A federal judge ruled Thursday that the federal government cannot enforce a policy aimed at limiting hospitals from providing gender-affirming care to children and teens.
The ruling blocks the U.S. Department of Health and Human Services from threatening to withhold Medicare and Medicaid funding, a major source of revenue for hospitals, if they provide gender-affirming care to minors.
New York Attorney General Letitia James, along with other states, filed a lawsuit challenging the policy.
In the interim, the proposal had already caused disruption. Hospitals, including NYU Langone Health and Mount Sinai, pulled back or paused some services for transgender youth in New York.
The Attorney General’s Office argued those actions could violate state anti-discrimination laws and moved to compel providers to continue offering care.
Neither NYU Langone nor the Attorney General’s Office immediately confirmed whether services had fully resumed following earlier deadlines set by the state.
“Today’s win breaks through the noise and gives some needed clarity to patients, families, and providers. Health care services for transgender young people remain legal, and the federal government cannot intimidate or punish the providers who offer them,” James said in a statement.
Federal officials have defended the policy by arguing that the treatments are unsafe.
Health and Human Services Secretary Robert F. Kennedy Jr. has said the administration is trying to protect young people from medical decisions they may not fully understand and that cannot be reversed.
The White House and the Department of Health and Human Services did not immediately respond to requests for comment from Gothamist.
