Trust accounting pilot program may be ready for board action in March.

A six-month test program involving up to 10 law firms for a new trust accounting system aimed at eliminating technical problems on complying with Bar trust accounting rules could be ready for Board of Governors' approval in March.

The program could have several additional unexpected benefits, including increasing IOTA income for The Florida Bar Foundation.

Board Parliamentarian Andy Sasso, who chairs the Special Committee on Trust Account Solutions, told the board at its January 20 meeting that the committee had worked extensively the previous two days on the program, including with the Program Evaluation Committee.

FIS Global, a Fortune 500 international banking services company, is assisting the special committee in developing the trust accounting program.

The meetings "really unlocked a lot of additional benefits that this trust accounting program can provide not only to members of The Florida Bar but also potentially to The Florida Bar Foundation and also got us a lot closer to, at the next meeting of the Board of Governors, seeking approval of a six-month pilot program where approximately 10 law firms will use this trust accounting program," Sasso said.

"The ultimate goal is providing any member of The Florida Bar who is interested with a trust accounting system that as long as the attorney puts the correct information in the system when making a deposit and the correct information in the system when making a withdrawal, that their trust account will always be in compliance with the technical requirements of Rule 5 of the Rules Regulating The Florida Bar."

Sasso said the meetings showed there may be additional benefits besides helping members comply with technical trust accounting rules and reducing disciplinary actions in the Bar's grievance system for purely technical violations of trust accounting standards, which would save money for the Bar.

"We also learned it may increase IOTA funds to The Florida Bar Foundation, because of the way this program will work," he said. "It will bundle the IOTA funds, which will increase the actual interest that will be paid."

"That's a critical component. It's not just reducing discipline and saving our attorneys some money but hopefully enhancing what the Foundation is able to get," Bar President Bill Schifino said.

Sasso said the IOTA revenues could go up by 10 to 25 percent. An additional benefit is it will increase FDIC protection on the trust account deposits, which is an additional benefit for...

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