Report 2012-117 Recommendation 28 Responses

Report 2012-117: State Athletic Commission: Its Ongoing Administrative Struggles Call Its Future Into Question (Release Date: March 2013)

Recommendation #28 To: Athletic Commission, State

To comply with state law governing the pension plan, the commission needs to, after it has an accurate and complete listing of all licensed athletes and box office information by event type, conduct the analysis to determine the feasibility of expanding the pension plan to cover all athletes and report the results to the Legislature.

Annual Follow-Up Agency Response From October 2018

CSAC has taken significant steps to implement this recommendation. As recommended, all event information, including athlete licensing and box office information, by event type, is tracked in our Master Event Log. CSAC conducted an analysis of expanding the pension plan to cover all athletes and determined that an expansion, as recommended by the BSA, would require adding approximately 450 mixed martial art athletes to the Plan. We know there will be an increase in costs associated with staffing and the two existing contracts (the administrator and the investment company). CSAC does not have the appropriation nor the resources to expand the pension plan to all athletes.

California State Auditor's Assessment of Annual Follow-Up Status: Fully Implemented

Based on the information supplied by the athletic commission, it did conduct an analysis of its pension plan and reported the results of this analysis to the Legislature.


Annual Follow-Up Agency Response From November 2017

The Commission looks forward to implementing this recommendation and since its last response, has taken significant steps in doing so. As recommended, all event information, including athlete licensing and box office information, by event type, is tracked in our Master Event Log. Additionally, in recent meetings, the Commission has discussed options for expanding pension benefits to cover all athletes. We anticipate having sufficient data to report to the Legislature by the end of this Fiscal Year.

California State Auditor's Assessment of Annual Follow-Up Status: Pending


Annual Follow-Up Agency Response From October 2016

Existing law requires the Commission to establish a pension fund for professional boxers. The pension plan and fund only pertain to professional boxers who engage in boxing contests in the State of California. (Bus. & Prof. Codesection 18881; see also Tit. 4, Cal. Code Regs. section 400-409.) All contributions to finance the pension plan are required to be deposited in the State Treasury and credited to the statutory titled "Boxers' Pension Fund." (Bus. & Prof. Code section 18881.) There is no existing authority governing the pension plan which directs the Commission to determine the feasibility of expanding the pension plan to cover all athletes regulated by the Commission and report the results to the Legislature. Although it may be a laudable goal to determine the feasibility of expanding the pension plan to cover all athletes regulated by the Commission, to do so would require specific statutory authority which presently does not exist.

California State Auditor's Assessment of Annual Follow-Up Status: Not Fully Implemented


Annual Follow-Up Agency Response From September 2015

The Commission plans to implement this recommendation but does not have the expertise to conduct the analysis. The Commission plans to contract to have the analysis completed when funds are available. The current budget will not cover the expenditure; however, the Commission believes that resources will be sufficient to implement this recommendation by October 1, 2016.

California State Auditor's Assessment of Annual Follow-Up Status: Not Fully Implemented


Annual Follow-Up Agency Response From September 2014

This analysis has not been conducted. We plan to do it to satisfy the audit and legal requirements, but require additional time.

California State Auditor's Assessment of Annual Follow-Up Status: Not Fully Implemented


1-Year Agency Response

The analysis of expanding the pension plan will be completed in the future, but with the limited staff the Commission currently has, we have focused on the other recommendations as this is a long-term analysis.

California State Auditor's Assessment of 1-Year Status: No Action Taken


6-Month Agency Response

The analysis of expanding the pension plan will be completed in the future, but with the limited staff the Commission currently has, we have focused on the other recommendations as this is a long-term analysis.

California State Auditor's Assessment of 6-Month Status: No Action Taken


60-Day Agency Response

The commission indicated that it completed the list of all licensed athletes and box office event type. The commission intends to conduct an analysis of expanding the pension plan when staff resources permit.

California State Auditor's Assessment of 60-Day Status: Pending


All Recommendations in 2012-117

Agency responses received after June 2013 are posted verbatim.