Did you even read your own link? "Frank said most adoptions happen through the state’s Child Protective Services, which would not be subject to the religious freedom mandate, though outside agencies that receive state funding would be."  So people turned down by private agencies still can go to the state CPS, which is where most Texans adopt from anyway.  How that keeps more kids in foster care, I'm not entirely sure, because Texas CPS clearly has the ability and obligation to place all children from its own state foster care department with qualified single, same-sex, Muslim, Jewish, Christian adoptive parents.  If birth parents want a child placed with a particular demographic, they go to a private agency whose criteria match that demographic, and the law simply allows that to happen without state interference.