California Code, Military and Veterans Code - MVC § 1023

(a) The department may sue and be sued in any of the courts of this state. All property held by the department for a home shall be held in trust for the state and for the use and benefit of the home. The department shall manage the homes and administer their affairs, and, subject to the direction of the secretary, adopt rules and regulations for the government of the homes in conformity, as nearly as possible, to applicable state and federal rules and regulations, including, but not limited to, the United States Department of Veterans Affairs regulations.

(b) With the consent of the secretary, the Director of General Services may lease or let any real property held by the department for a home, and not needed for any direct or immediate purpose of the home, to any entity or person upon terms and conditions determined to be in the best interests of the home and its members. In any leasing or letting, except as provided in Section 1049, all moneys received in connection therewith shall be deposited in the General Fund.