bar.
(4) Have passed an examination in
professional responsibility or legal ethics as the examining committee
State Bar may prescribe.
(c) The amendments to this section made at the 1997–98 Regular Session of the Legislature shall be applicable on and after January 1, 1997, and do not constitute a change in, but are declaratory of, existing law.
SEC. 8.
Section 6063 of the Business and Professions Code is amended to read:6063.
Applicants for admission to practice shall pay such reasonable fees, fixed by the board, as may be necessary to defray the expense of administering the provisions of this chapter, relating to admission to practice. These fees shall be collected by theSEC. 9.
Section 6064 of the Business and Professions Code is amended to read:6064.
(a) Upon certification by the(b) Upon certification by the examining committee
State Bar
that an applicant who is not lawfully present in the United States has fulfilled the requirements for admission to practice law, the Supreme Court may admit that applicant as an attorney at law in all the courts of this state and may direct an order to be entered upon its records to that effect. A certificate of admission thereupon shall be given to the applicant by the clerk of the court.
SEC. 10.
Section 6065 of the Business and Professions Code is amended to read:6065.
(2)The applicant also has the right to inspect the grading of the papers whether the record thereof is marked upon the examination or otherwise.
(b)This section shall become operative on January 1, 2009.
SEC. 11.
Section 6086.1 of the Business and Professions Code is amended to read:6086.1.
(a) (1) Subject to subdivision (b), and except as otherwise provided by law, hearings and records of original disciplinary proceedings in the State Bar Court shall be public, following a notice to show cause.(2) Subject to subdivision (b), and except as otherwise provided by law, hearings and records of the following matters shall be public:
(A) Filings for involuntary inactive enrollment or restriction under subdivision (a), (c), (d), or (e) of Section 6007.
(B) Petitions for reinstatement under Section 6078.
(C) Proceedings for suspension or
disbarment under Section 6101 or 6102.
(D) Payment information from the Client Security Fund pursuant to Section 6140.5.
(E) Actions to cease a law practice or assume a law practice under Section 6180 or 6190.
(b) All disciplinary investigations are confidential until the time that formal charges are filed and all investigations of matters identified in paragraph (2) of subdivision (a) are confidential until the formal proceeding identified in paragraph (2) of subdivision (a) is instituted. These investigations shall not be disclosed pursuant to any state law, including, but not limited to, the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code). This confidentiality requirement may be waived under any of the following exceptions:
(1) The licensee whose conduct is being investigated may waive confidentiality. or has been investigated consents to a public announcement or disclosure.
(2) (A) The Chief Trial Counsel or Chair of the State Bar may waive confidentiality, but only when warranted for protection of the public. Under those circumstances,
(B) Under the circumstances in this paragraph, after private notice to the licensee, the Chief Trial Counsel or Chair of the State Bar may issue, if appropriate, one or more public announcements or make information public confirming the fact of an investigation or proceeding, clarifying the procedural aspects and current status, and defending the right of the licensee to a fair hearing. If generally or to specified individuals or entities that defends the right of the licensee to a fair hearing and does any of the following:
(i) Confirms the fact of an
investigation or proceeding.
(ii) Provides a brief factual summary to identify the subject matter of the investigation or proceeding.
(iii) Provides that status of the investigation or proceeding.
(C) If the Chief Trial Counsel or Chair of the State Bar for any reason declines to exercise the authority provided by this paragraph, or self-disqualifies from acting under this paragraph, the Chief Trial Counsel or Chair of the State Bar shall designate someone to act in that person’s behalf. Conduct of a licensee that is being inquired into by the State Bar but that is not the subject of a formal investigation shall not be disclosed to the public.
(3) The Chief Trial Counsel or Chief Trial Counsel’s designee may waive confidentiality pursuant to Section 6044.5.
(c) (1) Notwithstanding the confidentiality of investigations, the board may vote to waive confidentiality, but only when warranted for protection of the public. The board shall hold a meeting under this subdivision in closed session.
