University of Nevada System Board of Regents Law School Feasibility Study

BOARD OF REGENTS UNIVERSITY OF NEVADA SYSTEM LAW SCHOOL FEASIBILITY STUDY May 1980 This report is confidential and intended solely for the information and benefit of the immediate recipient hereof. Cresap, McCormick and Paget ir,c Management Consultants 1S7B I STREET. Nl. W.. WASHINGTON, D. C. aODQB •Telephone (SOS] AS 3-S BOO Washington* New York* Chicago* SanFrancisco London* Melbourne* Sao Paulo The Honorable William Beko, Chairman Law School Study Committee Board of Regents University of Nevada System 405 Marsh Avenue Reno, Nevada 89509 Dear Judge Beko: We are pleased to present our report on the law school feasibility study for the Board of Regents of the University of Nevada System. The study was conducted by Cresap, McCormick and Paget Inc. during the period from March through May 1980. The final recommendation of this report has two parts. We believe the establishment of a law school at this time as part of the University of Nevada System lacks justification in terms of traditional cost/benefit analysis. The decision point comes, however, at a unique time in Nevada's history, when the broader and less tangible benefits of a law school may suggest its establishment despite strong evidence to the contrary. This two-part recommendation is presented with full analysis to frame the public policy debate that must be the basis of a decision in this case. The information and rationale are presented with great thoroughness and care in the report so that the discussion may be as data-based as possible. We would like to thank the Chancellor and his staff for providing invaluable assistance to us in this study. They have been most cooperative and diligent in their support of our study team. It has been a pleasure serving the University of Nevada System in this important effort. May 3, 1980 Sincerely yours, CRESAP, McCORMICK And PAGET Inc. BOARD OF REGENTS UNIVERSITY OF NEVADA SYSTEM LAW SCHOOL FEASIBILITY STUDY TABLE OF CONTENTS Chapter I INTRODUCTION Study Background 1 Study Objectives 2 Study Scope 3 Study Methods 4 Arrangement Of This Report 6 II CURRENT ARRANGEMENTS FOR LEGAL EDUCATION AND RESEARCH IN NEVADA A - Legal Education 1 Western Interstate Commission For Higher Education (WICHE) 1 Law School Programs For Nevadans 4 Washington, D.C., Law Schools 5 Continuing Legal Education (CLE) 6 B - Legal Research 8 Legislative Counsel 8 Attorney General 9 Central Legal Staff Of The Supreme Court 9 Law Library Resources 10 Chapter Page in FRAMEWORK FOR DETERMINING NEVADA'S LEGAL EDUCATION NEEDS Parameters Of The Issue 1 Student Demand 1 Nevada's Demand For Lawyers 2 The Qualitative Dimension 4 Resource Requirements 6 TV ASSESSMENT OF NEVADA'S LEGAL EDUCATION NEEDS A - Student Demand For Legal Education 2 The National Picture 2 The Nevada Situation 5 B - Societal Demand For Lawyers 14 The National Picture 14 Demand For Lawyers In Nevada 16 C - Qualitative Aspects Of Demand 22 Benefits To The State 22 Benefits To The University 24 Benefits To The Profession 25 V THE ESTABLISHMENT OF A LAW SCHOOL A - Overview 1 B - Program Requirements 3 C - Description Of Law School Model 7 Governance And Administration 7 Student Body 7 Curriculum 9 Chapter Page V (Cont'd) Faculty 11 Other Services 13 Tuition Policy 14 Physical Facilities 15 Library Collection 16 Personnel 16 D - Feasibility 19 Capital Costs 19 Operating Costs 20 Cash Outlays 27 Source Of Financing 28 Lead Time For Establishing A New Law School 32 Location 33 E - Impact Of A Law School 36 Student Demand For Legal Education 36 Nevada's Demand For Lawyers 37 Qualitative Benefits 38 VI ALTERNATIVES FOR MEETING NEVADA'S LEGAL EDUCATION NEEDS A - State Subsidies I Description 1 Assessment 2 B - Formal Ties With An Existing Law School 4 Description 4 Assessment 4 C - Private Law School Or Branch Of An Existing Law School 8 Description Assessment 8 8 Chapter VI (Cont'd) D - Legal Institute With Externships 11 Description 11 Assessment 12 VII RECOMMENDATIONS Overview 1 Is A Law School Feasible And Desirable? 2 What Are The Alternatives? 6 Implementation Steps 9 APPENDIXES TABLE OF EXHIBITS Following Exhibit Page II-1 Annual Tuition And Fee Expenses Borne By Nevada WICHE Students, By Law School II-3 II-2 Annual Tuition And Fees Charged To WICHE Law Students By Law School II-3 IV-1 Law School Enrollment And Law School Admissions Test (LSAT) Administrations IV-2 IV-2 Law School Applicants IV-4 IV-3 Full-Time-Equivalent Enrollment, Undergraduate And First Professional Degrees IV-4 IV-4 Law School Applications, Acceptances, And Matriciolations For Nevada Residents IV-5 IV-5 Law School Applications In Nevada And Sunrounding States IV-5 IV-6 Mean LSAT Scores And Acceptance Rates For Law School Applicants From Nevada And Surrounding States IV-5 IV-7 Ranking Of States By LSAT Mean IV-6 rV-8 Nevadans Attending California Law Schools Compared With Those Attending Schools In Other States IV-6 IV-9 Law Schools Attended By University Of Nevada Graduates Who Were Admitted To The Nevada State Bar Association From 1975 To 1979 IV-6 Exhibit Following Paee IV-10 Tuition Differentials, Resident And Nonresident/Private, At Law Schools In Surrounding States IV-7 TV-11 Range Of Projected Law School Applicant Pool IV-9 TV-12 Application Statistics For Resident Applicants In Selected State Law Schools IV-12 IV-13 National Association Of Law Placement, Employment Profile Of Qualified Graduates IV-15 rV-14 Growth In Nevada Lawyer Population Relative If To Growth In Total State Population IV-16 r & , IV-15 Change In Lawyer/Population Ratio In Nevada IV-17 IV-16 Active Attorneys Per Population In Western States IV-17 rV-17 Ratio Of Practicing Lawyers In Nevada To Population, By County IV-17 IV-18 Law Schools Contributing Ten Or More Members Of The Nevada Bar IV-IB IV-19 Home States Of Persons Admitted To The Nevada Bar IV-18 V-1 Public Law Schools With Enrollments Less Than 300 V-7 V-2 Net Square Footage Of Physical Facilities At Seven Western Law Schools V-20 V-3 Comparative Summary Of Budgeted Operating Expenditures, By Category V-20 € Following Exhibit Page V-4 Comparison Of Dean, Faculty, And Head Librarian 'Compensation Among U.S. Law Schools V-21 V-5 National Law School Faculty Distribution And Salaries, By Rank V-21 V-6 Four-Year Operating Expenditure Projection V-25 V-7 Four-Year Projection Of Total Cash Outlays V-27 V-8 Small Public Law Schools, Summary Of Revenues Generated, By Sotarce V-28 V-9 Small Public Law Schools, Comparison Of Tuition And Fees As A Percentage Of Operating Budget V-28 V-10 Analysis Of Nevada Law School Alternative Tuition Revenues V-28 V-11 Revenues From The Federal Slot Tax Credit V-31 I - INTRODUCTION This chapter describes the factors that led to the decision to conduct, with the assistance of outside consultants, a study of the desirability and feasibility of establishing a law school at the University of Nevada. The objectives, scope, and methods of the study are also presented and cire followed by an overview of the arrangement of this report. STUDY BACKGROUND Since 1968 legal education in the United States has grown rapidly, as reflected by expansion in law school applications and enrollment. Between 1968 and 1978, the number of students enrolled in law schools approved by the Americain Bar Association (ABA) increased from 63,000 to 122,000. During the same period, the number of applicants taking the Law School Admissions Test (LSAT) rose from 50,000 to 126,000. A comparison of this number with the approximately 40,000 first-year places available in law schools in 1978 indicates the degree of competition for legal education in the United States. Growth in the legal services offered that is both quantitative and qualitative has paralleled the expansion of legal education. Although estimates are imprecise because of the range of occupations that attract lawyers, both Labor Department and legal profession estimates place the number of lawyers currently practicing at approximately half a million, up from 222,000 in 1950, 286,000 in 1961, and 365,000 in 1970. Moreover, Supreme Court decisions extending the right to legal counsel to all persons accused of crimes, an increase in publicly funded services for low-income persons, and the growth of legal action in such areas as consumer protection, the environment, and safety have contributed to the expansion in legal services. Against this background of dramatic expansion in the legal profession, Nevada stands as an anomaly. Although 41 ABA-approved law schools have been established since 1954, Nevada, Alaska, and Rhode Island alone have no law schools within their borders. Demographic and economic trends in Nevada cohere with the national patterns that have produced an increased supply of lawyers and demand for them. The state population has steadily increased from 160,000 in 1950 to an estimated 767,000 in 1980, and continued growth is estimated to result in a total population of approximately 1,192,000 in 1990. With this growth, the popiilation has become primarily urban, which fosters the complex social, political, and economic relationships that require increased legal resources, both for legal education and for the guidance of policymakers . The state legislature has recognized that Nevada might benefit from expanded legal resources and, in 1974, asked the University of Nevada System to commission a study of the feasibility of establishing a law school at the Las Vegas campus. Although the ensuing study commented favorably on that prospect, the legislature decided not to proceed with establishing a law school. In 1980 the Board of Regents, prompted by continuing interest in the law school concept, decided a new study would be valuable. To ensure broad credibility in conducting the study, the board sought the services of a general management consulting firm and established a Study Committee composed of prominent Nevadans to select the firm and oversee the work. The committee selected Cresap, McCormick and Paget Inc. to conduct an independent study, under contract to the Board of Regents. STUDY OBJECTIVES The study of the desirability and feasibility of establishing a law school at the University of Nevada had five primary objectives: To determine Nevada's needs for legal education and services and the benefits that could accrue to the state from having its own law school On the basis of those needs, to evaluate alternatives for meeting them, in order to assess whether establishment of a law school is the wisest action to pursue To enumerate the resource and program commitments required for a law school - To estimate the costs of establishing and operating a new law school 1-2 To identify factors that affect the most desirable location for a law school. STUDY SCOPE To achieve these five objectives, the study encompassed numerous issues. The following sections indicate the general issues covered that were relevant to each objective. Legal Education And Service Needs The study assessed the prospective pool of lawyers and the need for them in Nevada and the nation as a whole. In particular the study examined: - Trends in law school admissions nationally and for Nevada students - The potential market for graduates of a new law school, including Nevada and national legal occupational outlooks and state demographic and economic trends that may affect the demand for legal services Benefits and services that typically accrue to a state or locale that has a law school. Alternative Approaches To Meeting Those Needs The issues related to an evaluation of alternative approaches comprised an examination of; Current arrangements for training lawyers from and for Nevada - Possible alternative arrangements, short of establishing a new law school, for training Nevada lawyers and furnishing a range of legal services. Requirements For A Law School To determine the resource and program commitments required for a law school, the study focused on: - Factors that determine requirements for a new law school, such as ABA standards and the needs of the school's potential clientele 1-3 The potential characteristics of a Nevada law school, including curriculum, size, facilities, and human resources. Costs Of Establishing A Law School The costs of establishing a new law school were based on target size and program requirements and were divided into two categories: Capital costs: buildings and acquisition of an initial librarycollection Operating costs: salaries and fringe benefits, library acquisitions, administration and maintenance, and scholarships. Location Of A New Law School The study issues related to the most desirable location for a Nevada law school included: - Demographic and economic trends in Reno and Las Vegas - Opportunities for improvement in legal services in the two areas Characteristics and needs of the two campuses of the University of Nevada. STUDY METHODS The assessment of the desirability and feasibility of establishing a Nevada law school was divided into six major tasks: - Prepare detailed study design - Assemble background data Evaluate informed views on legal education and services - Evaluate prospective locations for a law school Assess results Prepare report. 1-4 Task 1 - Prepare Detailed Study Design To develop a foundation for the fact-finding and analytical work, available documents and data were reviewed to identify information necessary for the study. The consultants and the Chancellor's staff then worked out arrangements for gathering the necessary information. Concurrently, the consultants selected persons to interview who were affiliated with state government, the University of Nevada, the legal profession, and other groups. The basis for selecting those interviewed was familiarity with Nevada's situation as regards legal education and services. In connection with the document review, interview list, and discussions with the Study Committee and Chancellor's staff, a detailed plan of activities was prepared and submitted to the committee. Task 2 - Assemble Background Data With the assistance of the Chancellor's staff, the consultants gathered data on: National law education and placement trends Characteristics of the Nevada market for legal education and services Alternative methods of supplying legal education - Facilities, library, personnel, and program requirements and costs relevant to the feasibility of establishing a new law school. The consultants also obtained from certain law schools founded within the last ten years information on the factors associated with their establishment. Copies of recent law school feasibility studies were reviewed. Some state bcirs in the West supplied information concerning trends in legal education and placement. Task 3 - Evaluate Informed Views On Legal Education And Services In this task the consiiltants interviewed the previously identified Nevada leaders to develop an understanding of the issues involved in establishing a Nevada law school. Those interviewed were questioned about: 1-5 - The adequacy of current arrangements for training Nevada lawyers and offering legal services The various alternatives, short of establishing a law school, for improving those arrangements - The benefits of establishing a Nevada law school and potential problems in its founding and ongoing operation. Task 4 - Evaluate Prospective Locations For A Law School This task comprised a limited fact-finding study of the two prospective sites, Reno and Las Vegas. The consultants interviewed university officials and civic representatives to determine the advantages and disadvantages of locating a law school in each locale. Task 5 - Assess Results The analysis of information gained through fact-finding was based on several specific steps. The consultants evaluated the applicant and placement market potential for a Nevada law school. Next they conducted a cost/benefit analysis of the various alternatives for meeting the legal education and service needs of Nevada, the establishment of a law school being analyzed in greatest detail. , From the assessment of individual alternatives, the consultants reached a conclusion on the desirability and feasibility of establishing a law school, as compared with other options for meeting the state's needs. Task 6 - Prepare Report During this task the consultants prepared this report of the study's analysis and recommendations. ARRANGEMENT OF THIS REPORT The remainder of this report is organized in six chapters and three appendixes, as follows: II - Current Arrangements For Legal Education And Research In Nevada describes the mechanisms for services in these areas. 1-6 m ~ Framework For Determining Nevada's Legal Education Needs establishes an analytical basis for assessing Nevada's requirements and evaluating alternatives for meeting them. IV ~ Assessment Of Nevada's Legal Education Needs applies the analytical framework established in Chapter III to determining the need for and benefits of legal education and services. V - The Establishment Of A Law School presents the program and resource requirements, costs, potential sources of funds, and factors affecting the location of a Nevada law school. VI - Alternatives For Meeting Nevada's Legal Education Needs uses the analytical framework established in Chapter III to analyze the key alternatives for supplying services, short of establishing a law school. VII - Recommendations contains recommended actions for the Board of Regents, with the action steps required, the time frame, and resources identified. < - Appendix A, Methods For Projecting Student Demand For Legal Education In Nevada, presents the approaches used in estimating demand in this report. - Appendix B, ABA Standards For The Approval Of Law Schools, summarizes ABA accreditation standards. - Appendix C, AALS Guideline Statement On The Establishment Of New Law Schools, summarizes AALS standards. 1-7 II - CURRENT ARRANGEMENTS FOR LEGAL EDUCATION AND RESEARCH IN NEVADA II - CURRENT ARRANGEMENTS FOR LEGAL EDUCATION AND RESEARCH IN NEVADA This chapter describes the current mechanisms for training Nevada lawyers and for research and review of Nevada statutes. A - LEGAL EDUCATION Two formal arrangements and one informal one assist Nevadans in gaining access to and financing legal education and in the study of Nevada law. Separately, the Nevada bar supports a program for the Continuing Legal Education (CLE) of its members. WESTERN INTERSTATE COMMISSION FOR HIGHER EDUCATION (WICHE) The Professional Student Exchange Program of the Western Interstate Commission for Higher Education (WICHE) , an organization of 13 western states, enables students to attend professional educational programs, not available in their home states, that are offered by other states. Students selected as WICHE participants receive preference over other nonresident applicants in admissions to these programs and pay resident tuition at public schools or one-third the standard tuition at private schools. In addition, the home state of each student is responsible for paying a standard support fee, collected and disbursed by WICHE, to the school educating the student. This fee, which varies among the professions, is used to help cover the cost of professional education. Nevada joined WICHE in 1959 and currently supports students in five areas of professional education: dentistry, veterinary medicine, physical therapy, optometry, and law. Nevada began to participate in law in 1975, when the state legislature made funds available for 18 freshmen law students each year, so that about 54 law students receive aid simultaneously. Approximate annual expenditures for WICHE law students since 1975 are as follows: Fiscal Year State Expenditures On WICHE Law Students 1975-76 1976-77 1977-78 1978-79 1979-80 1980-81(a) $ 45,000 90,000 105,300 105,300 109,350 117,450 (a) Estimated. These data are approximate because the inclusion of some part-time law students causes support figures per student to vary each year. In Nevada current arrangements for payment of the standardized WICHE support fee are complex and entail expenditures by both the student and the state. Through WICHE the state of Nevada must pay an annual support fee for each law student, which has steadily risen since 1976: In 1977 the Nevada legislature enacted a statute that requires each student to pay 25 per cent of this support fee and the state, 75 per cent. In addition, WICHE students are required to return to Nevada to practice their profession after completing their education. Students who do not return must repay to the state its contribution to the WICHE support fee. Specific provisions of the 1977 statute are: - WICHE students must return to Nevada to practice their profession for a period of three years within five years after completion or termination of their education. Fiscal Year Annual WICHE Support Fee Per Law Student 1976-77 1977-78 1978-79 1979-80 1980-81 $2,500 2,600 2,600 2,700 2,900 II-2 The three-year practice requirement is reduced to one and onehalf years if the student practices in a nonurban area, defined as a locale other than Las Vegas, Reno, Carson City, Elko, or T ahoe. No interest is charged on repayment of the state's support fee if the student does not return to Nevada. Students may borrow from the state at an annual interest rate of 5 per cent the portion of the fee for which they are obligated and must repay this loan regardless of where they eventually practice. In addition to expenditures for living expenses, travel, books, and nonacademic college fees, students are thus individually responsible for tuition and WICHE fees. Because tuition varies by school, the total of tuition and this fee also varies, as shown in Exhibit II-1. The requirement that WICHE students return to Nevada for professional practice creates the possibility that WICHE students will pay more for their legal education than non-WICHE students. As shown in Exhibit II-2, tuition plus the WICHE support fee exceeds nonresident or standard tuition at all of the public and six of the private law schools. Thus, WICHE students who do not retum to Nevada and must repay the support fee will pay more for their education at these schools than non-WICHE students. Despite this possibility, the 18 WICHE spots for legal education are sought after by students. In each year the number of applicants has significantly exceeded the number of spaces available: Academic Number Of WICHE Year Law Applicants 1975-76 48 1976-77 71 1977-78 79 1978-79 91 1979-80 50 1980-81 62 (to date) Data concerning the schools attended by the WICHE students are not currently available. n-3 EXHIBIT 11-1 ANNUAL TUITION AND FEE EXPENSES BORNE BY NEVADA WICHE STUDENTS, BY LAW SCHOOL 1979-80 Academic Year Annual Direct Expense To Law School Each Nevada Student Public Schools Arizona State University $1,280 University of Arizona 1,280 University of California, Berkeley 1,175 University of California, Davis 1,118 University of California, Hastings College of the Law 1,125 University of California, Los Angeles 1,155 University of Colorado 1,601 University of Idaho 1,329 University of Montana 1,116 University of New Mexico 1,293 University of Oregon 2,269 University of Utah 1,368 University of Washington 1,116 University of Wyoming 1,109 Private Schools California Western School of Law 1,990 Golden Gate University 2,009 Pepperdine University 2,115 Southwestern University 2,035 University of the Pacific (McCeorge), Day Division 2,087 University of the Pacific (McCeorge), Evening Division 675 University of San Diego 1,981 University of San Francisco 2,561 University of Santa Clara 1,991 University of Southern California 3,015 University of Denver 2,065 Lewis and Clark College, Northwestern School of Law, Day Division 1,710 Lewis and Clark College, Northwestern School of Law, Evening Division 1,221 Willamette University 2,075 Conzaga University 1,825 University of Puget Sound, Day Division 2,207 University of Puget Sound, Evening Division 1,955 ANNUAL TUITION AND FEES CHARGED TO WICH^LAW STUDENTS BY LAW SCHOOL 1979 80 Acadeniic Year A Public Schools Law School Arizona State University University of Arizona University of California, Berkeley University of California, Davis University of California, Hastings College of the Law University of California, Los Angeles Ui^iversily of Colorado University of Idaho University of Montana University of New Mexico University of Oregon University of Utah University of Washington University of Wyoming Nonresident Tuition And Fees Resident Tuition And Fees Charged WICHE Students Required WICHE Support Fee Total Paid To School On Behalf Of Each WICHE Student ^2,310 $ 605 $2,700 $3,305 2.310 605 2.700 3,305 3,200 800 2,700 3,500 3, 1i|3 743 2,700 3,443 3. 150 750 2,700 3,450 3, 180 780 2,700 3,480 3, 388 926 2,700 3,626 2. 154 654 2,700 3,354 2. 139 771 2,700 3,471 1,866 618 2,700 3,318 2,510 1,594 2,700 4, 294 1,818 693 2,700 3, 393 2, 7 36 771 2,700 3, 471 1,720 434 2,700 3, 134 B Private Schools Tolal Paid To School Law School California Western School of Law Golden Gate University Pepperdine University Southwestern University University of the Pacific (McGeorge), Day Division University of the Pacific (McGeorge), Evening Division University of San Diego University of San Francisco University of Santa Clara University of Southern California University of Denver Lewis and Clark College, Northwestern School of Law, Day Division Lewis and Clark College, Northwestern School of Law, Evening Division Willamette University Gonzaga University University of Puget Sound, Day Division University of Puget Sound, Evening Division Standard Tuition And Fees Tuition And Fees Charged WICHE Students Required WICHE Support Fee On Behalf Of Each WiCHE Student $4,015 $1,315 $2,700 $4,015 3,916 1,334 2,700 4,034 4,590 1,740 2,700 4,440 4,020 1,360 2,700 4,060 4, 112 1,412 2,700 4, 112 2, 432 0 2,700 2, 700 4,009 1, 309 2,700 4,009 4, 586 1,686 2. 700 4, 586 4,016 1,316 2, 700 4,016 5,054 2,340 2,700 5,040 4,170 1,390 2,700 4,090 3,765 1,065 2,700 3, 765 2,571 546 2,700 3,246 4, 100 1,400 2,700 4, 100 3,450 1. 150 2,700 3, 850 4,032 1,532 2, 700 4, 232 3.780 1,280 2,700 3,980 X X E H LAW SCHOOL PROGRAMS FOR NEVADANS Two California law schools, McGeorge and Southwestern, offer programs for Nevada law students and the state of Nevada. Arrangements At McGeorge McGeorge School of Law, a private law school in Sacramento that is part of the University of the Pacific, has been uniquely responsive to Nevada students. Because Nevada students have performed well and contributed much to the school, McGeorge may give particular consideration to the nonacademic credentials of Nevada applicants. The Nevada Law Students Association sponsors special activities at McGeorge, such as arranging for prominent Nevada speakers and visitors, and thus contributes to building a framework of contacts in the Nevada legal community. McGeorge offers two courses concerning Nevada and has on its faculty two Nevada specialists. Nevada Law is a three-credit course that covers significant Nevada law and the water law of western states. Nevada Practice, a two-credit course, comprises a series of guest lectures by distinguished attorneys and judges from Nevada on the substantive and procedural aspects of several areas of Nevada law. One assistant professor and one adjunct assistant professor, both members of the Nevada bar, specialize in teaching these two courses. In addition, McGeorge offers courses of particulax relevance for Nevadans - such as Farm and Ranch Law, Mining Law, Water Law, and Environmental Law - and incorporates Nevada cases into many courses. Two programs offer McGeorge students opportunities to research Nevada law. After the Nevada legislature's 1979 session, students on the "Pacific Law Journal" prepared and published the "Nevada Legislative Review," an analysis of legislation passed during this session. The Research Pool, jointly coordinated by the director of placement and student directors, allows students to perform research for Nevada attorneys, who arrange through the pool to pay for student assistance in researching problems or preparing legal briefs. Arrangements At Southwestern Southwestern University Law School, a Los Angeles private law school that is part of Southwestern University, serves Nevada students and the state of Nevada in two ways. Southwestern secures "extern" positions in n-4 Nevada for students interested in legal work experience for credit. It also sponsors a law review that covers topics in Nevada law, entitled "The Southwestern Nevada Law Review." As part of its externship program, under which law students receive academic credit for service in legal positions. Southwestern attempts to secure opportunities in Nevada for interested students. The school has been successful in placing students in the offices of judges, district attorneys, and state and local agencies, particularly in Clark County. In the fall of 1978, Southwestern published the first issue of the "Southwestern Nevada Law Review," with the goal of annual publication thereafter. The fadl 1979 issue has not yet been published, however, because a sufficient number of articles has not been assembled. Southwestern hopes to publish the second issue in summer 1980. The Nevada bar, upon which the law review relies for publishable articles, has not strongly supported the "Southwestern Nevada Law Review." Though advocating a regular publication on Nevada law, the bar has not contributed significant resources to the review. Unlike other law reviews, the "Southwestern Nevada Law Review" has received no unsolicited articles, a situation attributable, in part, to the absence of Southwestern faculty specializing in Nevada law. In the near future. Southwestern intends to continue its attempts to establish the law review more firmly. Each year some students on the review will write articles on Nevada topics, and efforts will continue to solicit articles of acceptable quality and in sufficient numbers to issue the Nevada review annually. Southwestern offers no other significant services to Nevada or its students. Nevada students receive the same admissions consideration as all Southwestern applicants. The law school offers no courses in Nevada law. WASHINGTON, D.C., LAW SCHOOLS At times members of Nevada's congressional delegation have informally sponsored Nevada law students by helping them to attend law school in Washington, B.C. The support has taken two forms: Nevada representatives have helped students secure admission to law schools and have obtained II-5 part-time jobs for those in need of financial aid. The jobs available have frequently afforded students opportunities to study while at work. No formal arrangements for granting these students direct financial aid have been established in this informal program. CONTINUING