BILL ANALYSIS Ó
Senate Appropriations Committee Fiscal Summary
Senator Kevin de León, Chair
AB 1453 (Quirk-Silva) - Veterans Cemetery
Amended: August 4, 2014 Policy Vote: VA 6-0
Urgency: No Mandate: No
Hearing Date: August 14, 2014
Consultant: Maureen Ortiz
SUSPENSE FILE. AS AMENDED.
Bill Summary: AB 1453 requires the Department of Veterans'
Affairs to design, develop, construct, and equip a state-owned
and state-operated Southern California Veterans Cemetery in
Orange County.
Fiscal Impact (as approved on August 14, 2014):
Start-up costs of approximately $2 million ($500,000
appropriation), potentially reimbursed upon approval of
federal grant (General Fund)
Approximately $500,000 annually for annual maintenance upon
completion of the cemetery, partially offset by interment
fees (General Fund)
One-time costs of approximately $75,000 for regulations
(General Fund)
Background: There are currently nine national veterans
cemeteries in California. Recognizing that the national
cemetery system leaves certain areas underserved, the federal
VA's Cemetery Grants Program was established in 1978 to help
create state-owned and state-operated veterans cemeteries. The
federal government will pay all construction costs to build the
cemetery providing the state commits to paying all ongoing
maintenance costs. This method was used successfully to
construct the Northern California Veterans Cemetery near Redding
in November 2005.
The California Department of Veteran Affairs is currently in the
process of designing, developing and constructing a state-owned
veterans cemetery in Monterey County at the former site of Fort
AB 1453 (Quirk-Silva)
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Ord.
Under the Grants Program, the federal government will reimburse
up to 100% of the cost of establishing, expanding, or improving
state veterans' cemeteries, including the acquisition of initial
operating equipment.
Proposed Law: AB 1453 does the following:
1) Requires the CDVA, in voluntary cooperation with local
government entities in Orange County to design, develop,
construct, and equip a state-owned and state-operated Southern
California Veterans Cemetery to be located in Orange County.
2) Requires the CDVA to oversee the design, development, and
construction of the cemetery; to adopt regulations specifying
eligibility requirements for interment; and to establish a
reasonable fee for interment of veteran spouses and eligible
children.
3) Creates the Southern California Veterans Cemetery Perpetual
Maintenance Fund, for the deposit of fees and General Fund
appropriations.
4) Creates the Southern California Veterans Cemetery Master
Development Fund for deposit of moneys appropriated by the
Legislature, and continuously appropriates the moneys in the
fund.
5) Creates an advisory commission comprised of the cemetery
administrator, representatives from local government entities
within Orange County, local veterans' service organizations, and
others approved by the secretary.
6) Requires the CDVA to adopt regulations for the policies and
procedures to be followed with respect to the construction,
placement, donation, and approval of monuments and memorials
proposed to be placed on the cemetery grounds.
7) Authorizes the receipt of donations of personal property,
including cash or other gifts, to be used for the maintenance,
beautification, or repair of the cemetery; creates the Southern
California Veterans Cemetery Donations Fund; and, continuously
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appropriates the money in this fund.
8) States Legislative Intent to appropriate funds in the annual
Budget Act to support the Department of Veterans Affairs for the
design, development, construction and equipment of the cemetery,
and provides the department is not required to comply with these
requirements if the appropriation is not made.
9) Requires the CDVA to apply to the federal Veterans Cemetery
Grants Program for a grant of not more than 100 percent of the
estimated cost of designing, developing, constructing, and
equipping the cemetery.
10) States Legislative intent to appropriate funds in the annual
Budget Act to fund annual cemetery operations and maintenance.
Staff Comments: Although the state is responsible for the costs
associated with the grant application and design plans, those
costs will be reimbursed through a federal grant once the
cemetery is approved. It is assumed that the federal government
will pay all of the costs of building and equipping the state
veterans cemetery, however the reality is that only 100% of
allowable costs are covered. Depending on the design and
characteristics of the cemetery, the USDVA may only cover about
80%. For instance, at the Northern California Veterans Cemetery
in Shasta County, the federal funding amounted to 80 percent of
the total construction of the facility. Additionally, the state
will be responsible for the ongoing maintenance costs which are
estimated at approximately $500,000 annually.
The nearest national veterans cemetery to Orange County is the
Riverside Veterans Cemetery. Orange County has been identified
as the state's largest county without a veteran cemetery,
despite the fact that Orange County is home to Army, Navy and
Marine bases.
Federal regulations prohibit the development of a national
veterans cemetery
within 75 miles of another national veterans cemetery. A
proposed veterans cemetery in Orange County is within the 75
miles of the existing national cemetery in Riverside.
As an alternate to a national veterans cemetery, the federal
government will pay 100% of construction costs for a state run
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cemetery, however, the state has the continuing responsibility
for paying the annual maintenance and operation costs which were
estimated at $500,000 per year.
Proposed Author Amendments: The author plans to amend AB 1453
to include the recently identified location for the new cemetery
in Irvine, California.
Recommended Amendments: Staff recommends removing the
continuous appropriation from the Southern California Veterans
Cemetery Master Development Fund and the Southern California
Veterans Cemetery Donations Fund in order to provide Legislative
oversight of the use of these funds through the annual budget
act.
Amendments (as approved on August 14, 2014): Amendments do the
following: 1) appropriate $500,000 to the Department of
Veterans Affairs for start-up costs, 2) identify the site of the
cemetery in the City of Irvine, 3) delete the continuous
appropriation of the Southern California Veterans Cemetery
Master Development Fund, and 4) make technical changes.