LANSING, Mich. (AP) — A major faith-based foster care and adoption contractor for the state of Michigan is reversing its policy and will place children with same-sex couples to comply with a legal settlement.

Bethany Christian Services and the state confirmed the change Monday.

Bethany Christian Services says while it is “disappointed” with how the settlement has been implemented, it will nonetheless reverse its policy so it continues foster care and adoption work for the state.

As of February, Bethany Christian Services was responsible for 1,159 — or more than 8% — of cases of children under state supervision.

Democratic Michigan Attorney General Dana Nessel’s recent settlement prevents faith-based agencies from refusing to put children in LGBT homes for religious reasons. St. Vincent Catholic Charities sued last week to challenge the deal.