(A) The board shall provide a licensee whose confidential information is being considered for disclosure five days’ notice of the fact that the board will be meeting to consider waiving confidentiality and that the licensee may submit a written statement to the board in writing.
(B) When assessing whether to
waive confidentiality and to what extent the board shall, at a minimum:
(i) Apply a presumption in favor of maintaining confidentiality.
(ii) Consider the extent to which the allegations or issues involved in the investigation are already publically disclosed or generally known to the public.
(iii) Consider the gravity of the underlying allegation and potential for continued harm to the public.
(iv) Consider the potential for harm to the reputation of the licensee.
(2) If the board votes to waive confidentiality and only after complying with the requirements in paragraph (3), the Chief Trial Counsel or Chair of the State Bar may issue, if appropriate, one or more public announcements or
make information public that defends the right of the licensee to a fair hearing and does any of the following:
(A) Confirms the fact of an investigation or proceeding.
(B) Provides a brief factual summary to identify the subject matter of the investigation or proceeding.
(C) Provides that status of the investigation or proceeding.
(3) Before making any public announcements pursuant to paragraph (1), the State Bar shall provide notice to the licensee pursuant to Chapter 4 (commencing with Section 413.10) of Title 5 of Part 2 of the Code of Civil Procedure of all of the following:
(A) The fact that the board has voted to waive confidentiality.
(B) A description of the information that may be disclosed to the public.
(C) That the licensee has five days to notify the State Bar that they are contesting the release of the information.
(d) (1) A licensee may file a motion to prevent the State Bar from disclosing information pursuant to subdivision (c).
(2) If a licensee files a motion under paragraph (1) the proceeding shall be afforded priority on the court calendar, and the matter shall be heard within 10 days from the filing of the motion.
(c)
(e) Notwithstanding the confidentiality of investigations, the State Bar shall disclose to any member of the public so inquiring, any information reasonably available to it pursuant to subdivision (o) of Section 6068, and to Sections 6086.7, 6086.8, and 6101, concerning a licensee of the State Bar that is otherwise a matter of public record, including civil or criminal filings and dispositions.
SEC. 12.
Section 6086.15 of the Business and Professions Code is amended to read:6086.15.
(a) The State Bar shall issue an Annual Discipline Report by(1) The inventory of cases within the Office of Chief Trial Counsel which were open at the start of the
reporting period, were opened during the reporting period, remain pending with the office at the close of the reporting period, or were disposed of during the reporting period by closure, by filing of a stipulation with the State Bar Court, by filing of a notice of disciplinary charges with the State Bar Court, or by transmittal of a criminal conviction to the State Bar Court. The State Bar shall also report on its success in meeting the case processing goals set forth in Section 6094.5, including, but not limited to, tables showing the number and percentage of cases meeting each goal, the number and percentage of those cases not disposed of within the case processing goals, and a high-level explanation of the reasons for failing to meet those case processing goals. The inventory of cases shall not be limited to case types that could result in the filing of a notice of disciplinary charges in the State Bar Court, but shall also include Nonattorney Unauthorized Practice of Law (NA-UPL), Section 6007 matters,
moral character matters, resignations with charges pending, and mini-reinstatements.
(2) The number of inquiries and complaints and their disposition.
(3) The number, average pending times, and types of matters self-reported by licensees of the State Bar pursuant to subdivision (o) of Section 6068 and subdivision (c) of Section 6086.8.
(4) The number, average pending times, and types of matters reported by other sources pursuant to Sections 6086.7, 6086.8, 6091.1, subdivisions (b) and (c) of Section 6101, and Section 6175.6.
(5) The speed of complaint handling and dispositions by type, measured by the median and the average processing times.
(6) The number, average pending times, and types
of filed notices of disciplinary charges and formal disciplinary outcomes.
