A federal judge has temporarily blocked a provision in President Donald Trump’s newly enacted “One Big Beautiful Bill” that aimed to suspend Medicaid funding for Planned Parenthood and its affiliates. The decision followed a lawsuit by the reproductive health organization, which challenged the legality of the measure.
U.S. District Judge Indira Talwani issued a 14-day temporary restraining order on Monday, July 7th, directing the Department of Health and Human Services (HHS) to ensure continued disbursement of Medicaid funds to Planned Parenthood Federation of America, as well as its Massachusetts and Utah affiliates. The ruling prevents the administration from implementing a section of the bill that would block federal Medicaid reimbursements to organizations primarily engaged in reproductive health services if they provide abortions.
Although the Hyde Amendment already prohibits federal funding for abortion services except in limited cases, the new provision would have barred affected providers from receiving Medicaid support for other health services, including cancer screenings and STI testing. The legislation did not mention Planned Parenthood by name, but the group argued in court filings that it was explicitly targeted.
Planned Parenthood stressed in its lawsuit that losing Medicaid funding would have widespread consequences, especially in underserved communities where many rely on its services. The organization warned that “many Planned Parenthood members will be required to lay off staff and curtail services”, which could severely impact patients even if they do not use Medicaid to access care.
In a social media statement, the group expressed gratitude for the court’s swift intervention, calling the blocked measure an “unconstitutional law attacking Planned Parenthood providers and patients.”
The lawsuit named HHS Secretary Robert F. Kennedy Jr. and Centers for Medicare & Medicaid Services Administrator Mehmet Oz as defendants. Neither HHS nor CMS has issued a formal response.
Supporters of the bill defended the provision as a justified limit on federal spending. Katie Daniel, legal affairs director at Susan B. Anthony Pro-Life America, criticized the lawsuit, saying Planned Parenthood’s “desperation is showing” as it turns to the courts for relief.
A hearing on the matter is scheduled for July 21st, during which the court will determine whether to extend the restraining order or allow the provision to take effect.
