BILL NUMBER: SB 543 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY JUNE 18, 2015
AMENDED IN SENATE MAY 5, 2015
AMENDED IN SENATE APRIL 15, 2015
INTRODUCED BY Senator Wolk
FEBRUARY 26, 2015
An act to amend Sections 1010, 1048, and 1049 of, and to repeal
and add Section 1047 of, the Military and Veterans Code, relating to
veterans, and making an appropriation therefor.
LEGISLATIVE COUNSEL'S DIGEST
SB 543, as amended, Wolk. Veterans: Veterans' Home of California.
Existing law provides for the establishment and operation of the
Veterans' Home of California at various sites, including homes in
Barstow, Chula Vista, Lancaster, Ventura, and Yountville, and
provides for an administrator for each home or homesite. Existing law
defines "home" and "administrator" for these purposes. Existing law
establishes the Veterans' Home Fund in the State Treasury, which
includes the proceeds of certain bonds. Existing law requires, upon
appropriation of the Legislature, the Department of Veterans Affairs
to use money in the fund for the purpose of designing and
constructing veterans' homes in California.
This bill would clarify that veterans' homes include the Veterans'
Homes of California located in Chula Vista, Fresno, Lancaster,
Redding, Ventura, and West Los Angeles.
Existing law requires the administrator of a veterans' home to
maintain a Morale, Welfare, and Recreation Fund, which is required to
be used, at the discretion of the administrator and subject to the
approval of the Secretary of Veterans Affairs, to provide for the
general welfare of the veterans. Existing law specifies the moneys
required to be deposited into the fund, and requires the
administrator to prepare an itemized report for the expenditures made
out of, and deposits made into, the fund. Under existing law, those
reports are required to be submitted to the secretary, the fiscal
committees of the Assembly and Senate, the committees of the Assembly
and the Senate that have subject matter jurisdiction over veterans'
affairs, and the Veterans' Home Allied Council on or before August 20
of each year.
This bill would create the Veterans' Home Morale, Welfare
Welfare, and Recreation Fund ("MWR
Fund"), (MWR Fund), a continuously appropriated
fund, in the State Treasury. The bill would require the administrator
of a veterans' home to deposit all moneys maintained by the
administrator in an existing Morale, Welfare
Welfare, and Recreation Fund into the statewide MWR Fund. The
bill would also provide for additional funding for the MWR
fund Fund from specified sources, such as
operation of a canteen at a home and funds derived from the estates
of deceased residents. The bill would require the department, in
consultation with the residents of each home, the Veterans' Home
Allied Council, and the resident council of each home
home, to adopt regulations that govern the
process by which each home may request an annual disbursement
of funds from the MWR Fund, and by which the
secretary approves and acts upon a request. The bill would authorize
the use of funds in the MWR Fund to provide for the general welfare
of the residents of a home, as specified, and would specify
restrictions on the use of those funds. The bill would require the
department to annually determine the total amount for disbursement
from the MWR fund, Fund, and for that
disbursement to be allocated proportionally to each home's relative
share of the total population of the entire veterans
veterans' home system. The bill would authorize
additional allocations to homes for special projects for good cause,
and to the Veteran's Home of California, Yountville,
any veterans' home if it is appropriate on the
basis of the home's unique age, size, population, and
historical significance. The bill would authorize the administrator
of a home to enter into an agreement with the Veterans' Home Allied
Council to operate facilities and activities that are related to
authorized expenditures from the MWR Fund, as specified. The bill
would require the department to prepare annual reports regarding
moneys deposited into the MWR Fund and expenditure of those funds, as
specified, and to submit the report on or before August 20 of each
year to specified entities. The bill would authorize the department
to invest moneys in the MWR Fund in the Surplus Money Investment
Fund. The bill would require the administrator of each home to
establish a Morale, Welfare, and Recreation Operating Fund (MWRO
Fund) to administer quality of life activities for the general
welfare of the residents and receive funds from the MWR Fund, as
specified, and a separate account for the purpose of receiving
donations and would require the department, in
consultation with the residents of each home, to adopt regulations
for expenditure of those funds.
Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. It is the intent of the Legislature to enact
legislation that accomplishes both of the following:
(a) Creates a statewide Veterans' Home Morale, Welfare, and
Recreation Fund.
