Four New Hampshire families have filed a lawsuit against the Trump administration, asking a federal court to stop a new rule that would end medical care for some transgender young people in low-income families. GLAD Law, the National Center for LGBTQ Rights, and the ACLU of New Hampshire represent the families, who are asking the court to stop the rule from impacting them before it takes effect on October 13, 2026.
“These families made medical decisions with their doctors, based on careful assessment of their children’s individual medical needs. On October 13, the Trump administration wants to pull the funding for their care mid-treatment, with no plan for what happens to them. We’re asking the court to act quickly so these families don’t lose the medical care that has enabled their kids to thrive.” said Chris Erchull, Senior Staff Attorney, GLBTQ Legal Advocates & Defenders (GLAD Law).
The rule was issued in August by the Centers for Medicare & Medicaid Services. It cuts off federal Medicaid and CHIP funding for medications and other treatment for gender dysphoria for young people. The ban applies even when a patient’s own doctor has determined the care is medically necessary.
The complaint argues that the rule is unlawful on several grounds:
- Congress never gave the Trump administration – or any president – this power. Medicaid has guaranteed children coverage of all medically necessary care for decades. Congress never authorized the executive branch to override that guarantee and decide on its own that one kind of care can’t be covered. The Centers for Medicare and Medicaid Services admits in the rule that it has never before declared that particular services are “inherently not medically necessary.”
- It violates Medicaid’s own regulations. Those regulations say a covered service cannot be denied because of a patient’s diagnosis. The rule does exactly that. The same medications stay covered when they’re prescribed for other conditions, such as early puberty.
- It ignored the public. More than 90% of the roughly 11,000 comments CMS acknowledged receiving opposed the rule, including detailed evidence from the nation’s leading medical organizations. The law requires an agency to engage with that evidence. Instead, CMS pressed ahead with an outcome President Trump ordered in January 2025.
— from a GLAD Law press release