New Mexico Passes Economic Relief Bill After Banning ICE Contracts

Lawmakers scramble to help rural communities facing economic fallout from lost immigration detention center contracts.

Published on Feb. 27, 2026

Got story updates? Submit your updates here. ›

In the final hours of the legislative session, New Mexico lawmakers passed a $5.5 million economic relief package to support counties and municipalities that may lose millions when contracts with Immigration and Customs Enforcement (ICE) end. The bill, which now heads to the governor's desk, was a last-minute reaction to the recently passed Immigrant Safety Act, which banned state contracts with ICE. However, the relief package was ultimately slashed in half from the original $10.5 million proposal.

Why it matters

The Immigrant Safety Act was part of a broader set of pro-immigrant legislation passed by the state, but the economic consequences for rural communities that relied on revenue from ICE detention centers were not fully considered. This emergency relief bill is an attempt to mitigate the short-term impact, though lawmakers acknowledge a more robust economic development plan is needed.

The details

The $5.5 million relief package includes funding for the Children, Youth, and Families Department as well as other initiatives, in addition to the economic aid for counties like Grants and Milan that depended on the ICE contracts. An amendment shortened the counties' eligibility for aid from two years to one, leading to the funding cut. Sponsor Sen. George Muñoz, the only Senate Democrat to vote against the Immigrant Safety Act, described his bill as an 'emergency' measure to keep communities afloat, though he agreed a longer-term economic development plan is necessary.

  • The Legislature adjourned at noon on February 20, 2026.
  • The economic relief bill was passed just hours before the legislative session ended.

The players

Sen. George Muñoz

A Democratic state senator from Gallup who sponsored the economic relief bill, and was the only Senate Democrat to vote against the Immigrant Safety Act, citing concerns about the economic impact on his constituents.

Gov. Michelle Lujan Grisham

The governor of New Mexico, who has confirmed she supports the economic relief bill and plans to sign it.

Immigrant Safety Act

A piece of pro-immigrant legislation passed by the New Mexico Legislature that banned state contracts with Immigration and Customs Enforcement (ICE).

Got photos? Submit your photos here. ›

What they’re saying

“I can't control what already happened. I understand that people want to help people, but I don't think the economic cost was really considered.”

— Sen. George Muñoz, State Senator (abqjournal.com)

“I'm all right with that. I mean, it's better to try to help and this is a reaction. We don't know what's really going to happen.”

— Sen. George Muñoz, State Senator (abqjournal.com)

What’s next

The judge in the case will decide on Tuesday whether or not to allow Walker Reed Quinn out on bail.

The takeaway

This emergency economic relief bill is a short-term fix to help rural New Mexico communities that will face significant economic hardship due to the loss of ICE detention center contracts, but lawmakers acknowledge a more comprehensive economic development plan is needed to address the long-term impacts.