Projecting the Need for Legal Education in Texas

PROJECTING THE NEED FOR LEGAL EDUCATION IN TEXAS

October 2002 Texas Higher Education Coordinating Board

This report is available on the Coordinating Board website at http//www.thecb.state.tx.us/UHRI/ProfSchools.htm.

Texas Higher Education Coordinating Board

Pamela P. Willeford (Chair) Austin Martin Basaldua, M.D (Vice Chair) Kingwood Raul B. Fernandez (Secretary of the Board) San Antonio Neal W. Adams Bedford Ricardo G. Cigarroa, M.D. Laredo Gen. Marc Cisneros (ret.) Corpus Christi Kevin P. Eltife Tyler Jerry Farrington Dallas Cathy Obriotti Green San Antonio Gerry Griffin Hunt Cary Hobbs Waco Adair Margo El Paso Lorraine Perryman Odessa Curtis E. Ransom Dallas Hector de J. Ruiz, Ph.D. Austin Robert W. Shepard Harlingen Windy Sitton Lubbock Terdema L. Ussery II Dallas

The Texas Higher Education Coordinating Board does not discriminate on the basis of race, color, national origin, gender, religion, age or disability in employment or the provision of services.

Projecting the Need for Legal Education in Texas Page 3

Table of Contents

Introduction ...... 4

I. Demographic Trends in Legal Education – The Nation and Texas ...... 6

A. Gender B. Ethnicity C. Number of law graduates D. Location of existing law schools

II. The Availability of Lawyers in Texas ...... 12

A. Statewide B. Regional C. Pathway to lawyer supply

III. Opportunity for Texas Students to Obtain Legal Education ...... 19

A. Over time B. Compared to other states C. Variances by region in Texas D. Financial issues

IV. Summary of Findings and Conclusions and Recommendations...... 33

A. Service findings B. Opportunity findings C. Conclusions and recommendations

Appendices ...... 36

Projecting the Need for Legal Education in Texas Page 4

Introduction

Projecting the Need for Legal Education in Texas is the second report issued by the Coordinating Board that provides information and recommendations regarding the state’s approach to educating its citizens to enter professional fields. The Board adopted the first report, which addressed medical education, in July 2002.

Issues and questions parallel to those for medical education arise here:

• How many lawyers does the state need? Are some parts of the state in greater need of legal services than other regions? • If increases are needed, how many lawyers should come from outside the state and how many more should the state educate within its borders? • If the state educates more lawyers, should it do so by increasing the class size of some or all of its existing law schools or should it create a new law school? • Is there appropriate “opportunity” for Texas baccalaureate graduates to attend law school, now and in the foreseeable future? • Do residents of all regions of the state have opportunities to attend law schools?

Additional questions and challenges arise that are specific to legal education and services. For example, estimating the number of lawyers that Texas will need to serve its increasing population is especially difficult because of a lack of a recognized or recommended (government or professional) standard for the desired ratio of lawyers per population. The U.S. government provides a recommended minimum number of physicians per population ratio to serve the medical needs of a community, but provides no such ratio for lawyers. This is partly because the need and demand for legal services is not correlated to population alone, but to additional factors such as level of economic activity in the community. While this report includes cross-state comparisons of lawyers per population (and other relevant comparisons), these measures are not alone sufficient to determine optimal or minimal needs for legal services in the state. In other words, we can say that we have more or less, but we have difficulty saying whether we have too few, enough, or too many.

Another issue specific to legal education is the percent of law graduates who do not practice in the field. While the vast majority of people who obtain medical degrees practice medicine, many individuals who receive law degrees do not practice law after graduation. Some law graduates never intend to practice, some take jobs outside the law field, and some fail to pass state bar exams. These and other factors account for about 25 percent of law school graduates. Anecdotal evidence suggests that law graduates are attractive to many employers outside the law profession because of the knowledge and skills that the graduates bring with them. This trend (seen historically in all states for many years), must be considered when examining the need and supply of potential lawyers coming directly from law school.

The mix of public versus independent professional schools is also considerably different for law schools. While Texas has only one independent medical school (and seven public), it has five independent law schools (and four public). For some students, an independent law school may be geographically accessible but financially difficult (or prohibitive). Although all independent Texas law schools provide financial aid to students who qualify, the prospect of repaying large loans after graduation may deter some students from seeking admission to independent law schools.

Projecting the Need for Legal Education in Texas Page 5

This report addresses these and other issues by applying the Methodology for Projecting the Need for Professional Education in Texas, adopted by the Coordinating Board in April 2002 (see Appendix A-68). While the Methodology principally projects the need for professional education on the basis of the need for services and the opportunity for students to become professional practitioners of a particular field, the Board does not presume that those are the only factors on which a decision to create a new professional school should be based. The Board acknowledges that other factors such as costs and benefits, examination of various approaches, effects on existing schools, and the state’s priorities, needs, and financial capabilities should be considered at the time a decision is made.

Projecting the Need for Legal Education in Texas Page 6

I. Demographic Trends in Legal Education – The Nation and Texas

A. Gender

More women are earning law degrees. J.D. (Doctor of Jurisprudence) Degrees Conferred by U.S. Law Schools* by Gender

Total #: 36,385 38,800 39,425 40,213 39,710 39,191 39,920 40,114 39,455 39,071 38,157 37,909 100%

90%

80%

70%

57.8% 57.3% 57.6% 57.2% 57.3% 60% 57.3% 56.5% 56.2% 55.2% 55.2% 53.6% 52.5%

50%

46.4% 43.8% 44.8% 44.8% 47.5% 40% 43.5% 42.7% 42.2% 42.7% 42.7% 42.4% 42.8% Percentage of Degrees 30%

20%

10%

0% 1989-90 1990-91 1991-92 1992-93 1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 Academic Year Males Females

Source: The American Bar Association THECB 9/2002

J.D. Degrees Conferred by All Texas Law Schools* by Gender Total #: 2,146 2,344 2,254 2,296 2,359 2,166 2,198

100%

90%

80%

70%

58.2% 59.1% 59.6% 57.6% 56.3% 60% 55.8% 55.9%

50%

44.2% 44.1% 40% 43.7% 41.8% 40.9% 40.2% 42.4% Percentage of Degrees 30%

20%

10%

0% 1994-95 1995-96** 1996-97 1997-98 1998-99 1999-00 2000-01 Academic Year Males Females * Throughout this report, "U.S. law schools" and "Texas law schools" refer to schools approved (accredited) by American Bar Association. **Beginning in 1995-96, data include degrees conferred by Texas Wesleyan University School of Law. THECB 9/2002 Sources: 1) Public: Texas Higher Education Coordinating Board; Institutions; 2) Independent: National Center for Education Statistics; Institutions Enlarged versions of these charts found in Appendix A-5 and A-8.

