Some states plan to bail out Planned Parenthood in wake of federal defunding

States may be bailing out the nation’s top abortion provider, Planned Parenthood, after a one-year defund of abortion providers under Trump’s Big Beautiful Bill (BBB) diminished the nearly $800M in taxpayer dollars sent to the organization each year.

“The bill most deeply affects Planned Parenthood clinics in blue states, including California, Oregon, Washington and Illinois, where abortion is still legal and where there are also large numbers of patients who are eligible for Medicaid reimbursements for other health care,” reported the New York Times (NYT).

Key Takeaways:

• Planned Parenthood is putting pressure on abortion-friendly states to increase their funding to the corporation in the wake of the passage of the “Big Beautiful Bill” which federally defunds abortion providers for one year.
• Most of Planned Parenthood’s taxpayer funding comes from Medicaid and Title X family planning funding.
• Those who receive taxpayer funds are required to meet certain requirements — and Planned Parenthood has failed to comply with these for years. They have even participated in fraud and have failed to report child sexual abuse.
• Planned Parenthood should not only be disqualified from taxpayer funding for failing to meet federal requirements, but only 2% of women of reproductive age are estimated to use Planned Parenthood for services. Funding should be directed elsewhere.

What’s Happening:

On July 4, President Donald Trump signed the so-called “One Big, Beautiful Bill,” which included a provision to defund abortion providers of taxpayer dollars from Medicaid for one year, which could result in the closure of up to 200 Planned Parenthood facilities, according to the organization.

According to NYT, despite the cuts, “Planned Parenthood’s national leadership said there had never been any serious discussion of ending abortion at Planned Parenthood clinics.”

“There is not now, and has never been, a plan to stop providing abortion care in the hopes of preserving federal funding,” Alexis McGill Johnson said in a statement to NYT. “Any claims to the contrary are an outright lie.”

So, to make up that lost revenue, Planned Parenthood is targeting abortion-friendly states.

As Politico recently reported, “Planned Parenthood is pushing governors and legislators in California, New York and other blue states to cobble together emergency funding that will allow them to keep the lights on should the spigot of federal money run dry.”

Why It Matters:

Most of Planned Parenthood’s taxpayer funding comes from Title X family planning funding and Medicaid reimbursements. Recipients of federal taxpayer dollars are required to report child sexual abuse, protect patient privacy, refrain from fraud and discriminating based on race and other characteristics — yet Planned Parenthood has repeatedly failed to comply.

Despite this, Planned Parenthood’s 2023-24 annual report showed the abortion corporation — which targets minors for ‘transgender services’ — raked in $792.2 million – nearly $93M more in government funds than the previous year. This is 39% of the organization’s total revenue.

Since 2000, Planned Parenthood has:

• committed over 7.5M abortions (7,534, 941)
• received nearly $11.4B from taxpayers while accumulating nearly $2.2B in excess revenue.
• more than doubled its abortions (197k v 402k).
• received a 291% increase in taxpayer funding (nearly $203M v $792M – year ending 6/30/2024).

By The Numbers:

Planned Parenthood’s top priority is not the wellbeing of clients — it’s abortion. When that is threatened, the organization protects its own financial interests to force abortion upon the nation, closing facilities to create legal muscle and increase its bucket of revenue.

Its latest move — “for a lifeline,” as Politico ironically reported — is to target states.

California

Planned Parenthood in California “conveyed to Gov. Gavin Newsom and lawmakers that they’ll need more than $25 million each month in stopgap funds if the federal cuts are enacted,” wrote Politico.

The corporation is demanding states like California foot the bill after leadership of the state’s largest California affiliate, Planned Parenthood Mar Monte (PPMM), rejected a memo suggesting the affiliate end abortions.

“Leaders estimated in their memo that it would take $100 million for Mar Monte and $300 million for all seven affiliates in California to ‘avert this public health nightmare,'” NYT reported.

The outlet added that Stacy Cross, president of PPMM, “said in an email to The Times that the affiliate evaluated the various scenarios and decided that it would continue to offer abortions even if the spending bill becomes law.”

