The ABA Journal reporting on an interesting trend. Law Schools are trying to deal with the current economic situation and the decline of law school applicants.
The Wall Street Journal (subscription required) reports that LSAC’s (Law School Admission Council) most recent data shows that as of July 5th, applications for the entering class of 2013 fell by 36% compared to the entering class in 2010.
These faculty cuts are noted in the article:
- Hamline University School of Law in St. Paul, Minn., has cut full-time faculty about 18 percent since 2010. Fourteen faculty members have left or plan to leave after accepting early retirement incentives.
- Eight professors at Vermont Law School have agreed to retire early, take pay cuts or give up tenure.
- Twenty-one professors accepted buyout packages at Widener University School of Law in Wilmington, Del., and Harrisburg, Pa.
- Seven professors accepted early retirement packages from the University of Dayton School of Law.
- Seven untenured professors at Seton Hall University School of Law in Newark, N.J., have received notice that their contracts might not be renewed for the 2014-15 academic year.
- The University of the Pacifics McGeorge School of Law in Sacramento, Calif., is accelerating plans to cut the size of the law school and use some of its campus for other graduate-level classes.
via Law schools cope with declining enrollment by quietly cutting faculty – ABA Journal.
MinnPost reports that Governor Dayton dropped the controversial business-to-business tax, which would impose taxes on legal services.
Gov. Mark Dayton said in a speech Friday morning that he’s taking the controversial business-to-business tax — which had been much villified by many executives — off the table.
Speaking to the TwinWest Chamber of Commerce Legislative Breakfast at a St. Louis Park hotel, Dayton brought much relief to many business leaders there. State officials said it would have added $2.2 billion in state revenue by taxing business services such as advertising and legal advice.
MPR reported that Dayton said his initial budget proposal “obviously lacked public support” and that now “it lacks mine.”
Now, the anticipated new budget was set to be released on Tuesday, but it was delayed. Governor Dayton’s staff stated that it will released “later in the week” since the tweaking of numbers continues. You can read MinnPost article here.
via Gov. Dayton takes business-to-business tax out of his budget | MinnPost.
Like Governor Pawlenty, Governor Dayton now wants to create a legal services tax. The effect of such a bill would mean that the next time you or your client wants to seek a lawyer’s aid, in addition to paying the attorney’s fees, the client will need to pay a burdensome tax on legal services.
To reduce the budget deficit, this is what Governor Dayton proposed:
- Reducing corporate income tax from 9.8% to 8.4%. A huge drop of 1.4%.
- Governor Dayton stated that he wants to tax clothing that costs more than $100.
- Governor Dayton wants to tax the following services: legal, accounting, architecture, specialized design, computer, management consulting, advertising, employment and business support services.
Taxing legal services is a bad idea, which would significantly impact a population that cannot afford to get hit. And why is that? The legal services tax will be paid by the client.
So say, you are trying to fight foreclosure. The owner of the home will have to pay that tax. Or say, you are trying to fight a custody battle. The parent will have to pay that tax.
Imposing such a severe burden on the middle-class, as well as the lower-class, will inevitably have a chilling effect. In other words, the vast majority of Americans will no longer have a viable resource when exercising their constitutional rights.
The Minnesota State Bar Association shares this same viewpoint. In addition, the MSBA has also stated that the tax would be next to impossible to administer.
via Dayton unveils a legal services tax to fill budget deficit – MinnLawyer Blog.
DFL Gov. Mark Dayton has signed the state budget, ending a 20-day state government shutdown.
As published by Minnesota Lawyer Blog:
Gov. Mark Dayton sent a letter to GOP leaders of the Legislature on Thursday offering to accept their proposal — with several conditions — made on the eve of the state government shutdown to solve the $5 billion budget deficit.
Read his letter here (PDF).
Parents and child care providers are expressing relief at a judge’s ruling Wednesday to restore funding for child care assistance programs in Minnesota.
The programs lost funding when the state government shut down July 1. That left thousands of families without the subsidies that helped them pay for child care. And it left providers scrambling to cope with a loss of revenue.
Child care assistance is funded by a mixture of federal and state funding. A June 29 ruling by Kathleen Gearin preserved one funding source, but the Department of Human Services said it was impossible to separate it out from the others.
Judge Gearin’s ruling Wednesday ordered all three child care assistance programs should receive funding.
via Judge restores child care assistance during gov’t shutdown | Minnesota Public Radio News.
Sadly, there was no budget reached yesterday. Today the government halts its programs. As previously discussed, the Courts will remain open. However, many government services will stop.
See MPR article.
Judge Gearin issued her decision, available online here and here, regarding what parts of the government shall keep functioning if a shutdown was to happen.
Yesterday, a ruling came down stating that a closing of the Judicial branch would be an irreperable violation of many rights guaranteed by the Minnesota Constitution. The ruling can be read here.
Ramsey County judge Kathleen Gearin has denied Gov. Mark Dayton’s request for a mediator in the state government budget impasse.
Gearin is hearing legal arguments Thursday over a possible state government shutdown. If Dayton and the Republican-controlled Legislature can’t reach a deal to balance Minnesota’s budget by July 1, state government will shutdown.