August 2008

Treasurer’s Report

by Douglas Lawrence

By now you may have heard that the WSBA Board of Governors is facing some difficult choices over the next few months. On the one hand, general business expenses have been rising rapidly. Although we enjoy a very favorable rental rate, the cost of office space alone has increased 40 percent over the past three years. State-governed medical and retirement benefit premiums have increased by 62 percent over the same period. Travel costs for the numerous committees, boards, and panels which help develop or oversee WSBA policies, procedures, and regulations have also increased with the rise in gas prices.

On the other hand, WSBA revenues have not been keeping pace with these ever-increasing expenses. For the past several years, the Board has limited license fee increases to two percent annually through 2009. License fees comprise 73 percent of the WSBA’s general fund revenue. The result is that the WSBA is projecting a significant budget deficit in coming years, a situation which must be corrected now.

The Board has already started to address the projected deficit. Earlier this year, the Board started to realign or sunset some WSBA committees to reduce costs or gain greater operating efficiencies. More recently, the Board voted to increase the section per-member charge and to reduce the percentage of section administrative, printing, and mailing costs supported by general license fees over the next three years. The Board may consider reducing other “subsidies” to other discrete WSBA programs traditionally supported by program participants as well. Governors will also be taking a hard look for other program reductions and efficiencies.

But the WSBA also has a mission that it must continue to fulfill. The WSBA is dedicated to serving the public and the members of the Bar, ensuring the integrity of the legal profession, and championing justice. Over this past year, the WSBA has successfully advocated for increased funding for needed court services, greater support for low-income civil legal aid, and additional efforts to protect the vulnerable elderly from harm. The Board of Governors is committed to building on these and other past achievements and improving the legal system and the practice of law across the state.

In the next few months, the Board will be setting the license fees for 2010 and 2011. With the increasing costs associated with our essential member services and the fulfillment of the WSBA’s mission, it is anticipated that an increase in Bar dues will be necessary. The governors are aware of the impact an increase in license fees has on our members. The Board will strive to keep future license fee increases as low as possible in light of the present and anticipated future needs of our association. 

WSBA Governor Douglas Lawrence represents the Eighth District and is WSBA treasurer.