URGENT UPDATE: Illinois has joined 11 other states in a groundbreaking lawsuit against the Trump administration, challenging a controversial new executive order that threatens to withhold potentially hundreds of billions of dollars in federal grant funding. This lawsuit comes as President Donald Trump moves to enforce a rigid definition of sex and gender, impacting vital funding for health education and services.
The executive order, issued on the first day of Trump’s second term, mandates that federal agencies only recognize a person’s sex assigned at birth. It dismisses gender identity, labeling it a “false claim,” and threatens states that do not comply with this directive. The U.S. Department of Health and Human Services (HHS) now warns that states failing to align with this order will lose funding for essential programs, including medical research and workforce development initiatives aimed at training healthcare professionals.
Illinois, for example, permits residents to adjust their birth certificates based on their affirmed gender identity. In response, Illinois Attorney General Kwame Raoul stated, “The Trump administration is attempting to hold billions of dollars hostage in an attempt to force states to exclude and discriminate against people who are transgender.” He emphasized the importance of living authentically and vowed to fight against these “cruel attempts” to erase transgender individuals from policy.
The lawsuit criticizes the new funding conditions as “novel and ambiguous,” arguing that the Trump administration is using federal funds as leverage to impose discriminatory policies. States contend that HHS does not hold the authority to enforce such restrictive requirements on federally allocated spending, which could lead to civil and criminal liabilities under the False Claims Act.
The order further instructs federal agencies to eliminate inclusive language and policies regarding gender identity, raising concerns about the exclusion of transgender, intersex, non-binary, and gender-diverse individuals. Compliance with the federal order would directly conflict with Illinois’ own Human Rights Act, which protects against gender-based discrimination in various sectors.
The states are urging the court to deem the HHS policy unlawful and to block its enforcement. This legal move underscores a broader trend in which the Trump administration has threatened to withdraw funding from states that do not adhere to its policies, particularly those led by Democrats, including Illinois.
In recent months, Illinois has participated in multiple lawsuits against the administration, including a challenge to executive orders linked to gender-affirming care for minors and another regarding Medicaid and Medicare funding. A ruling in September deemed it unconstitutional for federal agencies to withhold disaster relief funding based on state law discrepancies.
As the legal battle unfolds, the administration’s aggressive funding cuts continue to affect essential services. Just this week, it was reported that approximately $2 billion in funding was cut from nonprofit organizations providing crucial health services, citing misalignment with the Trump administration’s priorities.
As this situation develops, residents and advocates are urged to stay informed about the implications of this lawsuit and the potential impact on healthcare funding and rights for transgender individuals in Illinois and across the country.
