The bill bringing more transparency to State Compensation Insurance Fund, SB 1452, authored by Sen. Jackie Speier (D-San Mateo), has been signed by Governor Schwarzenegger, the Workers' Compensation Executive has learned. State Fund tried hard to kill the bill.

"It's the best example of a good government bill this session and I'm glad the Governor signed it," Senator Speier told the Executive.

The Governor signed the bill despite the reported request from "a state agency" for a veto, sources said. The office will shortly announce the signature.

The bill will allow the California State Auditor to bring light to the goings on at and specifically subject State Fund to the same audit requirements as other state agencies. SCIF has refused such audits in the past, citing its regulation by the Department of Insurance and confidentiality.

The bill sailed through the Senate but became more controversial as it became known that State Fund's paid lobbyists Lang Hansen O'Malley & Miller were working behind the scenes to tank the bill.

Senator Speier learned of the lobbying from an article in the Workers' Comp Executive and called State Fund "arrogant' a news conference just before the bill came in Assembly Appropriations. Her actions are credited with the passage of the bill.

SCIF paid $178,000 of policyholders' funds, according to Speier, to the lobbyists.