(7) The number, average pending times, and types of other matters, including petitions to terminate practice pursuant to Section 6180 or 6190, interim suspensions and license restrictions pursuant to Section 6007, motions to enforce a binding arbitration award, judgment, or agreement pursuant to subdivision (d) of Section 6203, motions to revoke probation, letters of warning, private reprovals, admonitions, and agreements in lieu of discipline.
(8) The number, average pending times, and outcomes of complaints involving a State Bar licensee who has been disbarred or who has resigned, and is engaged in the unauthorized practice of law, including referrals to district attorneys, city attorneys, or other prosecuting authorities, or petitions to terminate practice pursuant to Section 6180.
(9) The number, average pending times, and outcomes of complaints against nonattorneys engaged in the unauthorized practice of law, including referrals to district attorneys, city attorneys, or other prosecuting authorities; petitions to terminate practice pursuant to Section 6126.3; or referrals to prosecuting authorities or actions by the State Bar pursuant to Section 6126.7.
(10) A description of the condition of the Client Security Fund, including an accounting of payouts.
(11) An accounting of the cost of the discipline system by function.
(12) Compliance with the requirement of Section 6101 to transmit, within 30 days of receipt, the record of any criminal conviction which involves or may involve moral turpitude to the Supreme Court, or to close the
matter if transmittal to the Supreme Court is not appropriate.
(b) The Annual Discipline Report shall include statistical information presented in a consistent manner for year-to-year comparison.
(c) The Annual Discipline Report shall be presented to the Chief Justice of California, to the Governor, to the Speaker of the Assembly, to the President pro Tempore of the Senate, and to the Assembly and Senate Judiciary Committees, for their consideration and shall be considered a public document.
(d) (1) All data relating to the items set forth in subdivision (a) shall also be reported, if available, for the preceding five years. Data from 2020 and prior years shall be reported for the calendar year. Except as specified in paragraph (2), data from 2021 and future years shall be reported based on the
state fiscal year.
(2) The Annual Discipline Report due on October 31, 2022, shall include data from both the prior state fiscal year and the prior calendar year.
SECTION 1.SEC. 13.
Section 6090.8 is added to the Business and Professions Code, to read:(a)(1)A licensee of the State Bar who knows that another licensee has engaged in professional misconduct to the detriment of a client and that raises a substantial question as to that licensee’s honesty, trustworthiness, or ability to perform legal services with competence, shall inform the State Bar.
(2)
6090.8.
(a) (1) A licensee of the State Bar who knows that another licensee has conspired to engage in, or has engaged in, treason, sedition, or insurrection against the State of California or the United States, shall inform the State Bar.(3)
(2) For the purpose of this subdivision, “knows” means actual knowledge of the fact in question. A licensee’s knowledge may be
inferred from circumstances.
(b) This section does not require disclosure of information otherwise protected by the attorney-client privilege or information gained by a licensee while participating in the Attorney Diversion and Assistance Program.
(c) A licensee of the State Bar who makes a complaint to the State Bar pursuant to subdivision (a) with the intent to intimidate, harass, or otherwise deter a fellow licensee from engaging in the lawful practice of law shall be deemed to have committed professional misconduct.
(d) The board may amend the Rules of Professional Conduct, and shall propose those amendments to the Supreme Court for approval, to implement this section.
SEC. 14.
Section 6102 of the Business and Professions Code is amended to read:6102.
(a) Upon the receipt of the certified copy of the record of conviction, if it appears therefrom that the crime of which the attorney was convicted involved, or that there is probable cause to believe that it involved, moral turpitude or is a felony under the laws of California, the United States, or any state or territory thereof, the Supreme Court shall suspend the attorney until the time for appeal has elapsed, if no appeal has been taken, or until the judgment of conviction has been affirmed on appeal, or has otherwise become final, and until the further order of the court. Upon its own motion or upon good cause shown, the court may decline to impose, or may set aside, the suspension when it appears to be in the interest of justice to do so, with due regard being given to maintaining the integrity of, and confidence in, the profession.(b) For the purposes of this section, a crime is a felony under the law of California if it is declared to be so specifically or by subdivision (a) of Section 17 of the Penal Code, unless it is charged as a misdemeanor pursuant to paragraph (4) or (5) of subdivision (b) of Section 17 of the Penal Code, irrespective of whether in a particular case the crime may be considered a misdemeanor as a result of postconviction proceedings, including proceedings resulting in punishment or probation set forth in paragraph (1) or (3) of subdivision (b) of Section 17 of the Penal Code.
