Settlement Establishes First Detransition Clinic in Texas
Texas Attorney General Ken Paxton, in collaboration with the U.S. Department of Justice, has announced a significant settlement that compels Texas Children’s Hospital in Houston to create the first-ever multidisciplinary “detransition clinic” in the nation.
This resolution ends a lengthy three-year investigation into the state’s largest pediatric hospital, which faced scrutiny over allegations of harmful practices and fraudulent billing methods.
As part of the agreement, Texas Children’s Hospital will pay $10 million in civil penalties to address claims related to improper billing of Texas Medicaid for unauthorized youth gender-transition procedures, using falsified diagnosis codes.
Beyond the financial aspects, the hospital is mandated to permanently stop all pediatric transition services, revoke the medical privileges of several practitioners involved, and fully support the new detransition clinic that will offer restorative care at no cost for its first five years.
Paxton characterized this deal as a significant triumph against what he sees as a damaging movement surrounding gender dysphoria. Meanwhile, Texas Children’s Hospital insists that it has complied with all relevant laws and settled to avoid further costly litigation, aiming to refocus on its essential life-saving services.
“Today is a monumental day in the fight to stop the radical transgender movement,” Paxton stated. “This historic settlement indicates a fundamental cultural shift from radical ‘gender’ ideology. In addition to helping establish the first-ever Detransition Clinic and securing millions, this settlement will ensure that those responsible for harming children are held accountable.”
Earlier this year, Paxton initiated legal action against Texas Children’s Hospital, alleging breaches of the state’s prohibition on youth gender-transition medical care. The state also accused the hospital of defrauding Medicaid through deceptive billing practices for these procedures.
The hospital noted that the settlement concludes “a chapter filled with falsehoods and distractions,” emphasizing that it will now redirect resources to focus on life-saving care and innovative treatments, maintaining its commitment to legality.
According to Paxton’s statement, the hospital has agreed to stop all gender-transition services, although details on which specific treatments are included remain unclear. The new clinic will focus on aiding patients looking to reverse previous gender-transition procedures and hormones, fully funded by Texas Children’s Hospital for the first five years.
Paxton commended the hospital’s decision to contribute to the solution, stating that this pioneering clinic will provide essential care free of charge to those affected by what he described as a misguided ideology.
“I will investigate and apply the law to any Texas hospital that harms children through inappropriate medical interventions to ‘transition’ kids,” he concluded.
