Overview
- A coalition led by Oregon’s attorney general asked a federal court in Massachusetts to overturn the HHS/CMS final rule that would bar federal Medicaid reimbursement for most gender‑affirming treatments for patients under 18 and for CHIP patients under 19.
- The complaint, joined by 21 states and the District of Columbia, argues the agencies usurped states’ long‑standing authority to decide Medicaid-covered services and acted without congressional authorization.
- Several states including Massachusetts, Maine, Vermont, California, New Mexico and Maryland said they will use state money to keep covering medications and care for minors on Medicaid while the case moves forward.
- CMS Administrator Mehmet Oz and the administration describe the treatments for minors as experimental and say cutting federal funding will save taxpayer dollars, a position that conflicts with major medical societies that support gender‑affirming care.
- The legal fight follows earlier court setbacks for HHS this year and is likely to determine whether the rule is enjoined before it takes effect on Oct. 13, 2026, with wider implications for access, state budgets and federal regulatory reach.