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Elon, Vivek Aim to Halt Funding for Progressive Entities Such as Planned Parenthood

 November 25, 2024

Elon Musk and Vivek Ramaswamy have stirred controversy with their plans to revamp federal spending.

The powerful duo intends to target funds allotted to progressive organizations, including Planned Parenthood, as part of their broader effort to slash federal overspending, as Breitbart reports.

On Nov. 12, President-elect Donald Trump announced the appointment of Musk Vivek Ramaswamy to the newly formed Department of Government Efficiency (DOGE). This move is a significant part of his "Save America" Movement.

The Wall Street Journal published a joint op-ed by Musk and Ramaswamy on a Wednesday, detailing their strategy to curtail federal expenditures deemed unauthorized or misdirected by Congress.

Part of their initiative targets the $500 billion of misused or unauthorized federal funds annually, including substantial cuts to organizations like the Corporation for Public Broadcasting and various international bodies.

Planned Parenthood Faces Significant Funding Cuts

Within their strategy, nearly $300 million in funds allocated to Planned Parenthood is poised for possible cuts. This decision has led to significant backlash from the affected organizations.

Planned Parenthood's President and CEO, Alexis McGill Johnson, has vocally criticized the move. She called Musk and Ramaswamy "unqualified fanboys and agents of chaos" in a press release.

Johnson emphasized the resilience of Planned Parenthood in the face of funding challenges, recalling past attempts to defund the organization during Trump's first presidential term.

Historical Resistance to Federal Spending Cuts

The 1974 Impoundment Control Act is often cited as a barrier to such executive-driven spending cuts. This law restricts the president’s ability to withhold funds already authorized by Congress.

Despite this, the new DOGE leaders argue in their op-ed that the act has limitations that they can navigate to enforce their budgetary policies.

Trump has supported this perspective, previously questioning the constitutionality of the Impoundment Control Act and suggesting that the Supreme Court might uphold a more flexible interpretation.

Biden’s Medal Award Ceremony Highlights Political Contrast

The timing of the op-ed coincided with an event where President Joe Biden awarded the Presidential Medal of Freedom to Cecile Richards, the former president of Planned Parenthood.

This award is seen as a stark contrast to the actions being proposed by Trump’s appointees, highlighting the deep political divisions surrounding Planned Parenthood’s funding.

Planned Parenthood has been a well-known provider of reproductive health services, with government funding making up a significant portion of its budget.

Detailed Financial Overview of Planned Parenthood

According to Planned Parenthood's 2023 annual report, government grants and Medicaid reimbursements accounted for $699.3 million -- 34% of its revenue.

Since 2010, government funding to Planned Parenthood has increased by 43%, showcasing the growing financial role that federal and state support plays in its operations.

In contrast, Planned Parenthood also received a substantial $997.5 million from private contributions, as detailed in the organization's latest financial reports.

Impact of Funding Cuts on Planned Parenthood’s Services

Planned Parenthood reported performing 392,716 abortions in the fiscal year 2021-2022, making up 97.1% of its pregnancy resolution services during this period.

Financial challenges posed by funding cuts could impact the breadth of services offered, particularly affecting areas less supported by private donations.

The CEOs of Planned Parenthood affiliates also saw a 26.3% increase in total compensation from 2015 to 2020, highlighting the financial dynamics within the organization.