Judge hesitates to block California health-center funding measure from ballot

A federal magistrate expressed doubt about issuing a preliminary injunction that would keep a California initiative requiring health centers to spend 90% of revenue on services off the November ballot.

Representing California Primary Care Association and Open Door Community Health Centers, attorney Long Do urged Magistrate Judge Alex G. Tse to issue a preliminary injunction preventing Secretary of State Shirley Weber from certifying a ballot measure that would require federally qualified health centers to devote 90% of revenue to charitable services. The initiative, dubbed the Clinic Funding Accountability and Transparency Act and slated as Proposition 44, also empowers the attorney general to define qualifying expenditures and imposes fines collected in a penalty account.

Plaintiffs claim most centers fail the spending threshold and would face $1.7 billion in penalties, threatening 88% of them with losses and up to 11.7 million patient visits. The judge expressed skepticism about ruling the measure unconstitutional before an election, noting the lack of concrete harm and the democratic right to place initiatives on the ballot. Union representative Catha Worthman and Deputy Attorney General Jay Russell agreed that the current filing does not give the court authority to block the process. No ruling date was provided.