Medicaid Ends Youth Gender-Affirming Care Funding

The Trump administration finalized a rule barring United States — Medicaid and the United States — Children s Health Insurance Program (CHIP) from funding puberty blockers, hormone therapy, and surgeries for gender dysphoria in minors. The rule, announced by President Donald Trump and CMS Administrator Dr. Mehmet Oz, takes effect October 13, 2026. It removes federal support for these treatments for children under 18 in United States — Medicaid and under 19 in CHIP, affecting over 35 million children covered by these programs. The administration projects savings of about $235 million over a decade, a small fraction of total program spending. The rule includes a six-month tapering-off period for children already receiving hormone therapy, but does not cover surgeries or puberty blockers. It does not ban the procedures but shifts the burden to states, families, and private insurance. The move is part of a broader crackdown on transgender rights and has drawn legal challenges from Democratic state attorneys general and advocacy groups like the Human Rights Campaign and GLBTQ Legal Advocates & Defenders. Major medical organizations, including the American Medical Association and American Academy of Pediatrics, oppose the restriction, while the American Society of Plastic Surgeons has cited insufficient evidence for surgeries. The rule sets up conflicts with states that have shield laws protecting gender-affirming care.