By Alex Ross, NM Political Report
New Mexico lawmakers concluded a two-day special legislative session on Thursday, where they shored up state food assistance and health care programs amid looming cuts in federal funding and spiking health insurance premiums.
The New Mexico Senate adjourned Sine die shortly after noon, and the New Mexico House of Representatives at 5:15 p.m. following passage of a $162 million spending package and four other bills.
By Friday night, Governor Michelle Lujan Grisham had signed four of those bills. She was still reviewing an additional bill expanding state authority to set vaccine policy independent of federal guidelines.
“This special session was about protecting New Mexico families from real and immediate harms that endanger their ability to access healthcare and put food on their tables. Here in New Mexico, we step up to take care of one another, and I’m proud to say that’s what we did for families across our state in this special session,” House Speaker Javier Martinez (D-Albuquerque) said in a press release issued after the session concluded.
Lujan Grisham also applauded the action taken by the Legislature and, in a press release, vowed to sign the bills. The rapid speed at which the proposals moved through the legislative process stood in contrast to last year’s special session called by the governor to address public safety, which ended after a few hours and saw no movement on priorities set by the governor.
Democrats said repeatedly that the special session was crucial to insulate New Mexico from a barrage of federal funding reductions and sweeping policy changes, especially to the state’s Medicaid and Supplemental Nutrition Assistance Program (SNAP). The Health Care Authority estimates that 16,200 New Mexicans could lose SNAP benefits because of their immigration status, and that another 20,070 would become ineligible to continue receiving benefits because of new work requirements. They also estimate that at least 88,500 New Mexicans will permanently lose their benefits.
Senate Majority Floor Leader Peter Wirth (D-Santa Fe) argued that, given years of surpluses and with $3 billion in reserves, New Mexico is in a strong position to counter some of those effects.
“Well, there is no way we can fully offset the loss of federal funds. Thankfully, our state is in a position to help New Mexicans mitigate the impact of these federal cuts, and that is what we’re doing here in this special session,” Wirth said on the Senate floor on Wednesday.
Republicans disagreed, arguing that many of the changes in the Reconciliation Bill will not take effect for months if not years, and that matters on the agenda could easily be addressed in the 30-day regular session in January.
“This special session just isn’t that special, and certainly I believe it’s wildly premature. We’re going to address some issues here based on the possibility that something might happen that’s not happening,” Senate Minority Floor Leader William Sharer (R-Farmington) said.
Spending
House Bill 1, a $161 million package in one-time spending for Medicaid, food assistance, public broadcasting, rural hospitals, and tax credits for individuals who buy insurance on state exchanges. Some $120 million in unspent money was transferred from the Healthcare Authority to cover the price tag. It also contains $100,000 for the New Mexico Department of Licensing and Regulation for interstate medical licensure compacts.
The package also contained $5.6 million in funding for public radio and education television, as well as $430,000 for educational television and public radio associated with Indian tribes and pueblos. The money comes after Congress approved and Trump signed a rescission package that canceled federal funding for public media.
Rural Healthcare Delivery Fund
Legislation, known as Senate Bill 1, which would make tweaks to the Rural Healthcare Delivery Fund, cleared the House and Senate.
Senate Bill 1 will allow practitioners and facilities eligible to receive grants from the fund to spend that money for operational costs. Previously, the money could only be used for health care start-ups or expansions of existing facilities. The measure also revised the criteria for eligibility from counties with populations or less to counties designated as high-needs geographic health professional shortage areas by the U.S. Health Resources and Services Administration. House Bill 1 also directed $50 million to the Fund.
Backers of the bill said the adjustments were needed to address the dearth of healthcare in rural areas and allow hospitals that are projected to see revenue losses due to decreases in Medicaid and provider taxes.
Tax credits
Discussion over Enhanced Premium Tax Credits, which have been a sticking point in the government shutdown in Washington, D.C, were also on the minds of lawmakers in the Roundhouse.
The subsidies that were enacted in 2021 during the pandemic and renewed with the passage of the Inflation Reduction Act are expected to sunset at the end of the year. The subsidies expanded existing tax credits for those who buy health insurance on exchanges to individuals and households making 400% or more of the Federal Poverty Level. According to the Health Care Authority, failure to extend the federal credits would cause between 15,300 and 27,100 New Mexicans to lose coverage.
Lawmakers during the session approved House Bill 2, legislation which allows people making above 400% of the federal poverty level and rely on the Exchange for health insurance coverage, to maintain eligibility for assistance from the state’s Healthcare Affordability Fund thereby allowing New Mexicans with incomes above that threshold to qualify for that aid to keep New Mexicans who depend on the lapsing federal credits from losing coverage. Senate Bill 1 also appropriated $17.3 million for the bill.
Criminal competency
Lawmakers also passed a fix to the state’s criminal competency code that will enable the Bernalillo County Metropolitan Court to maintain jurisdiction in cases where defendants accused of misdemeanor offenses can be tried if they are found competent to stand trial.
Vaccines
Members of the Legislature also approved a bill that allows the state more flexibility in determining its own vaccine standards. House Democratic Majority Leader Reena Szczepanski (D-Santa Fe) previously told NM Poltical Report that changes to federal vaccine policy were causing alarms with state officials’ concerns about public health.
Senate Bill 3, allows the state to set its own vaccine standards for children or abide by those from the American Academy of Pediatrics.