California is providing $140 million to seven cash-strapped Planned Parenthood affiliates in California to provide reproductive care — a move that won’t be enough to restore the nonprofit’s shuttered Melody Health primary care services in Southern California.
Gov. Gavin Newsom announced the financial lifeline Thursday, Oct. 23, not long after Planned Parenthood of Orange and San Bernardino Counties said it was shuttering seven clinics and laying off 81 workers by Dec. 13.
Earlier this month, Planned Parenthood said it was closing Melody Health because of the Trump administration’s defunding efforts. The layoffs include physicians, nurses and administrative staff. About 450 healthcare professionals and administrative staff will be left with Planned Parenthood after Melody Health winds down.
The defunding came after Congressional Republicans passed President Donald Trump’s “One Big, Beautiful Bill Act.” The law includes a provision that restricts federal funding for Planned Parenthood Federation of America or any of its affiliates or clinics for one year. That provision was paused under a court injunction in July, but was restored when the court order was stayed Sept. 11. Congress, as it stands, will renew the defunding provision annually.
Nichole Ramirez, chief communications and transformation officer with the local Planned Parenthood group, said that even if the nonprofit received a $20 million split of the $140 million offered by the state it would still need to make more belt-tightening moves because the Trump administration also blocked the state from receiving $300 million in federal Medicaid funds.
Medicaid provides healthcare coverage for eligible low-income children and their families, pregnant women, seniors and people with disabilities.
The local Planned Parenthood affiliate was receiving about $50 million out of its total annual operating budget of $100 million from the federal government, meaning that it would still need to make up a $30 million deficit from somewhere else, Ramirez said. “Right now we’re just living off our reserves,” Ramirez said.
The exact amount of money that Planned Parenthood is expected to receive locally is unknown, as Newsom didn’t say when and how much each of the affiliates would receive, Ramirez said.
“We’re grateful for the funds, but we know that this is only meant to be a temporary solution,” she said. “In order to stay open, we will need to work with the California legislature when they return in January on a longer-term fix to make up what was lost when the Trump administration defunded Planned Parenthood.”
The cash infusion ensures that Planned Parenthood can still perform millions of annual gynecological exams, screenings for breast and cervical cancer, Pap smears to detect cell changes in a cervix, birth control, insert intrauterine devices, sexually transmitted infection testing and treatment, HIV testing, urinary tract infection testing and treatment and abortion care.
In 2026, Newsom and legislative leaders intend to identify additional resources so that Planned Parenthood health centers can continue to provide services to Californians.
Krista Hollinger, chief executive officer of Planned Parenthood of Orange and San Bernardino Counties, previously said terminating Melody Health would affect more than 13,000 patients enrolled at its seven clinics in Orange and San Bernardino counties. The clinics provide primary care services such as annual wellness checks, cold and flu treatment, vaccines, diabetes management, vaccinations and behavioral health services.
All nine of Planned Parenthood health centers in Orange and San Bernardino counties will remain open for reproductive care services.
