Medicaid Director Cindy Mann says Texas will be dropped because Governor Perry insisted on rules that excluded Planned Parenthood from the program.
"I just want to underscore how disappointed we are in having to take this action. We don't have a choice. Medicaid law is clear Patients, not the state government officials are able to choose the healthcare providers that are best for them and their families."
Mann says there will be a three to six month phase-out period, so women treated at Planned Parenthood clinics will have time to find a new provider. Governor Perry has said he wants to continue serving the 130,000 women who use the program, but shift them into a state-funded program under state rules.