New Mexico Funds Gender-Affirming Care After Federal Cuts

The Government of New Mexico will use state funds to continue providing gender-affirming care for minors following a federal rule finalized by the Trump administration to end Medicaid and Children’s Health Insurance Program (Chip) support for these services. The federal rule is scheduled to take effect on October 13.

The New Mexico Health Care Authority intends to cover the services through the Health Care Affordability Fund, a state resource established in 2021. This action follows the 2023 passage of the Reproductive and Gender-Affirming Health Care Freedom Act, which positions the state as a regional haven for transgender youth as protections disappear in neighboring states.

Governor Michelle Lujan Grisham stated that the Health Care Affordability Fund was created for moments when federal protections for working families and vulnerable residents fail. In a similar move to protect healthcare access, Governor Mikie Sherrill of New Jersey recently signed a shield law to protect gender-affirming care in that state.