Funding for Planned Parenthood Amid Legal Disputes
Earlier this month, Washington Governor Bob Ferguson announced that the state would allocate $11 million in funding if Planned Parenthood faces losses in its lawsuit and subsequent federal support. Washington has around 30 clinics that cater to approximately 10,000 patients annually.
Recently, a federal judge in Massachusetts approved an emergency request for a new preliminary injunction, ensuring that affiliates nationwide are protected from certain “refunds” mandated by Congress.
U.S. District Judge Indira Talwani, appointed during Barack Obama’s presidency, made this decision just a week after an initial injunction allowed only specific clinics to receive Medicaid funds under a new law. Among those who joined the lawsuit were the Utah Planned Parenthood Association and other affiliates that either do not provide abortion services or claimed less than $800,000 in Medicaid funding for 2023. This broadly safeguards around 600 clinics across the country.
In light of President Donald Trump’s signing of the significant budget bill HR 1 on July 4th, many clinics faced threats of budget cuts. Some clinics have had to limit their services or even close. Reports indicate that two clinics in rural Ohio and two in the Houston area of Texas have closed, along with five in California. In California alone, proposed Medicaid cuts might impact $300 million in funding, affecting 114 clinics that serve over one million patients each year.
In Washington, where abortion remains legal and accessible, Gov. Ferguson stated on July 9 that the state would provide up to $101 million in funds if the lawsuit does not proceed favorably. Medicaid covers about half of the expenses for the 30 clinics in the state.
The American Planned Parenthood Federation expressed disappointment with the initial ruling and requested the court to reconsider its decision. Judge Talwani acknowledged this request on Monday.
Lawyers for the Trump administration filed an appeal against the first injunction on July 23, challenging the urgent need for a new one.
The American Planned Parenthood Federation, along with affiliates in Massachusetts and Utah, filed a lawsuit just days after Congress passed the budget bill, emphasizing that the provisions specifically target the reduction of Medicaid funding. Federal Medicaid dollars are not permitted to cover abortion services except in limited cases, such as rape, incest, or certain health conditions.
Clinics increasingly depend on Medicaid funding for essential reproductive services, including sexually transmitted disease screenings, cancer screenings, and contraceptive care, often at little or no cost to patients. Planned Parenthood serves around two million patients yearly, with 64% of its clinics located in rural areas or regions experiencing a shortage of healthcare providers.
In her ruling, Judge Talwani remarked that the law, partly derived from tax and spending cuts approved by partisan votes, infringes on the constitutional right to free speech by disproportionately targeting Planned Parenthood without due process and hindering their ability to advocate for reproductive healthcare.
A lawyer from the U.S. Department of Justice maintained that Congress has the authority to target these clinics as “large providers perform more abortions and receive more government subsidies.” However, Judge Talwani found these arguments unpersuasive, indicating they likely could not substantiate the rationale behind the refunds as part of a broader aim to reduce abortions.
“It’s unclear how including only nonprofit entities that provide health services to underserved communities relates to abortion reductions,” Talwani wrote, questioning the logic in withholding Medicaid refunds from Planned Parenthood affiliates that do not offer abortion services.
Dominic Lee, President and CEO of the Massachusetts Planned Parenthood Federation, hailed the ruling as a significant affirmation that healthcare should be patient-focused, not politically driven. In a statement, Lee declared, “From Massachusetts onward, we will continue to fight so that everyone has access to a trusted provider, no matter their insurance or zip code.”
