Capitol Hill Blue Forums Science and Technology Health, Medicine & the healing Sciences Texas Loses Entire Women's Health Program

Perry wrote a letter to President Obama earlier this month accusing his administration of "mandating which health providers the state of Texas must use" in order to "continue to support abortion providers like Planned Parenthood." He vowed to continue the Women's Health Program in Texas without Planned Parenthood and without federal money, although he has yet to outline how his state will come up with money.

Cindy Mann, director of the Center for Medicaid and State Operations (CMSO), wrote Texas health officials a letter on Thursday explaining that the state broke federal Medicaid rules by discriminating against qualified family planning providers and thus would be losing the entire program, which provides cancer screenings, contraceptives and basic health care to 130,000 low-income women each year.

"We very much regret the state's decision to implement this rule, which will prevent women enrolled in the program from receiving services from the trusted health care providers they have chosen and relied upon for their care," she wrote. "In light of Texas' actions, CMS is not in a position to extend or renew the current [Medicaid contract]."

The federal government pays for nearly 90 percent of Texas' $40 billion Women's Health Program, and nearly half of the program's providers in Texas are Planned Parenthood clinics. But the new law that went into effect earlier this month disqualified Planned Parenthood from participating in the program because some of its clinics provide abortions, even though no state or federal money can be used to pay for those abortions.