(a) (1) The Veteransâ 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 âMorale, Welfare, and Recreation Fundâ or âMWR Fundâ 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 Veteransâ 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 Veteransâ 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 Veteransâ 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 homeâs relative share of the total population of the entire veteransâ 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 homesâ requests. (2) The secretary, in consultation with the administrator of the affected home, may augment the allocation from the MWR Fund to any veteransâ home after making a determination that this action is appropriate on the basis of factors including, but not limited to, the homeâs 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 t
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