Federal Funding Banned for Pediatric Sex-Rejecting Procedures
New rules prohibit the use of Medicaid and CHIP funds for sex-rejecting procedures for children and adolescents.
The Centers for Medicare & Medicaid Services is prohibiting the use of federal Medicaid and Children's Health Insurance Program (CHIP) funds to pay for sex-reassigning procedures for minors. State Medicaid plans must now ensure that agencies do not make payments for these procedures for children under 18.
Similar restrictions apply to separate State CHIP plans, which are now barred from using federal dollars for sex-reassigning procedures for individuals under the age of 19.
State agencies may continue to claim Federal Financial Participation for cross-sex hormone therapy for beneficiaries already receiving such treatment. This allowance is limited to a tapering period of up to six months from the rule's effective date.
These regulations take effect on October 13, 2026.