(c) After the judgment of conviction of an offense specified in subdivision (a) has become final or, irrespective of any subsequent order under Section 1203.4 of the Penal Code or similar statutory provision, an order granting probation has been made suspending the imposition of sentence, the Supreme
Court shall summarily disbar the attorney if the offense is a felony under the laws of California, the United States, or any state or territory thereof, and either: (1) an element of the offense is the specific intent to deceive, defraud, steal, or make or suborn a false statement, or involved moral turpitude, or (2) the facts and circumstances of the offense involved moral turpitude.
(d) For purposes of this section, a conviction under the laws of another state or territory of the United States shall be deemed a felony if:
(1) The judgment or conviction was entered as a felony irrespective of any subsequent order suspending sentence or granting probation and irrespective of whether the crime may be considered a misdemeanor as a result of postconviction proceedings.
(2) The elements of the offense for which the
licensee was convicted would constitute a felony under the laws of the State of California at the time the offense was committed.
(e) Except as provided in subdivision (c), if after adequate notice and opportunity to be heard (which hearing shall not be had until the judgment of conviction has become final or, irrespective of any subsequent order under Section 1203.4 of the Penal Code, an order granting probation has been made suspending the imposition of sentence), the court finds that the crime of which the attorney was convicted, or the circumstances of its commission, involved moral turpitude, it shall enter an order disbarring the attorney or suspending him or her them from practice for a limited time, according to the gravity of the crime and the
circumstances of the case; otherwise it shall dismiss the proceedings. determine if the facts and circumstances surrounding the conviction involve other misconduct warranting discipline, and if so, impose the appropriate discipline. In determining the extent of the discipline to be imposed in a proceeding pursuant to this article, any prior discipline imposed upon the attorney may be considered.
(f) The court may refer the proceedings or any part thereof or issue therein, including the nature or extent of discipline, to the State Bar for hearing, report, and recommendation.
(g) The record of the proceedings resulting in the conviction, including a transcript of the testimony therein, may be
received in evidence.
(h) The Supreme Court shall prescribe rules for the practice and procedure in proceedings conducted pursuant to this section and Section 6101.
(i) The other provisions of this article providing a procedure for the disbarment or suspension of an attorney do not apply to proceedings pursuant to this section and Section 6101, unless expressly made applicable.
SEC. 2.SEC. 15.
Section 6140 of the Business and Professions Code is amended to read:6140.
(a) The board shall fix the annual license fee for active licensees for 2024 at a sum not exceeding(b) The annual license fee for active licensees is payable on or before the first day of February of each year. If the board finds it appropriate and feasible, it may provide by rule for payment of fees
on an installment basis with interest, by credit card, or by other means, and may charge licensees choosing any alternative method of payment an additional fee to defray costs incurred by that election.
(c) This section shall remain in effect only until January 1, 2025, and as of that date is repealed.
SEC. 16.
Section 6140.5 of the Business and Professions Code is amended to read:6140.5.
(a) The board shall establish and administer a Client Security Fund to relieve or mitigate pecuniary losses caused by the dishonest conduct of licensees of the State Bar, foreign legal consultants registered with the State Bar, and attorneys registered with the State Bar under the Multijurisdictional Practice Program, arising from or connected with the practice of law. Any payments from the fund shall be discretionary and shall be subject to regulation, conditions, and rules as the board shall prescribe. The board may delegate the administration of the fund to the State Bar Court, or to any board or committee created by the board of trustees.(b) Upon making a payment to a person who has applied to the fund for payment to relieve or mitigate pecuniary losses
caused by the dishonest conduct of a licensee, the State Bar is subrogated, to the extent of that payment, to the rights of the applicant against any person or persons who, or entity that, caused the pecuniary loss. The State Bar may bring an action to enforce those rights within three years from the date of payment to the applicant.
