New Mexico makes history by becoming the first state in the United States to offer universal child care to residents.
State Gov. Michelle Lujan Grisham and the New Mexico Early Childhood Education and Care Department announced the historic milestone on Monday. The decision will have the state offer no-cost universal child care starting on Nov. 1, 2025.
New Mexico To Offer Universal Child Care
The new initiative will make child care available to all New Mexican residents regardless of their income. It does this by removing income eligibility requirements from the state's child care assistance program and continuing the waiver of family copayments.
Grisham, during her announcement, said that child care is essential to family stability, workforce participation, and the state's future prosperity. She said that by investing in universal child care, the state is giving families financial relief, supporting its economy, and ensuring that all children have the opportunity to grow and thrive, according to the Office of the Governor.
The latest announcement also fulfills the commitment made by the state governor and the New Mexico Legislature when they created the Early Childhood Education and Care Department six years ago.
Since that time, the state has expanded access to no-cost child care to families with incomes that are at or below 400% of the federal poverty level. This resulted in a reduction of financial strain on tens of thousands of families across the region.
The president and CEO of the National Association of the Education of Young Children, Michelle Kang, emphasized the broader impact of the development. She said that achieving universal child care will result in major changes for the state's children, families, businesses, and educators, ABC7 News.
Helping Families Across the State
Officials believe that the latest shift in policy will result in families saving an average of $12,000 per child every year. New Mexico is also taking steps to increase the supply of infant and toddler care. This includes a $12.7 million low-interest loan fund to be used for facility expansion. There is also a request for an additional $20 million in the Fiscal Year 2027 budget.
In order to support providers, the state will raise reimbursement rates to reflect actual care costs. Additionally, programs that pay entry-level staff at least $18 hourly and offer 10 hours of daily care five days a week will receive incentive rates.
State officials estimate that they would need an additional 5,000 early childhood professionals to fully implement the universal system, as per the Santa Fe Reporter.
