Legal Battle Over Medicaid Cuts to Planned Parenthood

Wed Nov 12 2025 16:03:30 GMT+0200 (Eastern European Standard Time)

A federal judge will hear arguments on the legality of a spending law that halted Medicaid reimbursements for Planned Parenthood, impacting essential health services for millions.

A federal judge is set to deliberate the legality of a July spending law that blocked Medicaid reimbursements to Planned Parenthood. This law, supported by anti-abortion activists, has led to a $45 million cost for Planned Parenthood in September as many clinics struggle to cover treatment costs. The organization argues that the legislation is unconstitutional and threatens vital health services, while the opposing side believes it prevents taxpayer funding for abortion services. The outcome could significantly affect healthcare access for low-income patients relying on Planned Parenthood clinics.

A federal judge will hear arguments Wednesday about whether a spending law passed in July that ended Medicaid reimbursements for Planned Parenthood can remain in effect while legal challenges continue.

President Donald Trump’s tax and spending cut bill targets organizations that provide abortions and receive over $800,000 annually in Medicaid reimbursements. Planned Parenthood contends the law violates the Constitution, while anti-abortion activists support it.

In September, an appeals court allowed the law to go into effect while a lower court reviews Planned Parenthood’s claims. The organization stated that the legislation has cost $45 million in September alone as clinics make out-of-pocket payments for Medicaid patients. This is unsustainable, especially with nearly half of Planned Parenthood’s patients depending on Medicaid for non-abortion health services.

Legal Fight

Planned Parenthood and affiliates in Massachusetts and Utah, along with a major provider in Maine, have filed lawsuits against Health Secretary Robert F. Kennedy Jr. The Maine provider has halted its primary care services as it pursues legal action.

Meanwhile, seven states have redirected state funds to cover lost federal Medicaid reimbursements, amounting to about $200 million of the $700 million spent annually on Medicaid patients by Planned Parenthood.

Due to the funding shortfall, some clinics are requiring Medicaid patients to pay out-of-pocket, while others may close. Since July, 20 Planned Parenthood clinics have already closed, adding to a total of 50 closures since the start of Trump’s second term.

“The consequence is going to be patients making impossible choices between essential services,” said Planned Parenthood President Alexis McGill Johnson.

Abortion at the Heart of the Debate

Supporters of the law believe it is a positive move, asserting that taxpayer funding indirectly supports abortion services. Carol Tobias, president of the National Right to Life Committee, stated that forcing taxpayers to fund services they morally oppose is objectionable.

Opponents, including Planned Parenthood’s leadership, emphasize the importance of abortion services as part of their healthcare offerings, maintaining that the government should not dictate pregnancy outcomes.

A Range of Services Hit

Although Planned Parenthood is the largest abortion provider in the country, only 4% of its services were abortions in 2024. The majority includes STI testing and contraception, while 15% covers cancer screenings and primary care. Jenna Tosh, CEO of Planned Parenthood California Central Coast, warned of dire consequences if Medicaid cuts continue, stressing that many patients rely on them for essential healthcare.