LEGAL EDUCATION (CLE) Since September 1978 the Nevada bar has shown interest in strengthening Continuing Legal Education (CLE) programs for Nevada lawyers. Before 1978 the bar maintained a standing Continuing Legal Education Committee, which had only limited effect, primarily because the Board of Governors of the bar did not establish CLE as a high priority for funding and action. In response to increased awareness of the need for CLE, the Board of Governors in 1978 allocated funds for developing a CLE program and created a special committee to perform this and two other tasks. Since 1978 the state bar has cosponsored: - With the state bar of Arizona, programs on bankruptcy and triad evidence - With the Practicing Law Institute, the Irving Younger audiovisual presentation on trial techniques - With the University of San Francisco and county bar associations, seminars on the Uniform Commercial Code. Seminars on gaming and real property are scheduled for spring 1980. In 1979 the state bar employed a part-time administrator of CLE programs, and the Board of Governors again budgeted funds for CLE. The special committee, after studying the desirability of publishing practice handbooks to aid Nevada lawyers, recommended to the Board of Governors that it sponsor a handbook on "Nevada Civil Litigation Before Trial." The board allocated $2,500 for the first draft and obtained the volunteer services of an editor. The third task assigned the special committee was to consider recommending to the Nevada Supreme Court adoption of rules implementing a Mandatory Continuing Legal Education (MCLE) program. After studying MCLE programs in other states and professions, the committee drafted n-6 proposed MCLE rules, and in September 1979 the Board of Governors authorized these rules to be circulated among bar members and the public for comment. After these hearings the Board of Governors will vote on whether to submit the proposal to the Nevada Supreme Court, which has authority to implement MCLE'rules. The proposed MCLE rules require that: Until January 1, 1984, all active members of the bar, including members of the judiciary, attend at least ten hours of accredited courses each calendar year After January 1, 1984, all members attend at least 20 hours of accredited courses each calendar year A five-member CLE Board accredit courses or educational activities, which will include courses sponsored by educational organizations, viewing of audiotapes and videotapes, and service as seminar leaders, lecturers, legal scholars, or contributors to professional handbooks - Each bar member fde a written annual report, under oath, to the CLE Board that describes how he or she complied with the MCLE rules during that year The status of any attorney who does not comply with the MCLE rules be changed to "inactive," which would prohibit that member from practicing law until reinstated. n-7 B - LEGAL RESEARCH Three state institutions perform research into Nevada law. Persons engaged in these efforts and other attorneys have access to various law libraries in the state. LEGISLATIVE COUNSEL The legislative counsel and his staff of 12 attorneys assist the Nevada legislature with drafting bills. More specifically, they support the legislature by: - Thoroughly analyzing all proposed legislation and amendments - Drafting and rewriting bills - Advising the legislature on the constitutionality and likely effect of proposed legislation Compiling administrative regulations and reviewing them for conformity with statutes - Incorporating legislation into the Nevada Revised Statutes and, in so doing, identifying statutes that contain inconsistencies or need technical corrections - Conducting in-depth analyses of specific areas of Nevada law during interim periods, to identify and draft necessary recodifications, at the direction of the legislature. The Legislative Commission directs and oversees the work of the legislative counsel. During each session the legislature elects 12 of its members to the Legislative Commission, which is then responsible for certain legislative tasks between sessions. The commission establishes a budget for the legislative counsel aind determines which areas of Nevada law the counsel will research during the interim period. Education laws, for example, were examined during the 1977-1979 interim. II-8 Although the legislative counsel can recommend areas of Nevada law for examination, the counsel performs most research in response to directions from either the legislature or the Legislative Commission. Because the counsel's staff of 12 attorneys is sufficient to conduct these examinations, outside consultants are not usually employed. ATTORNEY GENERAL The Nevada Attorney General's Office performs research as legal staff to the executive branch of state government. The relationship between the office and the executive branch is essentially one of attorney and client; the staff researches and interprets state statutes, renders opinions on Nevada law, and gives legal advice in response to specific requests from state agencies. Staff attorneys in 10 of the 12 divisions of the Attorney General's Office spend significant proportions of their time in research. The 42 lawyers in the divisions other than Criminal and Highway devote considerable time to legal research so as to advise their client agencies about developments in and interpretations of Nevada law. Time spent conducting research is particularly heavy in the Civil, Tax, and Commerce divisions. The primary resources used are the Supreme Court library and the files of the legislative counsel. The latter are particularly beneficial when the attorney general must ascertain legislative intent to construe a statute properly. Because the Attorney General's Office usually performs research in response to client requests, the issues considered are narrow in scope. The staff does not recommend areas of Nevada law that are in need of clarification, further development, or reform unless specifically requested by client agencies. Such requests are infrequent. CENTRAL LEGAL STAFF OF THE SUPREME COURT The central legal staff of the Nevada Supreme Court, comprising nine research attorneys, complements the work of the justices' law clerks. Specifically, the central legal staff: - Reviews aU motions and prepares necessary papers and summaries II-9 - Processes all petitions Screens all new cases by studying the brief and the record to ascertain whether an oral argument is necessary. The law clerks research cases slated for oral argument. Because the research of the central legal staff is performed in response to specific cases, it does not constitute ongoing scrutiny of Nevada law. The staff critically assesses Nevada statutes to the extent that cases are analyzed to determine if the relevant legal area needs to be clarified. When a court ruling clarifies the law, the ruling is not necessarily a suggestion for legislative change. The court may, however, suggest in its opinions statutes that are in need of reform. LAW LIBRARY RESOURCES Nevada has four law libraries of significant size that offer public access. The Supreme Court law library in Carson City has a broad collection of 55,000 volumes. The Nationcd Judicial College in Reno maintains a collection of about 50,000 volumes, including the best collection of law reviews in Nevada. The Clark County law library, which occupies cramped quarters in the county courthouse, houses a collection of 40,000 volumes. The Washoe County library collection numbers 25,000 volumes and also is located in the county courthouse. Use of Clark County's legal collection, which contains nearly all volumes required in libraries of ABA-accredited law schools, is constrained by inadequate physical facilities. Although 660 attorneys, constituting 48 per cent of the total state bar membership, practice in Clark County, the library has seating for only 20 persons. The library facilities do not adequately display the collection, so that some attorneys are not aware of its contents. In addition, some books are stored off-site and must be retrieved in response to attorneys' requests. n-10 Ill - FRAMEWORK FOR DETERMINING NEVADA'S • LEGAL EDUCATION NEEDS This chapter describes the analytical framework used to determine the wisdom and practicality of establishing a law school in Nevada. It sets forth the issues underlying any judgment concerning legal education needs and describes the criteria used in evaluating those needs individually and as they interrelate. PARAMETERS OF THE ISSUE An exploration of Nevada's legal education needs is best conducted under two aspects. On the one hand, any decision to establish or not to establish a law school involves a quantitative assessment of student demand for legal education and the state's demand for lawyers. On the other hand, given that the function of a law school is not necessarily exhausted in the education and training of lawyers, the desirability of establishing a law school also involves the consideration of qualitative issues, such as the benefits that a law school might bring to the state, to the university, and to Nevada's legal profession. The following sections outline the factors involved in both the quantitative and qualitative analysis of legal education needs and set forth criteria for assessing the priority of those needs on the basis of their resource requirements. STUDENT DEMAND An assessment of the student demand for legal education in Nevada focuses on the questions of access and affordability. Access To Legal Education Do Nevadans have legal education opportunities adequate to meet their personal, educational, and professional goals? How many Nevadans each year take the LSAT and apply to law school? How do they compare as an applicant group with their peers in other states and in the nation as a whole? Where are Nevadans and members of the Nevada bar currently receiving their legal training? Do Nevadans have a success rate in gaining acceptance to law school equivalent to that of students of similar academic standing, or are they denied access to legal education because they do not have a state law school? Affordability Of Legal Education What do Nevadans, who do not have the opportunity to attend law school in the state, currently pay for their legal education? How does that compare with expenditures required of students who can attend law schools in their home states? Are there significant numbers of students in Nevada who are denied the opportunity for legal education because they cannot afford to go out of state to a law school? Criteria For Assessing Student Demand The answers to this range of questions will provide the basis for a judgment concerning whether there is or will be in the near future unmet student demand for legal education in Nevada of a scale that could best be met by establishing a law school. If qualified Nevadans are being denied access to law school or if many students who desire a legal education cannot afford to pay out-of-state or private school fees, or if these conditions are anticipated in the coming years, then Nevada can be judged to have unmet present or future needs in the area of student demand. Whether these needs would argue in favor of establishing a state law school depends on the dimensions of the unmet demand. The quantitative analysis of student demand will aim consequently at an assessment not only of need but also of whether the level of student demand in Nevada could sustain a law school if it were established. Does Nevada have, or will it have in the coming years, a large enough pool of qualified students to support a law school of adequate size and quality? What are the state's likely patterns of enrollment in higher education in the coming decade, as the college-age population nationwide declines? NEVADA'S DEMAND FOR LAWYERS An assessment of the state's demand for lawyers constitutes the second aspect of the quantitative determination of Nevada's legal education needs. Any judgment concerning the desirability of establishing a law school must consider not only the provision of educational opportunities to Nevadans but also whether the graduates of a new law school could expect to find their way into significant professional work. An assessment of the placement III-2 prospects for the potential law school's graduates is not only a question of responsible decision-making but also a matter of practical concern. A lack of adequate professional opportunities for the graduates of a new law school would reduce the desirability of a legal education relative to other training and therefore have the effect of reducing student demand. This in turn has implications for the ongoing viability of any law school that might be established. Lawyer Supply A determination of whether Nevada's demand for lawyers calls for the establishment of a state law school centers on an evaluation of the current and anticipated supply, distribution, and quality of Nevada's practicing bar. Does the state of Nevada "need" more lawyers than it is currently attracting? Does it "need" lawyers of a different level of competence? What is the ratio of lawyers to the state's population? How does it compare with the national average and with other states in the West? How has the growth in the legal profession over the last decade compared with the growth in the state's population? Are the legal service needs of Nevada currently being met? Are there legal service areas that are underserved? Placement Prospects For Lawyers In Nevada What are the likely placement prospects for graduates of a Nevada law school? What level of turnover or expansion in the profession is expected over the coming years? Will the state's demand for lawyers be strong enough to absorb an increased number of law graduates? How will anticipated economic and demographic developments in Nevada affect the state's demand for lawyers? How does the employment picture for lawyers nationwide affect the demand for lawyers in Nevada? Summary Of Quantitative Considerations The next chapter will address this range of questions to determine Nevada's current and anticipated demand for lawyers. In combination with the analysis of student demand, this will provide the quantitative basis for assessing the dimensions of Nevada's legal education needs. m-3 THE QUALITATIVE DIMENSION As centers for intellectual activity concerning legal issues, law schools serve functions beyond the education and training of professionals. Tangible and intangible benefits often accrue to a state or university having a law school. The qualitative aspect of determining the demand for legal education in Nevada involves a judgment about which resources a law school could be expected to bring to the state beyond the education and training of lawyers and which of those resources would be of genuine benefit to Nevada, either now or in the near future. The following paragraphs will set forth in a purely descriptive manner the qualitative parameters of the argument for establishing a law school. No attempt will be made at this point to determine the relative importance of the various qualitative factors or their overall significance as compared with quantitative assessments of need. Rather, the following paragraphs will describe the full range of benefits that can accrue to a state, university, or local profession from having a law school. These parameters will serve as the analytical basis for exploration in the next chapter of the importance of a law school's potential qualitative benefits to the state of Nevada. Benefits To The State The most fundamental contribution a state law school can make to its own state beyond the training of lawyers is the provision of an intellectual resource concerning state law. In a federalist system, each state has its own body and tradition of laws, and a state law school often provides the focal point for preserving and advancing that tradition. A law school can supply the resources for a critical and constructive perspective on a state's legislative and judicial functions. A law faculty may coalesce over the years into a body of experts on the state's laws. Faculty members supply manpower and expertise on law reform committees or projects, state commissions on uniform laws, and other technical undertakings related to legal processes and institutions. Similarly, law school libraries and students often function as resources in projects involving legal research. The most visible resource produced by a law school in the area of legislative and judicial counsel is a state-oriented law review, which can function as a forum for writing and research on legal issues of particular concern to a given state. Ill-4 In addition to providing intellectual support for law-related issues, law schools often furnish a state with additional resources for legal services. Law school programs that have a clinical component typically involve students in legal programs for the indigent and internships in government and public legal offices. Benefits To The University Law schools not only have the potential to serve the legal and governmental entity of the state but also can bring benefits to the universities of which they are a part. A professional degree program at the level of a law school can add a significant dimension to a university's total program and structure. Furthermore, a law school may provide concrete opportunities for collaboration and cross-fertilization with other university programs. This is increasingly meaningful as areas combining law and technical expertise, such as health-related law, environmental law, and computer law, emerge as significant concerns. Finally, law faculty, because of the nature of their training, can be a valuable internal resource in universities. Benefits To The Legal Profession Service to the bench and the bar of a state or locale constitutes the third kind of asset that a law school may bring beyond the basic professional degree. More and more states are moving toward a requirement of mandatory continuing legal education for professional certification. A law school can provide valuable material and personnel resources in developing CLE offerings. Second, a law school can provide the legal profession of a state with teaching opportunities, to the extent that there is an interest in academic law. Finally, law students often provide research support for local attorneys in the city in which a law school is located. Summary Of Qualitative Considerations No law school can be expected to combine all the assets listed above. The full range of potential benefits is set forth not as an indication of the contributions anticipated from a law school in Nevada but as the starting point for analysis. The following chapter will identify the benefits a law school might provide in relation to the state's needs in terms of qualitative resources. Ill-5 RESOURCE REQ UIREMENT S A determination of the most effective way in which to meet Nevada's ongoing legal education needs depends not only on an assessment of the dimensions and intensity of various aspects of need and their relative importance but also on the resources required for alternative ways of satisfying those needs. Cost Of Alternative Arrangements For a solution to a given legal education need or combination of needs to be considered viable, the cost of implementing and maintaining that solution should be reasonable. It should be commensurate with the relative significance of the need it is addressing. It should command a proportion of the state resources available for legal education, research, or services in keeping with the state's overall priorities. Support For Alternative Arrangements A given mechanism for addressing identified needs will be viable only if the needs it is designed to address are perceived to be significant and the benefits considered of real importance to the state, the university, and the legal profession. The resources required for various mechanisms for improving legal education or ser\-ices should be evaluated in proportion to the priorities of the community being served. Resource Availability A given alternative for meeting legal education needs can be considered viable only if there are funds available from public or private sources to support that alternative. Determination of the potential availability of resources requires identification of sources of financial support and judgment concerning the level of support available, based on an overall assessment of financial priorities. Summary Of Resource Considerations The final criteria for assessing the most effective way of meeting the state's legal education needs concern resource requirements. Given alternatives, to be viable, must be evaluated in terms of reasonableness of cost in relation to the state's priorities of need and financial support. Ill-6 IV - ASSESSMENT OF NEVADA'S LEGAL EDUCATION NEEDS This chapter presents a detailed assessment of the demand for legal education in Nevada, in both its quantitative and its qualitative aspects. This assessment is presented in three parts: Student demand for legal education Societal demand for lawyers Qualitative aspects of demand. A - STUDENT DEMAND FOR LEGAL EDUCATION The following sections outline national trends in student demand, analyze existing and anticipated patterns of demand in Nevada, and identify developments in the state that are likely to have an impact on future demand. The analysis focuses on the questions of student access to legal education and the cost of that education to reach a conclusion concerning the nature and scale of Nevada's unmet legal education needs. The number of future applicants to law school is then projected to determine whether student demand justifies establishing a law school. THE NATIONAL PICTURE The following sections describe recent and projected trends in law school enrollments and applications nationwide. Leveling Off In Student Demand There is a current leveling off of student demand for legal education that will continue and sharpen in the coming decade. This general conclusion is supported by three major findings discussed in the following paragraphs: - Law school enrollments are leveling off. ~ The number of unfilled law school places is increasing. The number of law school applicants is declining and projected to decline. 1. Law School Enrollments Are Leveling Off After close to a decade of expansion in the demand for legal education in the United States, a definite trend toward a leveling off of enrollments and applications can now be discerned. Trends in significant areas of legal education are shown in Exhibit IV-1. In 1968 there were IV-2 LAW SCHOOL ENROLLMENT AND LAW SCHOOL ADMISSIONS TEST (LSAT) ADMINISTRATIONS 1964—1979 Enrollment LSAT Administrations (000) YEAR Note: Enrollment is ttiat in ABA-approved sctiools as of October 1. Ttie LSAT volume is given for ttie test year ending in tfie year stated. Source: ABA REVIEW OF LEGAL EDUCATION IN THE UNITED STATES, Fall 1978; 1979 figures supplied by James P. White, ABA consultant on legal education. students enrolled in ABA-approved law schools. By 1979 that number had virtually doubled, to 122,801. Although enrollments climbed steadily throughout the 1970s, the rate of annual increase has slowed markedly during the past five years; 1975 represented the peak year of annual increase with an enrollment jump of 5. 67 per cent. Since that time yearly increases have averaged slightly over 0.5 per cent real growth in enrollment. This includes adjustments for the addition of new schools to the ABA-approved list; as schools gain provisional approval, their enrollments register as increases in the enrollments of ABA-approved schools, although no new law students have actually been added to the law school population. 2. The Number Of Unfilled Law School Places Is Increasing A concrete indication of the decline in competition for legal education was the existence in 1979 of a significant number of unfilled seats in ABA-approved law schools for the first time since 1973. During the past year, seven law schools failed to fill a total of 395 seats with qualified law students. This compares with a total of 33 unfilled seats at three schools for the previous six years combined. 3. The Number Of Law School Applicants Is Declining And Projected To Decline Another measure of student demand is the current and projected trend in the number of law school applicants. As shown in Exhibit TV-1, the number of prospective applicants has declined in the past few years. Between 1968 and 1974, the number of LSAT administrations climbed from 49,756 to 135,397, for an increase of 172 per cent. Since 1974 the trend has reversed, producing a decline to 111,235 in 1979. A further reflection of this trend is the ratio of law school applicants to persons in the United States who are 22 years old. This age group is considered by legal educators to be a rough measure for determining the potential law school applicant pool. This measure reveals a falling off in student demand for legal education since 1974. Whereas in 1972 Law School Data Assembly Service (LSDAS) registrants, the most accurate representation of applicant numbers, constituted 2.31 per cent of the IV-3 nation's 22-year-olds, in 1979 that percentage had dropped to 1.74. Exhibit IV-2 shows projections of the future law school applicant pool based on percentages derived from the trends of the past six years. The most optimistic projections estimate a nationwide decline in the law school applicant pool of 8.1 per cent from the 1979 level by 1995. The least optimistic projections place that decline at 23.2 per cent. Even if the projection of demand in relation to the number of 22-yearolds is calculated at the highest average recent experience can yield, the absolute number of law school applicants, calculated from this base group, will show a decline because of the decline in the underlying population from which law school applicants are drawn. The number of 22-year-olds is estimated to peak in 1983 at 4,208,000 and decrease to 3,185,000 by 1995. Projections of the number of law school applications reflect this underlying condition. Projected enrollments in institutions of higher education, another measure of the underlying pool of possible applicants to law schools, confirm the population trends. Education analysts estimate that undergraduate enrollments have already peaked, in 1978, and that they will continue to decline through 1988, as shown in Exhibit IV-3. Professional schools, as the last level to feel the impact of the post-1961 declining birthrate, are expected to continue to have modest enrollment increases until 1985, at which point the trend there, too, is expected to reverse. The exhibit shows the pattern of this trend. Summary Because of demographic changes, which will produce a decline in the underlying pool from which law schools have traditionally drawn their applicants, it is likely that the current leveling off in student demand for legal education is indicative of a trend that will continue and sharpen in the coming decade. After close to ten years in which students have competed fiercely to obtain places in ABA-approved law schools, the next decade threatens to turn that situation on its head. Law schools nationwide are likely to find themselves competing to fill their seats with qualified students. The anticipated result is that during the coming ten years students' access to legal education will improve nationwide. From the perspective of the IV-4 LAW SCHOOL APPLICANTS 1972-1995 Entering Year 1972 1975 1978 1979 1980 1985 1990 1995 Age 22 Population (000,000) 3.5 3.8 4.0 4.2 4.2 4.1 3.5 3.2 Number Of Applicants (000) 80.4 83.1 81.4 72.5 72.9-87.1 71.1-85.0 70.5-72.3 55.7-66.6 Percentage: Applicants Of Age 22 Population 2.31% 2.19 2.03 1.74 1.75(a)-2.09(b) 1.75(a)-2.09(b) 1.75(a)-2.09(b) 1.75(a)-2.09(b) (a)Current percentage. (b)Average percentage for years 1973-1979. Source: American Association of Law Schools. FULL-TIME-EQUIVALENT ENROLLMENT UNDERGRADUATE AND FIRST PROFESSIONAL DEGREES 1970-1988 Undergraduates In Year 1-Year Institutions (000) 1970 1,158 1975 I.STl 1978 1,921 1979 1,916 1980 1,909 1985 1,550 1988 1,317 First Professional (000) 163 229 218 218 252 265 m 260 X I D3 H < OJ law schools, the decline in demand raises the specter of declining enrollments or declining quality and the challenge of turning changing patterns in demand for legal education to advantage. THE NEVADA SITUATION Against the background of an anticipated decline nationally in student demand for legal education, the following sections assess the level of current and anticipated demand in Nevada. Because of a change in the method of compiling state information on applications to law school, data on the law school applicant pool in Nevada before 1975 are not available. The following discussion is based, therefore, on four years of information, 1975-76 through 1978-79. Nevada Ranks Low In Demand For Legal Education But High In Acceptance Rate During the 1975-76 to 1978-79 period, an estimated total of 628 persons who indicated Nevada as their state of permanent residence applied to law school, as shown in Exhibit IV-4. The highest number of applicants for any year was 187, the lowest was 142, and the yearly average was 157. Of the eleven western states including and surrounding Nevada, this is the third lowest average application rate. This coheres with the fact that Nevada also has one of the lowest populations of that group of states. Nevada is also near the bottom of its peer states in the West in applicants per population, however, with a ratio of roughly 0.02 per cent. Exhibit IV-5 shows average law school applications in relation to state populations for Nevada and the surrounding states. Exhibit IV-6 provides data on LSAT performance and acceptance rates in Nevada and the surrounding states. These data reveal that, although Nevada applicants rank at the bottom of the group in LSAT scores, they rank third in acceptance to law school. The average acceptance rate for students from the total group of states is .6864. Nevada's admission rate is .7224, coming third behind Oregon and Washington. Given that Oregon and Washington rank fifth and seventh nationally in mean LSAT whereas IV-5 LAW SCHOOL APPLICATIONS, ACCEPTANCES, AND MATRICULATIONS FOR NEVADA RESIDENTS 1975-76 Through 1978-79 Number applying to law school Number accepted Number matriculated Acceptance rate(a) 1975-76 155 105 78 .6992 1976-77 144 88 68 .6695 1977-78 187 148 105 .8089 1978-79 142 96 56 .7119 Total (Average) 628 (157) 437 (109) 307 (77) .7224 (Average) (a)Rate equals official ETS estimate based on adjustment of acceptances in each LSAT/CPA range. Source: Data provided by Law School Admission Services (Division of Educational Testing