Yes, they do, absolutely. An eligible veteran can be buried in any national cemetery as long as they're eligible. If they live in California they can be buried in a national cemetery in New York.
Some of the states are a little stricter about whether veterans from outside of their state can be buried there, but there may only be a few who fall into that category now, because we're trying to encourage them to allow veterans from across the state lines to be buried there. And they've been pretty cooperative about that.