California Labor Codes 3716.1
§ 3716.1 Representation, Investigation of State
(b) The director shall assign investigative and claims' adjustment services respecting matters concerning uninsured employers injury cases. The director or his or her representative may make these service assignments within the department, or he or she may contract for these services with the State Compensation Insurance Fund, except insofar as these matters might conflict with the interests of the State Compensation Insurance Fund. The administrative costs associated with these services shall be reimbursed from the Workers' Compensation Administration Revolving Fund and the nonadministrative costs from the Uninsured Employers Benefits Trust Fund, except when a budget impasse requires advances as described in subdivision (c) of Section 62.5. To the extent permitted by state law, the director may contract for audits or reports of services under this section.
(c) Commencing November 1, 2004, the State Compensation Insurance Fund and the director shall report annually to the fiscal committees of both houses of the Legislature and the Director of Finance, regarding any of the following:
(1) The number of uninsured employers claims paid in the previous fiscal year, the total cost of those claims, and levels of reserves for incurred claims.
(2) The administrative costs associated with claims payment activities.
(3) Annual revenues to the Uninsured Employers Benefits Trust Fund from all of the following: (A) Assessments collected pursuant to subdivision (c) of Section 62.5. (B) Fines and penalties collected by the department. (C) Revenues collected pursuant to Section 3717.
(4) Projected annual program and claims costs for the current and upcoming fiscal years.