HHS Ends Federal Medicaid Funding for Gender Procedures for Minors

WASHINGTON, D.C. — The U.S. Department of Health and Human Services has finalized a rule ending federal Medicaid and Children’s Health Insurance Program funding for puberty blockers, cross-sex hormones, and surgeries used in gender-transition treatment for minors. The rule is scheduled to take effect October 13.

The Centers for Medicare & Medicaid Services said the decision followed a review of U.S. and international research that identified evidence gaps and safety concerns. HHS officials cited potential long-term effects, including infertility, impaired sexual function, reduced bone density, and other physiological changes. Children already receiving hormone therapy will have up to six months after the rule takes effect to transition off federally funded treatment.

The policy applies only to federal Medicaid and CHIP funding, meaning states could potentially use their own funds to cover treatments that federal dollars will no longer finance. The rule does not change federal requirements for mental health coverage under Medicaid or CHIP.

Administration officials said the policy is intended to ensure federal health programs fund treatments supported by sufficient evidence. Critics of the rule, however, said major U.S. medical organizations continue to support gender-transitioning for some adolescents and argued that the policy will face legal challenges. A Congressional Budget Office analysis estimated that the federal government spent about $100 million on gender-transition treatments for minors through Medicaid from 2019 through 2023.

Previously, the UOJ reported that the VA ordered the removal of gender identity initiatives from health facilities.