That's a pretty good topic. I'm not sure that the olympics could be used as a good example because in that case, gender and skill or strength are related. But I think it would be harder to prove that for a beauty pageant.The Olympics use birth gender as a rule for eligibility whether the athlete qualifies as male or female. You have to draw the line somewhere.
Self-correction: The Olympics use DNA/chromosome testing to determine gender or else men can lop off their penises, take hormones for breasts and annihilate the female competition in strength and speed events.
I can't see them creating a stink about it 'cause it's a pretty big milestone for the LGBT community.
Anyways, I hope she/he makes it in - it's a good look for Canada.