The Trump administration said that gender transition surgeries and hormones for minors will no longer be funded by federal taxpayer money.
Dozens of hospitals across the nation have already ended "so-called 'gender-affirming care,'" Trump said, following his administration’s “strong position” on the issue over the past year and a half.
Trump also said he expects more hospitals to follow suit.
At least 27 states have already banned transgender procedures for patients under 18 years old. In states that have not yet imposed a ban, many major hospitals have stopped providing some of the treatments.
Under the newly finalized policy, Medicaid and CHIP funding will remain available for a transition period of up to six months after the rule takes effect for children who are currently receiving hormone therapy.
The rule does not change coverage for mental health services. Medicaid’s Early and Periodic Screening, Diagnostic, and Treatment (EPSDT) requirements will continue to provide comprehensive mental health coverage for eligible children, while CHIP will continue to require coverage of medically necessary mental health services as required by federal law.
CMS said national and international research shows that the procedures carry serious long-term health risks and lack sufficiently reliable evidence of clinical benefit.
CMS also said that such medical interventions intended to suppress or alter a child’s sex development—including puberty blockers, cross-sex hormones, and surgical procedures—may carry significant and potentially irreversible risks. This includes infertility, impaired sexual function, reduced bone density, changes in brain development, and other long-term physiological effects.
The newly finalized policy is drawing opposition and is expected to face legal challenges.
Advocacy group Human Rights Campaign is suing the administration over efforts to bar coverage of transgender procedures under federal employee benefit plans.
The final rule is scheduled to take effect on Oct. 13.