Service). EXHIBIT IV-5 LAW SCHOOL APPLICATIONS IN NEVADA AND SURROUNDING STATES State Arizona California Colorado Idaho Montana New Mexico Nevada Oregon Utah Washington Wyoming Current Estimated Population (000) 2,568 22,386 2,823 893 791 1,249 662 2,437 1,321 3,656 408 Average Number Of Applicants Per Year 1975-76 Through 1978-79 787 7,010 1,062 206 156 430 157 620 494 915 147 Applicants As Percentage Of Total Population .0306 .0313 .0376 .0231 .0197 .0344 .0237 .0254 .0374 .0250 .0360 Note: Census Series ll-B. Sources: Population figures: U.S. Department of Commerce. Application figures: Law School Admission Services (Division of Educational Testing Service). MEAN LSAT SCORES AND ACCEPTANCE RATES FOR LAW SCHOOL APPLICANTS FROM NEVADA AND SURROUNDING STATES State Arizona California Colorado I da ho Montana New Mexico Nevada Oregon Utah Washington Wyoming Mean LSAT 555 541 559 557 564 534 531 568 560 566 554 1976-1979 Average Acceptance Rate .6560 .7187 .6514 .7004 .6982 .5713 .7224 .7571 .6474 .7428 .6895 Rank Based On LSAT 5 6 3 10 11 1 4 2 8 Rank Based On Acceptance Rate 8 4 9 5 6 11 3 1 10 2 7 m X I DO Source: Law School Admissions Service (Division of Educational Testing Service). I tn Nevada ranks fortieth, as shown in Exhibit IV-7, the high rate of acceptance of Nevadans in relation to applicants from other states is significant. Nevadans Have Reasonable Access To Legal Education Given the size of the current law school applicant pool from Nevada, the quality of that pool as measured by LSAT and grade point average (CPA) levels, and the acceptance rate for applications from Nevada as compared with those from other states, it is reasonable to conclude that access is not a problem for Nevadans desiring a legal education. The interest and proximity of California law schools appear to contribute to the access. Data on the states in which Nevadans attended law school between 1975-76 and 1978-79 suggest that the interest of certain California law schools in Nevada students significantly facilitates their access to legal education. Exhibit TV-8 shows that, during the most recent period for which data are available, an average of 49 students from Nevada matriculated in California law schools yearly, constituting on average more than 60 per cent of the Nevadans enrolling in law school in any given year. A comparison of this group and those who attended law schools in other states reveals that the average LSAT scores and CPA levels were significantly lower for students going to California law schools than for students attending law schools in other states. This suggests that certain California law schools are making a special effort to serve Nevada students. Exhibit IV-9, showing the number of University of Nevada graduates who attended individual law schools and then returned to join the Nevada bar between 1975 and 1979, confirms this view. The impact of the WICHE scholarship aid program and the Washington, D.C., schools on access for Nevadans appears to be insignificant, however. WICHE scholarship recipients are at the top of Nevada's applicant pool, as measured by their LSAT scores and CPA, and it is likely that the students receiving WICHE grants would gain admission to law school anyway. Furthermore, since only 18 students receive WICHE grants each year, on average only 11 per cent of Nevada applicants gain an advantage in access through this means. No special contribution by Washington, B.C., schools is evident. Since 1975 only eight Nevada residents have matriculated in Washington law schools, and only two of those have enrolled during the past three years. IV-6 EXHIBIT iV-7 Page 1 of 2 RANKING OF STATES BY LSAT MEAN 1976-1979 Rank State LSAT Mean 1 Iowa, Wisconsin 571 3 Minnesota, Vermont 569 5 Maine, Oregon 568 7 New Hampshire, Washington 566 9 Alaska, Montana 561 11 Virginia 563 12 Utah, Delaware 560 11 Colorado 559 15 Connecticut, Idaho 557 17 Arizona 555 18 Kansas, Wyoming 551 20 Missouri 552 21 Massachusetts, Nebraska, New York 551 21 North Dakota 550 25 Indiana 518 26 Maryland, Pennsylvania 517 28 South Dakota, Illinois 516 EXHIBIT lV-7 Page 2 of 2 Rank State LSAT Mean 30 Ohio 542 31 California 541 32 Florida, Michigan 539 34 Texas 536 35 New Jersey, Rhode Island 535 37 Georgia, New Mexico, North Carolina 534 40 District of Columbia, Nevada, Kentucky 531 43 West Virginia 530 44 Hawaii 529 45 Oklahoma 527 46 Tennessee 524 47 Alabama 517 48 South Carolina 515 49 Arkansas, Louisiana 512 51 Mississippi 494 NEVADANS ATTENDING CALIFORNIA LAW SCHOOLS COMPARED WITH THOSE ATTENDING SCHOOLS IN OTHER STATES 1975-76 Through 1978-79 State In Which Applicant Matriculated 1975-76 1976-77 1977-78 1978-79 Average California Number Per cent of matriculants Average LSAT Average CPA 93 55 552.96 3.08 95 66 569.99 3.03 72 69 567.17 3.19 39 61 538.66 3.20 99 63 555.70 3.125 All Other States Number Per cent of matriculants Average LSAT Average CPA 35 95 589.09 3.19 23 39 620.78 3.30 33 31 595.81 3.25 22 39 619.79 3.35 28 37 603.89 3. 273 All States Number Per cent of matriculants Average LSAT Average CPA 78 100 566.63 3. 13 68 100 583.53 3.12 105 100 576.17 3.21 56 100 568.55 3.26 77 100 573.72 3. 180 m X I E H < I 00 EXHIBIT IV-9 LAW SCHOOLS ATTENDED BY UNIVERSITY OF NEVADA GRADUATES WHO WERE ADMITTED TO THE NEVADA STATE BAR ASSOCIATION FROM 1975 TO 1979 Graduates University Of University Of Law School Nevada - Reno Nevada - Las Vegas Arizona State University 2 University of Arizona 4 1 McCeorge (University of the Pacific) 46 7 Pepperdine University 1 3 Gonzaga University 6 1 University of California, Davis 1 1 Willamette University 4 University of Santa Clara 1 2 University of San Diego 2 4 Western State (San Diego) 2 California Western School of Law 3 4 Stanford University 2 Hastings College of the Law 3 1 University of Southern California - 1 Golden Gate University - 1 Howard University - 1 University of San Francisco 2 Southwestern University - 3 Creighton University 1 1 Antioch College 1 University of Puget Sound 3 1 Lewis and Clark College 1 1 University of Washington 2 Stetson University 1 Southern Texas College of Law 1 Notre Dame University 3 University of Denver 1 Osgood Hall 1 University of Texas 1 Georgetown University 3 Southern Illinois University 1 University of Miami - 1 University of Tulsa ^ 1^ Total 99 35 Source: Application files of the Nevada State Bar Association. Proximity is an important element in making legal education available. Nevada students are fortunate in that both of the state's major population centers are within a 250-mile range of a substantial selection of law schools. As shown in the table below, the eight law schools near Reno and the six within reach of Las Vegas represent an array of quality and program type that facilitates access for a wide range of students. If the state of Nevada were to establish a law school at either Reno or Las Vegas, it would be farther away from the other city than the relevant selection of California schools: Schools Near Reno Schools Near Las Vegas University of the Pacific (McGeorge) University of California, Davis University of California, Berkeley Hastings College of the Law Golden Gate University University of San Francisco Stanford University University of Santa Clara Pepper dine University Loyola University Southwestern University University of California, Los Angeles University of Southern California Whittier College Nevadans Must Pay Significantly More For Their Legal Education Than Students Who Can Attend Law School In Their Home States Although there seems to be no basis for concluding that Nevadans experience difficulty in gaining access to law school, despite the fact that they cannot attend in state, there is no doubt that they are forced to pay more for their legal education than they would if they could obtain it at a state university. Exhibit IV-10 shows tuition differentials between resident and nonresident/private school students at law schools in the states surrounding Nevada. The average resident tuition charge at state law schools in the West is $743.50. The average of nonresident and private school tuition in the same states is $3,035.00. This means that Nevadans may be paying on average as much as four times what they would have to pay if Nevada had its own law school and charged fees equivalent to those of its neighbors. Given this price differential for legal education, it is likely that some Nevadans who gain admission to law school do not matriculate because they cannot afford to pay the price. IV-7 TUITION DIFFERENTIALS, RESIDENT AND NONRESIDENT/ PRIVATE, AT LAW SCHOOLS IN SURROUNDING STATES 1978-79 State School Resident T uition Nonresident And Private School Tuition Arizona Arizona State University of Arizona $ 620.00 620.00 $2,170.00 2,171.00 California University of California, Berkeley University of California, Davis University of California, Hastings University of California, Los Angeles California Western School of Law Golden Gate University Loyola University University of the Pacific - McGeorge Pepperdine University University of San Diego University of Santa Clara University of Southern California Southwestern University Stanford University Whittier College 750.00 723.50 750.00 750.00 3,200.50 2,628.50 3,150.00 3,180.00 3,660.00 3,160.00 3,115.00 1,210.00 3,669.00 3,600.00 3,615.00 1,663.00 3,300.00 5,331.00 2,900.00 T3 OJ (O (1) m X X E H < I State School Colorado Idaho New Mexico Oregon Utah Washington Wyoming University of Colorado University of Denver University of Idaho University of New Mexico University of Oregon Lewis and Clark College Willamette University University of Utah Brigham Young University University of Washington Gonzaga University University of Puget Sound University of Wyoming (a)BYU is a private law school with tuition differential Source: 1978-79 Pre-Law Handbook. Resident T uition Nonresident And Private School Tuition $ 866.00 664.00 570.00 1,507.00 640.50 (1,540.00)(a) 771.00 434.00 $2,866.00 4,170.00 1,864.00 1,710.00 1,831.00 3,365.00 3,384.00 831.00 2,310.00 2,736.00 2,730.00 3,450.00 1,720.00 In particular, there may be Nevada students who would apply to and attend law school if they could do so while li-vhng at home and paying resident tuition but who cannot afford to attend if they must pay higher prices both for tuition and for living away from home and who therefore are discouraged from applying to law school. To the extent that this is the case, there would be a number of Nevadans who desire legal education but never show up in the applicant pool. This element of potential demand cannot be measured. Current State Policy Has Minimal Impact On Making Law School More Affordable The only mechanism by which Nevada gives economic help to its residents who attend law school is the WICHE program, described in Chapter II. Although individual students receive substantial support through this channel, it aids only 18 students, or 23 per cent of the average yearly number of law school matriculants. Over the years since the program's inception, an average of over 65 students a year (excluding the current yeair) have applied for those 18 scholarships. Furthermore, since these students are chosen on academic, not economic, grounds, WICHE aid is not necessarily directed at the students who most need financial support. Other Nevada law students must rely on personal or family resources, federal loans, or financial aid from their chosen law schools to assemble the necessary means for a legal education. Resources available to law students from other than private means are limited. Nationally only 24 per cent of law students receive financial aid. It is particularly difficult for first-year students to secure aid, because most law schools award more scholarships in the second and third years. Nevada Law School Applicants Are Projected To Increase Significantly In The Next 15 Years Estimates of the future demand for legal education in Nevada are based on projections of population and of the number of students per population applying to law school. A number of methods can be used to project law school applicants. In recent years the base population of 22-year-olds has been used by legal educators to gain some information on future growth patterns. This method is approximate, for 22-year-olds are only one IV-8 component of the law school applicant pool. Changes in the proportion of women and minorities and in the number from other age ranges appHdng to law school affect projections of demand. For this reason the following projections give a rough estimate of the general pattern of growth or decline in student demand and suggest ranges. They should not be interpreted as predictions of the actual number of applicants. For this study, five procedures are used, which provide a range of projections. They are shown in Exhibit IV-11 and are explained in detail in Appendix A. They include: (A) Estimating the number of 22-year-olds from state population projections and using the highest national percentage of 22-yearolds applying to law school (B) Estimating the number of 22-year-olds from state population projections and using the lowest national percentage of 22-yearolds applying to law school (C) Estimating the number of 22-year-olds from state population projections and using the average Nevada percentage of 22-yearolds applying to law school - (D) Determining the applicant pool on the basis of university upper division enrollment growth (E) Using the national census estimate of 22-year-olds and the average Nevada percentage of 22-year-olds applying to law school. As shown in Exhibit IV-11, this range of projections results in estimated applicants as follows: Year Range Of Applicants Best Estimate 1980 1985 1990 1995 175 - 292 198 - 344 191 - 372 190 - 399 180 239 258 277 lV-9 RANGE OF PROJECTED LAW SCHOOL APPLICANT POOL 400 1— 350 KEY A= State estimated 22- year-olds, tiigtiest national capture rate B= State estimated 22- year-olds, lowest national capture rate C= State estimated 22- year-olds, Nevada capture rate D= Applicant pool based on university upper division enrollment growtti E= National census estimated 22-year-olds, Nevada capture rate 300 250 200 150 J I L J I I L 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 m X x E H < The low estimates for 1980 and 1985 are based on the projected enrollments in upper division courses at the University of Nevada at Reno and the University of Nevada at Las Vegas. For 1990 and 1995, the national census data, which are considerably lower than the projections of the state planning coordinator, give the lowest projected number of applicants. The high estimate of the range assumes that the appropriate percentage of 22-year-olds applying to law school is calculated by taking a seven-year national historical average of this percentage. The best estimate used for this analysis assumes that state projections of population are accurate and that the rate of applicants from Nevada will continue at the present level. The 1980 estimate is adjusted downward from the number based solely on population, 203, to the midpoint between that figure and the average application rate from 1975-76 to 1978-79 of 157, yielding 180. This estimate is considered reasonable on the basis of recent law school application patterns in Nevada and the state's projected population growth. It should be noted, however, that any estimate of the future number of law school applicants in Nevada is necessarily speculative, for the following reasons: - With only four years of historical data on the number of Nevadans who have applied to law school, it is difficult to project a trend of future application patterns. Estimates of law school applications are based on projected growth or change in the underlying population pool. These • projections are themselves uncertain, pcirticularly without the benefit of the 1980 census. - It is highly speculative to predict changes in the numbers of persons applying to law school as a percentage of 22-year-olds. Applications in Nevada as a percentage of the estimated number of 22-year-olds are currently significantly below the national figure. If a law school is established in Nevada or alternative measures of support for legal education are provided, there might be a measurable increase in the demand for legal education. Applications to law school might increase significantly if a legal IV-10 education could be obtained more cheaply with less dislocation. If the Nevada rate does not increase, however, and the national rate continues to decline, the number of Nevadans applying to law school might not increase at a rate commensurate with the state's population growth. Despite the speculative nature of any estimates of Nevada's future law school applicants, it is not xinreasonable to assume that the law school applicant pool will increase, in contrast to the nationwide pattern, because of the rate of the state's population growth. Between 1970 and 1979, Nevada was the most rapidly growing state in the nation. According to national census estimates, the population in Nevada grew by 43 per cent from 1970 to 1979, as compeired with a national increase of 8.3 per cent. State figures show an even higher gain of 48 per cent for Nevada. If the state continues to grow at a rate approximating its official projections, the student population, from which law school applicants are chiefly drawn, will grow accordingly. In General, Current Arrangements Meet Student Demand For Legal Education There appears to be no basis for asserting that there is currently a significant measurable unmet student demand for legal education in Nevada. There may be unmet demand in the sense that there are students who would desire legal education if it were more affordable. It is difficult to make a case, however, that Nevada applicants do not have appropriate access to law school. Given the current declining competition for legal education nationwide, there is no evidence that Nevadans will face a problem in access to legal education throughout the 1980s. Regardless of how fast Nevada's law school applicant pool may grow, Nevada applicants will almost certainly continue to be absorbed by existing law schools anxious to keep their enrollments up in the face of a declining nationwide applicant pool. The Current And Projected Student Demand For Legal Education In Nevada Could Be Expected To Sustain A Law School In The State, Although The Applicant Pool Might Be Limited Five states with populations below one million and demographic characteristics similar to those of Nevada each sustain one state law school. They are Idaho, Montana, North Dakota, South Dakota, and Wyoming. Of those IV-11 states, Montana and Wyoming have annual average applicant pools for the years 1975-76 to 1978-79 smaller than that of Nevada. During those years an average of 147 students from Wyoming, 156 from Montana, and 157 from Nevada applied to law school. The ratio of resident applications to the number of spaces in the firstyear classes at these institutions is low, meaning that the volume of instate applications required to fill first-year places with qualified law students is not as high as that required for out-of-state residents. This low ratio does not result in an unacceptable quality of students, since each of these institutions is considered a sound state university law school and has ABA accreditation. Exhibit IV-12 shows the number of applicants in relation to the number of first-year students at the five state university law schools. If Nevada were to establish a law school having 240 students (see discussion in Chapter V), it would require an entering class of approximately 85 students. If, in line with the averages in the other states, the law school targeted an 82 per cent average resident enrollment, it would need to admit roughly 70 Nevadans to its entering class each year. If the ratio of resident matriculants to applicants also followed the pattern in the other states, a University of Nevada law school would need to receive applications from at least 140 Nevadans to maintain appropriate quality. In theory, even at its current average yearly application rate of 157, Nevada has an adequate pool to meet that need. That assumes, however, that 90 per cent of Nevadans desiring a legal education would apply to a law school in the state. Some states do appear to have a capture rate that high, but several factors would operate against a Nevada law school's ability to attract such a high proportion of the state's law school applicants, at least in the early phase of its operation: During its first years of operation, a newly established law school would have to struggle to build its reputation and prestige. Hence the attractiveness of a state law school relative to other "known quantities" would take time to develop. IV-12 APPLICATION STATISTICS FOR RESIDENT APPLICANTS IN SELECTED STATE LAW SCHOOLS Law School Idaho Montana North Dakota South Dakota Wyoming Total Enrollment (Per Cent Resident) 281 (80) 225 (90) 250 (75) 189 (90) 205 (75) Number Of Resident Applications 139 185 126 129 103 Number Of Residents In First-Year Class (Per Cent Of Applicants) 70 (50) 75 (91) 70 (56) 59 (98) 57 (55) Note: Current or average figures supplied by the law schools. This factor, which is inherent in the beginning years of any institution, could be particularly signficant over the next few years if competition for places at law schools with national reputations slackens. This might mean that a greater percentage of Nevadans than currently could elect to go to such schools, ignoring the opportunities of a newly established state law school. Unlike students from most of the other states in the sample, Nevadans have easy geographic access to a number of law schools. Bonds that have developed with those schools over the years would undoubtedly continue to exercise some appeal to Nevadans. These considerations in combination with the law school demand in recent years suggest that, at its current level, the Nevada applicant pool in relation to the requirements of a state law school may be insufficient. To the extent that a Nevada law school did not attract large proportions of the state's applicants, it would have to dip down the quality scale to fill its seats. Given that states with lower populations and lower average numbers of applicants sustain law schools, however, and that Nevada's applicant pool is projected to increase, the student demand in Nevada could be expected to sustain a law school. It is also likely that having a law school in state would serve to stimluate student demand, especially if tuition were kept low. This in combination with anticipated student population growth could be expected to provide an applicant pool of adequate size and quality. Against overconfidence in future student demand, however, it should be noted that, if resident interest in a state law school did not materialize to the extent required, it would probably be difficult in today's legal education market to attract large numbers of students from other states to fill its seats. IV-13 B - SOCIETAL DEMAND FOR LAWYERS The following sections analyze national trends in the demand for lawyers and assess recent and anticipated growth in the legal profession in Nevada relative to those trends. This analysis has the objective of determining; The adequacy of the current supply of lawyers, in both number and quality, to meet the legal service needs of the state - Whether the needs of the state might be better served by having a supply of lawyers trained within the state The placement prospects of graduates of a potential Nevada law school. THE NATIONAL PICTURE The Supply Of Lawvers Is Increasing With An Uncertain Future Market For Legal Services Given that since 1964 law school enrollments have more than doubled, annual admissions to the bar have tripled, and law schools have begun turning out lawyers at the rate of 33,000 per year, legal educators and members of the practicing bar express growing concern about a potential oversupply of lawyers nationwide. The 1971 ''Lawyers Statistical Report," the last comprehensive analysis of the legal profession, estimated the country's lawyer population at 355,000. Current estimates project the number of lawyers at 518,000, a net increase in the lawyer population of 163,000, or 46 per cent. This is a rate of increase substantially greater than the rate of national population growth. As a result, the lawyer-population ratio has gone from 1 to 577 in 1970-71 to the current figure of 1 to 429. If growth in the profession reaches the level many experts predict, in 1990 there will be between 600,000 and 750,000 lawyers serving an estimated population of 243.5 million, yielding a ratio as low as 1 lawyer to every 325 Americans. IV-14 Lawyer placement. The abundant supply of lawyers may tighten the market for recent graduates of law schools. The Young Lawyers Division of the ABA recently reported that as many as 45,000 lawyers are looking for a job at any given time because of unemployment, underemployment, and general job dissatisfaction. The annual employment survey of the National Association of Law Placement (NALP) on graduates of the class of 1978 does not support the dim view of placement prospects for lawyers. It asserts that there is no evidence to suggest that the unemployment rate for recent graduates of ABA law schools is any higher than in previous years. Of the 22,675 reported law graduates who were qualified to seek employment, 94.2 per cent had obtained a position by the spring after the year of graduation. Exhibit IV-13 shows that employment opportunities for law graduates have been expanding over the past five years. Both the absolute number and the percentage of lawyers absorbed by the market have increased each year since 1974, yielding a total adjusted expansion in the market of 1.7 per cent. The Labor Department official occupational outlook projects continued growth in the market for lawyers from 1978 to 1990. The profession is expected to grow from the 1978 level of 487,000 to 609,000 by 1990, which is conservative in comparison with other estimates, with annual average openings predicted at 37,000. Although this constitutes a 25 per cent growth in employment, there is some question whether the growth rate will keep up with the production of lawyers. Factors influencing demand for lawyers. Society's ability to absorb the high number of law graduates that has been produced during the 1970s is largely attributable to these factors: The increasingly complex social, political, and economic relationships of our highly industrialized and urban society, which foster the demand for legal services An expansion in the range of services offered by lawyers and in the clientele receiving those services through Supreme Court decisions extending the right to legal counsel to all persons accused of crimes, an increase in publicly funded legal services for low-income persons, the inauguration of prepaid legal service mechanisms, and the growth of legal action in such areas as consumer protection, the en-vnronment, technical enterprises , and safety IV-15 NATIONAL ASSOCIATION OF LAW PLACEMENT EMPLOYMENT PROFILE OF QUALIFIED GRADUATES 1971-1978 1971 1975 1976 1977 1978 Number Per Cent Number Per Cent Number Per Cent Number Per Cent Number Per Cent Employed 11,679 88.1 11, 958 91.6 16, 939 92. 5 19, 368 93.6 21, 368 91.2 Unemployed 1, 571 1 1.9 1, 212 8.1 1,151 7.5 1, 333 6.1 1, 307 5.8 Total Qualified 13,250 100.0 16,170 100.0 17,822 100.0 20,701 100.0 22,675 100.0 Note: Figures given as shown in source. Source: National Association of Law Placement, Class of 1978 Employment Report. 