New Mexico to make history as first state to offer universal child care

New Mexico will become the first state in the nation to guarantee no-cost child care for all families regardless of income, Gov. Michelle Lujan Grisham announced Monday.

The universal child care program takes effect Nov. 1, removing all income eligibility requirements from the state’s child care assistance program and waiving family copayments, according to the New Mexico Early Childhood Education and Care Department.

“Child care is essential to family stability, workforce participation, and New Mexico’s future prosperity,” Lujan Grisham said in a statement. “By investing in universal child care, we are giving families financial relief, supporting our economy, and ensuring that every child has the opportunity to grow and thrive.”

The program represents an average annual savings of $12,000 per child for families, the state said.

New Mexico previously expanded no-cost child care access to families earning up to 400% of the federal poverty level since creating the Early Childhood Education and Care Department in 2019. The new initiative extends coverage to all families statewide.

The state is simultaneously working to increase child care capacity through a $12.7 million low-interest loan fund for facility construction and renovation, with an additional $20 million requested for fiscal year 2027. Officials are targeting growth in infant and toddler care, services for low-income families and children with special needs.

To support providers, New Mexico will raise reimbursement rates to reflect actual care costs. Programs that pay entry-level staff at least $18 per hour and offer 10 hours of daily care five days per week will receive incentive rates.

The state estimates it needs an additional 5,000 early childhood professionals to fully implement the universal system.

“Early childhood care and education is a public good,” said Elizabeth Groginsky, secretary of the Early Childhood Education and Care Department. “By providing universal access and improving pay for our early childhood workforce, we are easing financial pressure on families, strengthening our economy, and helping every child learn in safe, nurturing environments.”

Michelle Kang, president and CEO of the National Association for the Education of Young Children, called the initiative a model for other states.

“Achieving universal child care will make a huge difference for the state’s children, families, businesses, and educators—and for all of us, by showing that it can be done,” Kang said.

Families can find more information about accessing universal child care benefits at nmececd.org/universal.