Bill Text: CA SB543 | 2015-2016 | Regular Session | Chaptered
Bill Title: Veterans: Veterans' Home of California.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2016-09-21 - Chaptered by Secretary of State. Chapter 424, Statutes of 2016. [SB543 Detail]
Download: California-2015-SB543-Chaptered.html
BILL NUMBER: SB 543 CHAPTERED
BILL TEXT
CHAPTER 424
FILED WITH SECRETARY OF STATE SEPTEMBER 21, 2016
APPROVED BY GOVERNOR SEPTEMBER 21, 2016
PASSED THE SENATE AUGUST 24, 2016
PASSED THE ASSEMBLY AUGUST 18, 2016
AMENDED IN ASSEMBLY AUGUST 1, 2016
AMENDED IN ASSEMBLY JUNE 8, 2016
AMENDED IN ASSEMBLY SEPTEMBER 11, 2015
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 Section 1049 of, and to repeal and add Sections
1047 and 1048 of, the Military and Veterans Code, relating to
veterans, and making an appropriation therefor.
LEGISLATIVE COUNSEL'S DIGEST
SB 543, 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.
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, and
Recreation Special 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, and Recreation Fund into the
statewide MWR 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 to establish an MWR Advisory Committee, as specified.
The bill would require the department, in consultation with the MWR
Advisory Committee, the Veterans' Home Allied Council or the resident
council of each home, to adopt regulations related to, among other
things, administering the MWR Fund and the MWRO Funds and the process
by which the homes submit and receive budget allocations. 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, and for that disbursement to be
allocated proportionally to each home's relative share of the total
population of the entire veterans' home system. The bill would
authorize additional allocations to any veterans' home if it is
appropriate on the basis of factors including, but not limited to,
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 December 31 of each year to specified
entities. The bill would require the department to maintain a
$3,000,000 reserve in the MWR Fund and would authorize the department
to invest moneys in the MWR Fund in the Surplus Money Investment
Fund or by contracting with a third-party investment broker
consistent with laws and regulations regarding selecting prudent,
approved investment types.
Appropriation: yes.
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 all of the following:
(a) Creates a statewide Veterans' Home Morale, Welfare, and
Recreation Fund.
(b) Creates a Morale, Welfare, and Recreation Operating Fund at
each veterans' home.
(c) Authorizes and directs 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 members 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 allocation
process for moneys to be expended in each home.
(d) Maintains the highest possible degree of transparent
administration and resident involvement.
(e) Encourages identical Morale, Welfare, and Recreation Fund
policies and procedures to be established, documented, and
implemented at each veterans' home.
SEC. 2. Section 1047 of the Military and Veterans Code is
repealed.
SEC. 3. Section 1047 is added to the Military and Veterans Code,
to read:
1047. (a) (1) The Veterans' Home Morale, Welfare, and Recreation
Special 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 department shall distribute moneys in the MWR Fund to the
homes to provide for the general welfare of the members of the homes.
(3) For the purposes of this subdivision, providing for the
general welfare of the members of a home includes, but is not limited
to, operating a canteen, base exchange, hobby shop, theater,
library, or band, and payment for newspapers, chapel expenses,
entertainment expenses, sports activities, celebrations, or any other
function or activity that is related to the morale, welfare, and
recreation of the residents that would not otherwise be paid for by
the General Fund.
(4) 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 Special Fund created
by paragraph (1).
(5) All future moneys collected as a result of unreimbursed costs
of care determinations are special state funds and shall be deposited
in the MWR Fund.
(6) Each home shall establish an MWR Advisory Committee to provide
ongoing guidance for the MWR Fund processes, including, but not
limited to, budgeting, contracts, investments, expenditures, and
revenues. The committee shall be comprised of the administrator or a
representative and representatives of the Veterans' Home Allied
Council or resident council.
(7) On or before July 1, 2018, the department, in consultation
with the MWR Advisory Committee in each home, the Veterans' Home
Allied Council, or the resident council at each home, shall adopt
regulations that carry out the intent of this section, including, but
not limited to, the administration of the MWR Fund and Morale,
Welfare, and Recreation Operating Funds (MWRO Funds), the process by
which the homes submit annual budgets and receive allocations, the
process by which the secretary shall review and act upon the
allocation requests and requests for augmentation of those
allocations.
(8) 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 shall annually determine the 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. All annual allocation
requests and annual allocations, as well as any augmentations to
those allocations, shall be made known to the members of the homes.
In making allocation decisions, the department shall consider whether
there are economies of scale or other savings which may be realized
by aggregating home requests or otherwise while still meeting the
intent of the homes' requests.
(2) The secretary, in consultation with the administrator of the
affected home, may augment the allocation from the MWR Fund to any
veterans' home after making a determination that this action is
appropriate on the basis of factors including, but not limited to,
the home's unique age, size, population, and historical significance.
(c) Moneys in the MWR Fund shall not be expended for the
following:
(1) A medical treatment or medical care of a member of a home.
(2) The maintenance or major capital improvement of the physical
plant of a home.
(3) Any function, operation, or activity that is not directly
related to the morale, welfare, or recreation of the members of the
home.
(d) Appropriations from the General Fund for the purposes
described in paragraph (3) 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 adopt, use, and require the homes to use
uniform accounting procedures for the MWR Fund and the MWRO Funds
subject to the department's oversight and audit as needed. The
department shall prepare an itemized report that is organized by
category, including sufficient detail to allow legislative oversight,
and accounts for all expenditures from, and all funds deposited
into, the MWR Fund and the MWRO Funds for the previous fiscal year.
The department shall submit the report on or before December 31,
2018, 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 or the resident council of
each home.
(5) The administrator of each home.
(f) The department shall maintain a reserve in the MWR Fund of not
less than three million dollars ($3,000,000).
(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 or may hire a third-party
investment broker to invest moneys from the MWR Fund consistent with
Section 16480.2 of the Government Code and any regulations regarding
selecting prudent, approved investment types. 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 and in conformity with applicable
California law and regulations, including, but not limited to, the
state procurement and contracting process.
SEC. 4. Section 1048 of the Military and Veterans Code is
repealed.
SEC. 5. Section 1048 is added to the Military and Veterans Code,
to read:
1048. (a) A Morale, Welfare, and Recreation Operating Fund (MWRO
Fund) shall be maintained by the administrator of each home to
administer quality of life activities for the general welfare of the
members, pursuant to the annual allocation, including any
augmentation provided by the secretary, from the MWR Fund.
(b) The annual allocations from the MWR Fund, including any
augmentations provided by the secretary, and any other quality of
life moneys received shall be deposited in a local bank account
established for this purpose.
(c) Moneys in the MWRO Fund shall not be expended for the
following:
(1) Medical treatment or medical care for a member.
(2) The maintenance or major capital improvement of the Home's
physical plant.
(3) A function, operation, or activity that is not directly
related to the morale, welfare, or recreation of the members of the
home.
SEC. 6. Section 1049 of the Military and Veterans Code is amended
to read:
1049. (a) Moneys in the Morale, Welfare, and Recreation Fund
maintained under subdivision (a) of Section 1047 may be used, subject
to approval by the secretary, to establish or operate a canteen and
base exchange at each home location. The canteen may sell goods at a
profit.
(b) The MWRO Fund of each home shall include proceeds from the
operation of a canteen, or base exchange. Any moneys derived from
golf course green fees, range ball fees, and operations of activities
unique to each Veterans' Home of California shall be deposited in
the MWRO Fund allocation for that home after appropriate state costs,
fees, and rent are deducted from the revenue received for those
operations.
