UPDATE, 7/5/2025: On Friday, July 4, President Trump signed the reconciliation bill, partially defunding businesses that commit elective abortions, including America’s abortion giant, Planned Parenthood. The bill prohibits such businesses from receiving federal Medicaid reimbursements for one year unless they stop committing elective induced abortions.
“We made promises, and it’s really promises made, promises kept, and we’ve kept them,” Trump said from the White House on Friday. “This is a triumph of democracy on the birthday of democracy. And I have to say, the people are happy.”
7/4/2025: On Thursday, the House narrowly passed the tax and spending bill dubbed “The Big Beautiful Bill” that includes a one-year defunding of abortion providers who receive federal Medicaid funding — like Planned Parenthood. The bill now heads to President Trump, who is expected to sign it.
Key Takeaways:
- Under the bill, Planned Parenthood stands to lose federal Medicaid funding for one year.
- As of June 2023, Planned Parenthood received $792 million in funding from government reimbursements and grants, including Medicaid.
- Most American adults “oppose” or “strongly oppose” tax dollars paying for abortions.
- After originally passing the House in May (with 10 years of abortion provider Medicaid defunding) and passing the Senate with changes on July 1 (reduced to one year of defunding), the bill heads to President Trump, who is expected to sign it.
Why it Matters:
According to Planned Parenthood’s 2023-2024 annual report, it killed 402,000 babies a year (1,076 preborn children every day) in the United States through various methods of abortion. This equates to nearly 45 abortions every hour, and one every 80 seconds. According to that report, Planned Parenthood commits 40% of all abortions in the U.S.
The most common types of abortion involve the abortion pill, D&C suction abortion, D&E (dismemberment) abortion, or induction abortion using a feticide to cause cardiac arrest.
Planned Parenthood also provides “gender-affirming care,” including cross-sex hormones to minors.
Despite this, Planned Parenthood has continued to receive government funding for 55 years, taking in an estimated $800 million in taxpayer money for its most recently reported year, including through federal Medicaid funding.
While the Hyde Amendment states that government funding cannot be used to pay for abortions, it is well understood that funds which support facilities committing abortions along with other services are fungible — meaning, those funds are paying for the same building, same utilities, same provider salaries, etc., and therefore, those funds are indirectly supporting the business of abortion.
In addition, polling shows that the majority of Americans oppose taxpayer funding of abortion. A 2025 Knights of Columbus/Marist poll found that 57% of American adults “oppose” or “strongly oppose” tax dollars paying for abortions.
More Details:
The reconciliation bill, which originally defunded Planned Parenthood of Medicaid payments for 10 years when the House first passed it in May, will now defund the abortion giant for just one year due to changes made in the Senate before its passage on July 1.
The bill states that “prohibited” entities shall not receive federal funds for one year. It defines “prohibited entity” as one that commits abortions “other than an abortion if the pregnancy is the result of an act of rape or incest; or in the case where a woman suffers from a physical disorder, physical injury, or physical illness, including a life-endangering physical condition caused by or arising from the pregnancy itself, that would… place the woman in danger of death unless an abortion is performed.”
Since Planned Parenthood commits elective abortions, it would be considered a “prohibited entity” and would lose federal funding for one year beginning on the date of the bill’s enactment. The same would be true of any entity that carries out elective abortions and receives federal Medicaid funding.
What’s Next:
Planned Parenthood will still receive some federal funding through Title X and other government grants, but will no longer be eligible for millions of dollars in Medicaid reimbursements for at least one year.
“For years, Americans have been forced to subsidize the killing of innocent children and the exploitation of vulnerable women. Planned Parenthood is the nation’s largest abortion chain, ending over 400,000 lives annually while masking their business as healthcare. This defunding victory is a crucial step toward ending that injustice,” said Live Action founder and president Lila Rose in a statement.
“But this is only the beginning. Every dollar stripped from the abortion giant is a win for life, but the goal is total and permanent defunding and the closing of every abortion facility’s doors. No taxpayer should ever be complicit in violence. Every mother deserves real support, and every child deserves the chance to live.”
President Trump is expected to sign the bill on the Fourth of July.
