New Mexico lawmakers vote in favor of universal childcare

New Mexico is poised to become the first state in the nation to enshrine no-cost universal childcare into law after state lawmakers on Wednesday gave final approval to landmark legislation and sent it to Gov. Michelle Lujan Grisham's desk. 

The House passed Senate Bill 241, the Child Care Assistance Program Act, on a 37-19 vote late Tuesday night. The Senate concurred on Wednesday, sending the bill to the governor, who plans to sign it into law. 

No other state in America has made universal, no-cost childcare a statutory right. 

"At the outset of my administration, we began building the foundation of a universal child care system — deliberately, strategically, brick by brick,” Lujan Grisham said. “This historic initiative will serve generations of families who no longer need to worry if quality care for their children is within reach. I am immensely proud of New Mexico, and I thank all members of the House and Senate for their partnership in making this vision a reality. I look forward to signing this bill into law.”

SB 241, sponsored by Sen. George Muñoz, D-Gallup, makes New Mexico's universal childcare program permanent by placing it in state statute and locking in dedicated annual funding.

The bill establishes transparency and reporting requirements, directs use of a cost estimation model to inform provider reimbursement rates, and sets clear parameters around copayments and waitlists — building a durable framework designed to outlast any single administration. 

“Universal childcare is changing New Mexico,” said Daisy Lira, a childcare provider in Sunland Park and co-chair of the Early Childhood Education and Care Advisory Committee. “This is honestly the best thing that could happen for our communities and our families. It makes this work feel sustainable. I’m expanding, and I’m not afraid to invest $2.5 million into opening more childcare because I can trust this will last.” 

Lujan Grisham announced the universal childcare initiative in September, but the work behind it spans years. The state pursued a deliberate, incremental strategy of expanding income eligibility, building supply, strengthening the early childhood workforce and developing the funding structure that makes a universal program fiscally sustainable.

New Mexico funds the program primarily through its Land Grant Permanent Fund, a sovereign wealth fund fed by oil and gas revenues.  

"Universal childcare is a permanent commitment to the families who need reliable childcare, and the educators and providers who deliver it," said Early Childhood Education and Care Department Secretary Elizabeth Groginsky. "Universal childcare is one of the most consequential investments we can make in the future of New Mexico." 

For working families across the country, childcare costs rank among the largest household expenses, averaging more than $13,000 per year per child in many states. New Mexico's model makes the program free for families, backed by universal eligibility and a permanent statutory foundation — an approach other states can study as affordability remains a pressing challenge for working families nationwide. 

The governor said she looks forward to signing the bill "at the earliest opportunity."