Court approves Bar's requested fee hike.

The Florida Supreme Court has approved an annual fee increase for active and inactive members of The Florida Bar.

The new fees will be $265, up from $190, for active members, and $175, up from $140, for inactive members.

No one appeared before the court during oral argument to oppose the higher fees, but justices asked questions ranging from how much the Bar recoups in costs from disciplined lawyers to how the Bar fees compared with other mandatory bars.

The fee hike is expected to provide a $2-million surplus next year, a turnaround from the current budget that may find the Bar losing up to $2 million.

Bar President-elect Terry Russell, who represented the Bar along with outgoing Budget Committee Chair Jesse Diner and incoming chair William Kalish, said the hike is essential. Noting challenges nationally to the profession and the independence of the courts, he said, "It is extraordinarily important for the unified bars and The Florida Bar in particular to maintain fiscal integrity. . against the possibility the day comes when we have to take our case to the people."

Diner and Kalish recounted how in recent years Bar surpluses have dwindled into deficits as membership has increased, unlicensed practice of law enforcement has risen, new grievance programs have been established and the Professionalism Center has been set up. At the same time, they noted that earnings from investing surplus Bar funds have declined.

Justice Leander Shaw asked what would happen if the increase were not granted, and Diner replied that the Bar would run out of money in 2004.

"Couldn't you cut programs?" Shaw asked.

"Yes, but the question is: Where do you cut programs that are beneficial to the public and that regulate the profession?" Diner answered.

Justice Peggy Quince asked how much the Bar recouped in costs from disciplined attorneys, and Kalish replied that it was $300,000 to $400,000 annually (about half of the total amount assessed and less than five percent of the Bar's about $11- million spent on lawyer regulation). Justice Fred Lewis then asked if that could be increased, but Kalish said it was difficult, because many lawyers have other problems and hence difficulty in paying. Court rules authorized what specific costs the Bar can recover, and all judgments are recorded, although many disciplined lawyers have few assets from which the Bar can recover.

Justices also asked about the proposed hike in inactive fees, and Kalish and Diner said inactive members...