Press Release: Basic Rights Oregon Responds to CMS Rule Prohibiting Federal Funds for Youth Gender Affirming Care

FOR IMMEDIATE RELEASE
August 12, 2026 
Contact: media@basicrights.org

Despite Federal Funding Cuts to Youth Healthcare Reimbursements, Gender Affirming Healthcare Still Legal and Protected in Oregon 

Oregon providers can and should continue offering life-saving healthcare services amid CMS Rule changes. 

Portland, Ore. — Yesterday, the Trump administration published a final rule to prohibit federal Medicaid  funds from being used to reimburse healthcare claims for transgender youth. The rule, which is proposed to go into effect on October 13, is yet another attempt from the federal government to eliminate access to life-saving healthcare procedures for vulnerable populations in our community. 

The proposed rule change is an anticipated, yet disappointing move from extremist politicians to alter how the federal government reimburses states for healthcare—but even if it goes into effect, the rule itself will not change the law, nor will it prohibit providers form continuing to deliver gender-affirming services. It will change how care for low-income populations is funded. 

Basic Rights Oregon believes the proposed rule is meant to attack transgender people by needlessly limiting evidence-based healthcare services. We have been exploring every option available to protect the rights of Oregonians, and we will continue to stand with state leaders to challenge the rule in court. Our policy team is committed to advocating for protections that provide uninterrupted healthcare access for all Oregonians. 

"While the Trump administration is determined to attack our transgender community, here in Oregon, we believe in preserving bodily autonomy. Individuals and families should make their own personal choices about their bodies and their lives, and we will continue advocating to ensure scientifically-proven healthcare services remain accessible," said Seth Johnstone, State Policy and Research Director at Basic Rights Oregon. 

While the change may raise concerns among families and children about how this move could impact their access to critical medical services, the rule itself makes it clear that there is no reason for providers to pull back from providing services. Even if the rule is confirmed, it will not change this simple fact: Gender-affirming healthcare remains legal and protected for all Oregonians.  

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Basic Rights Oregon is the state’s largest and longest running nonprofit LGBTQ2SIA+ advocacy group. Our mission is to ensure that all lesbian, gay, bisexual, transgender and queer Oregonians experience equality by building a broad and inclusive politically powerful movement, shifting public opinion and achieving policy victories. For more information, visit www.basicrights.org.