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Debate over audit of State Bar centers on scope and authority

Senate Judiciary
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Summary

Supporters urged a one-time review of State Bar practices; opponents, including the State Bar, said the legislative auditor already has contractual access to license-fee records and warned the bill as written would create legal and practical conflicts. Sponsor offered to pursue amendments.

Representative (speaker 5) opened the hearing on House Bill 65, which would authorize a one-time audit of the State Bar of Montana. The sponsor said the State Bar ‘‘fulfills an important governmental purpose’’ because it collects a $25 license tax under a contract with the judicial branch and is closely aligned with the courts, arguing that warranted scrutiny justifies committee review.

Bruce Spencer, representing the State Bar of Montana, urged the committee not to pass HB 65. Spencer said the legislative auditor already has contractual authority to review records associated with the license-tax collection and explained that the State Bar is an independent nonprofit that receives no state funding. He said contractual arrangements require the clerk of the Supreme Court to collect the license tax but…

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