Trump administration can withhold Medicaid reimbursements from Planned Parenthood

[noumoe]

A federal appeals court unanimously ruled Friday that the Trump administration can withhold Medicaid reimbursements from Planned Parenthood under a July tax bill provision targeting large abortion providers.

The three-judge panel, comprising Biden appointees, overturned a district court’s July decision deeming the measure unlawful, sending the case back for further review.

Judge Gustavo A. Gelpí explained that Congress holds wide latitude in conditioning federal funds to advance policy aims, noting the rule imposes requirements Planned Parenthood could meet by ending abortion services.

The provision bars reimbursements for any procedures at organizations providing abortions and receiving over $800,000 in 2024 Medicaid funds, affecting Planned Parenthood and select peers for one year.

Planned Parenthood, which sued shortly after the bill’s passage, argued the narrow criteria deliberately targeted it, risking clinic closures and budget shortfalls; its president, Alexis McGill Johnson, called the intent to dismantle health centers and restrict care access.