
Planned Parenthood to lose $3.36M
July 2, 2025
There is a lot of talk about HR 1, The Big, Beautiful Bill (BBB) Act of 2025, but most of that talk is focused on immigration, energy, firearms, and Medicaid – on a broad scale.
What interests us most is how the BBB will affect the number of abortions you and I pay for here in Alaska.
While there is no clear, black and white expectation for Medicaid funded abortions in Alaska, we can come to some fairly informed conclusions:
The Alaska Planned Parenthood could lose as much as $3.36 Million Dollars as early as October 2nd, 2025, regardless of whether Alaska continues to fund and pay for abortions.
Here’s how that works:
The Alaska Planned Parenthood is part of a much larger affiliate (think franchise) called Planned Parenthood Great Northwest, Hawaii, Indiana, Kentucky. I’ll refer to them throughout this article as PPGNW.
Making up the ‘Northwest’ portion of the affiliate are Alaska, Idaho, and Washington.
PPGNW’s latest tax return (2022) shows roughly $33,372,286 in Medicaid funded income.
Planned Parenthood Alaska saw 5,091 individual “patients” in 2023, accounting for approximately 11% of all PPGNW patients.
The $3.36M at ‘risk’ here in Alaska is 10.08% of the $33,372,286 PPGNW took in from Medicaid in 2022.

Where HR 1, or the Big, Beautiful Bill Act of 2025 comes in is Section 71113 of the bill. Section 71113 deals with Medicaid funding to “prohibited entities.” In essence, Section 71113 prohibits federal Medicaid funds (defined as direct spending) from being used to reimburse a “prohibited entity” for one year if:
- The entity is a 501(c)(3) nonprofit,
- Is an essential community provider engaged in family planning and abortions,
- Performs abortions outside of Hyde Amendment exceptions (rape, incest, or life of the mother), and
- Received over $800,000 in Medicaid funds in FY2023.
Since PPGNW received over $33M in Medicaid funds in 2023 – it’s a safe assumption based on the 2022 tax return and 2023 annual report – they stand to lose ALL of their Medicaid funding for one year as a “prohibited entity” under Section 71113 of HR 1.
While this looks promising, a lot must happen federally and here in Alaska before the State stops paying for abortions. Implications for Alaska include:
- TEMPORARY:
- The 1-year restriction exerts significant financial and legal pressure on states to drop providers that perform abortions, even outside Medicaid.
- LAWSUITS:
- Excluding providers based on Section 71113 will certainly provoke state “constitutional” challenges, especially in here in Alaska, where our courts have racked up nearly 50 pro-abortion opinions.
- JUDICIAL AND CONSTITUTIONAL CRISIS:
- Section 71113 would shift abortion-related Medicaid decisions from the state judiciary and Center for Medicaid and Medicare Services (CMS) to federal statute, overriding some aspects of federal administrative law.
- ANNUAL RENEWALS:
- Though only valid for one year, this provision could be renewed annually, gradually reshaping national Medicaid policy without permanent structural change.
Here’s what we know. If Section 71113 of HR 1, the BBB is enacted:
- All federal Medicaid funds for all services (e.g., contraception, STI testing, wellness) provided by Planned Parenthood in Alaska would be cut off, even if:
- Abortions are paid entirely with state dollars,
- And even though the state itself defines them as “medically necessary”.
- The financial outcome would not target abortion, but instead:
- Strip federal funding from all of the lower value services that Planned Parenthood uses to establish a commercial relationship with abortion vulnerable women.
Payments to Planned Parenthood for anything other than abortions with either State or Federal money, will have to STOP.
- Planned Parenthood will immediately lose about $2.8 Million in State and Federal Medicaid income for non-abortion services based on PPGNW’s 2022 tax return.
Given that Planned Parenthood controls 23 of the 60 members of the Legislature, they’re sure to have a strong influence on how the Legislature views this massive loss to the abortion corporation.
More than that, both the Legislature and the Administration could use previous court opinions to justify continuing to pay Planned Parenthood from unrestricted State funds. Beyond that, there are still several options available (and many more I couldn’t conceive of):
- Alaska could simply delay payments until next year, when the defunding measures are set to expire. It wouldn’t be the first time Alaska was slow to pay her debts.
- Alaska could delay payments until later this year when they can submit a Supplemental Budget.
- Alaska could continue funding those payments with money transferred from other parts of the State Operating Budget.
- Former Senate Finance Chair Bert Stedman has referred to $500 MILLION budget discrepancies as “decimal dust.” What’s a measly $3.3M transfer in a dusty ledger of budget transfers?
- They may have to make formal adjustments to the budget for doing so – a move not likely to gain much traction, as they would have to call a Special Session of the Legislature.
In addition to the $2.8M above, Alaska pays Planned Parenthood approximately $500,000 per year for abortions.
- That money will be explicitly prohibited from the Medicaid budget by Section 71113.
- Like the non-abortion funding and payments, Alaska could simply dig that money out of the “decimal dustbin” and continue paying for babies to be killed.
Will Alaska continue funding and paying for abortions with money outside of State or Federal Medicaid allocations? At this point, nobody knows.
But what we know for sure is that regardless of how abortions are funded and paid for, Planned Parenthood is established as a “prohibited entity” under federal Medicaid which could prohibit Alaska from paying Planned Parenthood for anything from the Medicaid program.
And we know that unless you and I act, we should expect the State to find a way to continue abortion funding and payments from sources other than Medicaid.
What you can do.
Sign the petition to end abortion funding and payments. Each petition will be printed and delivered to Governor Dunleavy, Senate Republican leader Mike Shower, and House Republican leader Mia Costello.
Sign the petition HERE.