First US ‘Detransition Clinic’ Mandated in Texas Settlement Over Child Care

Texas Attorney General Ken Paxton has reached a sweeping settlement that forces Texas Children’s Hospital to open what would be the nation’s first “detransition clinic,” a facility designed to treat patients who previously underwent gender‑transition procedures. The agreement also requires the hospital to pay $10 million to the state, concluding a years‑long investigation into its billing practices and its role in providing gender‑affirming care to minors.

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Under the deal, the clinic must offer free services for its first several years and operate alongside other penalties, including the revocation of medical privileges for several physicians. The settlement arrives amid Texas’ broader crackdown on transgender medical care for minors, following legislation signed in 2023 that banned puberty blockers and hormone therapies for youth. Paxton framed the outcome as a major victory, while the hospital has not yet commented.

Texas Attorney General Ken Paxton speaks during the Conservative Political Action Conference (CPAC) in Grapevine, Texas, on March 27, 2026. American conservatives converge on Texas this week for what organizers bill as their largest and most influential gathering, with the Iran war and fears of a punishing midterm election cycle heightening the stakes. (Photo by Leandro Lozada / AFP via Getty Images)

Texas Children’s pushed back forcefully, saying it chose to settle to end a costly and protracted legal fight rather than because of any wrongdoing. In a statement, the hospital said it spent three years producing more than five million documents for state and federal investigators and maintained that every review has found it compliant with the law. Leaders called the settlement a “difficult decision” made to protect resources and keep the hospital focused on patient care.

Why It Matters

The agreement lands amid a national political battle over transgender health care, with Texas positioned at the forefront of efforts to restrict treatment for minors. While Paxton celebrated the settlement as a turning point, the hospital emphasized that it would “always put our purpose over politics” and continue operating within state and federal law as the new clinic takes shape.

This is a breaking news story. Updates to follow.

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