House Republicans introduced [1] a broad Medicaid reform proposal Sunday evening that includes provisions to block federal funding for Planned Parenthood and prohibit the use of taxpayer dollars for child sex change procedures.
The proposal is part of President Donald Trump’s forthcoming budget package, which Speaker Mike Johnson aims to pass before the Memorial Day recess.
The measure, crafted by the House Energy and Commerce (E&C) Committee, is one of several GOP-led efforts to meet the target of $1.5 trillion in savings across all House committees.
Under the proposal, the E&C Committee is tasked with identifying at least $880 billion in reductions over a 10-year span, and Chairman Brett Guthrie (R-KY) informed Republican lawmakers Sunday that the panel is on track to exceed that figure, reaching more than $900 billion in projected savings.
Among the most contested elements of the proposal is a provision that would prevent Medicaid reimbursements to organizations that perform abortions, including Planned Parenthood, even for their non-abortion services.
Although the Hyde Amendment already bans federal dollars from directly funding abortions, Republican lawmakers are seeking to go further by cutting all federal Medicaid funds from such providers.
The move aligns with long-standing demands from pro-life groups, including Students for Life.
“[E]very GOP House member, even the pro-choice ones, must do the right thing and vote to pass it and end forced taxpayer funding of abortion,” Students for Life President Kristan Hawkins posted on X.
Breaking: The House Energy & Commerce budget bill includes defunding abortion vendors and Planned Parenthood! Step one is complete.
Now, every GOP House member, even the pro-choice ones, must do the right thing and vote to pass it and end forced taxpayer funding of abortion.
— Kristan Hawkins (@KristanHawkins) May 12, 2025 [2]
However, the measure may face resistance within the Republican conference.
Some moderate GOP lawmakers are reportedly pushing back against defunding Planned Parenthood’s broader services.
Given the narrow House majority, Johnson can afford to lose only three Republican votes if all members are present and voting.
The proposed Medicaid reform also includes language banning the use of the program to fund gender transition procedures for minors.
The provision builds on a policy enacted in December 2024 that barred the military’s TRICARE healthcare program from covering such procedures.
“The federal government shouldn’t be subsidizing these procedures in any form, and I am proud that we will be protecting all our children from the lasting, harmful effects of these procedures,” Guthrie wrote in an op-ed published Sunday in The Wall Street Journal.
Beyond social policy changes, the GOP-led bill would impose new work requirements on able-bodied adults seeking Medicaid coverage and mandate more frequent eligibility verifications.
Supporters argue that these changes are necessary to preserve Medicaid for those the program was originally designed to serve — children, seniors, people with disabilities, and pregnant women.
The Congressional Budget Office (CBO) estimates the bill’s provisions would result in roughly 8.5 million fewer people enrolled in Medicaid by 2034.
Guthrie responded to concerns about reduced enrollment, stating that the legislation is focused on program integrity and long-term sustainability.
“Undoubtedly, Democrats will use this as an opportunity to engage in fear-mongering and misrepresent our bill as an attack on Medicaid,” Guthrie wrote.
“In reality, it preserves and strengthens Medicaid for children, mothers, people with disabilities and the elderly — for whom the program was designed.”
Democratic opposition to the bill has already emerged. Rep. Frank Pallone (D-NJ), ranking member of the Energy and Commerce Committee, criticized the proposal, claiming it includes “devastating Medicaid cuts so billionaires can get another tax break.”
Tomorrow, Energy & Commerce Committee Republicans will bring up their budget bill with devastating Medicaid cuts so billionaires can get another tax break. It’s time NJ Congressmen Jeff Van Drew, Chris Smith, and Tom Kean Jr. recognize how catastrophic this bill is and oppose it.… pic.twitter.com/erZNglCYTi [3]
— Rep. Frank Pallone (@FrankPallone) May 12, 2025 [4]
Meanwhile, Senate Majority Leader John Thune has suggested the Republican-led reconciliation package could be taken up by the Senate as early as July 4.
The outcome in both chambers could determine the fate of President Trump’s larger budget initiative, which includes his promised tax reform priorities alongside major entitlement reforms.