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B. Ethnicity

1. Black and Hispanic populations are proportionally under-represented in law schools.

Comparison of U.S. Population and J.D. Degrees Conferred by U.S. Law Schools by Ethnicity (37,909 J.D. Degrees Conferred in U.S. in 2001)

100%

90%

80.4% 80%

69.1% 70%

60%

50% Percentage 40%

30%

20% 12.3% 12.5% 10% 5.4% 6.5% 7.0% 3.7%

0% White Black Hispanic Asian/Pac.Is. Ethnicity

U.S. Population (2000) J.D. Degrees Conferred in U.S. (2001)

Sources: 1) Population: U.S. Census Bureau, 2000; 2) Degrees: The American Bar Association THECB 9/2002 Comparison of Texas Population and J.D. Degrees Conferred by Texas Law Schools by Ethnicity (2,198 J.D. Degrees Conferred in Texas in 2001)

100%

90%

80% 72.2% 70%

60% 52.4% 50% Percentage 40% 32.0% 30%

20%

11.5% 12.5% 10% 6.6% 2.8% 4.8%

0% White Black Hispanic Asian/Pac.Is. Ethnicity

Texas Population (2000) J.D. Degrees Conferred in Texas (2001)

Sources: 1) Pop: U.S. Census Bureau, 2000; 2) Degrees: Texas Higher Education Coordinating Board; National Center for Education Statistics; Institutions 9/2002 Enlarged versions of these charts found in Appendix A-15 and A-16.

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2. Minority representation among graduates of U.S. law schools has remained relatively low during the last 12 years.

J.D. Degrees Conferred by U.S. Law Schools by Ethnicity

Total #: 36,385 38,800 39,425 40,213 39,710 39,191 39,920 40,114 39,455 39,071 38,157 37,909 100%

88.7% 88.2% 90% 87.4% 86.0% 84.6% 82.6% 82.1% 81.0% 80.4% 80.7% 80.6% 80.4% 80%

70%

60%

50%

40% Percentage of Degrees of Percentage 30%

20%

6.9% 7.0% 7.5% 6.8% 10% 4.8% 5.0% 5.2% 5.6% 5.9% 6.9% 6.7% 7.0% 6.4% 6.3% 6.5% 3.7% 3.6% 3.8% 5.1% 5.3% 5.9% 5.3% 4.1% 4.5% 2.5% 2.8% 5.0% 5.4% 5.4% 5.5% 5.4% 0% 3.2% 3.8% 4.4% 4.8% 6.1% 1989-90 1990-91 1991-92 1992-93 1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 Academic Year

White Black Hispanic Asian/Pac.Is.

Source: The American Bar Association THECB 9/2002

Enlarged version of this chart found in Appendix A-9.

Projecting the Need for Legal Education in Texas Page 9

3. Texas public law schools have shown greater increases in minority students than U.S. law schools and Texas independent law schools.

J.D. Degrees Conferred by Texas Public Law Schools by Ethnicity Total #: 1,136 1,219 1,203 1,251 1,187 1,136 1,090 1,234 1,157 1,146 1,058 1,153 100%

90% 84.9% 80.7% 78.1% 80% 74.9% 72.5% 72.5% 73.0% 72.5% 70.6% 67.9% 68.5% 66.3% 70%

60%

50%

40% Percentage of Degrees 30%

20% 12.4% 12.2% 12.3% 10.3% 11.8% 11.3% 12.1% 11.6% 10.9% 11.6% 9.0% 10% 7.4% 9.6% 12.4% 12.0% 7.5% 9.2% 9.8% 9.9% 11.4% 9.4% 10.5% 9.5% 5.0% 1.8% 3.9% 5.8% 4.7% 5.3% 5.9% 0% 1.2% 1.1% 1.2% 3.0% 4.8% 4.9% 1989-90 1990-91 1991-92 1992-93 1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 Academic Year White Black Hispanic Asian/Pac.Is. Sources: Texas Higher Education Coordinating Board; Institutions. THECB 9/2002 J.D. Degrees Conferred by Texas Independent Law Schools by Ethnicity

Total #: 963 1,010 1,254 1,020 1,139 1,213 1,108 1,045 100%

90%

83.4% 81.7% 78.3% 79.5% 77.1% 78.7% 80% 76.6% 76.9%

70%

60%

50%

40% Percentage of Degrees 30%

20% 13.3% 13.5% 12.0% 11.6% 10.9% 11.6% 10.1% 8.5% 10% 3.0% 5.4% 3.9% 5.1% 5.3% 4.2% 4.1% 3.6% 3.6% 3.5% 4.7% 3.0% 0% 2.6% 3.7% 3.3% 3.3% 1993-94 1994-95 1995-96* 1996-97 1997-98 1998-99 1999-00 2000-01 Academic Year White Black Hispanic Asian/Pac.Is.

*Beginning in 1995-96, data include degrees conferred by Texas Wesleyan University School of Law.

Sources: National Center for Education Statistics; Institutions. THECB 9/2002

Enlarged versions of these charts found in Appendix A-10 and A-11.

