This new, no-surgery-required standard is similar to those in European countries like the United Kingdom, where emphasis is placed on transgender citizens living the life of their "acquired gender" rather than what they anatomically bring to the table. And it's more in line with the progressive, individualistic philosophy of the LGBT community, which has pushed for this change for years.
Mark 10 5 But Jesus said to them, "Because of your hardness of heart he wrote you this commandment. 6 "But from the beginning of creation, God MADE THEM MALE AND FEMALE. 7 "FOR THIS CAUSE A MAN SHALL LEAVE HIS FATHER AND MOTHER, 8 AND THE TWO SHALL BECOME ONE FLESH; consequently they are no longer two, but one flesh. 9 "What therefore God has joined together, let no man separate."---NASB
God doesn't make any mistakes when he picks a gender for a person.