2025-23464Proposed Rule

Feds Eye Ban on Medicaid Funding for Kids' Gender Transitions

Published Date: 12/19/2025

Proposed Rule

Summary

Starting soon, Medicaid and CHIP won’t pay for sex-rejecting procedures for kids under 18 (Medicaid) and under 19 (CHIP). This means states can’t use federal money for these treatments for minors anymore. If you want to share your thoughts, make sure to comment by February 17, 2026!

Analyzed Economic Effects

3 provisions identified: 0 benefits, 2 costs, 1 mixed.

Federal Medicaid Funding Blocked for Under‑18s

If you or your child get Medicaid, federal Medicaid dollars could no longer pay for sex-rejecting procedures for anyone under age 18. The proposed rule would require State Medicaid plans to state that the Medicaid agency will not make payment under the plan for sex-rejecting procedures for individuals under 18.

Federal CHIP Funding Blocked for Under‑19s

If your child is covered by a separate CHIP plan, federal CHIP dollars could no longer pay for sex-rejecting procedures for anyone under age 19. The proposed rule would require separate State CHIP plans to state that the CHIP agency will not make payment under the plan for sex-rejecting procedures for individuals under 19.

States May Still Use State‑Only Funds

The proposed rule says States would still be able to provide sex-rejecting procedures using State-only funds outside of the Federally-matched Medicaid program or CHIP. That means a State could choose to pay for these services without using federal Medicaid or CHIP dollars.

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Key Dates

Published Date
12/19/2025

Department and Agencies

Department
Independent Agency
Agency
Health and Human Services Department
Centers for Medicare & Medicaid Services
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