1979. m X I ro H < The increasing use of lawyers in fields or positions not traditionally requiring legal training; the NALP 1978 employment report lists nearly 100 nonlegal careers pursued by recent law graduates. Summary assessment. Although graduates during the past five years have continued to find employment in a market that has expanded both quanti tatively and qualitatively, the evidence suggests that the current placement market for lawyers is tight. Law graduates are finding employment, but many are having to travel farther and wait longer to find their first position. The diversity of careers upon which law graduates are currently embarking undoubtedly reflects a tightening of the market in the traditional areas of practice - law firms, corporate law departments, government agencies, legal services programs, judicial clerkships, and academic and military legal positions. Predictions of future demand for lawyers are tied to forecasts of economic and societal developments. Long-range projections are extremely difficult to justify. It does seem reasonable to conclude, however, that if law schools continue to produce lawyers at the rate of 33,000 per year, the short-term placement market for lawyers will remain tight. DEMAND FOR LAWYERS IN NEVADA The analysis of the present and potential demand for lawyers in Nevada focuses on the current supply and distribution of lawyers in the state, their adequacy to meet the state's legal needs, and the projected future demand for lawyers as it would affect the placement prospects for graduates of a Nevada law school. Nevada Has A Sufficient Supply Of V;ell-Qualified Lawyers The Nevada State Bar has a current total membership of 1,681, of whom 1,373 are active practicing attorneys. This is a net increase over the past decade of 888 lawyers and an annual rate of increase close to 8 per cent, double the rate of increase in the total state population, as shown in Exhibit IV-14. Without information on the practice areas of Nevada lawyers, which is not currently available from the state bar, lawyer/population ratios fail to reflect the actual number of lawyers available to serve various populations. An accurate assessment of the impact of lawyer/population ratios IV-16 EXHIBIT IV-14 GROWTH IN NEVADA LAWYER POPULATION RELATIVE TO GROWTH IN TOTAL STATE POPULATION 1970-1979 Year 1970 1971 1972 1973 1974 1975 1975 1977 1978 1979 Nevada Bar Membership 793 864 922 997 1,092 1,182 1,289 1,391 1,523 1,681 Change From Previous Year 71 58 75 95 90 107 102 132 158 Per Gent Increase 9.0 Total State Per Gent Population I ncrease 6.7 8.1 9.5 8.2 9.1 7.9 9.5 10.4 488,738 510,200 527,400 551,925 574,000 590,300 612,665 633,397 677,803 722,209 4.4 3.4 4.7 4.0 2.8 3.8 3.4 7.0 6.6 1970-1979 112.0 47.8 Source: Nevada State Bar Association - Bar Membership. U.S. Bureau of the Census, Series P-25, Nos. 517,676,76-28 - Population Figures, 1970-1977. State Planning Coordinator's Office, Population Figures, 1978-1979. on the sufficiency of legal services requires that one consider only the lawyers in private practice actually available to serve the public, factoring out lawyers in government service, business, academic law, etc. This detailed information for Nevada and the surrounding states has not been updated since 1972. For purposes of comparison, therefore, overall lawyer/ population ratios are used. These figures show that the past decade of growth in Nevada's bar has meant a decline in the lawyer/population ratio from 1 to 616, below the national figure of 1 to 577 at that time, to the current level of 1 to 430, which is roughly identical with the current national average of 1 to 429. Exhibit IV-15 shows this change in Nevada's lawyer/population ratios. Using ratios based on the number of actively practicing attorneys, as opposed to total bar memberships. Exhibit IV-16 shows that among the surrounding states Nevada stands in the middle group in lawyers per population. Another indication that the lawyer supply in Nevada is adequate on balance is the stringency of state bar requirements, Nevada has no reciprocity in bar examinations with other states, and it has a strict residency requirement of five months for sitting for the examination. If the bar felt that Nevada's lawyer supply were inadequate, it could ease requirements to allow easier access to practice in Nevada. Geographical distribution. As shown in Exhibit IV-17, the distribution of actively practicing attorneys within the state varies considerably. Carson City, with a population of under 40,000, has 116 attorneys, for a low ration of 1 to 330. Washoe County registers 1 attorney for every 439 inhabitants, Douglas 1 to 471, and Clark 1 to 622. By contrast, in Mineral and Nye counties, 1 lawyer serves over 2,000 residents on average. The variability of lawyer/population distribution does not necessarily reflect unsatisfactory service in outlying areas of the state. Urban and governmental centers have a much greater demand for legal services. Of the Nevada population, 81.9 per cent live in the urban areas of Washoe and Clark counties, while 84.1 per cent of Nevada's lawyers practice there, suggesting that geographical distribution is not a major problem. At times the state has had to contract for district attorneys in outl'^dng areas, but this has been the exception rather than the rule. IV-17 EXHIBIT iV-15 CHANCE IN LAWYER/POPULATION RATIO IN NEVADA 1970-1979 Year Population Number Of Lawyers Lawyers Per Population 1970 488,738 793 1 to 516 1971 510,200 864 1 to 591 1972 527,400 922 1 to 572 1973 551,925 997 1 to 554 1974 574,000 1,092 1 to 526 1975 590,300 1,182 1 to 499 1976 612,666 1,289 1 to 475 1977 633,397 1,391 1 to 455 1978 677,803 1,523 1 to 445 1979 722,209 1,681 1 to 430 Source: Population figures - U.S. Census, Series P-25, and State Planning Coordinator's Office. Lawyer figures - Nevada State Bar Association. employment as lawyers at the time of the survey; 10.9 per cent were unemployed, 11.6 per cent wanted legal jobs but were unable to find them, and 21.9 per cent were practicing attorneys with insufficient work. The total number was adjusted 4 per cent for overlap to produce the figure of 40 per cent. The high degree of employment difficulty and dissatisfaction reported in the survey is a result of several factors: - The survey included graduates of ABA- and non-ABA-approved law schools. - The response rate was 30 per cent. The survey queried graduates on "underemployment," a difficxilt category to measure. Although the employment difficulty reported should therefore be viewed with some skepticism, the mere existence of the survey and the high percentage of difficulty reported indicate that there are perceptions of some problems in placement in California. Nevada is only indirectly affected by the trends in California. Given the fact that California residents have constituted 19.9 per cent of the entrants to the Nevada bar over the past five years and Nevadans have constituted 15.9 per cent, however, the impact of the California placement picture on Nevada is not insignificant. The dramatic growth rate in the Nevada bar over the past decade also leads to the conclusion that placement prospects for Nevada law school graduates would be tight in the short term. The rate of growth in the number of lawyers in Nevada indicates that the state has had the latitude to absorb lawyers from other states during a period of increased lawyer production. Nevada's current lawyer/population ratio, however, suggests that it is no longer a wide-open market. Graduates of a Nevada law school would therefore have to compete in a well-supplied market. Until a new law school gained respect and acceptance among the Nevada bar, they might also be competing at a disadvantage in relation to graduates of known law schools. IV-21 C - QUALITATIVE ASPECTS OF DEMAND The following sections analyze Nevada's legal education and service needs in relation to the benefits that accrue to a state, university, bench, and bar having the support of a state law school. The object of the analysis is to determine which of the benefits typically resulting from a law school would address genuine needs of the state of Nevada. BENEFITS TO THE STATE In support of the state as a legal entity, a state law school is typically a significant resource. It can provide the intellectual resources for a critical and constructive perspective on the state's legislative and judicial functions and the material and personnel support for legal research and technical undertakings related to law reform and law revision. Nevada Has Substantial Resources For Legal Research And Review As described in Chapter II, the state of Nevada has well-staffed and well-funded organizations devoted to legal research and four law libraries with moderate collections. The legislative counsel, the state Attorney General's Office, and the central legal staff of the Nevada Supreme Court employ a total of 77 attorneys full-time to provide research and drafting support on legal issues. Legal research carried out by these agencies comprehends many aspects of the Nevada law. The legislative counsel analyzes, drafts, and recodifies statutes with which the legislature is concerned during any given period of time. The counsel works with the Attorney General's Office in interpreting criminal law statutes and administrative regulations. The Attorney General's Office devotes considerable research efforts to civil, tax, and commercial law. The central legal staff of the Supreme Court conducts case-by-case research. Among the three offices, a wide range of Nevada statutory and case law comes under scrutiny at one time or another. In addition to the research function, Nevada is not without resources for law revision and reform. As described in Chapter II, the legislative counsel is available between sessions to carry out revisions of major statutory areas. Since 1965 Nevada's criminal law, penalties, and insurance IV-22 laws have been reviewed and its education laws recodified. In addition, the counsel spends much time between legislative sessions in keeping the corpus of Nevada Revised Statutes up-to-date on the basis of new legislation . Existing Structures For Legal Research And Review Do Not Provide Continuity, Comprehensiveness, And Intellectual Independence The chief limitation of current legal research and review in Nevada is the intermittent way in which they must be conducted. The three organizations that conduct research function as a service to their respective state bodies. To a great extent, their roles are reactive rather than initiative. This has a number of implications. , Lack of continuity. The various research staffs must respond to the immediate needs of the bodies they serve. During the legislative session, the counsel must concentrate on drafting legislation; staff in the Attorney General's Office must fulfill agency requests for information; and the Supreme Court staff must address the issues raised by individual cases. To the extent that staff efforts are concentrated on day-to-day concerns, revisions of past laws and analysis of future legal requirements become a lower priority. Lack of comprehensiveness. Each research staff has its own area of concern, limiting the overview of any individual staff member or group. The research functions oriented toward case law and toward statutory law are split. It is difficult under these circumstances for any of the various research groups to have a comprehensive perspective on Nevada laws. Furthermore, the research structure inhibits the often beneficial function of comparing Nevada laws with the laws of other states. A member of the legislative counsel staff does serve on the National Conference on Uniform Laws, but a comparative framework is not institutionalized. Lack of intellectual independence. The service functions of the various research bodies limit their independence. A truly critical and constructive perspective on a state's laws requires a comprehensive understanding of the interrelations of those laws, the relation of that corpus of laws to those of other states, and the relation of the current body of laws to a state's legal tradition and further development. That kind of perspective, typically found in an academic context, can only be obtained outside the structure of politics or day-to-day legal concerns. IV-23 Nevada's Need For Ongoing Expert Criticism Of Its Legal Processes Is Likeiv To Grow As The State Grows To the extent that growth brings with it increasing complexity in societal, governmental, and economic relationships, the state's laws will become more complex. In the past Nevada has largely followed California in developing its laws. As the state grows, however, it is reasonable to expect a growth in the range of legal issues reflecting its particular concerns. It will be of increasing advantage to have persons or a group within the state with expertise in those concerns and an orientation toward future development. Areas important to the state's development in which members of the state's legal profession note a current lack of intellectual resources are gaming law, usury law, water and mining law, and environmental law. Beyond its practical impact on legal issues and processes, the growth of a state has philosophical implications. As Nevada develops in stature and visibility, it may be increasingly advantageous to have a more selfconscious approach to its legal concerns. BENEFITS TO THE UNIVERSITY As a professional school with visibility and prestige, a law school provides added dimension to a university's total program and to the educational opportunities a state offers its residents. A law school also provides opportunities for collaboration in university programs. The University Of Nevada Is Not Without Resources For Collaboration And Support On Legal Issues The University of Nevada at Reno benefits from the presence on its campus of the National Judicial College. Founded to train judges of general jurisdiction, the judicial college is a private nonprofit corporation of Nevada, operated largely on foundation support. It operates seminars for judges from aU over the country, taught chiefly by acting judges on a voluntary and temporary basis. As the only institution of its kind in the country, the college attracts an impressive array of the country's judiciary. The University of Nevada at Reno benefits from the presence of the judicial college in several ways. The college's considerable prestige brings recognition to the Reno area and campus. Limited programmatic interaction also takes place between the college and the university. The college provides speakers to the university on request, particularly in journalism and IV-24 education, and participates in a Summer Education Department program for teachers on "the law, society, and education." Beyond this, there is no interaction in curricular areas, but the college opens its library resources to university students and invites the university community to lectures and other programs. University Programs Could Be Well Served By A Law Component To the extent that technical issues increasingly have a legal component, the university provides an important arena for sharing expertise. If a law school were established, the University of Nevada could make a genuine contribution to the state by fostering collaboration between law faculty and faculty in other departments in research and teaching in such areas as environmental law and mining law, which are of particular significance to Nevada's development. This potential benefit should not be overemphasized, however. Law schools have not traditionally been easily integrated into their universities' total programs. BENEFITS TO THE PROFESSION Law schools potentially benefit the profession by providing academic resources and the potential for research support. Nevada Attorneys Would Benefit From An Academic Resource As the practice of law becomes more specialized, the benefits of having a body of experts accessible for consultation are increasingly significant. Nevada's bench and bar must currently rely on Nevada law specialists in other states for issues requiring special expertise. It would be a substantial advantage to have a larger, more concentrated, more accessible pool of experts for consultation. Particularly since a majority of the Nevada bar are general practitioners, it would be of great value to have a resource with the potential for specialization. Beyond that, the profession could benefit from interaction with academic lawyers who have broader exposure to new directions in the law. The profession would benefit from the resources of a law school in developing programs of Continuing Legal Education (CLE) . The state bar develops most of its CLE programs through joint sponsorship with other states or organizations and typically imports the faculty to teach the IV-25 programs from out of state. Although a law school might not have a direct role in monitoring the state's CLE programs, its faculty could provide teaching support and consultation in the development of courses. To the extent that members of the practicing bar have a desire to teach law, a law school might over time provide teaching opportunities. The Benefit Of A Law School To The Profession Depends On Mutual Interest Beyond the considerable advantages that an academic dimension would afford to law in the state, the amount that a law school would actually benefit Nevada's practicing bar is open to question. In many locales there is little interaction between a law school and the local bar. Law students are more readily integrated into the legal community in clerkships for attorneys and internships in governmental offices. IV-2 6 V - THE ESTABLISHMENT OF A LAW SCHOOL Specific considerations related to the establishment of a Nevada law school are presented in this chapter. It describes the program requirements for a law school and an appropriate law school model and discusses the feasibility and impact of establishing a Nevada law school. A - OVERVIEW In the United States there are 169 law schools accredited by the ABA and 64 nonaccredited law schools. Although wide diversity exists among these schools in size, purpose, and general design, most schools have several factors in common: - The basic unit is the law school itself, offering the equivalent of six semesters of training leading to a J.D. degree. - Though not required by the ABA, most law schools affiliate with an existing university so as to establish a comprehensive educational environment In addition to the legal curriculum, law schools offer students opportunities for experience in legal research, legal discussions, legal processes, and community activities through such institutions as law reviews and journcds, clinical programs, moot court competitions, student organizations, and professional job placement programs. The remainder of this chapter assesses the feasibility of establishing a Nevada law school by examining the following areas: Requirements for a law school program - A law school model for Nevada Specific aspects of feasibility, including costs, sources of financing, startup time, and location The impact of a law school, assessed within the analytical framework established in Chapter III. V-2 B - PROGRAM REQUIREMENTS Three factors determine the program requirements of a Nevada law school: ABA accreditation requirements Association of American Law Schools (AALS) guidelines Specific Nevada circumstances. Receipt Of ABA Accreditation Is Critical For The Ultimate Success Of A Nevada Law School Current Nevada bar regulations require that applicants to the bar have graduated from ABA-accredited law schools. Because exceptions are rarely granted, a Nevada law school must receive accreditation if its graduates are to sit for the Nevada bar. Nonaccredited law schools are seriously disadvantaged relative to accredited schools in competing for qualified applicants. With few exceptions, graduation from an ABA-approved law school is a requirement for taking state bar admission examinations. The operations of the ABA and affiliated organizations limit the exposure to nonaccredited schools to potential applicants. The "Prelaw Handbook," the primary national source of information about law schools, omits descriptions of nonapproved schools. Publications of the Educational Testing Service (ETS) and the ABA list accredited schools separately from nonaccredited ones. Nonaccredited schools are disadvantaged in other ways. The ABA Section of Legal Education and Admissions to the Bar distributes to approved law schools comprehensive comparative data on salaries, admissions, libraries, and other areas, reported by member schools. Deans of nonaccredited schools do not receive these data. Membership in the Law School Admission Council, Inc. (LSAC) , is limited to ABA-approved schools, which means that nonaccredited schools may not attend or participate in LSAC meetings. Lack of accreditation hinders recruitment of competent faculty and complicates fund-raising efforts. V~3 Accreditation requirements are developed by the ABA Section of Legal Education and Admissions to the Bar and are contained in the ABA publication "Approval of Law Schools." Since the basic requirements were adopted by the ABA House of Delegates in 1973, several clarifications of them, known as interpretations, have been issued. Appendix B contains a summary of the regulations and interpretations. Further To Ensure Its Success, A Nevada Law School Should Meet The AALS Guidelines The AALS functions as a learned society for the faculty of its member schools and as an academic accrediting agency for law schools. A law school is not considered for membership in the AALS until it has offered five years of instruction and has graduated its first class. The AALS has 138 member schools. In 1967 an AALS committee, assisted by AALS editorial ad\'isers, drafted the "Guideline Statement on the Establishment of New Law Schools," which was updated in 1977. The guidelines represent the pooled wisdom of the leading law schools concerning minimum requirements for an acceptable law school program. As such, they constitute criteria that new law schools should strive to meet. In its guidelines, the AALS identifies four prerequisites for the establishment of a law school: "A new law school should not be established unless the following circumstances exist: (a) There is a demonstrated need for the law school; (b) The law school is a part of a fully accredited university or four-year college offering a broad range of academic work; (c) The prospective law school, when in full operation, will at least fulfill the minimum standards prescribed by the accrediting agencies for law schools; and (d) The educational institution of which the law school will be a part gives satisfactory assurance that the law school will within a reasonable time conform to the higher standards set forth in this statement." V-4 Additional significant aspects of the guidelines are summarized in Appendix C. Specific Nevada Circumstances Determine Additional Requirements Of QuaUt-y, Focus, And Scope A law school should be of high quality. Because Nevadans currently have the most difficulty in securing admission to high-quality law schools, a Nevada school should be of high quality to alleviate this situation. The University of Nevada's desire for a law school to enhance its general stature also implies that a Nevada law school should be of high quality. In addition, nearly all Nevadans interviewed by the consultants expressed a desire for a high-quality school with selective admissions. A law school should emphasize Nevada law and legal expertise needed in Nevada. A state-supported law school has many constituencies: the students, the legal profession, the general public, and the state itself. No current law school fully meets the needs of these Nevada groups in teaching Nevada law, preparing students for Nevada practice, and training students and lawyers in legal areas of special concern to Nevadans, such as water, mining, environmental, and gaming law. Thus, to respond to the needs of its constituencies, a law school should emphasize Nevada law and legal expertise. A law school should emphasize training in professional skills. Most Nevada lawyers practice singly or in small firms and do not therefore receive practical training in professional skills after graduation from law school. To ensure competence in professional skills - such as counseling, the drafting of legal documents and materials, and trial and appellate advocacy - a law school should emphasize training skills. A law school should be small. Because the applicant pool for a Nevada law school will be limited, a small law school is necessary to ensure the selectivity of admissions required for high quality. Smallness will also facilitate training in professional skills. A law school should provide for research and review of Nevada law. As described in Chapter III, a state law school can preserve and advance its state's body and tradition of laws. Nevada currently has no institution to perform this function. Because a state law school serves the state as well as individual students, it should fill this role as a guardian and scholar of Nevada law. V-5 Specific characteristics of a law school should enhance its ability to attract qualified faculty and students. To remain viable in light of a national decline in law school applicants, a Nevada law school should have specific characteristics that maximize its desirability in relation to other schools. In such areas as salaries, tuition, library size, physical facilities, and location, a Nevada law school should compare favorably with other western law schools. V-6 C - DESCRIPTION OF LAW SCHOOL MODEL This section describes the governance and administration, student body, curriculum, faculty, other services, tuition policy, physical facilities, library collection, and personnel of a Nevada law school. GOVERNANCE AND ADMINISTRATION A Law School Must Be More Independent In Its Governance And Administration Than Most University Departments The ABA standards require that, within general policies established by the university governing board, the law school dean and faculty have responsibility for formulating and administering the school's program. This responsibility includes faculty selection, retention, promotion, and tenure: curriclolum; methods of instruction; admission policies; and academic standards. The ABA also stipulates that a general university committee may not independently judge the quality of scholarship, teaching, or service of law faculty members. The university may not fix an upper limit on the percentage of law faculty who are awarded tenure. These Standards and other ABA requirements concerning the organization and administration of law schools are summarized in Appendix B. STUDENT BODY A Nevada Law School Should Enroll About 85 Students In Each Freshman Class And Strive To Matriculate 80 Of Them Although the AALS recommends that a law school have a minimum of 300 students, 14 public U.S. law schools have smaller enrollments, as shown in Exhibit V-1. Because many law school operating costs are fixed, these small schools are to some extent an educational luxury. If Nevada decides to establish a law school, however, these 14 schools are evidence that law schools with enrollments less than 300 are feasible, though expensive. Assuming a faculty size of 13, which is less than the minimum of 16 recommended by the consultant on legal education to the ABA, and a student-faculty ratio of between 18:1 and 19:1, a new law school requires V-7 PUBLIC LAW SCHOOLS WITH ENROLLMENTS LESS THAN 300 Law School University of South Dakota North Carolina Central University Lewis University Southern University University of Arkansas at Little Rock University of Hawaii at Manoa University of Wyoming Northern Kentucky University University of Montana University of Maine University of Akron Southern Illinois University University of North Dakota University of Idaho Source: 1979-80 Prelaw Handbook. Fall 1978 Total Full-Time Total First Year Enrollment Full-Time Enrollment 193 66 202 85 203 78 201 91 207 77 210 73 213 76 219 73 226 76 210 80 211 89 217 80 268 99 269 107 m X X CD H < a minimum enrollment of 240. Some entering students will not complete the program, as shown by the 1978-79 experience of seven small public law schools: Percentage Of Total Student Law School (a) Body Discontinuing Law School A 5.2' B 9.3 C 4.0 D 8.9 E 6.7 F 4.2 G 4.4 Median 5.2 (a)Includes five western schools. Admitting a class of 85 students allows for an average discontinuance rate of 6 per cent, which compares favorably with the actual experience of these schools. A Nevada Law School Should Admit Students Of Comparable Quality To Other Western Schools The five small western law schools, which generally matriculate lawyers of fine quality, admitted students in 1978 with the following median LSAT scores and grade point averages: Median Scores of Entering Class School LSAT CPA University of Idaho 592 3.25 University of North Dakota 569 3.25 University of Montana 615 3.27 University of Wyoming 611 3.30 University of South Dakota 574 3.26 Because the ABA requires that the admission policies of a law school be consistent with the objectives of its educational program, a law school must admit high-caliber students to maintain a high-quality law school. V-8 Thus a Nevada law school should not guarantee admission to all Nevadans and, in fact, would turn away the type of student currently unable to gain entrance to law school. CURRICULUM The Curriculum Should Both Develop Analytical Abilities And Teach Professional Skills Needed In Law Practice Within the legal profession, there is currently much discussion concerning the role of law schools. Although most lawyers, including the ABA and the AALS, agree on the need for analytical training, lawyers and educators do not agree among themselves concerning the extent to which law schools should train students in professional skills. This discussion prompted the ABA to form a Task Force on Lawyer Competency, which, after extensive study, interviewing, and discussion, issued a report, ''Lawyer Competency; The Role of the Law Schools." The report contains several recommendations addressed to law schools, six of which directly address educational programs: Law schools should provide instruction in those fundamental skills critical to lawyers' competence, such as writing, oral communication, fact-gathering, interviewing, counseling, and negotiating. - Law schools should use small classes for individualized instruction in lawyer skills. Law schools should encourage cooperative law student work. Students should receive detailed critiques of their performance. - Law schools should seek greater coherence in their curricula, which should present students with problems of successively broader scope and challenge. - Law schools should experiment with schedules that provide opportunity for periods of intensive instruction in fundamental lawyer skills. V-9 In response to the task force report, the Council of the Section of Legal Education and Admissions to the Bar of the ABA has recommended a revision of the ABA accreditation standards. The present standards require a law school to offer instruction in such basic skills as the drafting of legal documents, counseling, and trial and appellate advocacy. The revision would require accredited schools to offer all students a rigorous writing experience in each year of law school, as well as instruction in interviewing, negotiating, counseling, and trial and appellate advocacy. Thus, although discussion continues concerning law schools' role in professional skills training, the ABA is moving toward requiring them to devote more resources to this area. A new law school should anticipate these changes in the requirements and establish an effective program for teaching professional skills. In addition to increased emphasis by the ABA on professional skills, the characteristics of legal practice in Nevada suggest a need for a law school to emphasize skills training. As previously discussed, most Nevada lawyers practice singly or in small firms, with limited opportunities for instruction in professional skills after law school. An integrated curriculum emphasizing both analytical and professional skills necessitates a structured approach. To expose students to a maximum amount of information, to ensure that unnecessary duplication is avoided, to develop the skills of analysis and synthesis, and to build a skills foundation for law practice require a curriculum more carefully planned, integrated, and executed than at most law schools. In addition to structure, a curriculum emphasizing both analytical and professional skills should offer students the opportunity for supervised clinical experience. Law schools now offer spaces in clinical programs to an average of about 20 per cent of the study body simultaneously. A low student-faculty ratio is necessary to ensure that clinical programs are effective and to comply with the ABA requirement that activities away from the law school and the participation of students in them be periodically reviewed by a faculty member. The Curriculum Should Emphasize The Legal Problems And Opportunities Of Nevada Though structured, the law school curriculum should offer elective courses that allow students to explore Nevada law and legal practice. V-10 Nevada law should also be referred to in the required curriculum, provided that the students' grasp of basic legal principles and development of analytical and professional skills are not hindered by so doing. As discussed in section B, a state law school can be established to serve the needs not only of Nevada students but of additional constituencies, such as the legal profession, the public, and the state itself. Because most graduates will practice in Nevada, a law school can