HHS Sued Over Rule Requiring Health Care Providers to Perform ‘Gender Transition’ Procedures

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Montana and Texas AGs on Tuesday filed a lawsuit over a rule that says providers must pay for “gender transition” procedures if they receive federal funds

The attorneys general of Montana and Texas on Tuesday filed a lawsuit against Xavier Becerra, Secretary of the Department of Health and Human Services (HHS), over a rule that says states must pay for “gender transition” procedures through their Medicaid programs and requires health care providers who receive federal funding to perform such procedures even in violation of state law.

The complaint, filed on June 11 with the U.S. District Court for the Eastern District of Texas, Tyler Division, asks the court to block a new rule recently published by HHS in the Federal Register that modifies non-discrimination protections of the Affordable Care Act (ACA) in a way that expands the definition of “sex” discrimination to include discrimination based on “gender identity.”

The final rule, called “Nondiscrimination in Health Programs and Activities,” implements Section 1557 of the ACA in a way that reinstates and expands on many of the 2016 regulations from the administration of then President Barack Obama while reversing much of the 2020 version of the rule adopted under then President Donald Trump.

The rule, which applies to health programs and activities that receive federal financing, has staggered effective dates starting on July 5, 2024. It provides nondiscrimination health care protections to individuals in protected groups, including prohibiting denial of benefits, coverage, and program participation based on factors like race, age, disability, and sex—which has been expanded to include the concept of “gender identity.”

The rule explicitly provides nondiscrimination protections based on “gender identity” and sexual orientation, and categorically prohibits the denial of “gender-affirming” care.

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The attorneys general of Montana and Texas object to what they call in their complaint a “devastatingly drastic social change” under Section 1557. They argue that the change effectively forces taxpayers in those states to pay for controversial drugs and experimental surgeries for people seeking “gender transition,” which they label as procedures that “inflict permanent harm.”

By Tom Ozimek

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