Projecting the Need for Legal Education in Texas Page 10

J.D. Degrees Conferred by All Texas Law Schools by Ethnicity Total #: 2,150 2,146 2,344 2,254 2,296 2,359 2,166 2,198 100%

90%

80% 77.4% 76.8% 75.0% 74.5% 73.1% 74.1% 73.9% 72.2%

70%

60%

50%

40% Percentage of Degrees of Percentage 30%

20% 12.5% 11.8% 10.7% 10.4% 11.2% 11.7% 11.8% 11.9% 10% 8.8% 6.8% 7.7% 6.5% 7.6% 8.1% 7.7% 6.6% 4.8% 3.3% 4.1% 4.1% 5.3% 4.2% 3.9% 4.7% 0% 1993-94 1994-95 1995-96* 1996-97 1997-98 1998-99 1999-00 2000-01 Academic Year White Black Hispanic Asian/Pac.Is. *Beginning in 1995-96, data include degrees conferred by Texas Wesleyan University School of Law. Sources: 1) Public: Texas Higher Education Coordinating Board; Institutions; 2) Independent: National Center for Education Statistics;

Enlarged version of this chart found in Appendix A-12.

Projecting the Need for Legal Education in Texas Page 11

C. Number of law graduates

The increase in the number of Texas law school graduates has been relatively small since 1985. Population, Graduates, & Lawyers

Law Lawyers Graduates 8,000 26.3 100,000 24.1 7,000 Population (millions) 22.2 20.9 85,544 80,000 6,000 18.7 77,984 16.3 17.0 5,000 70,424 14.2 60,000 62,053 4,000 55,377 48,683 3,000 31,279 40,000 41,322 2,000 2,286 2,317 2,398 2,071 2,074 2,146 2,166 20,000 1,806 1,000

0 0 1980 1985 1990 1995 2000* 2005** 2010** 2015** Population Graduates Lawyers (Members of State Bar of Texas***) *Beginning in 2000, data include Texas Wesleyan University School of Law. **Projected. ***Generally, 95 percent of State Bar members are in active practice. Sources: 1) Population: U.S. Census Bureau; 2) Graduates: Texas Higher Education Coordinating Board; Institutions; 3) Lawyers: State Bar of Texas THECB 10/2002 Enlarged version of this chart found in Appendix A-35.

D. Location of existing law schools

Texas has four public law schools and five independent law schools. Seven of the law schools are in the Metroplex, Gulf Coast, and in Central Texas. Law Schools

Public Texas Southern Univ. (Houston) Texas Tech Univ. (Lubbock) University of Houston The University of Texas at Austin

Independent Baylor University (Waco) St. Mary’s University (San Antonio) South Texas College of Law (Houston) Southern Methodist Univ. (Dallas) Texas Wesleyan Univ. (Ft. Worth)

Source: Texas Higher Education Coordinating Board THECB 9/2002 Enlarged version of this map found in Appendix A-36.

Projecting the Need for Legal Education in Texas Page 12

II. The Availability of Lawyers in Texas

A. Statewide

1. Texas has fewer lawyers per 100,000 population (296) than the national average (360) and the average of the ten most populous states (393).

Lawyers* Per 100,000 Population Ten Most Populous States (2000)

649 700 621

600 508

500 393 380

323 400 307 299 289 296 261 300

Lawyers per 100,000 Population 200

100

ia ia y io s n ida g ois e h n rs O ania for e v Texa Flor Illi ali Geor ichigan J C M w New York Average** Ne Pennsyl Ten Most Populous States * Members of respective state bar associations. **Average represents lawyers per 100,000 population in the ten most populous states.

Sources: U.S. Census Bureau; American Bar Association THECB 9/2002 Enlarged version of this chart found in Appendix A-37.

Projecting the Need for Legal Education in Texas Page 13

2. Texas has fewer lawyers per billion dollars in Gross State Product (83) than the national average (102) and the average of the ten most populous states (106).

Lawyers Per Billion Dollars in Gross State Product (GSP) In Ten Most Populous States - 2000

160 150 147

140 135

120 106 104 98 96 91 100 88 83

80 72

60 Lawyers/Billion GSP Lawyers/Billion

a k ey ia as e* s hio x g r O an a lorida higan Yor Te r lifornia F eorgi Illinois Je w ylv a G ic e C M N Ave ew nns *Average of ten most populous states N e P State Sources: U.S. Department of Commerce; American Bar Assocation THECB 9/2002

Enlarged version of this chart found in Appendix A-39.

Projecting the Need for Legal Education in Texas Page 14 B. Regional

1. Lawyers are not evenly distributed among the Texas population. Some regions have markedly fewer lawyers per 100,000 population than others.

Lawyers Per 100,000 Population

In 2000 179 Statewide Average: 296 per 100,000 126 339 148 10 Most Populous States: 153 155 388 155 393 per 100,000 403 247 National Average: 147 360 per 100,000

Sources: State Bar of Texas; American Bar Association

THECB 9/2002 Enlarged version of this map found in Appendix A-40.

2. Lawyers are not evenly distributed among the state’s regions in the number of lawyers per billion dollars in aggregate personal income. (Aggregate Personal Income is highly correlated to Gross State Product as an index of business activity. Aggregate Personal Income is available on a county and regional basis; Gross State Product is not.) Lawyers Per Billion Dollars in Aggregate Personal Income

A-43 73 In 2000 Statewide Average: 56 103 65 106 per Billion 83 63 141 69 123 101

Sources: U.S. Department of Commerce, Texas Department of Economic Development, Texas Comptroller’s Office, State Bar of Texas THECB 9/2002 Enlarged version of this map found in Appendix A-43.

Projecting the Need for Legal Education in Texas Page 15

C. Pathway to lawyer supply

1. The number of graduates of Texas law schools who passed the State Bar Exam in 2000 was greater than the number of lawyers leaving the State Bar that year. However, the number of graduates was much less than the number of new members of the State Bar; therefore, a number of new and practicing lawyers were “imported” from other states.

Pathway to Lawyer Supply

• 2,166 students graduated from Texas law schools in 2000 • 2,457 graduates of Texas law schools took the State Bar Exam (including repeaters) in 2000 • 1,803 graduates of Texas law schools passed the State Bar Exam in 2000

Increase in number of lawyers in Texas from 2000 to 2001: 2,863 (Gains*) – 1,186 (Losses**) = 1,677

* Gains include: 1) New lawyers from Texas and out-of-state. (Note: 1,840 law jobs in Texas were filled by graduates of the national law school class of 2000) 2) Practicing lawyers moving to Texas 3) Lawyers returning to practice from retirement

**Losses include: 1) Retirees 2) Lawyers leaving the state 3) Deaths

THECB 9/2002 Sources: Texas Higher Education Coordinating Board; Texas Board of Law Examiners; State Bar of Texas; National Association of Law Placement

Enlarged version of this data found in Appendix A-44.

