You are correct in that the ongoing Loyalty Program is coming out of the contract with retroactive rewards - this is primarily because the team has been prioritizing development of cross chain swaps and the claiming process was already working smoothly as is. The wallet with the 210mm tokens is earmarked for the Loyalty Program, and would be used to top up the funnel to ensure that the loyalty program remains active. This is on us for not marking this clearly, but we wanted to hit our goal and commitment of pushing out cross chains swaps sooner rather than later.
Yes, the treasury will be compensated for the difference. The treasury would take the difference (which is only about ~1M tokens) from the Loyalty Program wallet (the wallet with about 210mm tokens). Very happy to amend the proposal with this information.