INITIATIVE WINS BALLOT SLOT JUDGE BACKS VOTE ON TOBACCO FUND DIVERSION, BUT QUESTIONS LEGALITY.

Byline: Jennifer Klein Staff Writer

VENTURA - A judge ruled Friday that Community Memorial Hospital's initiative to divert roughly $250 million in tobacco settlement money to private care belongs on the November ballot.

Judge Henry Walsh said the county did not meet the requirements necessary for keeping the initiative from the ballot, but he expressed ``grave doubts'' about its legality and will take up that issue if it passes in November.

``It's a significant win for the voters of Ventura County,'' said Mark Barnhill of Fleishman and Hillard, a public relations firm hired by CMH. ``We think he clearly said in the ruling that it was inappropriate for the county not to put this on the ballot.''

However, Board of Supervisors Chairwoman Kathy Long vowed to continue fighting the initiative if it is approved by voters.

``What we have to do from this point on is trust the voters to understand the pros and cons of this initiative, and vote accordingly, and the county will be prepared to take the constitutionality question all the way to the Supreme Court,'' Long said.

The Board of Supervisors refused to put CMH's initiative on the ballot in June despite the fact that the hospital had collected 38,000 signatures - more than enough to qualify it for the election.

The supervisors directed the County Counsel's Office to file a complaint in Superior Court saying the initiative was illegal because what it aimed to do was beyond the scope of the voters and interfered with the state's constitution and budget act.

CMH also sued, claiming that under election law, the board had no choice but to put the initiative on the Nov. 7 ballot or adopt it as a county ordinance.

The judge consolidated the two cases and heard arguments Monday. He had 90 days to issue the ruling, but was aware that County Clerk Richard Dean has a quick deadline to prepare election materials.

Walsh wrote in his ruling that he is not expressing an opinion about the merits of the initiative, but he did write he had serious doubts and that he would be revisiting the lawsuits if the initiative passes in November.

Noel Klebaum, litigation supervisor for the County Counsel's Office, said the Board of Supervisors' options now range from filing an immediate appeal to continuing the lawsuit if the initiative is passed by voters in November.

``It's certainly disappointing that the judge didn't agree with everything we said,'' Klebaum said. ``However, it's encouraging that he had some doubts about the legality of the initiative.''

The initiative launched by CMH would divert the county's share of Big Tobacco settlement funds - an estimated $10 million per year for 25 years - to the county's private hospitals.

Supporters say it would be a way to ensure that the money is used for health care, but opponents say it would be an unfair taking of county funds.

``I guess that means we have a big challenge ahead to educate people on what the ballot initiative really means,'' said Debbie Weeks, executive director of the American Lung Association, a member of the recently formed Ventura County Coalition Against the CMH Initiative that has vowed to fight the initiative if it qualified for the ballot.