The government wants the Catholic Church OUT of the hospital business. The government hates competition.
What they WANT the Church to do is just give up. The State will levy huge fines against the Church for refusing to perform abortions, then they will seize and take over the Church's property and all its contracts with physicians and nurses, to pay the fines.
They will get the physical plant and all the doctors for free.
When they start forcing the church to perform gay marriages, I guess they will be forced to close the church too.
Let’s face it, they want the Catholic Church OUT OF BUSINESS period.