I'm not a fan of DQSH or LGBTQ lifestyle in general, but I am a huge fan of free will so if folks want to engage in those activities or allow their children to, as long as children are not being sexually or otherwise abused, that is their business. There is a subset of the LGBT community that has a sinister agenda regarding schools and education, but the majority of people are just trying to live their lives on their own terms.
DQSH, which is not sexual at all, has nothing on carnival parades and other celebrations that are public and open to children. I have only ever seen an obvious or flamboyantly trans/person in drag out and about a handful of times. However on a daily I see tshirts with naughty to obscene slogans, women barely covered up with all their assets on display, heterosexual couples groping each other and swallowing each other's tongue in public, sexually suggestive tv shows and innuendo on regular network tv, along with profanity. Several years ago I was driving and with my nephew's wife and kids and there was a couple in the car next to us where the woman was performing oral on the male driver. (She proceeded to roll down the window and cuss them both out until they sped off then spent the next 10 minutes apologizing to me for using the language.) There is no way you can protect your children from everything. How your children respond will depend on how you respond and what you teach them. I had several family members who used colorful language growing up, but the guidance we received from my mother was we could use any word we heard HER use.
If we are going to say drag queen story hour shouldn't be allowed to exist because one of the performers was a pedophile, then by that same logic church service shouldn't be allowed to exist for the same reason. I can list story after story of church leaders preying on the congregation. As well as police officers preying on the public or committing domestic violence. The fact that many children are abused by family members or people they know, does that mean that family homes should be abolished? Of course not. We (hopefully) prosecute those responsible and make sure they never do it again.
The sooner folks realize we have to learn to peaceably share this country with people we don't like, whose religion and lifestyle we don't personally support, who may not live and love like we do, and learn to mind our own business, the better.