(c) Any licensee whose actions have caused the payment of funds to an applicant from the Client Security Fund shall owe those funds to the State Bar and reimburse the Client Security Fund for all moneys paid out as a result of the licensee’s conduct with interest, in addition to payment of the assessment for the procedural costs of processing the claim. The State Bar may collect any money paid out by the Client Security Fund pursuant to this subdivision through any means provided by law. The licensee’s obligation to reimburse the
Client Security Fund pursuant to this section is imposed as a penalty, payable to and for the benefit of the State Bar of California, a public corporation created pursuant to Article VI of the California Constitution, to promote rehabilitation and protect the public. This subdivision is declaratory of existing law.
(d) For a publicly reproved or suspended licensee, the reimbursed amount by the Client Security Fund, plus applicable interest and costs, shall be paid as a condition of continued practice. This amount shall be added to and become a part of the license fee of a publicly reproved or suspended licensee.
(e) For a licensee who resigns with disciplinary charges pending or a licensee who is resigned or disbarred, the reimbursed amount by the Client Security Fund, plus applicable interest and costs, shall be paid as a condition of applying for
reinstatement of the licensee’s license to practice law or return to active license status.
(f) Any assessment against an attorney pursuant to subdivision (c) that is part of an order imposing a public reproval on a licensee or is part of an order imposing discipline or accepting a resignation with a disciplinary matter pending, or any reimbursed amount that is part of a final determination by the Client Security Fund, may also be enforced as a money judgment. This subdivision does not limit the power of the Supreme Court to alter the restitution amount owed pursuant to an order imposing public reproval on a licensee or an order imposing discipline or accepting a resignation with a disciplinary matter pending, or to authorize the State Bar Court to do the same.
(g) To obtain a money judgment pursuant to subdivision (f) that is not part of a court order imposing a public reproval
on a licensee or is not part of a court order imposing discipline or accepting a resignation with a disciplinary matter pending, the State Bar shall file a certified copy of the Notice of Payment of the Client Security Fund with the clerk of the superior court of any county. The clerk shall immediately enter judgment in conformity with the Notice of Payment. The judgment shall have the same force and effect as a judgment in a civil action and may be enforced in the same manner as any other judgment.
(h) The defense of laches shall not be raised by the licensee whose actions have caused the payment of funds to an applicant from the Client Security Fund with respect to any payment owed to the State Bar, or with respect to any collections efforts by the State Bar for those payments.
(i) Subdivisions (c), (f), and (h) have, and shall have, retroactive application, as well as
prospective application.
(j) As used in this section, “licensee” shall include a foreign legal consultant registered with the State Bar.
SEC. 17.
Section 6141 of the Business and Professions Code is amended to read:6141.
(a)(b) An inactive licensee shall not be required to pay the annual license fee for inactive licensees for any calendar year following the calendar year in which the licensee attains 70 years of age.
(c) This section shall become operative on January 1, 2023. 2024.
SEC. 18.
Section 6145 of the Business and Professions Code is amended to read:6145.
(a) The board shall engage the services of an independent national or regional public accounting firm with at least five years of experience in governmental auditing for an audit of its financial statement for each fiscal year. The financial statement shall be promptly certified under oath by the chief financial officer of the State Bar, and a copy of the audit and financial statement shall be submittedThe
audit also shall examine the receipts and expenditures of the State Bar to ensure that the funds collected on behalf of the Conference of Delegates of California Bar Associations as the independent successor entity to the former Conference of Delegates of the State Bar are conveyed to that entity, that the State Bar has been paid or reimbursed for the full cost of any administrative and support services provided to the successor entity, including the collection of fees or donations on its behalf, and that no mandatory fees are being used to fund the activities of the successor entity.