(b) Authorizes the Department of Veterans Affairs to promulgate
rules and regulations related to the statewide Veterans' Home Morale,
Welfare, and Recreation Fund through a stakeholder process that
includes residents of the Veterans' Homes of California. It is
further the intent of the Legislature that these rules and
regulations include, but not be limited to, a yearly budgeting
process for moneys to be expended in each home.
SEC. 2. Section 1010 of the Military and Veterans Code is amended
to read:
1010. As used in this chapter:
(a) "Home" means the Veterans' Home of California, Barstow, the
Veterans' Home of California, Chula Vista, the Veterans' Home of
California, Fresno, the Veterans' Home of California, Lancaster, the
Veterans' Home of California, Redding, the Veterans' Home of
California, Ventura, the Veterans' Home of California, West Los
Angeles, and the Veterans' Home of California, Yountville.
(b) "Administrator" means the Administrator of the Veterans' Home
of California, Barstow, the Administrator of the Veterans' Home of
California, Chula Vista, the Administrator of the Veterans' Home of
California, Fresno, the Administrator of the Veterans' Home of
California, Lancaster, the Administrator of the Veterans' Home of
California, Redding, the Administrator of the Veterans' Home of
California, Ventura, the Administrator of the Veterans' Home of
California, West Los Angeles, and the Administrator of the Veterans'
Home of California, Yountville.
(c) "Department" means the Department of Veterans Affairs.
(d) "Director" means the Director of Veterans Affairs.
(e) "Veteran" means a member of the home.
SEC. 3. Section 1047 of the Military and Veterans Code is
repealed.
SEC. 4. Section 1047 is added to the Military and Veterans Code,
to read:
1047. (a) (1) The Veterans' Home Morale, Welfare, and Recreation
Fund ("MWR Fund") (MWR Fund) is hereby
created in the State Treasury. Notwithstanding Section 13340 of the
Government Code, all funds deposited in the MWR Fund as authorized by
this section shall be continuously appropriated to the department,
without regard to fiscal year. All references in this chapter to the
"Morale, Welfare, and Recreation Fund" or "MWR Fund" are deemed to
refer to the fund created by this paragraph.
(2) The administrator of a home shall deposit all moneys
maintained by the administrator in a Morale, Welfare, and Recreation
Fund pursuant to this section as it read on January 1, 2015, into the
Veterans' Home Morale, Welfare, and Recreation Fund created by
paragraph (1).
(3) A Morale, Welfare, and Recreation Operating Fund (MWRO Fund)
shall be created by the administrator of each home to administer
quality of life activities for the general welfare of the residents,
pursuant to the annual allocation from the MWR Fund. The annual
allocations from the MWR Fund and any other quality of life moneys
received shall be deposited in a local bank account established for
this purpose.
(3)
(4) All future moneys collected as a result of
unreimbursed costs of care determinations are state funds and shall
be deposited in the MWR Fund.
(4)
(5) The department, in consultation with the residents
at each home, the Veterans' Home Allied Council, and the resident
council at each home, shall adopt regulations that govern the process
by which a home may make an annual request for a disbursement from
the MWR Fund and the process by which the Secretary of Veterans
Affairs shall review and act upon the request.
(5)
(6) Moneys deposited in the MWR Fund are exempt from
the requirements of Article 2 (commencing with Section 11270) of
Chapter 3 of Part 1 of Division 3 of Title 2 of the Government Code.
(b) (1) The department may distribute moneys in the MWR Fund to
the homes to provide for the general welfare of the residents of the
homes.
(2) The department shall annually determine the total amount for
disbursement from the MWR Fund to the homes. This amount shall be
disbursed proportionally by each home's relative share of the total
population of the entire veterans home system.
(3) In addition to the annual disbursement to a home from the MWR
Fund, the Secretary of Veterans Affairs may, on an annual basis and
in his or her discretion, allow for an additional one-time allocation
of moneys in an amount no greater than 5 percent of that annual
disbursement for a special project if the administrator of the home
submits a proposal to the secretary that shows good cause for the
allocation. In developing the proposal, the administrator shall
consult with the residents of the home, the Veterans' Home Allied
Council, or the resident council at the home.
