Yep, each rider has a fundraising commitment.
The CA ALC ride came into being as a replacement ride for the previous (for 8-9 years) Calif. AIDS ride by Pallotta Teamworks - similar to the Heartland AIDS ride after the Twin Cities to Chicago AIDS ride went under too. 2 of the previous beneficiaries of the CA AIDS ride had some issues with Pallotta's financial processes and went on their own. Pallotta sued them as they were still coordinating the final CA AIDS ride and using an identical route within a few weeks of the new one. It was a mess for a bit, but seems like the ALC has had success after a tough beginning.