Governor of California Gavin Newsom reportedly signs $26m healthcare fund for trans youth
"For decades, we’ve been told that government has to choose between balancing the books and investing in people. California proved that’s a false choice," said Newsom
By Aaron Sugg
Gavin Newsom has reportedly signed off on a $26 million (£19.4 million) healthcare fund to protect transgender young people and help offset Donald Trump’s cuts.
The Governor of California is said to have approved the one-off funding as part of the state’s budget package for the 2026–2027 financial year.
California’s fund comes shortly after the Trump administration implemented significant federal funding cuts to California’s Medicaid programme, withdrawing millions of dollars from trans healthcare services for under-18s.
“This historic investment will help keep care accessible” – TransFamily Support welcomes California’s trans healthcare fund
Another $30 million was budgeted to cover funding gaps for providers affected by the administration’s cuts.
Kathy Moehlig, director of TransFamily Support Services, told LAist: “This historic investment will help keep care accessible, support the providers doing this lifesaving work, and remind trans young people that California will not abandon them.”
In an initial statement published via Newsom’s official website in late June, the California governor did not address trans healthcare. However, as LAist reported, following negotiations with lawmakers, the final budget included funding to support trans healthcare.
“This budget reflects years of disciplined decisions” – Gavin Newsom announcing California’s budget
He said: “For decades, we’ve been told that government has to choose between balancing the books and investing in people. California proved that’s a false choice.”
“This budget reflects years of disciplined decisions that built historic reserves, paid down debt, strengthened our economy, and made transformational investments in education, healthcare, housing, infrastructure and opportunity,” Newsom continued.
“We’re leaving California stronger than we found it – and leaving the next generation a state that’s fiscally sound, economically dominant and ready for whatever comes next.”
LGBTQ+ advocates have welcomed the budget
LGBTQ+ advocates have welcomed the budget, describing it as a historic moment “when LGBTQ+ communities across the country are under relentless attack”.
“California has chosen a different path – one rooted in dignity, compassion and action,” said Joe Hollendoner, chief executive officer of the Los Angeles LGBT Center.
“This is one of the most significant LGBTQ+ policy victories in our state’s history. These investments will save lives, expand access to healthcare and housing, and strengthen the institutions our communities rely on to survive and thrive.”