Alaska will soon be barred from drawing on federal taxpayer dollars to underwrite cross-sex surgeries and hormonal manipulation of children.

The Trump administration finalized a new rule this month that officially ends federal Medicaid and Children’s Health Insurance Program (CHIP) funding for puberty blockers, cross-sex hormones, and transgender surgeries for minors.

The Centers for Medicare & Medicaid Services announced the rule change, which prohibits federal matching funds for “sex-rejecting procedures” that are performed on Medicaid beneficiaries under age 18 and certain CHIP beneficiaries under 19. The rule goes into effect Oct. 13 with a limited tapering period for youth already undergoing hormonal manipulation.

The Trump administration says the rule change aims to protect children from experimental and risky interventions that can cause irreversible and life-altering harm, including bone density loss, infertility and more.

Alaska, however, has covered cross-sex procedures under its Medicaid program since July 25, 2021, following the settlement of a class-action lawsuit, Being v. Crum. At that time, the state agreed to removed prior exclusions and start paying for so-called “medically necessary” transgender related services.

Until now, Alaska has drawn from both federal and state dollars to reimburse these controversial services through Alaska Medicaid. The new federal rule does not outright ban states from covering these procedures, but they won’t be allowed to use federal tax dollars to do so.

While the Alaska State Medical Board has officially opposed transgender surgeries and hormonal treatments for gender confused youth, and has called on lawmakers to ban these procedures, legislative attempts to end these practices have thus far been unsuccessful.

In the most recent legislative session, State Rep. Jamie Allard (R-Eagle River) introduced House Bill 342 with the aim to effectively ban transgender treatments on anyone under 18, while enacting strict informed-consent requirements, expanded civil liability, and criminal penalties on physicians who violate the law. The bill died in the Democratic-controlled Health & Social Services Committee.

Allard’s bill addressed both cross-sex hormones and surgeries, such as breast amputations and genital manipulations aimed at making a minor appear as the opposite sex.

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