Projecting the Need for Legal Education in Texas Page 16

2. Nevertheless, Texas educates most of its lawyers. Over 75 percent of lawyers in Texas graduated from a Texas law school. A significant number of gradates of Texas law schools located in large cities stay in the region to practice law.

Law Schools Attended by Members of State Bar of Texas (2001)

Law School Attended Percentage of State Bar Membership

Baylor Univ. 7% St. Mary's Univ. 7% South Texas College of Law 11% Southern Methodist Univ. 9% Texas Southern Univ. 3% Texas Tech Univ. 6% Texas Wesleyan Univ.* 2% University of Houston 11% University of Texas at Austin 21%

Subtotal: Texas Law Schools 77% Out-of-State Law School 23%

*Texas Wesleyan University School of Law received provisional approval from the American Bar Association in 1994 and full approval in 1999.

Source: State Bar of Texas THECB 9/2002

Enlarged version of this chart found in Appendix A-45.

Projecting the Need for Legal Education in Texas Page 17

3. Texas keeps its law graduates. Of the graduates who practice law (within nine months of graduation), Texas has the highest percentage who stay in-state than any other state.

Percent of Law School Graduates Staying in State to Practice Law* Ten Most Populous States (2000)

100% 94%

90% 85% 86% 79%

80% 76% 75% 75% 73% 72%

70% 63%

60%

48% 50%

40%

30%

20%

10%

ia ia n rk n g a o io r rida ig h ania ge** fo o or h Y O v a li e Illinois yl Texas a Fl G s Mic n C New n Aver New Jersey e P Ten Most Populous States

* Percent of the graduates of the class of 2000 who held a law job within nine months of graduation and stayed in state. ** Average percentage of the ten most populous states.

Source: National Association of Law Placement THECB 9/2002

Enlarged versions of these charts found in Appendix A-46 and A-47.

4. Similar to other states, 75 percent of Texas law graduates (class of 2000) were employed in law jobs within nine months of graduation.

Percent of Law School Graduates Employed in Law Jobs Anywhere in the U.S.* Ten Most Populous States (2000)

100%

90% 84% 79% 82% 76% 75% 76% 76% 74% 75% 80% 72% 71% 70%

60%

50%

40%

30%

20%

10%

ia a s n ey rk d gia oi o nia as rn r iga rs hio a x fo lori lin h e Y O eo Il J w ylv Te ali F G ic s M C ew Ne nn Average** N e P Ten Most Populous States

* Percent of the graduates of the class of 2000 who held a law job within nine months of graduation. ** Average percentage of the ten most populous states.

Source: National Association of Law Placement

Projecting the Need for Legal Education in Texas Page 18

5. Some law graduates do not practice law. The following reasons for this have remained relatively constant over time:

a. Some choose another career path.

b. Some do not pass the State Bar Exam.*

Passing rates for the last reported (February 2002) Texas Bar Exam were: • 70 percent first-time examinees from Texas law schools • 55 percent overall pass rate Overall passing rate for the July 2001 exam was 79 percent.

c. Some accept jobs not requiring a law degree.

Nationally, 10.6 percent of law school graduates in 2000 accepted non-law jobs; in Texas, 9.6 percent accepted non-law jobs.

d. Some enroll in advanced degree programs.

Nationally, 2.1 percent of law school graduates in 2000 enrolled in advanced degree programs; in Texas, 1.5 percent enrolled in advanced degree programs.

e. Some are unable to get law jobs.

Sources: National Association of Law Placement; Texas Board of Law Examiners

*See Appendix A-48 for recent passing rates for individual Texas law schools.

Projecting the Need for Legal Education in Texas Page 19

III. Opportunity for Texas Students to Obtain Legal Education

A. Over time

With the exception of the mid-1990s (when Texas Wesleyan University School of Law was provisionally approved by the American Bar Association), the number of first-year law students in the last 15 years has remained relatively constant. However, the number of actual and projected number of baccalaureate graduates continues to rise.

Baccalaureate Degrees, Law School Applications & First-Year Enrollments

ApplicationsBaccalaureate Degrees (thousands) 1St Year Enroll 90 84 25,000 78 10,000 74 9,000 20,000 67 8,000 60 55 7,000 53 17,976 17,606 15,000 16,520 16,548 6,000 14,064 15,490 5,000 10,000 4,000 3,000 5,000 2,566 2,000 2,300 2,322 2,332 2,541 2,534 2,527 2,010 1,000 0 0 1980* 1985* 1990 1995 2000** 2005*** 2010*** 2015*** Baccalaureates First-Year Enrollment**** Applications - duplicated *Totals are extrapolated because of missing data at some institutions. **Beginning in 2000, data include Texas Wesleyan University School of Law. ***Projected (The methodology used to project enrollments beyond 2000 accounted for the “jump” in total numbers due to first-time figures for Texas Wesleyan University in 1998.) ****All first enrollment data in this report are for fall semesters only. Sources: Texas Higher Education Coordinating Board; Institutions THECB 9/2002

Enlarged version of this chart found in Appendix A-52.

Projecting the Need for Legal Education in Texas Page 20

1. The number of baccalaureate degrees awarded for each available law school seat in Texas is expected to increase.

Baccalaureate Degrees Awarded in Texas Per Entering Texas Law School Seat

36 35 33 31 29 29 30

26 26 24 25

10 Bacc. Degrees Awarded Per Opening Per Awarded Degrees Bacc.

0 1980 1985 1990 1995 2000 2005* 2010* 2015* Year

* Projected Sources: 1) Texas Higher Education Coordinating Board; 2) Independent Colleges & Universities of Texas, Inc.; 3) Institutions THECB 9/2002

Enlarged version of this chart found in Appendix A-53.

