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NM Senate passes record $10.8B budget for FY 2026 with additions

The floor of the rotunda in the New Mexico Roundhouse, where the state House of Representatives and Senate convene.
Morgan Lee
/
AP
New Mexico's Senate has passed a record $10.8 billion budget for next year with an amendment adding even more investments than originally offered by the house, which means the bill will have to head back for a full House floor vote before reaching the Governor's desk.

The New Mexico Senate passed the record $10.8 billion budget proposed by the House of Representatives Wednesday, but only after an amendment by the Senate Finance Committee, which means it’s heading back to the House for approval.

The Senate passed House Bill 2 along party lines, with only Sen. Harold Pope (D-Bernalillo) breaking ranks to vote against the bill.

He said he saw plenty of items he supported in next year’s budget, but also what he called “some problematic things.”

“Really the discussion turned to a lot of ‘I’ instead of ‘we and the people,’ and I just believe we can do better,” he said. “We know what’s at stake nationally, so we gotta continue to work.”

Republicans levied several complaints, but mainly focused on the fact that the budget is getting bigger. Sen. Candy Spence Ezell (R- Chaves) said the budget needed to be reduced in order to protect the overall health of the state.

“When I see a bloated cow, I know what to do. I have to take a sharp instrument and go right into her belly to let some of that hot air escape,” she said. “Maybe that’s what we need to do to our budget, because our budget is bloated — we are doing nothing but growing government.”

Sen. George Muñoz (D-Cibola), chair of the Senate Finance Committee, replied by pointing to several billion dollars worth of tax rebates that have been given out in recent years, and the numerous projects that were funded, including infrastructure updates, senior meal programs, free college and universal pre-school.

“We’ve done things for New Mexicans like no other states have done,” he said. “When we say we’re just taxing and spending on this side of the aisle, It’s simply not true.”

The record budget includes a 4% raise for all state employees, and expands the state's employee health insurance benefits, with the state now covering 80% of premiums, and 100% for low-income employees and National Guard members.

The Senate Finance Committee’s amendment includes several new investments, like $76 million more to support career technical education, enhance student support, and invest in initiatives to boost graduation rates in secondary school.

The committee also added $35 million for the Rural Health Care Delivery Fund, and nearly $62 million to fund the behavioral health package in Senate BIll 2.

When it comes to public safety, the amendment added funding for a statewide case management system for district attorneys, recruitment and retention efforts for public defenders, and additional resources for the Attorney General’s office for training and legal expenses

They also increased investments in childcare assistance, pre-kindergarten, early childhood Medicaid. The amendment also adds nearly $30 million dollars over the next two years to the Children Youth and Family Department to help meet the requirements of the Kevin S settlement.

The concurrence process requires any changes added in another chamber be approved by the originating chamber, so HB2 will need to pass another House floor vote before the governor will get a chance to sign it into law.

Support for this coverage comes from the W.K. Kellogg Foundation.

Daniel Montaño is a reporter with KUNM's Public Health, Poverty and Equity project. He is also an occasional host of Morning Edition, All Things Considered, and Let's Talk New Mexico since 2021, is a born and bred Burqueño who first started with KUNM about two decades ago, as a production assistant while he was in high school. During the intervening years, he studied journalism at UNM, lived abroad, fell in and out of love, conquered here and there, failed here and there, and developed a taste for advocating for human rights.