Overview
- Ken Paxton, who announced the settlement Friday, said Texas Children’s must create a clinic for patients seeking care after prior gender-related treatments.
- The hospital agreed to pay $10 million tied to allegations it used false diagnosis codes to bill Texas Medicaid for treatments barred under state law.
- Five physicians will be fired with their privileges permanently revoked, and the hospital will update its bylaws to enforce the state’s prohibition for minors.
- The new clinic’s services will be free to patients for five years and funded by the hospital, though the start date and scope of care have not been detailed.
- Texas Children’s denies any illegal conduct and says it settled to avoid costly litigation after a probe that began in 2023 and was coordinated with the U.S. Department of Justice.