Projecting the Need for Legal Education in Texas Page 21

2. With few exceptions, enrollments at each law school have remained relatively constant over the last eight years. (Combined enrollment at the four public law schools has been about the same as the combined enrollment of the five independent law schools.)

First-Year Entering Enrollment Trends in Texas Law Schools

600

522

7 500 7 4

6 442 2 4

400 400

306 300 2 6 0 53 260 9 2 9 2 8 4 25 3 2 24 234 2 212 200 Number of First-Year Entering Enrollees 100 6 7 65

0 TSU TTU UH UT-Austin Baylor St. Mary's So. Tx. SMU Tx. Law Schools Wesleyan** 1993-94 2000-01

*Baylor Law School operates on the quarter system. These figures (and all first-year entering enrollment figures for Baylor in this report) are from the fall semester. Typically, the institution admits a similar number of new students in the subsequent quarter. **1993-94 data not available for Texas Wesleyan. The institution received provisional approval from the American Bar Association in 1994. Sources: Texas Higher Education Coordinating Board; Institutions Enlarged version of this chart found in Appendix A-54.

Legend:

TSU – Texas Southern University TTU – Texas Tech University UH – University of Houston UT-Austin – The University of Texas at Austin Baylor – Baylor University St. Mary’s – St. Mary’s University of San Antonio So. Tx. – South Texas College of Law SMU – Southern Methodist University Tx. Wesleyan – Texas Wesleyan University

Projecting the Need for Legal Education in Texas Page 22

3. The percentage of Texas public law schools’ degrees received by out-of-state residents has nearly doubled in the last 11 years.

J.D. Degrees Conferred by Texas Public Law Schools by Residency Status Total #: 1,136 1,219 1,203 1,251 1,187 1,136 1,090 1,234 1,157 1,146 1,058 1,153 100%

90% 87.2% 86.5% 87.7% 87.7% 84.4% 83.5% 82.9% 82.3% 82.4% 80.8% 82.0% 80%

70%

60%

50%

40% Percentage of Degrees of Percentage 30%

20% 18.5% 17.3% 16.5% 17.1% 15.2% 17.2% 16.2% 12.6% 11.2% 11.1% 9.4% 10%

0% 1990-91 1991-92 1992-93 1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 Academic Year

Texas Residents U.S. Out-of-State Residents

Sources: Texas Higher Education Coordinating Board; Institutions.

Enlarged version of this chart found in Appendix A-55.

Projecting the Need for Legal Education in Texas Page 23

4. However, applications to Texas law schools have decreased over the last eight years, and offers of admission have increased.

Texas Law Schools -- Applications, Offers of Admission, & First-Year Entering Enrollment 20,000

17,663 17,976 18,000

16,830 16,000 14,931 14,064 14,368 13,608 14,000 13,074

12,000

10,000 Number 8,000 6,395 6,383 6,308 6,005 6,080 5,797 5,794 5,817 6,000

4,000 2,566 2,526 2,395 2,332 2,367 2,348 2,316 2,572 2,000

0 1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 Academic Year

Applications (Duplicated) Offers of Admission First-Year Entering Enrollment

Sources: 1) Applications: Institutions; 2) Offers: Institutions; 3) First-Year Entering: Texas Higher Education Coordinating Board, Institutions THECB 9/2002

Enlarged version of this chart found in Appendix A-56.

Projecting the Need for Legal Education in Texas Page 24

5. Also, a higher percentage of applicants are receiving offers of admission than eight years ago (from an average of 34 percent in 1993 to 47 percent in 2000).

Percentage of Applicants Who Received Offers of Admissions from Texas Law Schools (Offers of Admission/Applications)

100%

90%

80%

70% 68% 65%

60% 58%

49% 50% 47%

39% 39% 39% 40% 36% 38% 37% 36% 35% 30% 27% 30% 28% 24%

20% Percentage of Applicants Receiving Offers Receiving Applicants of Percentage 10%

0% TSU TTU UH UT-Austin Baylor St. Mary's So. Tx. SMU Tx. Wesleyan* Law Schools

1993-94 2000-01 * 1993-94 data not available for Texas Wesleyan. The institution received provisional approval from the American Bar Association in 1994.

Sources: Institutions THECB 9/2002

Enlarged version of this chart found in Appendix A-57.

Legend:

Projecting the Need for Legal Education in Texas Page 25

B. Compared to other states

Texas provides its citizens an “average” statewide opportunity to attend law school, compared to other states.

Comparative Data for Law Schools for the Ten Most Populous States (2000 & 2001)

State Population in # Law # Available Percent of Average # Bacc. Millions (2000) Schools Spaces in State Entering Degrees (Public & State's Law Resident Class Size Awarded per Schools Applicants Entering Law (2000)* Who Entered School Slot Any US Law (2000)**

California 33.9 19 5,188 61% 273 23 Florida 16.0 7 2,039 51% 291 25 Georgia 8.2 4 797 48% 199 37 Illinois 12.4 9 2,094 56% 233 26 Michigan 9.9 5 1,710 60% 342 27 New Jersey 8.4 3 835 54% 278 32 New York 19.0 15 4,707 57% 314 20 Ohio 11.4 9 1,697 58% 189 29 Pennsylvania 12.3 7 1,656 57% 237 40 Texas 20.9 9 2,526 58% 281 29

* Number of available spaces in each state's law schools based on total number of law ** Bachelor's degrees include bachelor's degrees awarded by public and independent universities, health science centers, and proprietary institutions. Sources: 1) Population: U.S. Census Bureau, 2000; 2) Law Schools, Spaces: ABA-LSAC Official Guide to ABA- Approved Law Schools, 2002 Edition (Texas: Texas Higher Education Coordinating Board; Institutions); 3) Applicants, First-Year Law Students from State: Law School Admission Council; 4) Baccalaureate Degrees: U.S.

THECB 9/2002 Enlarged version of this chart found in Appendix A-63.