best serve its constituencies by offering its students unique and appropriate instruction in Nevada's situation. Because a Nevada law school will have limited resources, electives in areas other than Nevada law will be minimal. Such a curriculum would meet ABA standards if the law school program and its objectives were clearly stated in school publications. The design of courses covering Nevada, however, must meet the ABA prohibition against law schools' offering, for credit, instruction designed as a bar review examination course. FACULTY A Nevada Law School Should Have An Excellent Dean And Faculty An excellent dean and faculty are needed to maintain a high-quality law school and can also minimize the startup time and expenses of a new law school. Law school deans are generally mobile. Currently, 93 of the 169 ABAapproved law schools either are looking for a dean or have had the present dean for less than two years. Deans generally stay at a school for less than five years. If a Nevada law school offers a dean both a salary significantly above the national median for deans of $51,896 annually and sufficient operating autonomy, attracting a qualified dean will not be difficult. A new law school will have more difficulty in obtaining qualified faculty, especially in the junior ranks. The Nevada climate and setting, however, may attract retired faculty interested in teaching for a few more years, as well as younger faculty attracted to the Nevada life-style. Nevada may be able to capitalize on the experience after World War II of Hastings College of the Law, which assembled an outstanding faculty composed largely of professors retired from other schools. Although attracting excellent faculty may be more difficult than hiring a dean, a generous package of salaries and benefits would enable Nevada to assemble an excellent law school faculty. V-11 Faculty Size Should Be Increased From Six The First Year To Attain A Permanent Student-Faculty Ratio Of 19:1 Or Better ABA guidelines require at least six faculty members during the first year of a law school's operation and strongly encourage an ongoing studentfaculty ratio of 20:1 or less. Representative 1978 ratios of other western state law schools are as follows: The establishment of a high-quality law school with a curriculum offering professional skills and clinical education further supports the need for a student-faculty ratio of 19:1. Clinical programs require a student/faculty ratio of 10:1 or less to be effective. Courses in professional skills development are best taught in small classes. The AALS guidelines suggest that a highly personal relationship between students and faculty is needed to develop concepts of moral and professional responsibility. Moreover, the recent ABA report "Lawyer Competency: The Role of the Law School," discussed earlier, recommends that student-faculty ratios be improved. The report also suggests that law schools use small classes as opportunities for individualized instruction in fundamental lawyer skills. Both these recommendations presage increased emphasis on studentfaculty ratios for accreditation. Law School Student-Faculty Ratio University of Washington University of New Mexico University of Montana University of Arizona University of Idaho Arizona State University University of Utah University of Colorado University of Wyoming University of Oregon 1:15.2 1:15.8 1:18.8 1:19.9 1:20.7 1:22.1 1:22.1 1:22.7 1:23.7 1:25.7 V-12 Faculty Areas Of Expertise Should Include Nevada Law And Natural Resources Law These areas of expertise are necessary to emphasize Nevada's law and situation adequately, as discussed in section B, and to teach the curriculum outlined. OTHER SERVICES A Law School Should Actively Support CLE Progjrams A Nevada law school should assist the state bar in strengthening CLE by donating resources to the program. These resources may comprise use of physical facilities and equipment, materials, library resources, and the efforts of individual faculty members. Limited resources will preclude the law school from assuming primary responsibility for CLE; financial and personnel resources should be devoted to the successful establishment of the law school program. The state bar will have to continue to assume responsibility for planning and implementing CLE. A Law School Should Establish A Nevada Law Review To encourage faculty and student research and review of Nevada law and to supplement classroom training in analytical and research skills, a law school should sponsor a Nevada law review. This review would help the law school fulfill its appropriate role as guardian and scholar of Nevada law, discussed in more detail in Chapter III. A Nevada Law School Should Emphasize Its Professional Placement Program A strong professional placement program would supply valuable services to all constituencies of a law school: students, the legal profession, the public, and the state. To the students a placement program offers opportunities for legal experiences during law school that can supplement classroom training in analytical and professional skills. A strong program in permanent placement also increases the desirability of a law school to students, which strengthens the school overall by attracting talented applicants. For the legal profession, an effective program identifies competent students, well-trained in analytical and professional skills and likely to make significant contributions to a professional practice. As suggested in Chapter III, law students can furnish research support to local attorneys; a placement program can coordinate such research opportunities. V-13 To the public and the state, a good placement program contributes lawyers well prepared to meet the legal needs of Nevadans. By identifying to students professional legal opportunities in Nevada, a placement program encourages Nevada students both to attend law school in their state and to remain for professional practice after graduation. A Nevada Law School Should Not Offer Degrees Other Than The J.D. Graduate legal education programs require substantial resources and are not considered essential for an adequate law school by any law school organization or accrediting agency. At This Time, A Law School Should Not Offer A Program Of Part-Time Legal Education A metropolitan area of at least one million persons is usually necessary to support a program of part-time legal education indefinitely. New law schools in smaller metropolitan areas that establish part-time programs, such as the Puget Sound School of Law in Tacoma, Washington, and the Arkansas - - Little Rock School of Law, have discovered a substantial decrease in their part-time market after a brief time. Certain smaller cities, such as Sacramento, can support a part-time program because the large government sector attracts persons interested in law. A program of part-time legal education increases the resources required for accreditation. The library collection and seating and the size of the faculty must be expanded to accommodate the part-time students. TUITION POLICY A Nevada Law School Should Consider Annual Resident Tuition Charges In The Range Of $550-$l,000 As shown in Exhibit TV-10, resident tuition at western law schools ranges from $434 to $1, 507 per year, with a median of $723. A comparison of law school tuitions now paid by Nevadans both within and not covered by WICHE, shown in Exhibits II-1 and II-2, shows that a tuition of $550-$l,000 will make law school tuition more affordable for Nevadans than all but one of the current alternatives. The effect of alternative tuitions on the financial feasibility of a law school is discussed in section D. V-14 APPENDIX A - METHODS FOR PROJECTING STUDENT DEMAND FOR LEGAL EDUCATION IN NEVADA APPENDIX A - METHODS FOR PROJECTING STUDENT DEMAND FOR LEGAL EDUCATION IN NEVADA Two methods are used in this study to provide a realistic range of estimated student demand for legal education in Nevada through 1995. Population-Based Projection The first method follows the assumption of national legal education experts that the population of 22-year-olds is a relevant base group for assessing law school demand. Exhibit A-1 shows the estimates of the future potential applicant pool based on the State Planning Coordinator's official estimates of Nevada's population growth. Official state figures do not estimate population by individual age-year, but by cohort groups. For this projection, the number of 22-yeeir-olds is derived by estimating that group as a percentage of Nevadans age 15 to 24. That percentage is calculated by establishing from the national census what proportion 22-year-olds are of the age cohort 15 to 24. This yields a base population of projected 22-year-olds in Nevada. Using that base, the size of the potential law school applicant pool is calculated first on the basis of the highest and lowest national percentages of 22-year-olds who apply to law school (2.09 per cent and 1.75 per cent) and second on the basis of the percentage of estimated 22-year-olds who actually applied to law school from Nevada from 1975 through 1978 (1.55 per cent). These two methods of calculation provide a range of estimated potential applicants for the years indicated. Exhibit A-1 shows that, in contrast to the national trend, the underlying population of 22-yecir-olds in Nevada is expected to grow steadily through 1995, with the general population. For this reason, regardless of which capture rate one uses, the number of potential law school applicants is also projected to increase. The two different capture rates produce different projections of the rate of that growth. Based on the highest national percentage, the applicant pool could be as high as 292 in 1980 and increase to 399 by 1995. Against this optimistic projection, it must be Scdd that it is unlikely that applications woidd jump from a yearly average of 157 from 1975 through 1978 to 292 by 1980. This argues in favor of the more conservative projections based on Nevada's historical experience. POTENTIAL LAW SCHOOL APPLICANT POOL BASED ON STATE PROJECTIONS OF AGE 22 POPULATION Potential Applicants Based On National Law Applicant *Percentage is calculated as average of 1975-1978. Source: Population figures - State Planning Coordinator's Office. Potential Applicants Based On Nevada Year Age 15-21 Age 22 Capture Rates Capture Rate 2.09% 1.75% 1.15% 1975 108,373 10,295 - - 155^ 1976 113,652 10,796 - - I"" I* 1977 118,588 11,265 - - 187 r 1978 128,106 12,170 - - 112 J 1979 137,655 13,077 - - 190 1980 117,238 13,987 292 215 203 1981 119,716 15,121 322 270 221 1982 152,217 15,681 328 271 227 1983 151,251 15,888 332 278 230 1981 157,255 16,197 339 283 235 1985 159,763 16,155 311 288 239 1990 172,600 17,777 372 311 258 1995 185,100 19,096 399 331 277 m X 1 2 H > I Exhibit A-2 shows a projection of student demand based on national series II-B census data, as opposed to state population data. Using the application pattern during the 1975-1978 period to arrive at a capture rate of 1.55, this base population produces an even more conservative expectation of continued demand than the lowest estimates based on Nevada population data. Until the results of the 1980 census are known, it is difficult to judge with accuracy Nevada's base population. As a result both sets of data are used to provide a possible range. Enrollment-Based Projection The second basis for estimating the potential law school applicant pool is anticipated growth or change in the number of students enrolled in four-year undergraduate programs, a prerequisite for entry into law school. Exhibit A-3 shows projected enrollment trends in the University of Nevada System. Looking at the Upper Division, which is a group consisting only of students preparing for a full undergraduate degree, enrollments are projected to increase from 3,141 in 1978 to 4,899 in 1995. If the number of Nevadans applying to law school increased at the same rate, the applicant pool would grow from its most recent yearly average of 157 to 244 in 1995. Exhibit A-4 illustrates this trend. A-2 EXHIBIT A-2 POTENTIAL LAW SCHOOL APPLICANT POOL BASED ON NATIONAL CENSUS PROJECTIONS OF AGE 22 POPULATION IN NEVADA Potential Applicants Based Year Age 15-24 Age 22 On Nevada Capture 1975 106,500 10,118 157(a) 1980 124,900 11,865 184 1985 125,800 12,957 201 1990 119,500 12,308 191 1995 119,100 12,267 190 (a)Average applications 1975-76 to 1978-79. EXHIBIT A-3 UNIVERSITY OF NEVADA SYSTEM ENROLLMENT ESTIMATES 1978-1995 1978(a) 1980 1985 1990 1995 University of Nevada, Reno(b) Lower Division 3,272 3,758 1,275 1,792 5,309 Upper Division 1,631 1,782 2,027 2,272 2,517 Graduate 768 771 88^ 988 ^»085 Total 5,671 6,311 7,183 8,052 8,921 University of Nevada, Las Vegas Lower Division 3,116 3,127 3,861 1,301 1,738 Upper Division 1,510 1,722 1,912 2,162 2,382 Graduate 666 677 763 819 Total 5,292 5,826 6,569 7,312 8,055 Note: Factors influencing the estimates: 1. Projections that Washoe County population will increase by 115 per cent between 1980 and 2000 and Clark County population will increase by 111 per cent in the same period. 2. Projections that high school graduates in Nevada will increase by 17 per cent by 1995. 3. A ten-year 50 per cent increase in the rate of live births in Nevada. (a) Actual. (b)Excludes the Medical School. Source: University of Nevada System, Office of the Chancellor, Office of Institutional Studies; State Planning Coordinator's Office; The Chronicle of Higher Education; Vital Statistics Office, State Department of Health. EXHIBIT A-H POTENTIAL LAW SCHOOL APPLICANT POOL BASED ON PROJECTED GROWTH IN UNIVERSITY ENROLLMENTS Law School Applicant Upper Division Enrollments Per Cent Pool Based On Equivalent At UNR And UNLV Increase Percentage Increase 1978 3,141 - 157(a) 1980 3,504 11.6% 175 1985 3,969 13.3 198 1990 4,434 11.7 221 1995 4,899 10.5 244 (a)1975-76 to 1978-79 average. Source: Enrollment data - University of Nevada Chancellor's Office. APPENDIX B - ABA STANDARDS FOR THE APPROVAL OF LAW SCHOOLS GENERAL PURPOSES AND PROCEDURES • The ABA believes that every candidate for admission to the bar should have graduated from an ABA-approved law school, that such graduation should not alone confer the right of admission to the bar, and that every candidate should be examined by public authority to judge fitness for admission. • To obtain ABA approval, a law school must demonstrate that its program is consistent with sound educational policies by establishing that it is operated according to ABA standards. - Support from the state bar association is not necessary for ABA approval. • A law school receives provisional approval when it substantially complies with ABA standards and shows that it will fully comply with the standards within three years after receiving provisional approval. - Plans for construction, financing, library improvement, salary increases, and employment of faculty that are presented by a law school seeking provisional approval do not, in themselves, constitute substantial compliance. Substantial compliance means compliance at the time a law school seeks provisional approval, not future realization of existing plans. • A law school will be granted full approval when it is in full compliance with the standards and has been provisionally approved for two years. Approved law schools should exceed the minimum requirements of the standards. A law school whose academic program does not meet its own stated goals and objectives does not meet the standards. ORGANIZATION AND ADMINISTRATION • A law school's resources and organization must be sufficient to sustain a sound educational program. • The law school shall be governed by a board, which establishes general policies for the school consistent with a sound educational program and the standards. • Within general policies established by the university governing board, the law school dean and faculty are responsible for formulating and administering the school's program, including such matters as faculty selection, retention, promotion, and tenure: curriculum: methods of instruction: admission policies: and academic standards. • A general university committee may not independently judge the quality of scholarship, teaching, or service of a law school faculty member and may not limit the percentage of law faculty awarded tenure. • The present and anticipated financial resources of the school shall be adequate for a sound educational program. A law school does not meet this requirement when: o It depends almost entirely on tuition income. o Operational and buHdtng costs have exceeded income and have necessitated borrowing considerable sums of money. o Acquisition of a permanent law school plant depends on loan commitments that are themselves contingent on the receipt of provisional ABA accreditation. B-2 o Budget projections to cover debt service and operational expenses contemplate and depend on substantial increases in the student body together with substantial increases in tuition. • Law schools shall maintain equality of opportiinity without discrimination or segregation based on race, color, religion, national origin, or sex. • The law school shall provide adequate staff, space, and resources to maintain an active placement service for its graduates. EDUCATIONAL PROGRAM • The law school shall maintain an educational program that qualifies its graduates for admission to the bar. • A law school may offer a program that emphasizes some aspects of the law and gives less attention to others. - If a school offers such a program, that program and its objectives shall be clearly stated in its publications. • A law school must offer instruction in the core curriculum and training in the professional skills. Examples of professional skills include counseling, the drafting of legal documents and materials, and trial and appellate advocacy. Professional skills training in a particular area, such as trial advocacy, need not be offered to all students as long as it is offered to some students. Schools may select the professional skill areas to which they devote special attention. • The law school curriculum shall offer opportunity for study in seminars or by directed research and small classes for at least some portion of the instructional program and may not award credit for study by correspondence. B-3 • A law school must require training in professional responsibility, though not necessarily in a formal course. - Law schools are encouraged to involve members of the bench and bar in such instruction. • A law school must provide training in writing, research, study techniques, and trial tactics. • The law school shall establish and adhere to clearly defined standards for the students' good standing, advancement, and graduation. • As a graduation requirement, the law school shall require the completion of study in residence of at least 1,200 class hours over a period of at least 90 weeks for fiiU-time students. A student may not work more than 15 hours per week while attending school full-time. • If a law school has a program that permits participation in activities away from school, each such study or activity, and the participation of each student therein, must be periodically reviewed by a faculty member. • At least 900 hours of the total time credited toward satisfying classhour requirements shall be in actual attendance in regularly scheduled classes in the school conferring the degree. • A law school may admit students with advanced standing and allow credit for studies at a nonapproved law school only when law studies are performed outside the United States and under certain conditions. Credit may not be awarded for studies at a U.S. law school that is not ABA approved. FACULTY • Faculty members must possess a high degree of competence, demonstrated by education, classroom teaching ability, experience in teaching or practice, and scholarly research and writing. • A law school must have at least six faculty members in its first year of operation, excluding the dean and law librarian. B-4 More than six faculty members are required if the school has both a day and an evening program, regardless of size or the curriculum offered. - A full-time faculty member is one who during the academic year devotes most working time to teaching and legal scholarship and has no outside office or business activities. The major burden of the educational program and the major responsibility for faculty participation in law school governance rest with the full-time faculty members. Students must receive substantially all of their first-year instruction and a major portion of their total instruction from full-time facility members. Proper use of qualified practicing lawyers and judges as parttime faculty members, however, is appropriate to enrich the educational program. Full-time faculty may teach no more than an average of eight hours per week, counting repetitions during the same academic term as onehalf, or ten hours counting repetitions at full value. In addition to restrictions on class hours taught, a school must show an acceptable allocation of students to each full-time faculty member. - A ratio of 20:1 or less is favorable. - A ratio of 30:1 or more is not favorable. For purposes of computing this ratio, teachers considered fulltime are only those employed as full-time teachers and not holding administrative office or responsibilities beyond those normally performed by a full-time teacher. - The full-time faculty count excludes the dean, the librarian, associate or assistant deans, and other administrators holding academic appointments. The law school shall establish and maintain conditions necessary to attract and retain competent faculty. B-5 Compensation for faculty must compare with that paid at similar approved law schools in the same geographic area. Faculty members shall receive reasonable opportunities for leaves of absence and scholarly research. Faculty members shall receive secretarial and clerical assistance. ~ If aggregate salary raises are limited to an amount substantially less than the annual increase in the cost of living, a school may not comply with this standard. ADMISSIONS • A law school's admission policies shall be consistent with the objectives of its educational program and the resources available for implementing those objectives. The school may not admit applicants who appear incapable of completing the program satisfactorily. • Educational requirements for admission are a bachelor's degree or successful completion of three-fourths of the work for such a degree at an accredited institution. • All applicants are required to take a test to determine aptitude for law study. • Under an established policy, the law school may enroll in a limited number of courses students in other departments of the law school's university, graduates of other approved law schools, and other persons satisfying the regular requirements for admission as auditors, nondegree candidates, or candidates for degrees other than in law. LIBRARY • The law school shall administer a library adequate for its program and shall maintain a current written plan for implementing law library support for the law school program. - The ABA furnishes lists of publications and materials required in law school libraries. B-6 • All materials necessary to the law school's program shall be current with respect to continuations, supplements, and replacements. - All periodicals and other matericil of long-term value shall be permanently bound as soon as possible. • The dean, law librarian, and faculty of the law school are responsible for determining basic law library policies. A law school library may be administered as part of a general university library system if this condition is met. • A law library must have adequate staffing and physical housing of its entire collection. • The law library shall be administered by a f\ill-time law librarian whose principal activities are the development and maintenance of the library and the assistance of faculty and students and may include teaching law school courses. The law librarian shall have a degree in law or library science. The law library shall have a competent staff under the supervision of the law librarian. • The law library shall have 60,000 volumes by its third year of operation and sufficient volumes to support its educational program before that time. • The dean and faculty of the law school shall select and retain the law librarian. PHYSICAL PLANT • The law school shall have a physicad plant adequate both for its current program and for anticipated growth. - The ABA will not consider full approval until a law school is operating in permanent and adequate facilities. The Accreditation Committee will not act on plains for construction or if construction or if construction or remodeling is in process. B-7 This standard requires that adequate physical facilities must be completed and occupied before a law school can be granted full approval. Classrooms and seminar rooms shall be adequate to permit reasonable scheduling of all courses, and there shall be additional rooms to provide adequately for cLQ other aspects of the program. Adequate provision should be made for moot court programs, at both the trial and the appellate level, by a separate courtroom or by classrooms that can be adapted to such a program or by reasonably available public courtroom facilities. Each f-ull-time faculty member shall have a private office, and suitable office space shall be provided for part-time faculty members. The law library shall have space for study sufficient to accommodate 50 per cent of the full-time students. - In addition, there must be one or more conference rooms under the library's control in which students may gather in small groups. B-8 APPENDIX C - AALS GUIDELINE STATEMENT ON THE ESTABLISHMENT OF NEW LAW SCHOOLS BASIC CONSIDERATIONS • The question of establishing a particular new law school depends on: - Whether a potential supply of qualified students, not likely to be accommodated in existing schools, exists Whether the school would be in an adequate setting - Whether the needed resources can be assembled Whether the graduates of the school are likely to find their way into significant professional work. • The characteristics of the anticipated constituency of a new law school, together with the needs it intends to serve, determine the type of school it expects to become. • No group establishing a law school should even consider supplying legal education that contributes inadequately trained members to the bar. • A university is not justified in establishing a new law school simply to increase its prestige through offering a "full line" of professional education. To do so without a demonstrated local need would involve unnecessary expense and duplication, which would not be in the interests either of the law or of professional education as a whole. • A new law school should not be established unless the following circumstances exist: - There is a demonstrated need for the law school. - The law school is part of a fully accredited university or fouryear college. - The prospective law school, when in full operation, will fulfill minimum standards prescribed by the accreditation agencies for law schools. The educational institution of which the law school will be a part gives satisfactory assurance that the law school within a reasonable time will conform to the higher standards set forth in this statement. FACULTY • No new school should be established without faculty of 18 to 20 fulltime teachers when it goes into full operation. • Overall, a highly personal relationship between students and faculty is needed to develop concepts of moral and professional responsibility. Hence, there is a necessity for many small classes and seminars and a high ratio of faculty to students. • With limited exceptions, faculty members must be full-time. EDUCATIONAL PROGRAM • The particular programs vary from school to school, but an examination of law school bulletins indicates consensus on certain fundamental policies, which produce an instructional pattern for the first professional degree that generally prevails. The first year of study is devoted to basic courses that provide a platform of knowledge, understanding, and methodology upon which subsequent instruction rests. o These courses include property, contracts, torts, courts procedure, and criminal law, a course or courses to introduce legal history and philosophy, and constitutional law or legislation. C-2 o In addition, practice work to improve research and writing skills is frequently offered. • A law school that is not a genuine center of legal research will probably be intellectually stagnant and not a good institution for training prospective members of the bar. • Graduate study is not essential to an adequate institution for professional education. • Graduate training should not be undertaken unless sufficient library resources and faculty time are allocated to carry it forward. CONTINUING LEGAL EDUCATION (CLE) • CLE is an important feature of a growing number of law schools. • Schools taking the lead in CLE are doing so largely through continuing education centers, conducted in cooperation with the bar, which are kept somewhat independent of regular law school programs. Faculty members participate in them by preparing instructional material and through personal appearances. - Properly organized, CLE can be self-financing without impairment of a school's overall operations, but careful planning is necessary to achieve this result. PHYSICAL FACILITIES • New law schools should project initial physical plant needs from a fixed maximum student enrollment and should plan not to exceed this enrollment unless additions to the building are made in advance. • A physical plant should provide: Class and seminar room facilities - An auditorium or classroom adequate for special lectures and assemblies C-3 Library space sufficient to house a book collection of at least 100,000 volumes and to provide study space that adequately anticipates future growth Individual offices for all faculty members, of sufficient size to house a personal library and files, permit student counseling, and furnish space for performing written work A courtroom or multiple-purpose room suitable for courtroom use Generous quarters for secretarial assistance to faculty members Adequate facilities for student activities, including the law review, the student body association, other organizational offices, and locker space Room for administrative functions, including the offices of the dean and probable assistants, project offices and working space, general counseling services, printing, photocopying, and duplicating facilities, records and admissions offices, and storage Special provision for