Texas Attorney General Ken Paxton announced on Friday a “historic settlement” with Texas Children’s Hospital that compels the creation of what he called the country’s first-ever Detransition Clinic. According to the attorney general’s office, the agreement also mandates the hospital to pay $10 million for billing Texas Medicaid for unallowable and illegal “gender-transition” interventions.

Paxton described the settlement as a “monumental day in the fight to stop the radical transgender movement,” stating it reflects a “fundamental cultural shift away from radical ‘gender’ ideology.” He emphasized that the agreement will ensure “deranged child mutilators who hurt our kids are fired and held accountable.” Paxton further praised Texas Children’s Hospital for committing to establish the clinic, which he said will provide free care to those victimized by “twisted, morally bankrupt transgender ideology.”

Under terms of the settlement, Texas Children’s Hospital must close its existing gender-transition services, fire five specific physicians who performed harmful interventions, and implement ethics measures requiring automatic revocation of medical privileges for any provider violating Texas’ prohibition on such procedures. The Detransition Clinic will operate free of charge for patients for the first five years.

Chloe Cole, a 21-year-old detransitioner and advocate, called the development “an incredible moment” for ending child mutilation. Texas Children’s Hospital stated it made a “difficult decision” to settle after spending three years producing over five million documents in response to investigations. The hospital said it settled to protect resources from “endless and costly litigation,” adding that it remains committed to “following the law.”

Andrea Segovia, senior field and policy director for the Transgender Education Network of Texas, expressed concern that other states might follow Texas’ lead. She noted transgender individuals constitute about 1% of the population and criticized the clinic’s creation as particularly concerning given struggling access to rural healthcare and reproductive services. Segovia also warned that mental health support would likely not be integrated into the clinic’s services, stressing that detransition decisions often stem from social pressures rather than medical complications.

Paxton previously released an opinion stating state-licensed mental health providers cannot perform gender-transitioning care for minors under Texas law, though it remains unclear whether he believes similar restrictions apply to detransitioning procedures.