Background Fees assessed for various State Bar admissions services and functions are supposed to fully cover the cost of providing those services. However, current admissions fees do not cover expenses. As a result, the admissions budget has a structural deficit.

In 2023, the State Bar will have to draw $7 million from reserves to cover the costs of admissions services and functions. We project that by the end of 2023, reserves in the Admissions Fund will dwindle to $4 million, which will not be enough to bridge the gap between revenues and expenses in 2024. To resolve this deficit, we need to both increase fees and cut costs. If we cannot raise fees enough to fully cover program costs, we may have to make severe cutbacks in staffing and services. Please also see the proposal out for public comment on reducing costs for administering the bar exam.

How did we get here? Some admissions fees have not increased in decades. Fees for the two largest areas of activity and expense—the California Bar Exam and the moral character determination process—have not increased since 2016. While fees have not increased, costs have. Routine increases in the costs of putting on the bar exam, inflation, staff salary increases, inflation, and the COVID-19 pandemic have all added significantly to the costs of doing business.

In April and May 2023, public comments were sought on options for fee increases. The proposed fee increases have been revised based on direction from the Board of Trustees and the public comments received.