California Planned Parenthood, the largest abortion provider in the state, has lost $300 million in federal funding following a preliminary court order issued on Monday. The order allows the withholding of funds while a larger legal dispute unfolds. The Planned Parenthood Federation of America sued the Trump Administration earlier in July over the “One Big Beautiful Bill Act,” which prohibits Medicaid reimbursements for large nonprofit clinics that provide abortions. The lawsuit claims the law violates multiple constitutional amendments by defunding Planned Parenthood’s services.
U.S. District Court Judge Indira Talwani stated that Planned Parenthood’s arguments have a “substantial likelihood of success,” but her order only applies to a small fraction of the organization’s nearly 600 clinics. Only clinics in states where abortion is banned or those receiving less than $800,000 in federal funds can continue to receive Medicaid reimbursements during the lawsuit. As reported by CalMatters, none of California’s Planned Parenthood health centers are included in the injunction.
The funding loss threatens the operation of Planned Parenthood’s 114 clinics in California, which serve over one million patients annually. About 80% of these patients use Medi-Cal, California’s Medicaid program. Jodi Hicks, president and CEO of Planned Parenthood Affiliates of California, expressed concern that the funding cut will disproportionately impact low-income individuals who rely on Medicaid or have no other healthcare options.
The U.S. Department of Health and Human Services criticized the decision to allow some organizations to retain funding, stating that “states should not be forced to fund organizations that have chosen political advocacy over patient care.” Meanwhile, Planned Parenthood remains hopeful that future rulings will block the funding cuts for other members, including those in California.
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