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    Wisconsin Lawyer
    October 01, 2003

    President's Message

    The sound management of its finances helps the State Bar meet its core responsibilities and achieve success.

    George Burnett

    Wisconsin Lawyer
    Vol. 76, No. 10, October 2003

    Fiscal Responsibility

    The sound management of its finances helps the State Bar meet its core responsibilities and achieve success.

    by George Burnett

    George BurnettLast month this column discussed our association's accomplishments and recounted the high esteem the State Bar of Wisconsin enjoys nationally. Success, however, must be measured not only by what this association has achieved, but by the resources invested to produce it. We need to review on occasion the important financial facts about our organization.

    State Bar Dues Have Been Stable Over the Last Decade. Dues have remained constant ($210 per member) since 2000 and are $60 higher today than they were 12 years ago.

    State Bar Dues Are Below Dues of Many Other Bar Associations. Last year, average dues paid in seven surrounding midwestern states were $222. Illinois ($242), Michigan ($260), Nebraska ($250), and Ohio ($245) charged higher dues than Wisconsin; Indiana ($210), Iowa ($150), and Minnesota ($203) charged equal or lower dues. Of the 33 mandatory bar associations nationwide, 19 assessed higher dues.

    State Bar Dues Are Below Dues Charged by Many Other Professional Organizations. Last year, State Bar dues were below dues charged by the state professional associations for doctors ($680), dentists ($550), and nurses ($263), and virtually identical to dues charged for pharmacists and realtors. Our dues exceeded those charged to architects ($140), public accountants ($180), and veterinarians ($160).

    The State Bar Operated in the Black in Fiscal 2003. Ultimately, our financial security depends on revenues generated and expenditures incurred. In the fiscal year ending June 30, 2003, the State Bar generated $8.7 million in total revenues and incurred total expenditures of $8.5 million. Expenses were approximately $750,000 below budget.

    Cost Savings Were Due to Organizational Austerity and Initiative. Reduced expenditures were attributable to significant savings in salaries and in marketing and meeting expenses and to innovations implemented by Executive Director George Brown and staff that saved approximately $100,000 in printing expenses. Personnel savings were due to the consolidation of jobs and the fact that some departing employees were not immediately replaced. Savings in meeting costs, travel, and other costs in seminars reflect commendable austerity and innovation, but further reductions in these items are not likely. Savings in marketing expenses in the CLE Department reflected a downturn in the number of new books products and a more judicious use of email marketing. Yet, new products and innovations in seminar delivery and more aggressive marketing in the books division will likely increase future marketing expenditures.

    Trends Show State Bar Expenditures Have Held Stable Over the Last Several Years. From 2000 to 2002, gross expenses actually fell from $9.1 million to $7.9 million. This occurred while the membership census rose by approximately 3 percent. Gross expenses in 2002 were only slightly higher than gross expenses in 1997. Gross expenses in 2003 ($8.5 million) were slightly higher than expenditures in 1998.

    The Trending Decrease in Gross Revenues Reversed Last Year. Just as expenditures declined, so did revenues, from $9.0 million in 2000 to $8.1 million in 2002. Until last year, membership dues were becoming an increasingly larger percentage of Bar total revenues. Over the last several years, measures taken by Bar leadership reversed the trend in fiscal 2003 and produced an upturn in CLE seminar and book revenues.

    These are some facts about our financial condition. From these facts, three conclusions can be drawn. First, few organizations can say that expenditures today are the same as expenditures four years ago; that is, the State Bar delivers the same service for the same amount of money. Second, State Bar dues compare favorably to those of like associations. Lastly, we will continue to present quality CLE programming and books to our members, for it is a key part of our mission and critical to our financial future.


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