In selecting the accounting firm, the board shall consider the value of continuity, along with the risk that continued long-term engagements of an accounting firm may affect the independence of that firm.
(b) The board shall contract with the California State Auditor’s Office to conduct a performance audit of the State
Bar’s operations from July 1, 2000, to December 31, 2000, inclusive. A copy of the performance audit shall be submitted by May 1, 2001, to the board, to the Chief Justice of the Supreme Court, and to the Assembly and Senate Committees on Judiciary.
Every two years thereafter, the board shall contract with the California State Auditor’s Office to conduct a performance audit of the State Bar’s operations for the respective fiscal year, commencing with January 1, 2002, to December 31, 2002, inclusive. A copy of the performance audit shall be submitted within 120 days of the close of the fiscal year for which the audit was performed to the board, to the Chief Justice of the Supreme Court, and to the Assembly and Senate Committees on Judiciary.
For the purposes of this subdivision, the California State Auditor’s Office may contract with a third party to conduct the performance audit. This subdivision is not intended to reduce
the number of audits the California State Auditor’s Office may otherwise be able to conduct.
(c) (1) For the 2023 audit required pursuant to subdivision (b), the California State Auditor’s Office shall conduct a performance audit of the State Bar as set forth in this subdivision. The State Bar shall provide technical assistance, data, or information as requested by the California State Auditor. It is the intent of the Legislature that this audit may be reviewed in conjunction with the legislation that authorizes the State Bar’s licensing fee in 2023.
(2) The audit shall evaluate each program or division of the State Bar receiving support from the annual State Bar licensing fees and other fees required of active and inactive licensees.
(3) The audit shall, at minimum, include all of the following
for each program or division described by paragraph (2):
(A) An assessment of how much fee revenue, staff, and resources are currently budgeted and subsequently expended to perform existing tasks and responsibilities.
(B) An assessment of whether the State Bar has appropriate program performance measures in place and how these measures are used for budgeting purposes.
(C) An assessment of the usage of any real property sold by the State Bar.
(D) A review of the State Bar’s cost allocation plan used to allocate administrative costs.
(E) A review of any proposals for additional funding or resources requested by the State Bar to determine whether these proposals are necessary to meet the
State Bar’s public protection function, as well as the accuracy of identified associated funding needs, after reviewing how existing resources are used.
(F) A calculation of how much fee revenue would be needed from each State Bar active and inactive licensee to fully offset State Bar costs to perform existing tasks and responsibilities and to support additional proposed expenditures determined to be necessary to meet the State Bar’s public protection function. This calculation shall take into account any proposed business process reengineering, reallocations, or efficiencies identified by the California State Auditor.
(4) The audit shall include an evaluation of how the State Bar administers discipline cases that require an outside investigator or prosecutor and how that process can be improved, including the cost-effectiveness and timeliness of such investigations and
prosecutions.
(5) The audit required by this subdivision shall be submitted by April 15, 2023, to the board of trustees, the Chief Justice of the Supreme Court, and to the Assembly and Senate Committees on Judiciary.
(6) The State Bar shall use existing resources to reimburse the California State Auditor’s Office for the costs of conducting the audit required by this subdivision.
SEC. 19.
Section 6238 of the Business and Professions Code is repealed.The committee shall report to the Board of Trustees and to the Legislature not later than March 1, 2003, and annually thereafter, on the implementation and operation of the program. The report shall include, but is not limited to, information concerning the number of cases accepted, denied, or terminated with compliance or noncompliance, and annual expenditures related to the program.
SEC. 20.
The Legislature finds and declares that Section 11 of this act, which amends Section 6086.1 of the Business and Professions Code, imposes a limitation on the public’s right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:Due to the confidential nature
of the information that the Board of Trustees will be considering, it is necessary that their consideration of the information be done in closed session.
