California Legislative LGBTQ Caucus Celebrates Historic Largest State Investment to Protect Access to Gender-Affirming Health Care

FOR IMMEDIATE RELEASE

California Legislative LGBTQ Caucus Celebrates Historic Largest State Investment to Protect Access to Gender-Affirming Health Care

SACRAMENTO, CA — The California Legislative LGBTQ Caucus proudly celebrates Governor Gavin Newsom's signing of the 2026-27 State Budget, which includes a historic $26 million one-time, largest state investment to protect and stabilize California's gender-affirming health care delivery system amid unprecedented federal attacks on transgender, gender expansive, and intersex (TGI) communities.

The investment establishes a Transgender Health Care Fund that will strengthen California's provider network by creating a state-only Medi-Cal coverage and billing pathway while providing critical support to providers facing mounting financial and legal pressures caused by shifting federal policies. Additionally, the Caucus was able to successfully advocate for an expansion of California's existing uncompensated care program to include gender-affirming health care services, ensuring patients are not denied medically necessary care because of gaps in insurance coverage.

“California has long recognized gender-affirming health care as medically necessary, lifesaving care, and this investment reaffirms our commitment to ensuring that every transgender Californian can access the care they need,” said Assemblymember Chris Ward (D- San Diego), Chair of the California Legislative LGBTQ Caucus. “As the federal government works to dismantle access to health care for transgender people and intimidate providers into closing their doors, California is stepping up to protect patients, strengthen our health care infrastructure, and send a clear message: everyone – including transgender Californians – belongs here. This investment will help preserve access to medically necessary care, stabilize providers during a time of unprecedented uncertainty, and ensure California continues to lead with compassion and evidence-based policy. I am deeply grateful to Speaker Rivas, President Pro Tem Limón, Governor Newsom, Assembly Budget Chair Gabriel, Senate Budget Chair Laird, Assembly Subcommittee Chair Addis, Senate Subcommittee Chair Menjivar, and countless advocates for recognizing this urgent need and partnering with us to protect access to care.”

“Access to health care should never depend on political attacks or fear," said Senator Sabrina Cervantes (D- Riverside), Vice Chair of the California Legislative LGBTQ Caucus. "Across the country, transgender people are watching hospitals close clinics and providers withdraw services because of harmful federal actions. California refused to stand by while that happened here. This investment helps ensure our provider network remains strong, protects continuity of care for patients and families, and demonstrates that California will continue leading with compassion, dignity, and evidence-based policy. I am grateful to Governor Newsom and our legislative leadership for making this historic investment possible.”

Federal actions targeting gender-affirming health care have created widespread uncertainty for hospitals and providers across California, contributing to clinic closures, service reductions, and growing barriers to medically necessary care. This budget investment provides an essential bridge while litigation and ongoing federal policy changes unfold, helping preserve California's provider network and ensuring compliance with state nondiscrimination and health coverage laws.

This momentous $26 million investment: 

• $1 million to establish a state-only Medi-Cal coverage and billing pathway for gender-affirming health care, ensuring continuity of care regardless of federal funding restrictions.

• $25 million to stabilize and expand California's gender-affirming care provider network through provider support, workforce recruitment and retention, clinic infrastructure, operational assistance for providers absorbing displaced patients, and malpractice insurance support. 

In addition to this key investment, the Caucus was able to successfully advocate for a separate, correlated trailer bill language that included the expansion of California’s existing uncompensated care program to include gender-affirming health care services. 

California remains a national leader in protecting access to medically necessary gender-affirming health care. As attacks on transgender people continue across the country, the California Legislative LGBTQ Caucus remains committed to advancing policies and investments that ensure every person can live safely, authentically, and with access to the utmost health care services they deserve and need.

What Coalition Advocates Are Saying:

“We are deeply grateful to Governor Newsom, Speaker Robert Rivas, Senate President pro Tempore Monique Limón, Senator John Laird, Senator Caroline Menjivar, Assembly Budget Chair Jesse Gabriel, Assemblymember Dawn Addis, the California Legislative LGBTQ Caucus, and legislative leaders who recognized the urgency of this moment and acted to protect transgender Californians. At a time when the federal government continues attacking transgender people and undermining access to medically necessary health care, California is making a historic investment to ensure that our community can continue to access the care they need,” said Tony Hoang, Equality California Executive Director.

"At a time when the federal government is actively targeting our TGI youth and trying to dismantle their right to safe, authentic healthcare, California has chosen to draw a line in the sand. We are incredibly grateful to the California Legislative LGBTQ Caucus for their fierce leadership, hard work, and unwavering dedication to the TGI community. Their tireless advocacy ensured that this historic $26 million investment became a reality,” states Dannie Ceseña, Director, CA LGBTQ Health and Human Services Network. "We also want to deeply thank Governor Gavin Newsom for signing this budget into law and cementing California’s position as a true national leader. This funding is more than just a financial safety net; it is a lifeline that protects our providers, expands infrastructure, and sends a clear message to TGI youth across the country: you belong, you are protected, and your healthcare is a fundamental right."

“While the Trump administration and Republicans in Congress weaponize the healthcare of vulnerable patients, including transgender individuals, state leaders are boldly meeting this moment by filling critical funding gaps and protecting access to essential healthcare. Planned Parenthood Affiliates of California is grateful to Governor Newsom, the LGBTQ Caucus, and all our allies in the Legislature for continuing to stand with the patients and providers most impacted by these federal attacks and acknowledging what we know to be true: state rights and legal protections mean nothing if our transgender neighbors and loved ones cannot also access the healthcare they need and deserve,” said Jodi Hicks, President and CEO of Planned Parenthood Affiliates of California.  

“California’s $26 million investment is more than a budget line item — it is a lifeline for transgender, gender-expansive, and intersex youth, their families, and the providers who have continued showing up under extraordinary pressure. At a time when federal attacks are creating fear, instability, and real barriers to medically necessary care, California is making clear that our communities will not be abandoned. This funding will help stabilize care, protect access, and give families hope that their children can continue receiving the affirming health care they need and deserve,” said Kathie Moehlig, TransFamily Support Services Founder and Executive Director. 

“California’s historic investment in this life-saving care could not come at a more urgent time. While the federal government slashes critical protections, guts health care, and launches harmful attacks on trans people, we are proud to live and work in a state that leads the nation by example in the fight for trans people and their families. We are immensely grateful to the California LGBTQ Caucus and Governor Newsom for meeting this moment and continuing to champion LGBTQ+ communities,” said Jennifer Chou, Los Angeles LGBT Center Health Policy Director. 

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About the California Legislative LGBTQ Caucus

California’s Legislative LGBTQ Caucus was formed in 2002 to create a forum for California Legislators to discuss issues that affect LGBTQ Californians and to further the goal of equality and justice for all Californians. California became the first state in the United States to officially form a caucus of openly-LGBTQ state legislators and continues to be a leader of progress for all Americans. In 2023, our membership hit a new milestone of 12 members, becoming one of the largest LGBTQ Caucus in the Nation, and continues to remain strong. Despite tremendous progress and an unprecedented swell of support for the LGBTQ community worldwide, there is still much work to do to protect and uplift the most vulnerable in our community. The LGBTQ Caucus strives to advocate for diversity and inclusion of all people, including differently abled bodies. Our Caucus is working diligently to support LGBTQ leaders that represent our community at the local, state, and federal levels.

For more information on the California Legislative LGBTQ Caucus, please visit https://lgbtqcaucus.legislature.ca.gov/ 

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