Projecting the Need for Legal Education in Texas Page 26

1. Among the ten most populous states in 2000, Texas ranked near the middle in the number of baccalaureate degrees awarded per entering law school seat. A-64 - Baccalaureate Degrees Awarded Per Entering Law School Seat (2000)

40 37 32 29 29 27 30 25 26 23 20

Number of Bacc. Degrees per SpaceNumber Degrees per Bacc. of 10

ia a is n y io n d as r ri iga rse Oh o lino Tex lifo Fl Il ch Je lvania a Georgia y C Mi New York ns New n Pe Ten Most Populous States

Sources: 1) Spaces: ABA-LSAC Official Guide to ABA-Approved Law Schools, 2002 Edition (Texas: Texas Higher Education Coordinating Board, Institutions); 2) Baccalaureate Degrees: U.S. Department of Education THECB 9/2002

Enlarged version of this chart found in Appendix A-64.

Projecting the Need for Legal Education in Texas Page 27

2. Texas’ average law school size in 2000 ranked near the middle among the ten most populous states.

A-65 - Average Law School Entering Class Size (2000)

342 350 314

291 300 278 281 273

233 237 250

199 189 200

150

100 Average Entering ClassSize Average Entering

y n e o nia s ga r Ohi for inois York Texas i Florida Ill chi Je w al Georgia i C M w Ne Ne Pennsylvania Ten Most Populous States

Sources: Law Schools, Spaces: ABA-LSAC Official Guide to ABA-Approved Law Schools, 2002 Edition (Texas: Texas Higher Education Coordinating Board; Institutions) THECB 9/2002

Enlarged version of this chart found in Appendix A-65.

Projecting the Need for Legal Education in Texas Page 28

3. The percent of Texas applicants to U.S. law schools who entered law school in 2001 (58 percent) was near the average of the ten most populous states (56 percent).

Percentage of State Resident Applicants Who Entered Any U.S. Law School (2001)

100%

90%

80%

70% 60% 61% 57% 58% 58% 56% 57% 60% 54% 51% 48% 50%

Percentage 40%

30%

20%

10%

ia a ia is n y rk o ia s n id g o a e i n a r r r n ig rs o h a x o o o li h e Y O lv e if l e Il c J w y T al F G i e s C M ew N n N en P Ten Most Populous States

Source: Law School Admission Council THECB 9/2002

Enlarged version of this chart found in Appendix A-66.

Projecting the Need for Legal Education in Texas Page 29

C. Variances by region in Texas

Texans from the Metroplex and South Texas-South are under-represented in Texas public law schools. However, there are two independent law schools in the Metroplex that draw students from that area. Southern Methodist University School of Law reported 65 percent of its students were from the Metroplex region, and Texas Wesleyan University reported 75 percent of its students were from the region (in 2000). Comparison of Regional Population, Students from Region Earning Baccalaureate Degrees, and Students from Region* Enrolled in a Texas Public Law School (2000)

40%

% .8 7 35% 3

% 30% .3 6 2 % % % .3 .6 .8 3 25% 2 2 1 2 2

% % 1 20% .1 . 6 6 1 1 % 15% 1 % % . 3 1 .2 . 1 0 0 % 1 1 0 % % . 3 4 9 % . . Percentage of Persons of Percentage 10% 2 8 8 . % % % 7 % 9 % % .2 % 2 .6 . 2 % % % % . % 4 . 3 6 % % % 5 .7 4 % % . . 5 % % 4 4 4 6 4 3 . 7 5 6 3 . . 6 5% 3 . .3 1 3 3 . . . . 3 3 . 2 . 2 2 2 2 2 2 2

0% High Pl NW Metro Up ET SE Gulf Central WT Up Rio ST-N ST-S *Self-reported by students; reliability Gr questionable. Region of Texas

% of Total State Population % of Total Students Awarded Bacc. Degrees by Public Univ. % of Total Students Enrolled in TX Public Law Schools

Sources: 1) Population: U.S. Census Bureau, 2000; 2) Baccalaureate Degrees: Texas Higher Education Coordinating Board, Independent Colleges and Universities of Texas, Inc.; 3) Enrollment: Texas Higher Education Coordinating Board THECB 9/2002

Enlarged version of this chart found in Appendix A-58.

Legend:

High Pl – High Plains Central – Central Texas NW – Northwest WT- West Texas Metro – Metroplex Up Rio Gr – Upper Rio Grande Up ET – Upper East Texas ST-N – South Texas-North SE - Southeast Texas ST-S – South Texas-South Gulf – Gulf Coast

Projecting the Need for Legal Education in Texas Page 30

D. Financial issues

1. Tuition costs at the independent law schools are considerably higher than the costs of the public law schools. There are also cost variances within the two types of law schools.

Tuition Cost at Each Texas Law School Per Year Full-Time Texas Residents (2000) $25,000

$22,452

$19,019 $20,000

$16,860 $16,480 $15,521

$15,000

$10,000 $7,682 Tuition Cost per Year per Cost Tuition $6,973 $6,690

$5,450 $5,000

U s x U lor ' T n UH y y M TS TTU ar S eya Ba So. l . M UT-Austin St Tx. Wes Law Schools Source: ABA-LSAC Official Guide to ABA-Approved Law Schools, 2002 Edition THECB 9/2002

Enlarged version of this chart found in Appendix A-59.

Legend:

Projecting the Need for Legal Education in Texas Page 31

2. The percent of law students receiving grants or scholarships and the amount awarded vary considerably from institution to institution.

Percentage of Full-Time Law Students in Texas Receiving Grants or Scholarships by Institution (2000) 100%

90.1% 90%

80% 71.7%

70% 64.2% 56.6% 60%

50% 42.9% 39.7% 40% 31.7% Percentage of Students 30% 23.1% 14.7% 20%

10%

U 's U UH tin lor TSU TT ry Tx. M a o. S -Aus Bay S UT St. M Tx. Wesleyan Law Schools Source: ABA-LSAC Official Guide to ABA-Approved Law Schools, 2002 Edition; Institutions THECB 9/2002

Median Dollar Amount of Grants or Scholarships Received by Full-Time Texas Law Students by Institution (2000) $9,000 $8,240

$8,000

$7,000

$6,000 $6,000

$4,860 $5,000 $4,458

$4,000

$3,000 $2,752 Median Grant Amount $3,000 $2,489 $2,149

$2,000 $1,500

$1,000

$0 TSU TTU UH UT-Austin Baylor St. Mary's So. Tx. SMU Tx. Wesleyan Law Schools

Source: ABA-LSAC Official Guide to ABA-Approved Law Schools, 2002 Edition THECB 9/2002

Enlarged version of these charts found in Appendix A-60 and A-61.

