Last month, the Trump administration announced that it will withhold $200 million in federal healthcare funding to California in the new fiscal quarter starting in January. The whole stir in things is happening because the state requires insurance providers to cover abortions.
The administration had warned California earlier this year about such a thing. The Department of Health and Human Services found that the state of California was violating a federal antidiscrimination law (the Weldon Amendment) protecting insurers from mandatorily providing abortion coverage.

However, amidst such problems, the incoming administration of President-elect Joe Biden could reverse the decision. Xavier Becerra, Biden-nominated attorney general of California, has been a supporter of abortion rights and will be heading the Health and Human Services agency.
The office of Gov. Gavin Newsom has already criticized the former move as an attempt “to score cheap political points.”