Los Angeles Times, August 10, 2006
SACRAMENTO — California's secretive government-run workers' compensation insurance company came under attack Wednesday for fighting a bill that would force it to open its books to state auditors.
At issue is legislation by the chairwoman of the Senate Insurance Committee to allow the state auditor to review the administration of the State Compensation Insurance Fund and investigate its finances.
"That a state entity — created specifically to provide insurance as a last resort in the workers' comp area, that is peopled with state employees and has a board appointed by the governor — would not be subject to state auditing review, to me, is the height of chutzpah," said state Sen. Jackie Speier (D-Hillsborough).
But the company — known as State Fund — has maintained that it is a private enterprise exempt from most open-government laws. And it pointed out that it was already regulated by the state, like all other insurance firms. It has recently indicated it may consider a compromise.
(snip)
State Fund has spent an estimated $178,000 on an outside lobbyist who is attempting to coax the lawmakers into watering down the bill....
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I am shocked! Corruption in California government -- it is unheard of, especially in Workman's Comp...shocked, I tell you!!
Doesn't Boxer's husband feed big time from the Worker's Comp System?