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Politics & Government

Court Rules Measure M Unconstitutional

Finding reverses ballot initiative aimed to cap El Camino Hospital executive compensation.

Written by Claudia Cruz

After weeks of litigation, the Santa Clara County Superior Court has found Measure M, a voter initiative passed in the November 2012 election, unconstitutional. 

Measure M would have limited what El Camino Hospital could pay its administrators, executives and managers, to twice the California governor’s salary or $350,000. The initiative passed 51.45 percent to 48.45 percent. of the vote. It had been placed on the ballot by SEIU-UHW members during tense contract negotiations.

However, the court found that the initiative didn't apply to local healthcare districts and since it didn't create a law enact a statute or ordinance it was unenforceable. Patch has reached out to SEIU for comment.

"For the last 50 years, the El Camino Healthcare District has been committed to the health and well-being of the community we serve, while maintaining fiscal responsibility," said Patricia Einarson, M.D., chair of the El Camino Healthcare District Board of Directors. "The conclusion of this case allows us to refocus our attention on developing vital programs and services to benefit our community today and well into the future."

The El Camino Hospital Board of Directors manages the hospital’s compensation program, which applies to every employee within the organization. Each year, the Hospital Board conducts research to compensate employees at the median (50th percentile) of national health systems and hospitals similar in size and complexity to El Camino Hospital, and adjusted for higher costs of labor and living in Silicon Valley.

"We are pleased with the court’s decision, which will enable El Camino Hospital to continue to deliver high-quality and compassionate care by recruiting and retaining a strong leadership team,” said Neal Cohen, M.D., chair of the El Camino Hospital Board of Directors.

The Hospital District encompasses the cities of Mountain View, Los Altos, Los Altos Hills, most of Sunnyvale and some unincorporated areas of Santa Clara County. Residents pay taxes to support the district.


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