It is the literal truth for the CS dept at UT Austin, as of when I was there a 10 or so years ago. They didn't have a real Masters program; the Masters was regarded as a consolation prize when you left the PhD program.
Edit: To be honest, I got in by telling the graduate advisor that I would rather be in a Masters program there than a PhD program elsewhere.
Edit: To be honest, I got in by telling the graduate advisor that I would rather be in a Masters program there than a PhD program elsewhere.