NYT added:

By offering abortions, the affiliate jeopardizes a good chunk of its revenue.

Over the past 12 months, the affiliate estimates, federal Medicaid payments accounted for $70 million to $75 million — or nearly half — of its $152 million in revenue, the affiliate said in an email to The New York Times, and paid nearly 85 percent of Mar Monte’s patients’ bills.

National Review Online broke down the numbers further:

In total, Planned Parenthood’s seven California affiliates in 2023 had $583.3 million in expenses and $599.8 million in revenue, of which $475.75 million was from program services.

While most Planned Parenthood affiliates’ revenue is derived roughly 50–50 from donations and clinic services, the California affiliates receive 81.5 percent of their revenue from clinic services, the bulk of which derives from Medicaid (in California, Medi-Cal).

As a result, they could be particularly devastated by a loss of Medicaid revenue…

If federal funding is cut off, Planned Parenthood’s California clinics will go from making $16.5 million in profit in 2023 to suffering a nine-figure loss in 2026.

PPMM committed 24,553 abortions in 2023, doubled its sex-ed program using $5M in federal (TPPP) dollars, and increased ‘transgender services’. By 2024, abortions jumped to 28,475 and PPMM opened “two state-of-the art” facilities, breaking ground on a ‘12,000+ square-foot health center’ in Oakland.” In 2024, PPMM also funded 5,786 abortions, totaling more than $4.7 million,” the affiliate’s impact report stated.

Colorado

“Adrienne Mansanares… CEO of Planned Parenthood of the Rocky Mountains [PPRM], said the change will affect about a third of its patients, about 16,000 people,” CPR.org reported, notifying them “that they could no longer receive care,” News9.com wrote.

PPRM recently received a $20M donation from MacKenzie Scott, yet they are targeting states like Colorado while refusing to stop committing abortions. According to media reports since Dobbs, PPRM provided “more than $12.5 million” to fund abortion.

PPRM’s “post-Roe Expansion Plan” included spending millions on a “10,000-square-foot building” to make abortion a “safe haven for access,” the affiliate’s 2022 annual report stated.

Illinois

Planned Parenthood of Illinois (PPIL), which closed four centers earlier this year, told WTTW it would need $16 million annually to continue providing services. PPIL’s 2022-23 annual report showed it only received $4.5M in “government grant income” that year. Tonya Tucker, PPIL’s interim CEO, claimed “the affiliate does not immediately anticipate many of its clinics closing,” reported 19thNews.

PPIL’s report said that out-of-state clients “seeking abortion care accounted for approximately 30% of all PPIL abortion patients” since Dobbs.

Rather than fund health care, the report claimed “PPIL significantly increased the Abortion Patient Navigation Program” and that  “In FY23, PPIL provided over $1.5 million to patients in the form of care subsidies and practical support…”

“Asked whether the state might ramp up its own funding to offset any federal cuts,” David Smith, executive director of the Illinois Family Institute, said, “Illinois Gov. J.B. Pritzker is likely to do whatever it takes to sustain abortion access in the state, especially if he has future political ambitions,” reported Center Square.

Cristina Villarreal of Planned Parenthood Illinois “confirmed PPIL has already developed contingency plans to ensure Medicaid recipients continue receiving care with ‘little to no disruption’ in the short term,” the media outlet wrote.

Maine

“Planned Parenthood of Northern New England president and CEO Nicole Clegg hopes that Medicaid patients in Maine will be covered with state funds,” reported Maine Public.

Governor Janet Mills has indicated she “will work with state lawmakers” to assist Planned Parenthood.

In 2023, abortion made up 10% of the affiliate’s services.

Maryland

Planned Parenthood of Maryland (PPOM) president and CEO Karen Nelson explained that “even if Medicaid recipients could continue to seek care at Planned Parenthood, the anticipated loss in health coverage due to the increased eligibility requirements will further reduce access to reproductive health services in the state,” according to WBAL TV.

