(a)At the time of payment of the fee required by Section 18824, a promoter shall pay to the commission all amounts scheduled for contribution to the MMA Fund. If the commission, in its discretion, requires, pursuant to Section 18888.2, that contributions to the MMA Fund be made by the martial artist and the martial artist’s manager, those contributions shall be made at the time and in the manner prescribed by the commission.
(b)All contributions to finance the MMA Fund shall be deposited in the State Treasury and credited to the Mixed Martial Arts Retirement Benefit Fund, which is hereby created. Notwithstanding Section 13340 of the Government Code, all moneys in the MMA Fund are continuously appropriated to be used exclusively for the
purposes and administration of the MMA Fund.
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(a)
At the time of payment of the fee required by Section 18824, a promoter shall pay to the commission all amounts scheduled for contribution to the MMA Fund. If the commission, in its discretion, requires, pursuant to Section 18888.2, that contributions to the MMA Fund be made by the martial artist and the martial artist’s manager, those contributions shall be made at the time and in the manner prescribed by the commission.
(b)
All contributions to finance the MMA Fund shall be deposited in the State Treasury and credited to the Mixed Martial Arts Retirement Benefit Fund, which is hereby created. Notwithstanding Section 13340 of the Government Code, all moneys in the MMA Fund are continuously appropriated to be used exclusively for the
purposes and administration of the MMA Fund.
(c)
Contributions to finance the MMA Fund shall be allocated to each participating martial artist’s regular account on the last day of the MMA Fund year pursuant to both of the following requirements:
(1)
Fifty percent of the contributions for the MMA Fund year shall be allocated among the regular accounts of participating martial artists as of the last day of the MMA Fund year in the proportion that each martial artist’s scheduled rounds fought for the MMA Fund year bears to the total scheduled rounds fought in the MMA Fund year.
(2)
Fifty percent of the contributions for the MMA Fund year shall be allocated among the regular accounts of participating martial artists as of the last day of the MMA Fund year in the proportion that each martial artist’s total purses for the
MMA Fund years bears to the total purses for all fights fought by participating martial artists in the MMA Fund year.
(d)
If a participating martial artist fails to become vested in the amount credited to the participating martial artist’s regular account before the participating martial artist’s death, the regular account shall be forfeited and reallocated to each participating martial artist’s regular account on the last day of the MMA Fund year pursuant to both of the following:
(1)
Fifty percent of the allocable forfeiture account shall be allocated among all regular accounts as of the last day of the MMA Fund year in the proportion that each regular account bears to the total regular accounts.
(2)
Fifty percent of the allocable forfeiture account shall be added to the contributions for the MMA Fund year and
shall be allocated among the regular accounts of participating martial artists who have fought in the current MMA Fund year according to the formula prescribed in subdivision (c).
(e)
The MMA Fund is a retirement fund, and moneys within it shall not be deposited or transferred to the General Fund.
(f)
The commission has exclusive control of all funds in the MMA Fund. A transfer or disbursement in any amount from the MMA Fund shall not be made except upon the authorization of the commission and for the purpose and administration of the MMA Fund.
(g)
Except as otherwise provided in this subdivision, the commission or its designee shall invest the money contained in the MMA Fund according to the same standard of care as provided in Section 16040 of the Probate Code. The commission has exclusive control over the
investment of all moneys in the MMA Fund. Except as otherwise prohibited or restricted by law, the commission may invest the moneys in the MMA Fund through the purchase, holding, or sale of any investment, financial instrument, or financial transaction that the commission in its informed opinion determines is prudent.
(h)
The administrative costs associated with investing, managing, and distributing the MMA Fund shall be limited to no more than 2 percent of the corpus of the MMA Fund. Diligence shall be exercised by administrators in order to lower the MMA Fund’s expense ratio as far below 2 percent as feasible and appropriate. The commission shall report to the Legislature on the impact of this provision during the next regularly scheduled sunset review.