faculty access to library materials and a faculty conference room with some amenities. • A student lounge or other attractive student headquarters on the premises is important if discussion among students is to be encouraged, as it should be. ADMINISTRATION • The dean should be appointed sufficiently in advance of the school's inauguration to enable him to plan its operation, secure initial faculty, and supervise the building construction. - In addition, a modern law school requires at least one or two administrative officers to assist the dean. • A law school should pay its faculty the average or median salary for comparable schools. - Beyond this, reasonable opportunities for professional participation in and travel allowances for attendance at professional meetings, institutes, and committee meetings are virtually required. C-4 LAW LIBRARY • The initial library should comprise at least 40,000 volumes. Schools aiming at superior programs of legal education must have more. - Member schools must have collections of at least 60,000 volumes. - The median collection in fall 1976 totaled 95,749 volumes. • A full-time librarian, serving as a member of the faculty, and not less than two full-time staff members are required at the start. FINANCIAL CONSIDERATIONS • The various sources of income are: Government appropriations Income from endowments - Current gifts - Tuitions and fees Public and private grants in support of specific structures and programs. • Tuition rates cannot go high enough to cover the complete expenses of the institution without becoming prohibitive. • Institutions establishing new law schools should appreciate that the assets sufficient to operate a law school in compliance with minimum standards required by accrediting bodies today will be inadequate within a few years. - If an institution should establish a new law school, it should ensure that it can meet these higher standards. C-5 PHYSICAL FACILITIES ABA And AALS Accreditation Requires Certain Physical Facilities Both the ABA and the AALS require a law school to occupy a physical plant adequate for its current program and anticipated growth. The maximum enrollment assumed in constructing the building should not be exceeded unless additions to the building are made in advance. The ABA will not grant full accreditation until a law school occupies permanent and adequate facilities. The accreditation committee will not act on plans for construction or if construction or remodeling is in process. Together, the ABA and the AALS require an instructional building to make provisions for: Classrooms sufficient in number to permit reasonable scheduling of all courses Seminar rooms - Moot court programs, at both the trial and the appellate level An auditorium or classroom for special lectures and assemblies. Administrative facilities must include: - Individual, private offices for full-time faculty members, of sufficient size to house a personal library and files, permit student counseling, and provide work space for writing - Generous space for faculty secretaries - A faculty conference room with some amenities Offices for the dean and assistant deans - Room for other administrative functions, such as project offices, counseling services, printing, duplicating, records, admissions, and general storage V-15 - Facilities for student activities, including the law review, the student body association, other organizational offices, and locker space A student lounge. The library building must contain: Space to house a book collection of at least 100,000 volumes - Study space to accommodate 50 per cent of the full-time students Conference rooms in which students may gather in small groups Special provision for faculty access to library materials. LIBRARY COLLECTION The Initial Library Collection Should Comprise 40,000 Volumes And Should Be Increased To 60,000 By The Third Year Of Operation These requirements are established by the ABA and the AALS, which further require that materials necessary to the law school's program remain current with respect to continuations, supplements, and replacements. As an appendix to its publication "Approval of Law Schools," the ABA presents a list of required library materials. For the academic year 1978- 79, the median library collection of member schools was 136,228 volumes. The smallest collection totaled 61,656 volumes, and the largest 1,359,038 volumes. PERSONNEL A Law School Should Have One Dean, One Associate Dean, And One Assistant Dean Three administrative officers are required to direct a law school adequately and implement a strong program of professional skills training and placement, as previously discussed. The assistant dean should serve as the head of placement, among other duties. As time permits and within ABA guidelines, all three deans can teach law courses. V-16 A Law School Should Have At Least 13 Full-Time Facultv Members Although 13 is less than the minimum faculty size recommended by the ABA and the AALS, it exceeds the faculty size at other small western schools and allows a student-faculty ratio of 19:1 if the number of students is 240. The AALS guidelines state that a new law school should have a faculty of 18 to 20 when fully operational. The ABA (through its consultant on legal education) recommends that a law school have at least 21 faculty members to allow adequately for breadth of curriculum and faculty research time. The consultant views 16 as a minimum faculty size, excluding the dean and law librarian. The small western law schools, however, have faculties numbering considerably fewer than 16 and than the AALS-recommended 18: That these schools are all accredited by the ABA and the AALS is evidence that these organizations are flexible in evaluating small schools and do not strictly require the suggested faculty size of 18 to 21. The Law Library Should Have A Head Librarian And Three Fuli-Time Assistant Librarians ABA accreditation standards require a full-time librarian, with a degree in law or library science, to administer the library. Together with the school dean and faculty, the head librarian determines basic library policies. The AALS guidelines require the employment of at least one full-time librarian, serving as a member of the faculty, and at least two full-time staff members at the start. Law School 1978 Number Of Full-Time Facultv Members University of Idaho University of Montana University of North Dakota University of South Dakota University of Wyoming 14 12 12 11 10 V-17 The ABA expert recommends that law school library staffs comprise one law librarian and at least three additional professional librarians. According to the ABA, this staffing level may soon be an accreditation requirement. A new law school should thus plan for four librarians in its analysis of required resources. V-18 D - FEASIBILITY Factors that relate to the feasibility of a law school include: - Capital costs - Operating costs Sources of financing - Lead time - Location. CAPITAL COSTS Construction Of A Simple But Adequate Law School Building Would Cost About $4.5 Million In 1980 Dollars Although a cost estimate for a building for which there exist no plans or drawings or even a specification of square footage is necessarily imprecise, an approximate building cost of $4.5 million is corroborated by several sources: - The ABA's consultant on legal education estimates the cost of a small law school building at $4 million. - The University of South Dakota is constructing a new law school building of 71,000 square feet, for completion in summer 1981, at an estimated total cost of $4,025,000; Nevada construction costs exceed those in South Dakota by about 10 per cent. North Carolina Central University will complete a law school building of 75,000 square feet in Jxily 1980 at a total cost of $4,425,000. - In July 1977 Wyoming completed a new law school bviilding of 50,000 square feet at a cost of $2,800,000; assuming an inflation rate of 50 per cent, suggested by the Nevada State Public Works Board, this building would cost $4,200,000 in 1980. V-19 In Nevada the State Public Works Board estimates that 1980 construction costs per square foot are about $75 for university buildings. Associated development costs, including furnishings, are about 20 per cent of direct construction costs. Thus a law school of between 45,000 and 55,000 square feet would cost from $4,050,000 to $4,950,000 in 1980. This size compares favorably with that of other western law schools, as shown in Exhibit V-2. By 1982, the State Public Works Board estimates that Nevada construction costs will rise to $95 per square foot, increasing the cost of a law school facility to $5,130,000 to $6,270,000, Acquisition Of The Minimum Library Collection Will Cost About $1 Million ABA sources estimate that the initial collection of 60,000 books woiild cost about $1 million. In a November 1979 report, the Clark County law library director concluded that the 60,000 required volumes would cost $989,144. She obtained this figure by determining the price of each volume; she also suggested that the cost could possibly be reduced to about $750,000 by acquisition of certain used materials and seeking bulk purchase discounts. According to the ABA expert, library costs are rising rapidly. The current annual inflation rate of library acquisitions is about 25 per cent. OPERATING COSTS In 1980 Dollars, Annual Operating Costs For An Established Nevada School Are Projected To Be $1,245,318 A comparative summary of 1978-79 budgeted operating costs for eight public law schools, each with a total enrollment of fewer than 270 students, appears in Exhibit V-3. These data are compiled from annual confidential questionnaires submitted by member schools to the ABA. Expenditure categories correspond to those on the questionnaire. For total expenditures, the median figure is $937,688. The mean expenditure is $914,859, and the range is from $720,250 to $1,045,205. V-20 NET SQUARE FOOTAGE OF PHYSICAL FACILITIES AT SEVEN WESTERN LAW SCHOOLS Fall 1978 Square Footage Classrooms And Law School Total Seminar Rooms Library Other University of New Mexico 92, 500 11,500 37,500 93,500 University of Utah 55.200 19,790 29,785 10,675 University of North Dakota 50,609 7,503 20,902 22,199 University of Idaho 96,665 9,000 27,165 10,500 University of Wyoming 95,390 7,050 16,780 21,560 University of Montana 38,996 9,900 29,810 9,736 University of South Dakota (a) 23,613 5,231 12,669 5,713 (a)A new building with gross area of about 71,000 square feet is under construction. Source: ABA. m X I CO < I M EXHIBIT V-3 COMPARATIVE SUMMARY OF BUDGETED OPERATING EXPENDITURES, BY CATEGORY Academic Year 1978-79 Expenditure Median Mean Highest Lowest Category Expenditure(a) Expenditure Expenditure Exoendituri Instructional Salaries 5372,580 5387,687 S 470,921 5353,335 Fringe benefits 49,057 50,385 77,579 29,342 Subtotal 5419,765 5438,072 5 535,715 5389,614 Library Staff salaries 5 85,785 5 88,192 5 120,529 5 44,428 Fringe benefits 10,849 12,748 20.523 7;714 Student wages 3,216 3,779 14,000 0 Books 19,498 45.853 94,290 8,000 Serial subscriptions 71,000 59,407 90,476 6,500 Microforms 6,000 9, 500 36,000 2,000 Other audiovisual materials 75 379 1, 500 0 Binding and rebinding 3,125 3,678 a, 308 1,500 Library equipment (purchase and rental) 1.227 1,198 3,029 0 Other expenditures 2,505 3,655 8,814 0 Subtotal 5219,300 5216,994 S 309,450 5143,325 Support Services Staff salaries 5119,112 5117,707 5 149,768 5 82,836 Fringe benefits 18,776 17,422 20,998 n, 140 T ravel 10,219 10.759 14,950 6,965 Telephone and postage 6,440 8,438 14,400 5,873 Supplies and equipment purchase 9,309 13,573 28,426 5,544 Equipment maintenance and repair 550 1,428 4,799 357 Publications 4,500 7,375 22,015 1,000 Duplication 3,600 4,200 8, 000 1,000 Student activities 5,150 7, 107 15,500 670 Other 7,205 18,477 52,516 1,365 Subtotal 5193,027 5193,291 5 281,558 5124,296 Financial Aid 5 28,762 5 33,421 5 61,000 5 11,850 Research 5 2,305 5 18,148 5 130,970 5 0 Other ^ 3.910 5 23,560 5 128,156 5 0 Total Budgeted Expenditures 5937,688 5914,859 51,045,205 5720,250 (3) Computed as the average of the two median data points. Source: ABA. The following paragraphs describe the derivation of each component of a $1,245,318 budget for a Nevada law school: Component Cost Instructional LibrarySupport ser-vices Financial aid Research Other $ 694,015 280,449 242,345 24,012 0 4,497 Total $1,245,318 The instructional budget should total about $694,015. Expenditures for salaries and fringe benefits of the deans and facility make up this budget. Salaries and fringe benefits are based on those of U.S. and western law schools, shown in Exhibits V-4 and V-5. To attract an excellent dean, the ABA's consultant on legal education suggests a 1980 salary of $60,000. Fringe benefits equcd to the median of the 19 western law schools of $8,580 should also be paid to the dean. To obtain excellent faculty, the law school should offer salaries that exceed the median value for each faculty rank, as shown in Exhibit V-5, by 10 per cent. A differential should be maintained between faculty salaries and those of the associate and assistant deans, resiilting in salaries of: - Associate dean, $45,000 - Assistant dean, $42,000 - Professors, $40,480 - Associate professors, $32,230 - Assistant professors, $27,500. These salaries should be supplemented by fringe benefits equal to the median of western law schools of $5,609. The faculty of 13 can be distributed as follows: Three assistant professors Four associate professors V-21 COMPARISON OF DEAN, FACULTY, AND HEAD LIBRARIAN COMPENSATION AMONG U.S. LAW SCHOOLS 1979-80 Comparison Group Median Salary Highest Salary Lowest Salary Median Fringe Benefits Dean U.S. law schools (a) $51,896 Western law schools(b) '18,216 Selected western law schools{c) 13,871 $72,000 66,000 15,900 $27,000 10,000 10,000 n.a. $8,580 1,715 Faculty U.S. law schools(a) $32, 387 Western law schools(d) 31, 882(e) Selected western law schools(f) 28, 595(e) $55,000 55,000 18,750 $20,000 20,000 20,000 n.a. $5,609(e) 3,850(e) Head Librarian U.S. law schools(a) $32, 699 Western law schools(g) 33,183 Selected western law schools(h) 26, 269 $55,500 55,500 31,500 $17,500 22,500 22,500 n.a. $5,057 3,698 n.a. - not available. (a)AII ABA-accredited schools that reported this information. (b)19 western law schools; excludes Stanford, Boalt, UCLA. (c)Six small state schools . (d)26 western law schools. Source: ABA. (e)Based on schools' median figures. (f)Seven small state schools. (g)20 western law schools. (h)Five small state schools. ni X oc DO I NATIONAL LAW SCHOOL FACULTY DISTRIBUTION AND SALARIES, BY RANK 1979 80 Average Number Rank Of Faculty Per School Median Salary Assistant Professor 1 $25, 000 Associate Professor 5 29, 300 Professor 13 36,800 Source: ABA. Six professors. Compared with the national average distribution of law faculty shown in Exhibit V-5, distribution is skewed toward junior faculty, which reduces costs. It does allow for enough full professors to establish a reputable image and provides opportunity for professional advancement to higher rank. Total instructional costs are thus $694,015: Instructional Item Cost Dean, salary $ 60,000 Dean, fringe benefits 8,580 Associate dean, salary 45,000 Assistant dean, salary 42,000 Professors, salaries 242,880 Associate professors, salaries 128,920 Assistant professors, salairies 82,500 Fringe benefits of facxilty and assistant and associate deans 84,135 Total $694,015 The library budget should total about $280,449. Expenditures on staff salaries and fringe benefits, books, subscriptions, microforms, audiovisual materials, binding, and equipment make up this budget. Expenditures are based on median library expenditures shown in Exhibits V-3 and V-4 and on a Nevada school's needs as a new institution. To attract a qualified head law librarian, a salary of $32,699, equal to the national median salary for head librarians, should be offered. Salaries for the assistant librarians can be established at $17,000. Fringe benefits equal to the western median of $5,057 should also be paid. With four librarians, student assistants should not be required. Among the budgets of small law schools, shown in Exhibit V-3, annual expenditures for books range widely, from $8,000 to $94,290. Nevada, as a new law school, will require significant expenditures to establish a library comparable to those of other western law schools: V-22 Law School 1978 Number Of Volumes And Volume Equivalents (a) University of California at Berkeley 439,000 Loyola - Los Angeles 221,000 University of Utah 219,000 University of California at Davis 194,000 University of New Mexico 191,000 University of North Dakota 190,000 University of Arizona 184,000 University of the Pacific 152,000 Southwestern University 129,000 University of Oregon 119,000 University of Montana 98,000 University of Wyoming 97,000 University of South Dakota 92,000 University of Idaho 74,000 (a)To the nearest thousand. Source: ABA. If the law school acquires 4,000 books annually at an average 1980 cost of $20 each, an annual budget of $80,000 for books is necessary. For the remaining categories, library expenditures are assumed to approximate the median values shown in Exhibit V-3, increased by 15 per cent to account for current inflation in law school operating costs. Thus total library costs equal $280,449: Library Item Cost Head librarian salary $ 32,699 Assistant librarian salaries 51,000 Fringe benefits 20,228 Student wages Books 80,000 Serial subscriptions 81,650 Microforms 6,900 Other audiovisual materials 86 Binding and rebinding 3,594 Library equipment 1,411 Other expenditures 2,881 Total $280,449 V-23 The budget for support services should total about $242,345. Expenditures on staff salaries, fringe benefits, travel, student activities, and miscellaneous categories constitute the support services budget. Expenditures are developed from median expenditures in Exhibit V-3, adjusted for the model of a Nevada law school outlined in section C. Support salaries and fringe benefits should equal about $153,000 and $23,000 respectively, on the basis of the 1978-79 expenditures of two western law schools about the size of the proposed Nevada law school, adjusted for 10 per cent inflation. Because the law school faculty and staff shoiild travel extensively in the first few years to enhance the school's image, a travel budget of $20,000 is established. To encourage the development of an excellent law review, a budget for student activities should equal $10,000. For the remaining expenditure areas in support services, the median expenditures in Exhibit V-3 are assumed, increased by 15 per cent to account for inflation. Thus the budget for support services totals $242,345: Support Service Item Cost Salaries $153,000 Fringe benefits 23,000 Travel 20,000 Telephone and postage 7,406 Supplies and equipment 10,705 Equipment maintenance and repair 633 Publications 5,175 Duplication 4,140 Student activities 10,000 Other 8,286 Total $242,345 The budget for financial aid should totaJ about $24,012. The average amount of financial aid offered by the western law schools included in Exhibit V-3 is $87 per student. For an enrollment of 240 students and an inflation rate of 15 per cent, financial aid expenditures at a Nevada law school comparable to those of similar schools would equal $24,012. V-24 No separate expenditures should be budgeted for research. Direct and separately reported expenditures for research at the law schools in Exhibit V-3 were funded primarily by direct government grants. Nevada should seek similar research funds. The liberal student-faculty ratio recommended for Nevada, 19:1, should allow faculty sufficient time to pursue research as part of their ongoing work. The allowance of $10,000 for student activities, primarily a law review, should also encourage student research. The budget for other expenditures should total about $4,497. This figure corresponds to the median expenditure reported in Exhibit V-3, increased by 15 per cent to account for inflation. Total operating expenditures thus equal $1,245,318 in 1980 dollars. This exceeds the categories of total expenditures in Exhibit V-3 when each is adjusted to account for the current law school inflation rate of 15 per cent: Total Expenditure Adjusted Category Expenditures Median $1,078,341 Mean 1,052,088 High 1,201,986 Low 828,288 The higher expenditures in Nevada are necessitated by factors previously discussed: - The need to attract a competent dean and faculty in order to establish a good law school - The need for a sizable budget for acquisition of books - Other costs associated with a new, in contrast to an established, law school. Operating Expenditures Will Increase Each Yezir Until The Law School Is Fully Operational Exhibit V-6 projects the operating costs of a Nevada law school, in 1980 dollars, for four years, beginning one year before students are admitted. Like any projections, these figures are based on assumptions. V-25 Assumptions concerning instructional expenditures: Because of uncertain economic conditions, all costs are projected in 1980 dollars, with no adjustments for inflation. - An excellent dean and competent law librarian will be employed for 12 months before the start of classes and will expedite the tasks associated with the startup of a law school. - The assistant and associate deans will not be required until the second and third year respectively. - Faculty size will increase from 6 the first year to 10 the second year and a full 13 the third year. Assumptions about the library: The number of librarians is increased by one each year. - Other than salaries, most costs of a well-run library are fixed and thus begin when the library opens for students. Assumptions about support services: - Two secretaries are necessary during the preopening year, one each for the dean and the head librarian. - After the first year, support staff increases proportionately with the school size. Travel, telephone and postage, publications, and other expenses will remain constant, because costs in these areas for startup activities will decline as expenses associated with serving students rise. - Equipment repairs will initially be covered by warranties. - Expenditures on duplication and student activities rise as the number of students increases. V-26 EXHIBIT V-f UNIVERSITY OF NEVADA FOUR-YEAR OPERATING EXPENDITURE PROJECTION (In 1980 Dollars) Expenditure Preopening 1 tern Year Year 1 Year 2 Year 3 Instructional Dean salary $ 60,000 $ 60,000 S 60,000 5 60,000 Dean fringe benefits 8,580 8,580 8,580 8,580 Associate dean salary 0 0 0 45,000 Assistant dean salary 0 0 42,000 42,000 Professor salaries 0 121.440 161,920 242,880 Associate professor salaries 0 64,460 96,690 128,920 Assistant professor salaries 0 27,500 82,500 32,500 Faculty and associate and assistant dean fringe benefits 0 33,654 61,699 34,1-35 Total S 68,580 5315,634 5513,389 5 694,015 Library Staff salaries S 32,699 S 49,699 5 66,699 5 33,699 Fringe benefits 5,057 10,114 15,171 20,228 Books (a) (a) (a) 80,000 Serial subscriptions 0 81,650 81,650 81,650 Microforms 0 6,900 6,900 6,900 Other audiovisual materials 0 86 86 86 Binding and rebinding 0 3,594 3,594 3,594 Library equipment (a) 1,411 1,411 1,411 Other expenditures 0 oo 00 2,881 2,881 Total S 37,756 5156,335 5178,392 5 280,449 Support Services Staff salaries S 20,000 5 51,000 5102,000 5 153,000 Fringe benefits 3,840 7,600 15,300 23,000 T ravel 20,000 20,000 20,000 20,000 Telephone and postage 7,406 7,406 7,406 7,406 Supplies and equipment 5,350 5,350 7. 140 10,705 Maintenance and repair 0 317 633 633 Publications 5,175 5,175 5,175 5,175 Duplication 1,035 2,070 4,140 4,140 Student activities 0 3,000 6,000 10,000 Other 8,286 8,286 8,286 8,286 Total S 71,092 5110,204 5176,080 5 242,345 Financial Aid 0 5 8,004 S 16,008 5 24,012 Research 0 0 0 0 Other(b) $ 50,000 S 4,497 S 4,497 $ 4,497 Total $227,428 5594,674 5888,366 51,245,318 (a) Included in capital budget. (b)To allow for other startup costs, such as recruiting costs, consultants' fees, and accreditation activities. Financial aid expenses are computed on a basis of $87 per student. Except for the preopening year, other expenditures are constant. During the preopening year, $50,000 is budgeted to allow for such miscellaneous startup costs as recruiting, consultants' fees, and accreditation activities. Before assumed completion of the law school building during the third year, the operating budget makes no provision for rentad or other occupancy costs. It is assumed that vacant space within the university will house the law school until that time. CASH OUTLAYS Gross Cash Outlays Required Through The First Three Years Of Operation Equal $8,455,786 In 1980 Dollars These outlays are not offset against potentiad funding sources and include both capital and operating costs, as shown in Exhibit V-7. The cash outlays for building construction are based on payments to contractors that correspond to percentage completed, withholding 5 per cent until final completion. Development costs are assumed to parallel construction costs on a percentage basis. Construction is assumed to proceed as follows: Percentage Of Construction Year And Development Completed Preopening 10% Year 1 20 Year 2 50 Yecir 3 20 Library acquisition cash outlays are developed from estimated costs for acquiring the initial 40,000 books required and the 60,000 required by the third year. The initial 40,000 books are the least expensive per book. Operating expenses are taken directly from Exhibit V-6. V-27 UNIVERSITY OF NEVADA FOUR-YEAR PROJECTION OF TOTAL CASH OUTLAYS (In 1980 Dollars) Cash Outlay Item Construction of building Acquisition of library collection Operating expenses(a) Total (a)From Exhibit V-6. (b)Included in operating budget. Preopening Year $ 950,000 500,000 227,928 $1, 177,928 Year 1 $ 675,000 250,000 599,679 $1,519,679 Year 2 $2,250,000 250,000 888,366 $3,388,366 m X X ro H < I Year 3 $1,125,000 (b) 1,295,318 $2,370,318 SOURCE OF FINANCING A Nevada Law School Will Require Ongoing Financial Support From The State As discussed below, a small law school would not be self-supporting. It would require continued financial support for its operating expenditures of more than $1 million annually in 1980 dollars. Potential sources of support other than direct state appropriations include: - The university itself An endowment - Private donations. For various reasons, none of these sources are feasible. A small law school would not be self-supporting. As shown in Exhibit V-8, not one of the eight small public law schools whose operating budgets are summarized in Exhibit V-3 generates revenues equal to more than 40 per cent of its operating budget. Tuition and fees alone constitute a maximum of 39 per cent of operating expenditures, as shown in Exhibit V-9. The financial situation of a Nevada law school would be similar to that of the schools in Exhibits V-8 and V-9. As shown in Exhibit V-10, three alternative tuitions - $550, $775, and $1,000 - would generate revenues equal to 10.6 per cent, 14.9 per cent, and 19.3 per cent respectively of the law school operating budget. With a total operating budget of $1,245,318 per year and a student body of 240, a tuition charge of $5,189 per student would be necessary to cover operating expenditures. The University of Nevada could not adequately support a law school within its current budget. The University of Nevada System relies primarily on state appropriations as its source of funds. For the year ended June 30, 1979, state appropriations constituted 51.7 per cent of its funds: V-28 • Law scliool share of university endowment Income SMALL PUBLIC LAW SCHOOLS SUMMARY OF REVLNUES GENL^TED^ BY SOURCE Academic Year 1978 79 Source(a) • Tuition and application fees • Income from law school endowments School A $221,5115 7, 900 School B__ $209,080 7,699 School C $171,7115 281 School D_ $236,116 11,072 School E $201,111 18,192 School F $111,960 School G $328,112 5,000 School H $171,810 • Nongovernmental giants and gifts to law school • Law school share of university grants and gifts • Recovery of "overhead" on contracts and grants • Government grants • Other income(b) Total 2,600 0 13,000 50,100 $325,115 21,115 0 112,020 13,060 $366,301 20,000 0 10, 190 1,395 $236,611 5,000 0 55,326 26,000 $336,811 9,995 0 128,156 0 $358,051 $111,960 $338,112 , 500 0 0 0_ $176,310 Total as a percentage of operating budget 31.8% 38.9% (a)Categories correspond to those on the ABA questionnaire. (b)Sate of publications, income from vei^ding machines, etc. 22.6% 35. 5% 39.5% 11.8% 39.8% 21.1% Source: ABA. X X EXHIBIT V-9 SMALL PUBLIC LAW SCHOOLS COMPARISON OF TUITION AND FEES AS A PERCENTAGE OF OPERATING BUDGET Academic Year 1978-79 Tuition And Fees As A Percentage Of Law School Operating Budget A 23.7% B 22.2 C 16.7 D 2U.9 E 22.2 F 11.8 G 38.6 H 24.3 1 9.4 J 9.1 Source: ABA. UNIVERSITY OF NEVADA ANALYSIS OF NEVADA LAW SCHOOL ALTERNATIVE TUITION REVENUES Operating budget Tuition revenues Excess of budget over revenues Alternative 1: Tuition = $550 $1,215,318 132,000 $1,113,318 Alternative 2: Tuition - $775 $1,215,318 186,000 $1,059,318 Alternative 3: Tuition = $1,000 $1,215,318 210,000 $1,005,318 Tuition revenues as a percentage of operating budget 10.6% 11.9% 19. 3% Percentage Of Funds Source Total Funds State appropriations 51.7% Tuition and fees 11.4 Federal grants and contracts 14.6 Private gifts, grants, and contracts 6.3 Auxiliary enterprises 5.5 Sales and service of educational departments 3.6 State grants and contracts 1.6 Local grants and contracts 0.9 Endowment income 0.8 Federal appropriations 0.4 Other sources 3.2 Since 1970 the two university campuses have come to rely on the state for an increasingly greater percentage of their operating budgets: State Appropriations As A Percentage Of Operating Budget Campus 1970 1975 1980 Reno 75.4%. 