SB 241 New Mexico Senate · 2026 Regular Session

CHILD CARE ASSISTANCE PROGRAM ACT

SB 241 creates a state-run child care assistance program administered by New Mexico's Early Childhood Education and Care Department. It provides funding to licensed child care facilities for eligible children under 13 (or under 19 if disabled or under court supervision), primarily benefiting low-income families where parents or guardians are employed, in school, homeless, or participating in approved programs like job training. Eligibility requires household income below 600% of the federal poverty level, with income documentation and proof of New Mexico residency. The program excludes children enrolled in Head Start, early pre-K, or pre-K programs during those hours, and allows temporary eligibility for up to 90 days while seeking employment.

Bill status signed all 5 stages cleared

Introduction

Feb 2026

Committee Review

Feb 2026

Senate Passage

Feb 2026

House Passage

Feb 2026

Signed into Law

Mar 2026

Introduced Feb 3, 2026 Signed Mar 10, 2026

Maddy AI version diff · 2 comparisons

What changed between versions

FC substitute → Final Version · 8 edits

MODERATE

This bill establishes a new Child Care Assistance Program in New Mexico to provide funding to child care facilities for eligible children. It creates a dedicated Early Childhood Education and Care Fund with specific investment rules and distribution requirements, while also adding provisions to prevent unconstitutional budget deficits.

Scope change

The bill expands the scope by creating a new Child Care Assistance Program Act and establishing a new fund specifically for early childhood education and care, in addition to modifying existing fund structures.

SCOPE

Created a new Child Care Assistance Program Act to provide payments to child care facilities participating in the program.

FISCAL

Established a new Early Childhood Education and Care Fund within the state treasury that consists of distributions, appropriations, gifts, grants, and donations.

Changed annual distribution from the Early Childhood Education and Care Fund to the Early Childhood Education and Care Program Fund from one billion dollars to five hundred million dollars, or five percent of average year-end market values.

Added provisions allowing up to seven hundred million dollars in additional appropriations from the Early Childhood Education and Care Fund to the Early Childhood Education and Care Program Fund between fiscal years 2026 and 2031.

Added a provision allowing the legislature to appropriate money from the Early Childhood Education and Care Fund to the general fund to avoid unconstitutional deficits when other state funds are insufficient.

Modified the fund balance threshold from ten billion dollars to ten billion dollars (no change in amount, but restructured the language).

REQUIREMENT

Required the state investment officer to report quarterly to the legislative finance committee and state investment council on investments made from the fund.

DEFINITION

Added new definitions for key terms including at-risk child, child care assistance, child care facility, developmental delay, disability, early intervention, and early intervention provider.

introduced version → FC substitute · 11 edits

MAJOR

This bill was significantly revised to establish a comprehensive Child Care Assistance Program with expanded eligibility criteria, new funding mechanisms, and stricter regulatory requirements for child care facilities. The changes include creating a dedicated Early Childhood Education and Care Fund, defining specific eligibility requirements for parents and children, establishing copayment structures based on income levels, and implementing enhanced oversight and reporting requirements for participating facilities.

Scope change

The bill's scope expanded from a basic child care assistance framework to a comprehensive program with detailed eligibility requirements, funding controls, and facility regulations. The program now explicitly covers children up to age 19 under certain conditions and includes specific provisions for at-risk children, early intervention services, and federally eligible applicants.

FISCAL

Created a new Early Childhood Education and Care Fund within the state treasury with specific investment rules, quarterly reporting requirements, and annual distribution mandates of at least $500 million or 5% of fund value.

Authorized additional appropriations of up to $1 billion from 2026-2031 to the Early Childhood Education and Care Program Fund, with a minimum fund balance requirement of $10 billion.

ELIGIBILITY

Established detailed eligibility requirements for parents including employment, student status, job training participation, homelessness status, or other qualifying circumstances, with income-based copayment structures.

Extended age eligibility for child care assistance to children under 19 years old if they are physically or mentally incapable of self-care or under court supervision.

REQUIREMENT

Required child care facilities to submit detailed annual reports including ownership information, board member details, investment structures, debt information, and out-of-state funding sources.

Mandated that facilities cannot accept donations or additional payments from families receiving assistance, and must refer at-risk children to appropriate support services.

Established income-based copayment structure where families earning up to 600% of federal poverty level pay nothing, 600-900% pay up to 25% of average rates, and 900%+ pay up to 50% of average rates.

ENFORCEMENT

Required the department to conduct at least two unannounced annual visits to each participating child care facility for compliance reviews.

Created a reporting mechanism for suspected child abuse or neglect between early intervention providers and child care facilities.

DEFINITION

Added comprehensive definitions including 'at-risk child,' 'early intervention,' 'tiered quality rating system,' and expanded the definition of 'resident' to include homeless individuals and those in domestic violence shelters.

TECHNICAL

Changed the bill title from 'SB 241' to 'SB0241FCS' (Senate Finance Committee Substitute) and reorganized the structure from an introduced version to a committee substitute version.

Floor votes · Senate Feb 12, 2026 · House Feb 17, 2026

How they voted

21–15

Passed · 2 other

Total votes 38

Feb 12, 2026

D Democratic22

20 Yea 2

90% Yea

R Republican16

1 Yea 15 Nay

93% Nay

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Mar 10, 2026

Signed into law

Signed

executive

Feb 18, 2026

Executive · Passed

Senate concurred in House amendments

executive

Feb 17, 2026

Lower · Passed

passed House

lower

Feb 17, 2026

Lower · Passed

DO PASS, as amended, committee report adopted

lower

Feb 13, 2026

Introduced

Sent to House Appropriations & Finance Committee

lower

Feb 12, 2026

Upper · Passed

passed Senate

upper

Feb 12, 2026

Upper · Passed

floor substitute adopted (1 amendment)

upper

Feb 11, 2026

Upper · Passed

DO NOT PASS, replaced with committee substitute

upper

Feb 6, 2026

Upper · Passed

DO PASS committee report adopted

upper

Feb 3, 2026

Introduced

Sent to Senate Committees' Committee & Senate Education Committee & Senate Finance Committee

upper

5 primary · 0 co-sponsors