CPCA + Open Door File Federal Lawsuit to Block SEIU-UHW 90% Mission-Spend Ballot Measure — Federal Preemption Argument
The California Primary Care Association (representing 2,300+ clinics) and Open Door Community Health Centers (Humboldt/North Coast FQHC) filed a federal lawsuit on April 30, 2026 in the U.S. District Court for the Northern District of California seeking to block Initiative #25-0008 — the SEIU-UHW-sponsored ballot measure requiring CA health clinics to spend at least 90% of revenue on patient care.
The complaint argues the measure:
- interferes with federal HRSA Section 330 spending requirements which already prescribe how FQHC grant funds are used
- is preempted by the National Labor Relations Act (NLRA) because it would dictate the financial terms of labor disputes
- violates the First Amendment by compelling specific spending allocations.
SEIU-UHW spokesperson Renée Saldaña called it 'a desperate attempt by the clinic industry to avoid accountability.' This is the FIRST federal preemption suit against an FQHC-targeted ballot measure and runs in parallel with the AB 1113 legislative track (90% nonprofit mission spend bill already advancing).
SEIU-UHW submitted ~1M signatures — nearly 2× the 546,651 threshold — making qualification a near-certainty unless courts intervene. Open Door (70% Medi-Cal patients, rural North Coast) joining as named plaintiff signals that small rural FQHCs view the measure as existential.
Strategic implication: ruling on preliminary injunction expected before Secretary of State certification (early summer 2026).
Watch for parallel AB 1113 Assembly Appropriations hearings.
Key takeaways
- CPCA + Open Door file federal preemption suit April 30, 2026
- Triple argument: HRSA Section 330, NLRA, First Amendment
- SEIU-UHW submitted ~1M signatures (2× threshold) — qualification near-certain absent court intervention
- Ruling on preliminary injunction expected before Sec of State certification
Linked evidence
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Affected FQHCs
FQHC Talent. (2026, April 30). CPCA + Open Door File Federal Lawsuit to Block SEIU-UHW 90% Mission-Spend Ballot Measure — Federal Preemption Argument. Linked evidence: CalMatters + Law360. Retrieved September 20, 2026, from https://www.fqhctalent.com/intel/cpca-open-door-federal-suit-90-percent-ballot
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