76.6% 82.4% Las Vegas 74.2 81.6 82.7 In addition to substantial reliance on the state for funds, the University of Nevada System faces a current need to strengthen existing programs. For example, increases in faculty salaries are identified as a priority requirement. The Governor's budget for 1979-1981 allowed for raises each year of only 5.5 per cent. Certain academic areas are identified as needing increased support, such as the business and computer sciences areas at Reno. Thus, in light of its current needs and dependence on state appropriations, the University of Nevada System could not adequately support a law school within its current budget. The probability of obtaining a law school endowment of significant size is small. For the year ended June 30, 1979, endowment income for the University of Nevada System was $799,638, or 0.8 per cent of total university expenditures. This income was realized on an endowment of $15,377,233, constituting a return of 5.2 per cent. V-29 If a law school fund achieved the same rate of return, an endowment of between $19 million and $21 million would be necessary. If the fund's rate of return were increased to 10 per cent, an endowment of between $10 million and $11 million would be necessary. In ,the 115 years from 1864 to 1979, the University of Nevada collected a total endowment of $15 million; accumulating a law school endowment of about $20 million in a few years seems improbable. In addition, endowment income does not represent a significant portion of the revenues of any law school shown in Exhibit V-8. Private donations are uncertain. Although the possibility of receiving private donations for a law school was mentioned by several of those interviewed, the consultants could identify no definite source or amount of such funds. In some instainces the consultants were given contradictory information concerning potential donors. The limited size of the university endowment implies that private donations are, at best, xincertain. Finally, state support would probably be required for ABA accreditation. ABA standards require that a law school's present and anticipated financial resources be sufficient to support a sound educational program. Unless a school can demonstrate assurance of ongoing financial support to cover budget deficits, the requirement is not met. Because a small law school will need ongoing support, Nevada must clearly show from what source that support will come. A guarantee of state appropriations as needed woxild probably be the only arrangement satisfactory to the .4.BA. The State Appears Financially Capable Of Supporting A Law School The state has financial resources that could be used for the capital and operating costs of a law school. The federal slot tax credit is a source of capital funds. Federal legislation of 1978 permits Nevada to collect 95 per cent of the $250 annual federal tax on coin-operated gaming devices. Nevada Revised Statute 463.385 provides that the first $5 million of this tax collected during each fiscal period will be allotted to the Higher Education Capital Construction Fund. Money exceeding the first $5 million and within 80 per cent of the total federal tax credit will be deposited in the State Distributive School Fund. The remaining 15 per cent is allotted to the Special Higher Education Capital Construction Fund. This special fund can be used by the Board of Regents to pay principal aind interest on construction bonds. V-30 As shown in Exhibit V-11, money collected from the federal slot tax credit has increased over the past five years to a current total of $8,187,500 for higher education capital expenditures. With continued growth in Nevada's tourist industry, revenues from the slot tax credit will continue to climb, constituting a potential source of capital funds for a law school. The General Fund is a source of operating funds. The General Fund has been in surplus for the past five years and is projected to continue to be in surplus through 1981; Projected General Fund Date Cash Balance July 1, 1976 $35,298,562 July 1, 1977 35,820,915 July 1, 1978 74,805,265 July 1, 1979 30,978,749 July 1, 1980 33,896,249 July 1, 1981 34,189,803 Increases in General Fund revenues have exceeded the inflation rate in six of the last seven years and are expected to continue in spite of recent tax reductions: Percentage Increase In General Fund Year Revenues Over Previous Year 1973-74 20.3' 1974-75 9.5 1975-76 9.8 1976-77 13.5 1977-78 21.7 1978-79 19.5 1979-80 1.8 1980-81 13.7 The surplus funds, supplemented by continuing increases in General Fund revenues, constitute a potential source of funds for operating a law school. V-31 REVENUES FROM THE FEDERAL SLOT TAX CREDIT 1975 76 To 1980 81 Recipient 1975 76 1976 77 1977 78 1978-79 1979 60(a) 1980 81(a) Higher Education Higher Education Capital Construction Fund $5,000,000 $5,000,000 $5,000,000 $ 5,000,000 $ 5,000,000 $ 5,000,000 Special Higher Education Capital Construction Fund 0 0 0 2,812,500 3,187,500 — Total $5,000,000 $5,000,000 $5,000,000 $ 7,812,500 $ 8,187, 500 $ 9, 173,900 State Distributive School Fund $6,253,117 $7,726,896 $9,603, 370 $10,000,000 $12,000,000 $11,000,000 (a)Estiinated. Source: Governor's budget. At This Time, Such State Support Is Uncertain Such recent events as the defeat of the proposed gasoline tax increase and the emergence of Question 6 suggest that Nevadans are in an an antispending mood. There is some question whether a proposal to build a $4.5 million law school that would require ongoing subsidies of over $1 million annually would be favorably received. The tax reform package implemented by the state in an attempt to forestall Question 6 has significantly reduced the property taxes available to support public schools. As a result, the Governor's budget recommends that the state increase General Fund eillocations to the public schools through the State Distributive School Fund by $46.9 million and $72.9 million in fiscal years 1979-80 and 1980-81 respectively. Cuts in some elementary and secondary programs reduce net state funding increases to public schools to $31.9 million and $56.2 million in these two yezirs. In light of these considerable increases in support to public schools, the state may prove unwilling to undertcike new educational ventures at this time. LEAD TIME FOR ESTABLISHING A NEW LAW SCHOOL Once A Law School Is Approved, Construction Time Is Critical In Determining Lead Time Because the ABA will not grant a law school full approval until it occupies permanent facilities, a law school should plan to be comfortably settled in such facilities by the start of its fourth year of operation, the earliest possible time for receiving full accreditation. The ABA seems willing to award provisional accreditation to law schools in temporary quarters during their second and third years of operation, provided that the other standards are met, including proof of financial stability. In 12 months a competent dean and law librarian with sufficient operating flexibility can assemble the resources needed by the first class of students. If the dean is given discretion to work closely with the architect in planning the building, one year should also suffice for that activity. If construction begins during the first year of the school's operation, it should be able to occupy such quarters well in advance of the ABA visit during the fourth year. V-32 LOCATION A Law School Located In Reno Would Have Certain Institutional Advantages A law school in Reno would benefit from possible affiliation with the National Judicial College and from proximity to the seat of state government. As discussed in Chapter IV, the National Judicial College is a nonprofit Nevada corporation. The University of Nevada owns the building the college occupies, and interaction between the college and the university does occur. For example, the college sometimes uses university facility in its programs and allows university personnel to use its law library and other facilities. From the point of view of the legal profession and the ABA, affiliation between a law school and the National Judicial College would be feasible. Such an affiliation would have several advantages: - Library resources could be shared. - Each organization's faculty could supplement that of the other. - Visiting judges could enrich the law school's program. - The status of the law school would be enhanced. To ascertain the feasibility of this option from the point of view of the judicial college requires a formal proposal. Proximity of a law school to the seat of state government has several advantages: The law school could develop as part of its curriculum clinical programs in state agencies and offices. Faculty and students performing research in Nevada law would have access to state archives. V-33 State government officials could serve as law school adjunct faculty. Many law schools, however, furnish services to their home states from locations distant from the state capital. Certain Factors Suggest That A Law School Be Located In Las Vegas Las Vegas is, and will continue to be, the largest metropolitan area in Nevada. In fact, economic and demographic trends suggest that it will continue to grow more rapidly than Reno. A Clark County location for a law school would thus facilitate geographic access for more Nevadans than a Reno location. The larger population also includes a larger indigent population likely to benefit from the legal aid services of a law school. Rapid growth in Clark County has placed strains on the state judicial and legal services system in the area. To the extent that a law school could fxirnish resources to alleviate those strains, the system would benefit more from a law school in Las Vegas than in Reno. The Las Vegas legal community would benefit more from a law school library than the Reno legal community. Of the library resources described in Chapter III, 24 per cent of the volumes are located in Clark County, which has 48 per cent of the state bar members. By contrast, Carson City and Washoe counties have 76 per cent of the volumes and 44 per cent of the bar. Lawyers in Clark County thus have more limited library resources than those in northern Nevada. The Supreme Court library in Carson City meets frequent requests from the Clark County library for loans of library materials, which suggests that the Las Vegas library lacks some useful resources. Reno cirea law students can attend McGeorge, 136 miles away in Sacramento, but the closest law school to Las Vegas is 282 miles away in Los Angeles. Because Reno is 447 miles from Las Vegas, establishing a law school in Reno would not significantly improve the geographic access of Las Vegas students to a law school. Many persons interviewed by the consultants suggested that private donations to a law school woiild be greater if the school were located in Las Vegas. V-34 The Question Of Location Should Be Determined As Part Of An Overall Plan For The Two University Campuses Many Nevadans both within and outside the university feel that the two university campuses should be of equal stature. Such equality requires that the professional schools be located equally between Reno and Las Vegas. Without a long-range plan that addresses the issue of campus development, determining a law school site is, at best, difficult. The determination is complicated by the fact that both campuses have the physical space and the capability to integrate a law school with current programs. V-35 E - IMPACT OF A LAW SCHOOL Within the analytical framework established in Chapter III, this final section discusses the impact of a law school. STUDENT DEMAND FOR LEGAL EDUCATION Establishing A Nevada Law School Would Not Significantly Improve The Access Of Nevadans To Legal Education As discussed in Chapter IV, current arrangements meet student demand for legal education. Nevada ranks low in that demand but high in acceptance rate. In the coming ten years, the access of students to legal education nationwide will improve. Although Nevada's growth will continue to exceed the national average, Nevadans will not face difficulties in access to legal education through the 1980s. Existing law schools, anxious to maintain enrollments in light of a declining nationwide applicant pool, will continue to absorb Nevadans. Establishing A Law School Would Make Legal Education More Financially Feasible For Nevadans Nevada law students currently pay significantly more for their legal education, even if covered by WICHE, than such education would cost at a Nevada school. To the extent that students cannot afford such tuition or to live away from home, there may be Nevadans who want a legal education but never even apply to law school. A state law school would reduce tuition expenses for Nevadans by an average of $1,510 annually. This reduction could range from $125 for WICHE students attending law school part-time to $4,781 for students attending Stanford. A Nevada law school woxild also reduce living expenses substantially for students with families near the law school. V-36 NEVADA'S DEMAND FOR LAWYERS Establishino A Nevada Law School Would Not Greatlv Affect The SuDoly Of Lawyers In Nevada Nevada currently has an adequate supply of lawyers in spite of the absence of a law school. As shown in Exhibits IV-18 and IV-19, the state attracts lawyers from a variety of law schools and states. Available data suggest that many Nevadans return to Nevada after completing law school. Over the past five years, an average of 98 lawyers per year have been admitted to the Nevada bar. Of these, an average of 27 per year attended the University of Nevada and are, presumably, Nevadans. During the past four years, an average of 76 Nevadans per year have graduated from law schools. These data suggest that many Nevadans return to Nevada after attending law school. Assuming that many students who return to Nevada to practice would have attended a Nevada law school, the graduation of about 80 lawyers per year from such a school will not greatly increase the supply of lawyers in Nevada. Opportunities For A Law School To Increase The Competence Of The Bar Are Limited As discussed in Chapter IV, admissions requirements and lack of reciprocity arrangements help maintain the quality of the state bar. Nevada also benefits from the multiple sources of its supply of lawyers. Establishing a state school to train Nevada lawyers would not significantly improve these current arrangements. Nevada does need attorneys trained in a few specialized areas of law, such as water, mining, and natural resources. In absolute numbers, the needs in these areas are small and do not justify a law school. Moreover, the depth of expertise required in these areas is best gained through individual study and experience after completion of law school. If special provisions are made, a Nevada law school can benefit CLE programs, as discussed below. V-37 QUALITATIVE BENEFITS To The State, A Nevada Law School Would Offer A Valuable Critical Perspective On Legislative And Judicial Functions Although Nevada has many attorneys within state organizations who research and review Nevada law in some way, these arrangements lack a broad and nonpolitical perspective, as discussed in Chapter IV. Through a Nevada law review and other mechanisms to encourage faculty and student research, a law school can offer a valuable critical perspective on state . legislative and judicial functions. The experience of other states, such as California and Michigan, suggests that a law school can serve an important role as a scholar of state law. Without The Enhancement Of Current Programs, A Law School Would Have Limited Impact On The Quality Of The University Of Nevada To achieve overcill academic quality, a university must establish excellence in many of its programs. An outstanding program in one area, particularly one as self-sufficient as a law school, is likely to be viewed in isolation from a university unless the overall reputation for excellence is high. By its own admission, some programs at the University of Nevada are in need of improvement. If the university wants to strengthen its stature, consideration should be broader than that of establishing a law school. A Law School Would Improve CLE Only If Special Provisions Were Made To Accomplish This Goal As discussed in Chapter II, Nevada is moving toward mandatory continuing legal education. A law school could assist with improvements in CLE, but only if special arrangements were made to do so. Most U.S. law schools have only a small involvement in CLE. Such involvement as does exist occurs primarily through the efforts of individual faculty members. University extension programs have been more active than law schools in organizing CLE offerings. V-38 There are two basic reasons for the lack of involvement by law schools in CLE. One is historical; law schools have viewed CLE programs as academically incompatible with legal education. The second is financial: only about half the states have CLE programs that are self-supporting, and law schools cannot afford to subsidize CLE. Because of the small number of lawyers in Nevada, establishing a selfsupporting CLE program will require time and an initial investment of resources. A small law school would be reluctant to undertake such a money-losing program without benefit of a special arrangement with either the bar or the state. V-39 VI - ALTERNATIVES FOR MEETING NEVADA'S LEGAL EDUCATION NEEDS Establishing a law school is one approach to meeting Nevada's legal education needs, both quantitative and qualitative. There are other mechanisms that, singly or in combination, address certain of the needs identified. This chapter sets forth four of those alternatives: - State subsidies - Formal ties with an existing law school - Private law school or branch of an existing law school - Legal institute with externships. A - STATE SUBSIDIES DESCRIPTION Approach. The state of Nevada could address the problem of affordability of current legal education available to state residents by expanding the resources available to subsidize its students who attend law schools out of state. It could accomplish this objective in one of three ways: Expand the number of WICHE scholarships offered each year - Maintain WICHE at its present level and create additional subsidies for other students attending both WICHE and nonWICHE schools - Remove support of law students from the WICHE program and establish one comprehensive state subsidy program encompassing a set number of students attending law schools of their choice. The inadequacy of the WICHE program provides the strongest argument for a separate state subsidy program. First, WICHE scholarships apply only to certain schools. Second, WICHE scholarships are awarded on the basis of merit, not financial need. An expansion of WICHE would therefore not necessarily be the most effective way of addressing the problem of affordability. Third, WICHE is more expensive to the state than a straight subsidy. Exhibit II-2 shows the difference between nonresident tuition and fees and total WICHE costs. Administrative and program economy argue against superimposing a state program on the current WICHE arrangement for subsidizing Nevadans attending law school. Structure. Adopting the third option, the state could develop a means of paying direct subsidies to its residents who attend law schools out of state. These could be in the form of vouchers issued to the students, who would give them in payment to their law schools, which would then submit them to the state for reimbursement. Beneficiaries. Recipients of the subsidy could be chosen by criteria combining an assessment of need and merit, in line with standard practices for awarding financial aid. The number of recipients is a policy decision based on perceptions of the number for whom financing a legal education is a genuine hardship. ASSESSMENT Cost. The cost per student of completely closing the gap between average resident and nonresident tuition fees at law schools in surrounding states would be $2,291.00. The total cost of maintaining the state subsidy program wo\ild depend on the number of students subsidized and the level at which they are subsidized. If half the Nevadans attending law school were funded at $1,125, or roughly half the tuition differential, the present cost of operating the program, based on average yearly attendance rates over the past four years, would be as follows: 77 students per year X 3 law school years 231 students X .50 116 students receiving scholarships $ 1,125 subsidy $130,500 total annual program cost VI-2 If the number of students beginning law school each year rose to between 100 and 125 over the next five years, it would cost the state between $168,750 and $211,500 in current dollars annually to subsidize 50 per cent of them for half the differential between resident and nonresident tuition. The annual outlay required is substantial but is less than one-fifth of the funding needed for a law school's operating costs. No capital costs would be incurred. Implementation. The state subsidy mechanism is simple in design. A method of administering the program would need to be developed, but this could presumably be accomplished through the university structure with little added bureaucracy. Funds would be allocated from the state's General Fund. Inhibiting factors. State subsidies on a major scale require a substantial outlay of resources, though considerably less than operating a law school. It is often difficult to develop support for a program of this scale that has low visibility. Furthermore, the program might be vulnerable to charges of elitism, in the sense that substantial resources would be devoted to a finite group of professionals whose further careers might benefit the state only indirectly. Against this it can be argued that Nevada's c;arrent nonsupport of persons who want a legal education but cannot afford it may amount to an even greater de facto elitism, since it is difficult for a Nevadan without means to obtain a legal education. Impact. A broadly based state subsidy system would have a strong impact on the one area of student demand judged to be unserved by current arrangements. Subsidies would make a legal education possible for many who could not otherwise obtain one. In this way a state subsidy program would add to the educational opportunities Nevada provides for its citizens in this one field. If a requirement of service to the state were attached to the funding, the state could benefit from entry into the profession of lawyers who from the beginning of their legal education were oriented toward Nevada concerns. On the other hand, the policy would need to be monitored to keep it from encouraging an oversupply of lawyers. VI-3 B - FORMAL TIES WITH AN EXISTING LAW SCHOOL DESCRIPTION Nature of ties. Given the broad range of law schools in close proximity to Reno and Las Vegas, Nevada could establish formal arrangements with at least one school to develop resources in Nevada law. There are two viable methods of accomplishing this: Underwrite a faculty position to teach courses in Nevada law - Subsidize a Nevada-oriented law review. Faculty position in Nevada law. This would be a simple arrangement whereby the state of Nevada would agree on an ongoing basis to pay the salary of one faculty member at a chosen law school. In effect this would create a chair in "Nevada law," although a formally endowed chair would not be necessary. The faculty person in this position would teach courses in Nevada law and in areas of specialization, such as water and mining law, oriented toward Nevada issues. The faculty person could also serve as an adviser to Nevada students at the law school. If this option were developed along with a law review, the faculty member could act as adviser to the publication. Law review. The state would fund on an ongoing basis a Nevadaoriented law review, published twice yearly. It would focus on Nevada legislation and case law and federal legislation with an impact on Nevada. It would be oriented toward the working Nevada bench and bar in order to command a broad readership and be of genuine vailue. A precedent for this idea is the Alaska law review published at the University of California at Los Angeles. ASSESSMENT Faculty Position Cost. To attract a faculty member who would have the stature and expertise to develop a Nevada component of the curriculum, the state would need to underwrite a full professorship at a fairly high level. The national median salary for professors in law is $36,800. Among western VI-4 law schools, as shown in Exhibit V-4, the highest salary paid to a full professor is $55,000. To attract a person of appropriate stature and to build in a margin for travel to Nevada, the state would need to subsidize the position at $38,000 to $45,000, subject to modification to fit the salary scale at the law school. Implementation. The state would need to identify law schools with a potential interest in this arrangement. The concept of the position would need to be developed in a way that would serve the interests of Nevada without inhibiting the independence of the law school. The law school would then identify appropriate candidates, hire the faculty person, and establish the program. Inhibiting factors. Almost any law school could be expected to welcome funding to expand its curricular offerings. Academic institutions are reluctaint, however, to accept funding with restrictive provisions. It would require some negotiation for Nevada to develop, a relationship with an outof-state, presumably private institution that allowed enough state participation to ensure that the program was serving the state's interests without constituting infringement of the institution's academic freedom. A second difficulty is the choice of an appropriate school. The state would have to develop explicit criteria for the choice to avoid the charge of arbitrariness or favoritism. Impact. To some extent, a designated Nevada professorship would be a resource for specialization in areas of interest to Nevada. It would address to some degree the lack of an academic perspective on Nevada legal issues and processes. Furthermore, Nevada students who attended the law school with this professorship could have a Nevada component built into their training, somewhat as they would in a state law school. As an adviser the faculty member in this position would facilitate the development of contacts in Nevada law and government for the students. Finally, such a person would be an identifiable resource for consultation by anyone concerned with a Nevada legal issue. These benefits would be real but limited. One person could not be an expert on all of Nevada law and the issues of concern to the state. Second, it is unrealistic to think that one person could supply an academic perspective on the laws of a state. Third, the person would not be located in VI-5 state and would therefore not be completely accessible. Finally, only a limited number of Nevada students would be served by this arrangement, because only a limited number go to any given school. The benefits are limited, but so are the costs. The impact woiald be strengthened by creating positions at more than one school and filling them with professors having different areas of expertise. This would augment academic resources and benefit more students. Two positions could be maintained for under $100,000 per year. Law Review Cost. The costs of publishing law reviews vary considerably with the number of issues per year, mailing costs, and tax regulations related to the number of publications an institution may publish and the number of mailing lists they use to distribute them. A full-fledged quarterly law review costs approximately $80,000 per year to publish. The costs are tuition rebates or work-study payments to the students who edit the review, secretarial and production costs, miscellaneous expenses for travel, etc. A Nevada-oriented law review of two issues per year would be adequate because the legislature meets biannually. It could probably be published for $50,000 per year. Since the review could expect to recover approximately 10 per cent in subscription costs, the state could fund it for $45,000 to $50,000 per year. Implementation. The state would need to identify likely law schools and determine the amount of interest. It would be up to the individual school to determine whether it had the facvilty and student interest to support the publication. Inhibiting factors. The most significant problem would be choosing a school in which student interest in a Nevada law review would continue over time. This would probably necessitate that the review be established at a school with substantial numbers of Nevada students and a source of faculty sponsorship. Impact. A Nevada law review would have a significant impact at relatively low cost. Any systematic and continuous scrutiny of Nevada legislation and case law would address a real need of the state. Queility VI-6 would be a major factor in determining the impact, and it might be difficult to maintain high standards without a broader base of academic interest in Nevada law than now exists. For this reason a law review would probably be most successfully developed in connection with a Nevada facility position and curricular component. VI-7 C - PRIVATE LAW SCHOOL OR BRANCH OF AN EXISTING LAW SCHOOL DESCRIPTION This alternative encompasses three possibilities: To encourage a private entrepreneur to establish a tuitionsupported law school in the state To encourage an existing private ABA-accredited law school to establish a branch amounting to a fxoll-time law school program in the state To encourage an existing ABA-accredited law school to operate a portion of a law school program in the state. These three options will be considered as two because the first two are equivalent. Both a law school established by a private entrepreneur and a branch of an existing law school would be private, tuition-supported, full law school programs. The argument for a distinction between the two rests on the assumption that a branch of an ABA-accredited school would share the accreditation of its parent institution from the outset or would, at the least, receive accreditation more easily and presumably sooner. This is in fact not the case. The ABA requires full, separate accreditation for any law school that is established. It must meet all ABA standards and submit to the full accreditation process. Even branches of state law schools within the same state require full, independent accreditation. An example is the University of Arkansas Law School, with branches in Fayetteville and Little Rock, each independently accredited. For these reasons this major alternative amounts to the two options of encouraging the establishment of a private law school and encouraging the establishment of a portion of a law school program. ASSESSMENT Private Law School Feasibility. The considerations of student demand, lawyer demand, accreditation, size, program, and cost discussed in Chapter V in relation to establishing a University of Nevada law school wo\ild apply to anyone considering the establishment of a private law school. VI-8 Inhibiting factors. It is doubtful, given the current legal education market nationwide, that an individual or law school would consider it a sound venture to establish a law school where student demand is and will continue in the near future to be satisfied, except in relation to cost, and when there is no demonstrable need for lawyers. A private law school would have to rely largely on tuition income and therefore could not expect to answer the only identified student