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Can States Block Medicaid Funds from Abortion Providers? Big Planned Parenthood Case Hits High Court

03-31-2025
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The U.S. Supreme Court has agreed to take a case that could decide whether states can withhold Medicaid funds from abortion providers like Planned Parenthood. 

The case, Medina v. Planned Parenthood South Atlantic, comes as the nation's largest abortion provider is in crisis with clinics closing along with allegations of malpractice. The outcome could open the door to allowing states to defund Planned Parenthood.

"Planned Parenthood portrays itself as a healthcare provider, but it is an organization dedicated to abortion," John Bursch, senior counsel and vice president of appellate advocacy with Alliance Defending Freedom (AD) said in a recent press conference.

ADF is representing South Carolina's director of Health and Human Services in the case, which will be argued by Bursch.

"South Carolina, supported by the U.S. government, agrees that states must have the authority to steward limited Medicaid resources toward providers that align with their values and serve their citizens' true healthcare needs," explained Bursch.

The state's intent goes back to 2017 when South Carolina Governor Henry McMaster ordered the Health and Human Services department to divert Medicaid funds from Planned Parenthood to women's clinics that don't perform abortions.

Planned Parenthood and one of its patients responded by suing the HHS director. A federal district court ruled against the state, restoring the annual $2 billion funding, and a U.S. appeals court later upheld the order.

It is a move South Carolina Attorney General Alan Wilson said violates the states' rights.

"South Carolina has laws on the books that prohibit any state-appropriated funds or funds passing to the state of South Carolina to go to abortion service providers," Wilson said in an interview with CBN News. "This has been on the books for years, and of course Governor McMaster - about six or seven years - ago wrote an executive order that basically kept in line with that statutory provision, which basically prohibited any of the Medicaid funding coming to the states from the federal government to be then directed to groups like Planned Parenthood."

Alison Centofante of Americans United for Life says it is an issue of states' rights.

"Other states have sought to do this, like Texas eliminating Planned Parenthood as a Medicaid provider, South Carolina is doing it now," said Centofante. "And so, we're all looking at the Supreme Court saying, 'Hey, there's a circuit split here, five to two of whether this is constitutional.'"  

"We're looking at the Supreme Court saying, 'Give us clear guidance, because when Congress passed the Medicaid program, they didn't think that individuals would be able to sue the state in a civil right into a federal lawsuit saying, 'hey, you don't have the provider that I like,'" added Centofante.

Wilson admits it is a fight that won't be easy.  

"The left, the people who were pro-abortion, they're going to be bringing every single lawsuit on every single conceivable outside the box legal theory, crazy legal theory that they can think of," Wilson commented. "They're going to try to bring it. They're going to try to throw it at us. That is why getting cases like this decided at the U.S. Supreme Court, which allows states to control themselves, is so important for the other 49 states and who want to govern themselves differently than South Carolina."

The high court agreed to the state's third request and will decide whether the Medicaid Act gives patients the right to choose their healthcare provider or that the state has the right to decide how to spend its funds.

Bursch is hopeful as the justices hear oral arguments on April 2.

"South Carolinians and all Americans deserve better than to see their tax dollars funnel the Planned Parenthood's radical priorities. We look forward to a ruling that restores states' freedom to protect life and prioritize genuine healthcare," said Bursch.

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