Indiana to defy Obama admin order and de-fund Planned Parenthood

Governor Mitch Daniels signed the law, which would cut off anywhere from $2 million to $3 million the Planned Parenthood abortion business receives in federal funds via the Indiana government through Medicaid. Daniels said that “any organization affected by this provision can resume receiving taxpayer dollars immediately by ceasing or separating its operations that perform abortions.”

However, the Obama administration told the state it can’t implement the new law, with Centers for Medicare and Medicaid Services Administrator Donald Berwick denying a request to deny funds saying the federal Medicaid law stipulates that states can’t exclude providers based on the services they provide.

But Marcus Barlow, a spokesman for Indiana’s Family and Social Services Administration, told National Journal, “The way the law was written, it went into effect the moment the governor signed it. We were just advised by our lawyers that we should continue to enforce Indiana law.”