Projecting the Need for Legal Education in Texas Page 32

3. All law schools arrange loans for eligible students. Yearly loan amounts to students at the independent schools average $21,500 per student; annual loan amounts at public schools average $15,500 per student. (Source: Institutions.)

Projecting the Need for Legal Education in Texas Page 33

IV. Summary of Findings and Conclusions and Recommendations

A. Service findings

1. Texas has fewer lawyers per 100,000 population and per billion dollars in Gross State Product (GSP) than the national average and average of the ten most populous states. The Texas population and GSP are increasing; if the number of lawyers does not increase, these ratios will decrease.

2. Texas lawyers are not distributed evenly throughout the population. There are many areas of low population density served by few lawyers. In addition, the South Texas-South region is an area of very high population density served by significantly fewer lawyers per population than the statewide average.

3. Texas lawyers are not distributed evenly throughout the state with respect to level of business/economic activity. There are several regions of the state with significantly lower numbers of lawyers per billion dollars in aggregate personal income (a proxy for level of business activity) than the statewide average.

4. Over three-quarters of Texas lawyers were educated at Texas law schools. Of the recent Texas law school graduates who are practicing law, over 90 percent of them have remained in the state (the highest percentage in the U.S.). A significant number of law graduates of schools located in large cities stay in or near those cities to practice law.

5. Similar to other states, three-quarters of Texas law graduates are employed in law jobs within nine months of graduation. There are several reasons why the remaining 25 percent of law graduates do not become lawyers including: a) not passing the State Bar Exam and b) accepting jobs not requiring a law degree.

6. Recently, law positions filled in Texas each year by new U.S. and Texas law graduates have been nearly equal to the number of new graduates of Texas law schools passing the Texas State Bar Exam.

B. Opportunity findings

1. With few exceptions, the number of students entering law schools in Texas has remained relatively constant over the last 15 years while the number of students attaining baccalaureate degrees in Texas is increasing. Also, the number and percent of out-of-state residents attending Texas law schools are increasing. However, these “losses in opportunity” for Texans to attend law school are offset by decreases in the number of applications to Texas law schools and higher percentages of applicants receiving offers of admission than in past years.

Projecting the Need for Legal Education in Texas Page 34

2. Compared to the ten most populous states, Texas now offers its baccalaureate graduates  on a statewide level  about an average level of opportunity to attend law school, as indicated by: a) measures of baccalaureate degrees awarded per law school seat and b) the percent of applicants entering law schools.

3. Texans from the Metroplex and South Texas-South regions are under- represented in Texas public law schools. However, there are two independent law schools in the Metroplex that draw students from that area.

4. Tuition costs at the Texas independent law schools are considerably higher than the costs of the state’s public law schools. All law schools provide students with grants, scholarships, and loans of various amounts.

C. Conclusions and recommendations

1. While Texas has significantly fewer lawyers per population and per GSP than many other states, it is difficult to apply these factors alone to assert that Texas currently has a “shortage of lawyers.” In addition, the supply of new lawyers (as suggested by the number of Texas law graduates passing the State Bar Exam) is approximately equal to the number of jobs filled in Texas by new law graduates (perhaps a measure of demand for new lawyers). And Texas is able to maintain a State Bar membership made up of over 75 percent of its in-state law school graduates.

However, the evidence does raise two potentially serious issues of concern:

a. Lawyers are not distributed evenly throughout Texas, possibly leaving citizens of some regions with less access to needed services; and

b. Residents of some areas of the state are under-represented in the state’s law schools.

2. If the state wants to increase the lawyer supply, it could do so by:

a. Providing for moderate increases in enrollment at the states’ smaller public law schools; and

b. Promoting improved retention and success at law schools with higher attrition rates and/or lower passing rates on the State Bar Exam.

3. These efforts alone would not, however, significantly address the uneven distribution of lawyers and the populations under-represented in law schools. Therefore, the state should:

Projecting the Need for Legal Education in Texas Page 35

a. Consider funding education loan repayment programs for lawyers practicing in underserved areas; and

b. Establish programs that increase recruitment and enrollment of law students from under-represented groups and areas.

The availability of lawyers in underserved areas and the under- representation of Hispanics and African-Americans in the state’s law schools and among its attorneys are critical issues for Texas. The Coordinating Board will continue to examine these issues and forward additional findings and recommendations to the Legislature.

4. Given the lack of definitive evidence that there is a statewide lawyer shortage and given that Texas baccalaureate graduates (on a statewide basis) have about the same opportunity to attend law school as baccalaureate graduates of other states, there is not a compelling reason to recommend that the state establish a new law school in the immediate future. However, the state should carefully monitor important service and opportunity measures identified in this report (both statewide and regional) as the population and baccalaureate graduates increase in the coming years. The creation of a new law school should be considered when suggested by significant changes in these measures.

