Arizonans won’t be voting in November on a proposal to hike pay of hospital workers and guarantee that those with pre-existing conditions can get affordable health insurance.
In an extensive ruling late Friday, Maricopa County Superior Court Judge Pamela Gates said there are not enough valid signatures on petitions submitted by a California union to put the issue on the ballot. Gates found that some circulators were not legally qualified to circulate the petitions.
In other cases, she said, some of the 332 circulators subpoenaed by foes of the initiative failed to appear in court to be questioned. Gates said the signatures they gathered also cannot be counted.
All that left the backers of the Healthcare Rising measure with fewer than the 237,645 valid signatures needed to qualify for the ballot.
Campaign spokesman Rodd McLeod said there will be an appeal to the state Supreme Court.
The initiative sought to require a 20% pay hike for hospital workers — excluding executives and doctors — over a four year period.
It also proposed a guarantee that people with pre-existing conditions will be able to obtain affordable insurance if the federal Affordable Care Act is repealed. Another provision was designed to protect patients against “surprise” medical bills from doctors and others in hospitals who turn out to be “out of network.”
And it also sought to require hospitals to comply with certain national standards of infection control.
Foes, led by the hospitals and the Arizona Chamber of Commerce and Industry, filed suit. They cited a litany of what they said were flaws in both how signatures were gathered and in the wording of the description of the initiative provided to petition signers.
They also charged that signers were deceived because the names used by the backers of the initiative and of the campaign committee did not disclose that it was being financed by the California-based Service Employees International Union — Union Healthcare Workers West.
Gates acknowledged that virtually all of the $6.7 million raised by June 30 came from the union. But she also said there was not “sufficient credible evidence” to conclude that potential petition signers were defrauded or that anyone was confused or misled because SEIU-UHW was not included in the committee’s name.
But Gates did find other legal problems, even if some of the signatures are restored.
One, she said, goes to the 100-word description which says it will “prohibit insurers from discriminating based on preexisting conditions.”
Gates said the evidence shows that about 60 percent of Arizonans are insured through an employer’s self-funded insurance plan. More to the point, the initiative would apply only to those who purchase individual or group plans. And she said it was misleading not to tell signers that the provision would not aid a majority of Arizonans.
She also said it was misleading to say that the initiative would set “new minimum wages” for workers at private hospitals. Gates said there was evidence that people, confronted with that phrase, would equate it with some bottom-level wage set by federal and state law and not the fact that the raises would be on top of what could be a current $37-an-hour salary paid to an experienced nurse.
Friday’s ruling was cheered by Garrick Taylor, spokesman for the Arizona Chamber. He said it would “have forced tremendous cost increases onto patients and hospitals.”
Two other initiatives have cleared their first legal challenges, one to legalize recreational use of marijuana by adults and another to give judges more discretion in sentencing “nondangerous” offenders.
But a proposal to increase income taxes on the highest income earners to fund K-12 education was found to have a flawed description.
All of those rulings, however, are subject to Supreme Court review.