(4) The Secretary of Veterans Affairs may augment the allocation
from the MWR Fund to the Veterans' Home of
California, Yountville, any veterans' home after
making a determination that this action is appropriate on the basis
of the home's unique age, size, population, and historical
significance.
(5) The California Veterans Board shall review any proposed
allocation pursuant to paragraph (3) or (4). This review shall
include receiving public comment and soliciting comments from the
Veterans' Home Allied Council or other resident representative body
of each home. The board shall consider and adopt its advice at a
publicly noticed meeting before providing that advice to the
secretary. The secretary may act contrary to the board's advice, but
must provide the board with an explanation of why the advice was not
the basis for the secretary's chosen action.
(6) For the purposes of this subdivision, providing for the
general welfare of the residents of a home includes, but is not
limited to, operating a canteen, hobby shop, theater, library, or
band, and payment for newspapers, chapel expenses, entertainment
expenses, sports activities, celebrations, capital improvements
that directly enhance the quality of life, or any other
function or activity that is related to the morale, welfare
welfare, and recreation of the residents that
would not otherwise be paid for by the General Fund.
(c) Moneys in the MWR Fund shall not be expended for the
following:
(1) A medical treatment or a treatment related to a medical
treatment.
(2) The maintenance of the physical plant of a home,
except for capital improvements that directly enhance the quality of
life and general welfare of the residents of the home.
(3) A function, operation, or activity that is not directly
related to the morale, welfare, or recreation of the residents of the
home.
(d) Appropriations from the General Fund for the purposes
described in paragraph (4) of subdivision (b) may not be reduced for
the purpose of, or to have the effect of, requiring increased
expenditures from the MWR Fund for those described purposes.
(e) The department shall prepare an itemized report that is
organized by category and accounts for all expenditures from, and all
funds deposited into, the MWR Fund for the previous fiscal year, and
shall submit the report on or before August 20, 2016, and annually
on or before August 20 thereafter, to the following:
(1) The Department of Finance.
(2) The fiscal committees of the Assembly and Senate.
(3) The committees of the Assembly and the Senate that have
subject matter jurisdiction over veterans' affairs.
(4) The Veterans' Home Allied Council and the resident council of
each home.
(f) The department shall maintain a reserve in the MWR Fund of two
million dollars ($2,000,000).
(g) The department may transfer funds from the MWR Fund to the
Surplus Money Investment Fund for investment pursuant to Article 4
(commencing with Section 16470) of Chapter 3 of Part 2 of Division 4
of Title 2 of the Government Code. The amount invested and the
accrued interest or earnings shall be credited to the MWR Fund for
allocation by the department.
(h) The administrator of a home may enter into an agreement with
the Veterans' Home Allied Council that authorizes the council to
operate facilities and engage in activities that are authorized by
subdivision (b). The agreement shall be in the form and manner
specified by the administrator.
(i) (1) Each home shall establish an account separate from the MWR
Fund and the MWRO Fund for the purpose of receiving
donations.
(2) The department, in consultation with the residents of the
home, shall adopt regulations that govern expenditures from the
donation account described in paragraph (1).
SEC. 5. Section 1048 of the Military and Veterans Code is amended
to read:
1048. The Morale, Welfare, and Recreation Fund shall include
proceeds from the operation of a canteen, revenue derived from the
issuance of prisoner-of-war special license plates pursuant to
Section 5101.5 of the Vehicle Code, interest earned on invested
funds, funds derived from the estates of deceased residents, and any
other moneys or property described in this chapter, including, but
not limited to, moneys and properties received by the home from
estate assets located outside the home, regardless of amount. Any
moneys derived from golf course green fees, range ball fees, and
operations of activities specifically at the Veterans' Home of
California, Yountville, shall be credited to the MWR Fund allocation
for that home.
SEC. 6. Section 1049 of the Military and Veterans Code is amended
to read:
1049. Moneys in the Morale, Welfare, and Recreation Fund
maintained under subdivision (a) of Section 1047 may be used, subject
to approval by the Secretary of Veterans Affairs, to establish or
operate a canteen at each home location. The canteen may sell goods
at a profit.