I don't think that this is true. There are a large number of out-of state students here. The reason that the % of in-staters is so high is the 5 year practice requirement. That keeps some out-of-state people from coming here. As far as I know and from what I gather from my classmates there is no official preference for in-state applicants. If you are from another state and are willing to sign the practice agreement then you are in.