Maryland covers abortion through Medicaid, and in 2023, PPOM committed over 10,000 abortions.

In 2024, the Governor “announced more than $15.5 million in investments to expand clinical training for abortion providers,” stated Planned Parenthood.

New York

Planned Parenthood New York (PPNY) “could lose about $35 million in federal Medicaid dollars” among its 47 centers, reported 19thNews, which is “about a third of the $103 million in operating revenue it reported last year.”

So “Planned Parenthood clinics in New York” asked for “state emergency funds” and “Gov. Kathy Hochul and legislative leaders said they would respond to the federal cuts if they are passed,” Politico wrote.

In 2024, Planned Parenthood Greater New York (PPGNY) received $21,675,019 in “Government grants,” saw 36,700 abortion clients and partnered with CVS for distribution of the abortion pill.

Michelle Casey, the CEO of Planned Parenthood of Central and Western New York, which committed 8,287 abortions in 2024, said the affiliate is relying “on state leaders and the generosity of donors” reported News8.

The state covers the cost of abortions for Medicaid patients, the Rochester media outlet added.

“If we aren’t able to overcome this will have decades-long implications for the people we serve,” Casey said.

Oregon

The “two independent affiliates in Oregon, Planned Parenthood Columbia Willamette and Planned Parenthood of Southwestern Oregon, are operating normally while working with state lawmakers and the Oregon Health Authority on getting state funding,” The Lund Report stated.

“We’re leaving no stone unturned,” Christopher Coburn, executive director of Planned Parenthood Action Oregon, said.

“A state could step in and fund them with state-only funding, and some states may do that,” Sara Rosenbaum, professor emerita of health policy at George Washington University in Washington, D.C., told The Lund Report. “But if they lose their money, they won’t last three months. Most clinics have maybe, if they’re lucky, 30 days of operating funds on hand.”

“Planned Parenthood is counting on the state to keep clinics open if needed. This legislative session, lawmakers approved $10 million over two years for Planned Parenthood and another $2.5 million to upgrade clinics and support patients navigating reproductive health care,” The Lund Report wrote, adding that “Planned Parenthood is the state’s largest abortion provider, performing about 10,000 a year.”

Washington

“Gov. Bob Ferguson has committed to backfilling any Planned Parenthood funding cut in the federal spending plan approved by Congress,” reported Cascade PBS.

“In Washington, Planned Parenthood receives at least $22 million a year in Medicaid funding, which includes at least $11 million from the federal government,” the Governor’s Office wrote.

The $11 million used to backfill the loss of federal dollars would come from the state Health Care Authority, Ferguson said.

Jennifer M. Allen, CEO of Planned Parenthood Alliance Advocate, praised the decision, calling the move “critical to maintaining access to care to the best of Planned Parenthood’s ability, and also still leaves the abortion safety net with an $8.5 million hole left by the state legislature’s cut to the Abortion Access Project,” she stated.

In 2024, Planned Parenthood of Greater Washington and North Idaho (PPGWNI) committed 4,633 abortions and “provided over $640,000 in financial assistance to patients seeking abortion care,” the affiliate’s report claimed.

Parting Thoughts:

NRO’s analysis found that prior to the BBB, “Planned Parenthood’s affiliates ran a combined deficit of approximately $54 million in 2023, with $1.718 billion in revenue and $1.772 billion in expenses.” In addition, “Their combined program services revenue was approximately $978.6 million, the majority of which was from Medicaid reimbursements. The 28 Planned Parenthood affiliates with 990 forms or audits available for 2024 lost a combined $12.9 million.”

Planned Parenthood has begun notifying clients that “Medicaid coverage is no longer accepted at their health centers,” reported The Hill. Given the corporation’s decreasing donors and services (except abortion), Planned Parenthood claimed it may not survive the one-year moratorium.

It is estimated that only 2% of women of childbearing age visit Planned Parenthood. It is obvious that women are getting healthcare services elsewhere — and taxpayer dollars should be directed there.

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