Can you find a source for this? Other than something someone said in an anti-transgender propaganda film? I can't.

Who pays whom?

A teenager pays $1.3 million to be allowed to— No.

Their parents pay— No.

Their health insurance company pays— Very probably not.

Where do you think the alleged $1.3 million is coming from, and why would this money change hands?

Hormones are actually rather inexpensive, as medications go.