Peter Wirth, Majority Floor Leader | Senate Democrats
The New Mexico State Senate has passed the budget for Fiscal Year 2026, with a focus on sustainable growth and addressing the needs of residents. The budget includes substantial investments in education, early childhood programs, and state employee compensation.
Senate Finance Committee Vice Chair Senator Benny Shendo Jr. (D-Jemez Pueblo) stated, "This budget will have immediate benefits to New Mexicans while positioning us for sustainable long-term growth and ensuring we have safeguards to deal with any fiscal uncertainties." He emphasized the importance of increased funding toward education as a significant investment in the state's future.
The Senate's amendments to HB 2 feature recurring investments aimed at enhancing educational outcomes. The committee allocated an additional $76 million above the House’s proposal for secondary education improvements. This funding is intended to support career technical education, student support enhancements, and innovative initiatives to increase graduation rates.
Early childhood education also received prioritized funding increases for childcare and reading programs, along with maintaining stability in childcare assistance and early childhood Medicaid budgets.
For the Children Youth and Family Department (CYFD), $27.8 million was added over two years to meet specific remedial order requirements. This allocation is accompanied by measures ensuring accountability and transparency.
State employees will see a 4% salary increase alongside expanded health insurance benefits, covering up to 100% of premiums for lower-income employees and National Guard members.
Non-recurring investments target behavioral health needs with an additional $61.5 million dedicated to fully fund Senate Bill 2's behavioral health package. Community infrastructure developments include $25 million for rural healthcare expansion, road maintenance funds totaling $65 million, and investments in energy infrastructure modernization.
Public safety enhancements are also part of the budget plan, focusing on case management systems for district attorneys and resources for public defenders' recruitment efforts.
Senator Muñoz remarked on the broad scope of these investments: "We’ve done the right thing for New Mexicans in this budget," highlighting commitments across economic development, education, quality of life improvements as factors that will benefit residents now and into the future.
Overall, the Senate Finance Committee’s FY 2026 budget reflects strategic allocations designed to ensure economic resilience while fostering continued success across various sectors within New Mexico.
