New Mexico Lawmakers Propose Copays for Universal Childcare Program

Bill would allow state to require contributions from higher-income families to help sustain program

Published on Feb. 6, 2026

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New Mexico lawmakers have introduced a bill, SB 241, that would allow the state to require copays from higher-earning families for the universal childcare program announced by the governor. The bill's sponsor, Democratic Senator George Muñoz, says the goal is to create stability and balance the needs of families with the economic health of the state. Under the proposal, the program would still launch with free childcare for everyone, but a copay system could kick in if the state's economic situation changes, with copays of 3% or less of a family's annual income for those earning between 600-900% of the federal poverty level.

Why it matters

The proposed copay system is a departure from the governor's original plan for a fully free universal childcare program. While the goal is to ensure the program's long-term sustainability, it raises questions about whether it still qualifies as 'universal' if some families have to pay. The bill has sparked debate over balancing affordability and accessibility with fiscal responsibility.

The details

The bill, SB 241, would codify the childcare assistance program and create stability, according to its sponsor, Senator George Muñoz. It would allow the state to implement a copay system for families earning between 600-900% of the federal poverty level, or about $163,920 to $245,880 annually for a family of three. The copays would be capped at 3% or less of a family's annual income. Alternatively, a change in the state's economy could also mean families get waitlisted for free childcare.

  • The bill passed its first committee on Friday with a 6-3 vote.
  • The universal childcare program was originally announced by the governor.

The players

Senator George Muñoz

A Democratic state senator who introduced the bill, SB 241, that would allow the state to require copays from higher-earning families for the universal childcare program.

Governor Michelle Lujan Grisham

The governor of New Mexico who originally announced a plan for a fully free universal childcare program, which the proposed bill would modify.

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What they’re saying

“What will it do? Codify the childcare assistance program, and it will create stability.”

— Senator George Muñoz, Democratic State Senator (KRQE)

“But a co-pay doesn't make it universal. Universal means it's the same way to get the service for everyone who's in the service. It means that just like public education, you don't know which families are billionaires and which ones are not.”

— Governor Michelle Lujan Grisham (KRQE)

What’s next

The bill will continue through the legislative process, and if passed, the state will need to determine the specific income thresholds and copay amounts for the universal childcare program.

The takeaway

This proposal highlights the challenge of balancing affordability and accessibility with fiscal responsibility in the implementation of a universal childcare program. The debate over copays versus a fully free program reflects the ongoing discussions around how to best support New Mexico families while ensuring the long-term sustainability of the initiative.