Projecting the Need for Legal Education in Texas Page 36

Appendices

I. Law Schools – U.S. and Texas

A. Applications, Offers, Enrollments, Degrees

A-1 Application Trends in Texas Law Schools A-2 Offers of Admission of Trends in Texas Law Schools A-3 Total Enrollment Trends in Texas Law Schools A-4 J.D. Degrees Conferred Trends in Texas Law Schools

B. Degrees Conferred by Gender

A-5 J.D. (Doctor of Jurisprudence) Degrees Conferred by U.S. Law Schools by Gender A-6 J.D. Degrees Conferred by Texas Public Law Schools by Gender A-7 J.D. Degrees Conferred by Texas Independent Law Schools by Gender A-8 J.D. Degrees Conferred by All Texas Law Schools by Gender

C. Degrees Conferred by Ethnicity

A-9 J.D. Degrees Conferred by U.S. Law Schools by Ethnicity A-10 J.D. Degrees Conferred by Texas Public Law Schools by Ethnicity A-11 J.D. Degrees Conferred by Texas Independent Law Schools by Ethnicity A-12 J.D. Degrees Conferred by All Texas Law Schools by Ethnicity A-13 J.D. Degrees Conferred by Texas Public Law Schools to Texas Residents by Ethnicity A-14 J.D. Degrees Conferred by Texas Public Law Schools to U.S. Out-of-State Residents by Ethnicity A-15 Comparison of U.S. Population and J.D. Degrees Conferred by U.S. Law Schools by Ethnicity (37,909 J.D. Degrees Conferred in U.S. in 2001) A-16 Comparison of Texas Population and J.D. Degrees Conferred by Texas Law Schools by Ethnicity (2,198 J.D. Degrees Conferred in Texas in 2001)

D. Degrees Conferred by Ethnicity for Each Texas Law School

A-17 Texas Southern University Thurgood Marshall School of Law – 164 J.D. Degrees Conferred in 2001 by Ethnicity A-18 J.D. Degrees Conferred by Texas Southern University Thurgood Marshall School of Law by Ethnicity A-19 Texas Tech University School of Law – 194 J.D. Degrees Conferred in 2001 by Ethnicity A-20 J.D. Degrees Conferred by Texas Tech University School of Law by Ethnicity A-21 University of Houston Law Center – 335 J.D. Degrees Conferred in 2001 by Ethnicity A-22 J.D. Degrees Conferred by the University of Houston Law Center by Ethnicity A-23 The University of Texas at Austin School of Law – 460 J.D. Degrees Conferred in 2001 by Ethnicity A-24 J.D. Degrees Conferred by The University of Texas at Austin School of Law by Ethnicity

Projecting the Need for Legal Education in Texas Page 37

A-25 Baylor University School of Law – 141 J.D. Degrees Conferred in 2001 by Ethnicity

A-26 J.D. Degrees Conferred by Baylor University School of Law by Ethnicity A-27 St. Mary’s University School of Law – 238 J.D. Degrees Conferred in 2001 by Ethnicity A-28 J.D. Degrees Conferred by St. Mary’s University School of Law by Ethnicity A-29 South Texas College of Law – 334 J.D. Degrees Conferred in 2001 by Ethnicity A-30 J.D. Degrees Conferred by South Texas College of Law by Ethnicity A-31 Southern Methodist University Dedman School of Law – 230 J.D. Degrees Conferred in 2001 by Ethnicity A-32 J.D. Degrees Conferred by Southern Methodist University Dedman School of Law by Ethnicity A-33 Texas Wesleyan University School of Law – 102 J.D. Degrees Conferred by Ethnicity A-34 J.D. Degrees Conferred by Texas Wesleyan University School of Law by Ethnicity A-35 Population, Graduates, & Lawyers Chart A-36 Map with Locations of Texas Law Schools

II. Law Supply

A. Per Population and per Level of Business Activity

A-37 Lawyers per 100,000 Population in Ten Most Populous States (2000) A-38 Lawyers per 100,000 Population by State (2000) A-39 Lawyers Per Billion Dollars in Gross State Product (GSP) in Ten Most Populous States (2000) A-40 Lawyers per 100,000 Population in Texas (Map) A-41 Lawyers per 100,000 Population (High Plains, Northwest, Metroplex, Upper East Texas, and Southeast Texas Regions) A-42 Lawyers per 100,000 Population (Gulf Coast, Central Texas, South Texas-South, West Texas, Upper Rio Grande, and South Texas-North Regions) A-43 Lawyers per Billion in Aggregate Personal Income (2000)

B. Pathway

A-44 Pathway to Lawyer Supply A-45 Law Schools Attended by Members of State Bar of Texas (2001) A-46 Percent of Law School Graduates Staying in State to Practice Law in the Ten Most Populous States (2000) A-47 Percent of Law School Graduates Employed in Law Jobs Anywhere in the U.S. in the Ten Most Populous States (2000) A-48 Pass Rates for Texas State Bar Exam (2001) A-49 Primary Occupation of Texas Lawyers (2000) A-50 State Bar Practice Areas (2000) A-51 Comparison of Texas Population and Membership in State Bar of Texas by Ethnicity

Projecting the Need for Legal Education in Texas Page 38

III. Opportunity to Attend Law School

A. In Texas

A-52 Baccalaureate Degrees, Law School Applications & First-Year Enrollments A-53 Baccalaureate Degrees Awarded in Texas Per Entering Texas Law School Seat A-54 First-Year Entering Enrollment Trends in Texas Law Schools A-55 J.D. Degrees Conferred by Texas Public Law Schools by Residency Status A-56 Texas Law Schools – Applications, Offers of Admission, & First-Year Entering Enrollment A-57 Percentage of Applicants Who Received Offers of Admissions from Texas Law Schools (Offers of Admission/Applications) A-58 Comparison of Regional Population, Students from Region Earning Baccalaureate Degrees, and Students from Region Enrolled in a Texas Public Law School (2000) A-59 Tuition Cost at Each Texas Law School Per Year – Full-Time Residents (2000) A-60 Percentage of Full-Time Law Students in Texas Receiving Tuition Grants by Institution (2000) A-61 Median Dollar Amount of Grants or Scholarships Received by Texas Law Students by Institution (2000)

B. Compared to Other States

A-62 Comparative Data for Law Schools for the Ten Most Populous States (2000 & 2001) A-63 Comparative Data for Law Schools for the Ten Most Populous States (2000 & 2001) - Abbreviated Chart A-64 Baccalaureate Degrees Awarded Per Entering Law School Seat in Ten Most Populous States (2000) A-65 Average Law School Entering Class Size in Ten Most Populous States (2000) A-66 Percentage of State Resident Applicants Who Entered Any U.S. Law School in Ten Most Populous States (2001)

IV. Other

A-67 Map of Texas’ Regions (Population in 2000) A-68 A Methodology for Projecting the Need for Professional Education (Approved by the Coordinating Board on April 19, 2002) A-69 Data Sources