New Mexico Governor Michelle Lujan Grisham has convened a special legislative session to address significant funding challenges affecting the state’s food assistance and health care systems. This session, prompted by recent federal budget changes, aims to develop strategies to mitigate the anticipated impact on essential services such as the Supplemental Nutrition Assistance Program (SNAP) and Medicaid.
State lawmakers will evaluate a range of proposals, including investments in food assistance programs and support for public broadcasting. According to Kari Armijo, Cabinet Secretary of the New Mexico Health Care Authority, “We’re really trying to plan for the impact of these changes across our health care system, across our food system.”
The recent federal budget reconciliation law, signed in July, is expected to result in substantial cuts to programs that support vulnerable populations. New Mexico faces the prospect of losing approximately $203 million in federal funds, particularly affecting SNAP, which served nearly 460,000 residents as of August—representing over one in five New Mexicans, the highest rate in the United States.
With these federal changes, the Health Care Authority warns that reductions in SNAP benefits could commence as early as November. Furthermore, the state stands to lose $5.2 million for the SNAP-Ed program, which provides nutrition education to low-income families. The ramifications extend beyond individual beneficiaries; an estimated 1,700 grocery stores and food retailers could collectively lose over $1 billion in revenue due to these funding cuts.
The economic implications are significant, with over 17,000 jobs in New Mexico reliant on SNAP spending. Jill Dixon, Executive Director of The Food Depot, emphasized the critical role of SNAP in providing food security, stating, “For every meal provided by a food bank, SNAP provides nine meals.”
Facing these impending cuts, lawmakers are expected to explore various proposals to bolster food assistance. A Legislative Finance Committee analysis estimates the costs associated with these efforts could reach up to $60 million. The Health Care Authority is advocating for additional state funds to maintain supplemental SNAP payments for seniors and individuals with disabilities. This program currently provides an extra $100 monthly for groceries, targeting New Mexico’s most vulnerable populations.
In addition to food assistance, the special session will likely address the Rural Health Care Delivery Fund, which has already allocated over $120 million since its establishment in 2023. Lawmakers are considering broadening the fund’s use and possibly adding an additional $50 million. This funding is critical for community-based health providers, especially as they prepare for significant changes to Medicaid, projected to result in losses of $8.5 billion in payments from 2028 to 2037.
Armijo noted the importance of supporting community providers, stating, “We want to make sure that we are providing some opportunity for providers — particularly community-based providers…that are really sort of potentially at risk for loss of service due to financial vulnerabilities.”
Funding for public broadcasting is also on the agenda, with Tazbah McCullah, general manager at KSFR, highlighting the necessity of state support. The Corporation for Public Broadcasting has announced cuts exceeding $500 million to its annual funding, a move that raises concerns about the sustainability of public broadcasting in New Mexico, especially in rural and tribal areas. A report from the Legislative Finance Committee indicates a potential funding requirement of $5.8 million to fill this gap.
While state House Republicans have criticized the prioritization of public broadcasting funding, Democratic leaders defend it, stressing the essential role of public media in disseminating emergency information.
Additionally, lawmakers will focus on health insurance affordability. The expiration of enhanced premium tax credits for households earning above 400% of the federal poverty level is expected to result in significant premium increases for many. The New Mexico Office of the Superintendent of Insurance projects a nearly 36% rise in individual health insurance premiums in 2026. To combat this, lawmakers are expected to consider about $17 million in subsidies aimed at keeping insurance affordable for higher-income families.
Finally, as the Health Care Authority’s responsibilities expand due to these federal changes, lawmakers may allocate an additional $25 million to enhance its administrative and technological capabilities. This funding is critical as the agency adapts to new eligibility verification requirements for SNAP and Medicaid enrollees, which will increase its workload significantly.
Lawmakers are moving quickly to address these pressing issues, with the hope of protecting essential services for New Mexico’s most vulnerable residents. The outcomes of this special session could have lasting implications for the state’s food security and health care accessibility.