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Planned Parenthood Mar Monte permanently closed five of its clinics in Northern California on Thursday, July 24, as a result of President Donald Trump’s funding bill. The closure of two clinics in South San Francisco and San Mateo, leaves only one remaining in San Mateo County — in Redwood City.
The bill, which was signed into law on July 4, aims to change federal spending levels by defunding programs such as those paid for through Medicaid. The administration’s policy prohibits federal reimbursements to health care organizations that provide abortion care and received more than $800,000 in Medicaid funding in 2023.
While the health clinic in Mountain View remains open, other clinics in Gilroy, Santa Cruz and Madera ceased operation as well.
Despite the bill going into effect, clinics across California and Nevada continued to serve nearly 5,000 Medicaid patients, without seeking reimbursements for the services provided. But without federal funding, the nonprofit suffered $1.7 million in lost revenue within the first week, said Planned Parenthood Mar Monte Chief of Staff Andrew Adams.
“At the end of July, we project a loss of $8.4 million in lost reimbursement, so we know that’s not a sustainable business model for Planned Parenthood Mar Monte,” he added.
However, federal Judge Indira Talwani ruled on Monday, July 28, that Planned Parenthood clinics must continue to be reimbursed for Medicaid services, blocking the Trump administration from enforcing the policy that defunds Planned Parenthood.
“We anticipate that this case could work its way to the Supreme Court and that’s one other reason we are working on a different business model, (one) that is less reliant on federal reimbursement of services,” Adams said. “We’re going to keep fighting and in order to do that we’ve had to make incredibly devastating choices to reduce expenses.”
Planned Parenthood is a key provider in sexual and reproductive health services offering abortion, birth control, STD testing and treatment, and gender affirming care. Clinics however will be sunsetting services in family medicine, behavioral health and prenatal care. According to Adams, patients who were receiving ongoing care for these services are being transitioned to other health providers.
The nonprofit’s decision to close certain clinics was made with careful consideration of facility improvement needs, proximity to other Planned Parenthood centers and nearby health providers, program officials said. Executives said they thought that keeping Redwood City’s location open was “strategically the best option for San Mateo County-based patients.”
Although the county is left with one clinic, Adams ensured that patients will not experience any delays in services and will still be seen as quickly as possible through its health centers or by telehealth. Patients who had appointments in the weeks after the closure of the clinics were notified that they would be able to reschedule at a nearby health center.
Staff, however, had faced the impacts of the bill as early as late June. A total of 120 staff members were laid off and 62 of them worked their last day as doors shuttered. Only a handful were offered other positions at nearby health centers, said Adams.
Moving forward, the organization will be working with state leaders and philanthropic partners to figure out ways to fund and support Planned Parenthood as it establishes a business model that is not reliant on federal funding, he explained.
On Friday, July 25, San Mateo County Supervisor Noelia Corzo released a statement in support of Planned Parenthood. She referenced the county’s Action Plan for Women and Children, which was implemented in December 2024 in anticipation of future challenges the nation would face with reproductive health and freedom.
The plan includes resolutions that address gender inequities by bridging the wealth gap, increasing access to child care, preventing domestic violence and expanding reproductive health and health care freedom.
“I am grateful to Planned Parenthood Mar Monte’s essential service to our community and regret the impossible decisions they were forced to make,” she wrote in the statement. “ I will continue to advocate fiercely for every person’s right to safe, affordable, and affirming health care.”
