NY Attorney General Reaffirms Protection of Federal Funding for Gender-Affirming Care and DEI Initiatives

In a strong response to recent policy changes, New York Attorney General Letitia James has reaffirmed that federal funding for gender-affirming healthcare and diversity, equity, and inclusion (DEI) programs remains intact, despite previous attempts to restrict financial support.

On Monday February 3rd, James sent a letter to hundreds of federal funding recipients, including healthcare providers, nonprofits, and educational institutions, emphasizing that their financial assistance cannot be withheld or frozen due to blocked federal policies.

Funding for Gender-Affirming Care Remains Secure

One of the key aspects of James’ letter addressed concerns over gender-affirming care for minors. She reminded healthcare providers across New York that they must continue to offer medical services without discrimination, in accordance with state laws protecting gender identity and expression.

James made it clear that New York law supersedes federal attempts to cut funding, ensuring LGBTQ+ individuals have access to necessary medical treatment. This comes after an attempt to block funding for certain medical and social programs was halted by legal challenges.

DOJ Notice Reinforces Legal Protections

In response to the court’s decision, the U.S. Department of Justice (DOJ) has issued a nationwide notice to federal agencies, contractors, and grant recipients. The notice explicitly states that:

• Federal agencies cannot withhold, freeze, block, or cancel financial assistance based on previously issued policies.
• Grants for hospitals, nonprofits, and organizations remain protected, ensuring continued support for gender-affirming healthcare and DEI programs.
• Future grant allocations must comply with the ruling, meaning organizations cannot be denied funding based on these policies.

What This Means for New York Healthcare Providers

For hospitals, clinics, and nonprofit organizations in New York, this legal update means that funding for essential healthcare services, including gender-affirming care, is secure. Providers are legally required to continue offering these services in accordance with New York’s anti-discrimination laws.

James’ firm stance sends a clear message: New York will uphold protections for marginalized communities, regardless of shifting federal policies.

For more details, you can read the full letter issued by the NY Attorney General's Office here.

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