need: opportunity for low-cost legal education. A new law school woxild thus suffer the disadvantages of trying to get established in an extremely tight market and would not have the one advantage that would give it statewide appeal. It would be expected to have drawing power in its immediate locale, for reasons of convenience. Impact. A private law school, like a state-supported law school, would do little to improve Nevadans' access to legal education, because that need will be served without a new law school, at least in the short term. Unlike a state-supported school, a private law school would not maike legal education more affordable since it would rely on tuition income. Furthermore, to meet the cost of a law school as described in Chapter V woiild require a tuition higher than that charged by almost any private law schools serving Nevada students, as shown in Exhibit IV-2. A private law school would have a limited opportunity to affiliate with a four-year undergraduate college, which would compromise the quality of the experience for law students. As a resource for the state, its contribution would be considerably more limited than that of a state law school. It could provide academic support on Nevada-oriented legal issues and publish a law review; but without the stature and broad support of a state school, it would lack the visibility and potential credibility of such a school. Benefits to the university would come only if there were a conscious effort to establish a link. A contribution to the profession would depend on the school's ability to command support, interest, and respect. Portion Of A Private Law School Program Feasibility. To operate a portion of the program of an existing law school in Nevada would require compliance with ABA standards. Rule 306 in the ABA rules for approval of law schools sets forth the standards for operating a program that requires student participation away from the law school. This rule makes four stipulations: Quality: that the residence and credit hours allowed be commensurate with the educational benefits to the students VI-9 Approval: that the studies be approved in advance in accordance with the school's procedures for determining curriculum Faculty supervision: that the study or activities of the program be conducted or periodically reviewed by a faculty member of the parent university Duration: that at least 900 hours, or three-fourths of a student's total time in law school, be in attendance at regularly scheduled class sessions in the law school conferring the degree. These requirements mean, in effect, that any program away from a law school must be conducted under close supervision of the law school and can amount to at most one-half or two-thirds of one law school year. If a program of one semester or two quarters were established by "a law school or group of law schools in Nevada, it would be in the form of an externship program. The cost, feasibility, and impact of this alternative are discussed in the following section. If Nevada wanted to encourage a law school to establish a one- or two-year program in the state, the school woiild have to apply for a variance to ABA standards under Rule 802. The cost of such a program would depend on the faculty and facilities requirements - such as whether it would require an ABA-approved library - set forth by the ABA under a variance. Inhibiting factors. It is difficult to see the appeal of a one- or two-year program for either students or the parent law school. Presumably students would attend the Nevada-based program for one or two years and then return to the parent school to complete their degrees. It might not be an attractive option for students to have a portion of their law careers apart from the other students of the school and its full resources, especially if there were no cost advantage. From the school's point of view, the resources needed to duplicate one or two years of its program in a separate location for the limited number of Nevadans who attend any one school would be prohibitive. Impact. A portion of a private law school program would provide a measure of convenience to a small number of students. By bringing a few academic lawyers into the state, it would provide some of the qualitative benefits a law school offers to the state. Overall, however, it would not address the financial needs of the students or, in large measure, the resource needs of the state. VI-10 D - LEGAL INSTITUTE WITH EXTERNSHIPS DESCRIPTION The state could establish a legal institute as part of the University of Nevada System. It would serve as an academic center for the study of Nevada law and policy and the administrative core of a program of coordinated externships in Reno and Las Vegas for Nevada law students. The academic component would consist of ongoing teaching and research efforts directed toward scrutiny of Nevada legislation and case law and publication on broader legal and policy issues of concern to the state. The externship program would build on informal structures already existing in Reno and Las Vegas, which allow students to return from law school in the summer to serve as clerks for judges and interns in legal aid offices and government agencies. Structure. The institute would be staffed by four professionals: a full professor to serve as its director and coordinator of research efforts, an associate director to coordinate the externship programs in the two cities, and two additional professors with a specialty in clinical education to direct the externship programs in each city on a day-to-day basis. A committee or board composed of representatives of six to ten surrounding law schools and appropriate state representatives would be responsible for policy-making. The director of the institute and coordinator of the externship program would be permanent faculty members of the University of Nevada. The two clinical professors would be supplied by the law school members of the board in rotation. Program. The mechanics of providing externship experiences for Nevada students attending law schools in other states would determine the structure of the program. The emphasis would be on furnishing opportunities for Nevada students to return to the state for one semester of their law school program to gain direct experience of its legal and judicial processes. Students could work in legal aid, for the District Attorney's, Public Defender's, and Attorney General's offices, as interns for the legislative counsel, and as clerks for the various judges. Their work would be supervised by the professor in charge of the externship program. VI-11 For the students to receive credit for their externships, the program would have to meet ABA standards, as outlined in the foregoing section. This means that it would have to have an academic component. Students would therefore need to take one and possibly two courses in connection with their externship work. One would focus on Nevada law, and the other might be a required course from the law school curriculum. The coiirses would be taught by the four faculty members. ASSESSMENT Cost. The institute would be integrated into existing university facilities. Primary costs woiild be personnel and administrative costs. Salary and benefits would amount to $45,500 to $50,500 for the director, $30,000 to $32,000 salary and $4,500 benefits for an associate professor in ch^ge of the clinical program, and $28,000 plus $3,500 benefits for each of two assistant professors administering and teaching in the two externship programs. Administrative costs would be $25,000 per year. There wovild be no facilities costs, since office and classroom space would be furnished by the university. The total, allowing for miscellaneous expenditures, would be between $185,000 and $200,000 per year. Implementation. A year of lead time would be needed to solicit the interest of various law schools, organize the governing board, identify and hire a director and an associate director, and develop the program. The externship component could build on the contacts that law schools have built over the years for their Nevada students. The academic and research components would depend on the interests of the faculty members hired. Presumably they would be chosen in part for their expertise in Nevada law. Inhibiting factors. The chief obstacle to the success of this alternative is its uniqueness. There are precedents for law and policy institutes in connection with law schools, but a legal institute staffed by law professors and having a clinical component is an anomaly. Because the idea has not been set forth in this form, there is no existing support. A legal institute would be a costly venture, though costing only a fraction of the expendittures needed for a law school. It could well be difficult to sell the idea of a $200,000 program that benefits only 32 students a year directly and is of lower visibility than a law school. VI-12 Impact. A legcd institute would address several of Nevada's legal education needs. On a limited scale, it would give students the kind of exposure to Nevada legal processes that they would receive by attending law school within the state. Furthermore, it woiild allow them to develop contacts and experience that would improve their professional opportunities and effectiveness in Nevada practice if they chose to remain in the state. A legal institute would also address, on a limited scale, Nevada's qualitative needs. It would give the state two academic lawyers oriented toward Nevada law. Research and publications could offer the sustained and critical focus on Nevada legal processes now lacking in the state. The university would benefit from having at least two legal experts on its faculty. Because of the policy emphasis of the institute, the faculty might be more oriented than the faculty of a standard law school toward collaboration with other departments. Finally, the students in the externship program would be an ongoing support resource for the bench and bar. Perhaps most significant, the legal institute is a viable short-term option, which would provide the nucleus for a law school if and when it is established. VI-13 VII - RECOMMENDATIONS This chapter presents the recommendations on the feasibility and desirability of establishing a law school as a part of the University of Nevada System and the alternative recommended steps that may be taken. OVERVIEW The findings and analysis of this report lead to rational and objective answers to two key questions: - Is a law school feasible and desirable and in what time frame? - What are the alternatives to establishing a law school at this time? The recommendations of this report constitute the answer to these two questions, with supporting evidence. The following judgment criteria, discussed in detail in Chapter III, Framework For Determining Nevada's Legal Education Needs, were used in assessing appropriate recommendations - The access of Nevada students to legal education and the affordability of that education - Nevada's present and future need for lawyers and the means of satisfying that need - Additional benefits that may be provided to the state of Nevada, the University of Nevada System, the legal profession, and others - The degree of support or priority assigned to each proposed action step The cost of providing services and the resources available to do so. The paragraphs that follow present the key conclusions from the analysis of this report, applying the judgment criteria to proposed alternative actions. IS A LAW SCHOOL FEASIBLE AND DESIRABLE? On The Basis Of Traditional Feasibility Analysis, The University Of Nevada System Should Not Establish A Law School At This Time The key recommendation of this report is that the fundamental analysis of the feasibility and desirability of establishing a law school as part of the University of Nevada System does not at this time lead to a positive conclusion. The rationale for this conclusion can be summarized in six major findings, presented in the following paragraphs. 1. Student opportunity for legal education. There does not appear to be a lack of educational opportunity for students who want legal training. The proximity of a large number of good-quality law schools, the application and acceptance rates of students, and the testimony of Nevada lawyers and law school officials indicate sufficient opportunity. Furthermore, the access to legal education in existing law schools is likely to grow as the national number of applicants to law schools diminishes. There are two caveats to this general conclusion. First, student opportunity is diminished somewhat by the differential cost to the student of attending an out-of-state law school. The current WICHE program has a minimal impact on this overall financial burden. There are other ways of meeting that specific need, however, that are less costly than establishing a law school. Second, there is a need for legal education for potential part-time students and other persons who must commute to school if they are to go at all. It is difficult to determine the dimensions of this need; but legal experts doubt if communities of less than 750,000 to one million persons can support an evening law school. 2. Demand for lawyers. Nevada now has a sufficient number of lawyers with appropriate areas of expertise and specialization. The primary data on the demand for lawyers are contained in Chapter IV, Assessment Of VII-2 Nevada's Legal Education Needs. The ratio of total attorneys to the population is generally equivalent to the national average and commensurate with regional norms, particularly for a state without the density of population and complexity of economic activity of some of the states that have large numbers of lawyers. Furthermore, it appears that Nevada will continue to have an appropriate supply of lawyers. While a need has been identified for additional highly specialized lawyers in such areas as mining and water management, the small number needed and the high level of specialization required make it inappropriate to use this as justification for a Nevada law school. 3. Projected law school enrollment. As presented in Chapter V, a Nevada law school to be feasible should enroll 85 beginning students each year. Regional data suggest that 80 per cent of these students are likely to be from Nevada. The projection of 203 overall student applicants, rising to 277 for 1995, coiild produce the required enrollment, but the projection is based on assumptions regarding population growth cind number of people desiring a legal education that are somewhat speculative. In the short term, the projected number of applicants should be adjusted downward to correspond more closely with the actual experience of the past five years. It wovild only marginally support the minimum law school enrollment of 240. Furthermore, there is no assurance that a large percentage of potential applicants would apply to a Nevada law school. Brigham Young University, the California law schools, and schools with national reputations would continue to siphon off some qualified students. Furthermore, the access to these schools will be greater in the future (although tuition will continue to be high) as the national demand for law school places diminishes. The close ties that have been established with California schools appear to be strengthening and will continue to pull substantial numbers of students. 4. Costs of establishing and operating a law school. As described in Chapter V, the overall startup costs for a three-year period would be $8 million. These include capital expenditures on a cash basis (approximately $4 million) and operating expenditures of approximately $1.3 million per year. The justification for this expenditure depends on the needs served, the priorities assigned to a law school, and the availability of resources for this purpose. It appears that the specific demand for lawyers and the unfulfilled demand for legal education do not warrant these expenditures unless more qualitative considerations of priority and benefit coupled with available resources place the cost/benefit assessment in a different light. VII-3 5. Priority. At this time in the growth and economic development of Nevada, the interest in and appreciation of the contribution a law school can make to the state are mixed. There has been no systematic effort to provide an overall plan for the development of professional education in Nevada, and the issue of establishing a law school is closely related to views concerning the establishment of a number of other schools, including veterinary medicine, architecture, and dentistry, and to a variety of views concerning the newly established Medical School. Furthermore, there are some who feel that strengthening existing programs, particularly basic undergraduate education, and strengthening the faculty salary structure at the university are priorities. In sum, there are an overall lack of clarity about priorities and an uncertain message about the place of legal education among the key directions the state may move in expanding educational opportunity. 6. Uncertain future. The degree of continued growth in the population and economic expansion of Nevada is uncertain. First, it is unclear what the impact on the state of the general recessionary trend will be. Second, recreation and recent light industry development in warehousing and distribution are dependent on energy and subject to related uncertainties. At this time, with the 1980 census under way, discrepancies between state and national projections of population add to the uncertainty. Nevada Should Plan For A Law School, However, And Public Policy Considerations May Make Establishment Feasible And Desirable In The Short-Term As the previous section points out, the supply of lawyers for Nevada and the opportunities for legal education afforded Nevada students are such that the establishment of a law school at this time is not justified. The high cost of establishing a law school and the minimal pool of potential student applicants to support such a school lead to the judgment that the feasibility of establishing a law school at this time is questionable. The projections for population growth and economic development, however, though uncertain in the long term, are sufficiently optimistic to suggest a greater pool of applicants and thus an opportunity to make the transition to a state law school at some time in the future. The justification for such a move focuses specifically on the contributions a Nevada law school can make to the state and its citizens rather than on the need to increase the supply of lawyers or (except in certain specific areas) the opportunity for legal education. Although these primary arguments are qualitative and of a vn-4 public policy nature, and thus of lesser consequence in a traditional feasibility analysis, it is clear that Nevada is at a point in its history at which these arguments have considerable persuasiveness and may make the establishment of a law school in the short term desirable despite the lack of a strong case for its feasibility. That is, in the cost/benefit equation, the excessive cost for short-term traditional benefits may be balanced by more qualitative benefits to the state as a whole. The arguments in favor of such action are presented in the following paragraphs. 1. Self-sufficiency. Nevada is in transition to a lairger, more populous state with greater economic activity. Population growth will be accompanied by increased complexity of socioeconomic and governmental relations in the state. A case can be made that this transition requires a move toward greater self-sufficiency in generating the resources necessary to carry out state affairs. A law school would support such a move to self-sufficiency. It would provide a home for expertise in Nevada law and a means of transmitting this expertise to new generations of lawyers. It would support the retention of Nevadans who become lawyers to practice law in Nevada. By serving as a meeting ground for prospective and practicing lawyers, it would reinforce the network of contacts among members of the legal profession that enable the public and private legal activities of the state to be carried out. 2. Development of quality. The establishment of a law school woxild provide a means of attracting high-quality legal academicians to the state and of providing longer term consideration of legal issues as they apply specifically to Nevada. 3. Benefit to state image. The establishment of a law school as part of the University of Nevada System would enhance the comprehensiveness of resources available in the state. A law school can add to the stature and visibility of the state; it should improve Nevada's marketing capability and thus contribute to the likelihood of economic growth. 4. Benefits to state government. A law school can benefit state government in a number of ways. It can add perspective to consideration of legislative and judicial functions through the opportunity for longer term, comprehensive, nonpolitical review and can safeguard and develop the state legal tradition and provide continuity to the development and understanding of this tradition. In addition to providing a long-term view, it gives an added resource toward resolution of shorter term legal issues. vn-5 5. Benefit to the university. The establishment of a law school as part of the University of Nevada System has a number of potential benefits for the university system. First, to the extent that it is a law school of quality, it can contribute to the overall quality of the university system. Second, it helps to provide easy access to comprehensive educational opportunities for Nevadans. Third, its location and establishment as part of an overall development of professional education in the state can provide additional balance between the Las Vegas and Reno campuses. 6. Benefit to the legal profession. A law school may support continuing legal education; promote interaction between practicing lawyers, prospective lawyers, and academic legal experts; and enhance available library resources. It would thus increase the overall resources available to practicing lawyers in the state. 7. Short-term investment in long-term gain. The benefits that accrue from a law school require time for establishment and growth. If, in fact, the student pool will be sufficient and other considerations persuasive enough in the long term to establish a law school, the initial short-term investment may prepare most effectively for the long-term needs. 8. Opportunity benefits. In addition to the arguments noted above, it is appropriate to highlight those specific areas of deficiency in providing opportunity for students that might be remedied through the establishment of a law school. First, it would enable Nevadans to obtain a legal education at a fraction of the current cost for legal training and with a more limited need for a scholarship program. Second, it would offer additional opportunity for Nevada residents who could attend law school full-time if it were possible to do so as commuters. Third, a law school might provide opportunity in the future for part-time legal training. WHAT ARE THE ALTERNATIVES? There are two feasible alternatives to the establishment of a law school. Each provides to some degree the benefits that could be realized through the establishment of a law school. Each can be established with less cost to the state or commitment by the state. The two alternatives, described in detail in Chapter VI, are to (1) expand the state subsidies for legal education and (2) establish a legal institute that organizes an extern program for training in Nevada law and contributes associated research. Each of these is discussed in the following paragraphs. vn-6 Expand State Subsidies For Legal Education Currently an average of 157 Nevada students apply to law school each year. Of these, an average of 18 receive state subsidies to out-of-state schools. The others must pay $2,285 more than a normal state tuition per year to attend an out-of-state school. In this alternative, the state would discontinue WICHE and provide 50 per cent, or some other target percentage, of the difference between in-state and out-of-state tuition as a scholarship to some number of law students, say 120, constituting 50 per cent of the potential minimum enrollment at a Nevada law school. Repayment provisions could require students to practice law in Nevada for a certain period of time. The overall cost " to the state would be from $168,750 to $211,500. This alternative is easily implemented and inexpensive and would overcome the major current deficiency - the affordability of law school for Nevada residents in comparison with those of other states. It would also help to attract Nevadans back to Nevada to practice law. Establish A Legal Institute As Part Of The University Of Nevada System To Provide Extern Training, Instruction In Nevada Law, And Related Research This legal institute would have several components. First, it would provide the coordinating mechanism for students at various law schools to serve a semester externship in Nevada, working in some appropriate legal setting. Second, as an integral part of this externship program, it would provide classroom training in Nevada law for the semester. Third, the staff providing support for the institute would engage in related legal research. The legal institute would be part of the University of Nevada System, administered by a legal administrator trained as a lawyer. It would have offices on both the Las Vegas and the Reno campuses, and its overall policies would be shaped by an advisory board consisting of representatives of cooperating law schools and Nevada practitioners, who would be responsible for the overall legal training of the externs participating in the program. The legal institute would be staffed by four full-time-equivalent professionals trained as lawyers and a secretary, wovild use existing facilities. VII-7 and would have an annual budget of approximately $225,000. It would serve between 5 and 8 externa on each campus each semester, a potential total of 32 students a year. This legal institute would provide some needed legal education services at minimal cost. First, it would integrate the current clinical training in Nevada and combine it with instruction in Nevada law, currently lacking to a significant degree. It would operate both in Las Vegas and in Reno. It coxild use non-full-time faculty and other in-state resources and thus strengthen ties with Nevada. The opportunity for Nevada students to associate together for a semester in both an academic and an externship setting would strengthen their ties to Nevada and the contact among native Nevada lawyers. The research component would add services to the state government and to the legal profession. The cost wo\ild be modest. The opportunity for integration with the university and enrichment of the overall university program would be considerable. Operation of the legal institute would b\aild expertise toward the eventual establishment of the Nevada law school. Chapter VI contains a more detailed discussion of the operation of such a legal institute, the costs involved, and the rationale for its establishment. Other Identified Alternatives Are Judged Not Feasible For Implementation The other alternatives discussed in Chapter VI do not appear feasible. They are discussed in the following paragraphs. 1. A Private Law School Or Branch Of An Established Law School Would Not Be Justified Although it would be beneficial to have a school of quality established in Nevada whether it is private or a part of the University of Nevada System, the arguments against the establishment of a law school as part of the University of Nevada System also pertain to the establishment of a private law school. In particular, the number of student applicants likely to come forward and the need for substantial tuition or other resources to support such a school make it unlikely that a private organization would consider the establishment of a law school a feasible project. Because of ABA regulations, the establishment of a branch campus of an established law school in Nevada has the same limitations as the establishment of a private school. VII-8 2. Establishing Ties With An Existing School Would Have A Limited Impact This alternative is judged a reasonable course of action. Establishing a faculty position or a law review would be a positive action at reasonable cost. The action would be of little consequence, however, in addressing potential state needs and concerns with respect to legal education. IMPLEMENTATION STEPS It is recommended that four steps be taken in carrying out the recommendations contained in this report. 1. Adopt This Report As A Basis For Public Debate First, the Study Committee should review this report and adopt it as the basis for public debate. In particular, the findings on needs for legal education, the law school model, and the description of alternatives should be used as the alternative proposals and supporting rationale for Board of Regents and legislative decision. The committee should make its recommendation to the Board of Regents for final adoption of the report and include its assessment of the validity of qualitative arguments for establishment of a law school in the short term. The time period for step one should be May through June 1980. 2. Determine Cost Versus Qualitative Benefits Step two should be a determination by the Board of Regents and the legislature of the relative value of the qualitative benefits associated with the immediate establishment of a law school compared with the cost required. In this determination, they should be guided by Study Committee recommendations. This basic consideration frames the decision to go ahead with the law school. 3. Determine Law School Priority As a third step, the Board of Regents and the state legislature should discuss the priority of establishing a law school with respect to other priorities. In particulair, the public poUcy arguments regarding the desirability of establishing a law school at this time should be reviewed. VII-9 4. Decision On Recommendations Step four should be the approval by the Board of Regents and the legislature of one of two alternatives: Establish a law school as part of the University of Nevada System aind determine the location of that law school in the context of plans for developing other professional schools as part of the Nevada system. Adopt the two recommended alternative courses of action of (1) establishing state subsidies for legal education and (2) creating a legal institute as part of the University of Nevada System. VII-10