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Texas Children’s Hospital must create country’s first ‘detransition clinic’ under settlement with Paxton

The hospital will fund free services for five years and pay $10 million after a state investigation into gender-transition billing.

  • On Friday, Texas Children's Hospital agreed to develop the nation's first detransition clinic and fire five physicians as part of a settlement with Attorney General Ken Paxton, paying $10 million for prior Medicaid billing related to gender-affirming care.
  • Paxton's investigation began in 2023 when Governor Greg Abbott signed legislation banning puberty blockers and hormone therapy for minors; the Texas Supreme Court upheld the law in 2024.
  • The hospital must amend bylaws to automatically revoke physician privileges and provide free clinic services for five years funded entirely by the hospital, while terminating multiple doctors.
  • Texas Children's stated it settled to protect resources from "endless and costly litigation" after three years producing 5 million documents, while Paxton framed the outcome as a "monumental day in the fight to stop the radical transgender movement.
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WFAA 8abc broke the news in Dallas, United States on Friday, May 15, 2026.
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