Planned Parenthood has voluntarily dismissed its lawsuit challenging the Trump administration’s decision to cut off Medicaid funding to abortion providers.
The organization had been fighting part of Trump’s tax bill, which they argued unfairly targeted their clinics and restricted health care options for vulnerable patients.
Driving the news: In December, a federal appeals court ruled that the administration could continue withholding Medicaid funds from Planned Parenthood and similar health centers.
- Another lawsuit by a coalition of mainly Democratic states also received a setback in court but remains ongoing.
- A third, similar lawsuit in Maine was dropped in October by a network of affected medical clinics.
- Planned Parenthood stated that, due to the 1st Circuit’s decision, continuing the lawsuit no longer appeared to be the best way to support its patients.
Go deeper: The Trump tax bill included a provision ending Medicaid payments to providers primarily offering family planning services and receiving over $800,000 from Medicaid in 2023, which was widely seen as targeting Planned Parenthood.
- Although not named in the statute, Planned Parenthood leaders believe the measure was intended to affect their nearly 600 clinics in 48 states.
- Medicaid serves millions of low-income and disabled Americans; nearly half of Planned Parenthood’s patients rely on Medicaid.
- Planned Parenthood reports that 23 of its clinics have closed because of the new rules, with over 50 clinics in 18 states shut down last year, mainly in the Midwest.