Texas Children’s Hospital is set to launch the first clinic in the United States dedicated to detransitioning children who have undergone gender-affirming procedures. This initiative comes as part of a $10 million settlement following a state investigation into allegations of fraudulent billing practices for gender-affirming care, carried out under the Texas Medicaid programme.
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On 15 May, Texas Attorney General Ken Paxton announced that the establishment of this detransition clinic would be part of a settlement agreement reached with the hospital, which is situated in Houston. The investigation led to claims that the hospital had submitted false diagnosis codes to secure payment for treatments related to gender-affirming care. In conjunction with the clinic’s launch, the settlement stipulates that the hospital must pay the substantial monetary sum and terminate the employment of five doctors who previously provided gender-affirming treatments.

In a press release, Paxton described the clinic’s purpose as providing care to children who have suffered adverse effects from what he termed “ideologically-driven” medical interventions. He stated that it intends to rectify the alleged damage inflicted on these young patients by physicians who engaged in what he described as “dangerous medical practices” aimed at transitioning children.

The Justice Department echoed Paxton’s sentiments, indicating that this settlement marks an important step towards ceasing what it referred to as “sex-rejecting procedures.” Acting Attorney General Todd Blanche stated that the department’s commitment is to eradicate what they consider discredited practices of gender-affirming care for minors in order to prioritise restorative treatment options for those affected.
Texas Children’s Hospital expressed its intention to cooperate fully with the Attorney General’s office and the Justice Department throughout the investigation. The hospital asserted that it had provided over five million documents during the past three years and had undergone extensive scrutiny. In a statement, later removed from its website, the hospital reflected on the challenges posed by what they labelled an “unconscionable campaign of mistruths” regarding their practices.
To mitigate future litigations and preserve resources for patient care, the hospital made the difficult decision to settle. They emphasized that this settlement would allow for a redirection of funds toward essential medical care and research efforts undertaken by their clinicians and scientists.
According to Paxton, services provided by the new detransition clinic will be funded by the hospital and will be offered at no cost to patients for the first five years of its operation. This aspect of the settlement aims to relieve financial burdens on families seeking further care.
However, the decision to establish the detransition clinic has drawn considerable backlash from various transgender advocacy groups and pro-LGBTQ organisations. Brad Pritchett, the chief executive of Equality Texas, condemned the settlement, accusing the state of coercing a reputable hospital into creating a service that he argues is unnecessary. He expressed dismay at the perceived prioritisation of political motives over the well-being of patients.
Additionally, Andrea Segovia, senior field and policy director for the Transgender Education Network of Texas, remarked on concerns that other states may follow Texas’s lead in establishing similar clinics. She expressed her frustration at the state creating a detransition clinic while simultaneously witnessing a reduction in access to other essential healthcare services.
Major medical organisations, including the American Academy of Pediatrics, the American Medical Association, and the American Psychological Association, have consistently advocated for gender-affirming medical care, asserting its necessity for the health and well-being of transgender youth. Despite this professional consensus, the actions taken by Texas and associated developments have initiated a significant debate surrounding the provision of transgender healthcare across the nation.
As discussions on the implications of this settlement and the establishment of the detransition clinic continue, the situation remains fluid, with further developments likely to arise in the coming weeks and months, reflecting the ongoing tension surrounding gender-affirming care and the rights of transgender youth in the United States.
