New Mexico Governor Acts to Combat Federal Cuts and Boost Health Care and Food Assistance Programs
New Mexico Strengthens Support for Health and Food Assistance Amid Federal Cuts
New Legislation Boosts Food Assistance and Rural Health Care in New Mexico
New Mexico Governor Michelle Lujan Grisham has signed a comprehensive package of bills aimed at bolstering food assistance, rural health care, and public broadcasting in the wake of recent federal funding reductions. This legislative action is a strategic response to former President Donald Trump’s policies and concerns over potential increases in health insurance rates due to the expiration of COVID-era subsidies in the Affordable Care Act exchange within the state.
Federal Budget Challenges Prompt State Response
The subsidies offered by the Affordable Care Act exchange have become a significant issue in the ongoing budgetary stalemate and potential federal government shutdown. To mitigate the impact of these challenges, New Mexico will allocate $17 million to supplement federal credits if they are not renewed, as outlined in the newly signed legislation.
State Legislature Approves $162 Million in Targeted Spending
During a special session on Wednesday and Thursday, the Democratic-led Legislature approved an ambitious spending plan of $162 million dedicated to supporting rural health care, food assistance programs, restocking food banks, public broadcasting, and more. This move comes as New Mexico anticipates losing approximately $200 million annually due to new federal tax cuts, although the state’s budget remains robust, buoyed by flourishing oil production.
Governor’s Commitment to Supporting Communities
“When federal support falls short, New Mexico steps up,” stated Governor Lujan Grisham, emphasizing the state’s commitment to addressing critical needs. While many of the federal health care changes are set to take effect in 2027 or later, state lawmakers acknowledge that the current measures serve as a temporary solution to these funding challenges.
- New Mexico to allocate $17 million to supplement federal credits.
- Special legislative session approves $162 million for vital services.
- State addresses anticipated $200 million annual loss from federal tax cuts.
