New Mexico House Passes Bill to Eliminate Surprise Facility Fees for Routine Medical Care

The bill aims to protect patients from unexpected charges while preserving rural hospital access and emergency care.

Published on Feb. 20, 2026

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The New Mexico House voted unanimously to pass a bill that eliminates facility fees - extra charges separate from doctors' bills - for routine outpatient services such as preventative care, vaccinations, and telehealth. The bill, which now heads to the state Senate, would prohibit hospitals and health systems from directly billing patients for these facility fees starting January 1, 2027. The legislation is intended to bring more clarity and predictability to patient medical costs while maintaining strong hospital systems, especially in rural communities.

Why it matters

Facility fees have been a growing source of frustration for patients who face unexpected charges on top of clinician fees for routine care. This legislation aims to provide consumer protection by eliminating these fees, making routine care more affordable and transparent for New Mexico families. Over 20 other states have already passed similar reforms, and New Mexico is following suit to prioritize patient interests while preserving access to emergency and rural hospital services.

The details

House Bill 306, sponsored by Rep. Reena Szczepanski and Sen. Elizabeth 'Liz' Stefanics, passed the New Mexico House in a 69-0 vote. The bill preserves facility fees for inpatient and emergency care to protect the financial viability of rural hospitals. It also strengthens patient notice requirements so families can better understand their potential costs before receiving care, including clearer pre-service notices and standardized billing.

  • The New Mexico House voted to pass HB 306 on Saturday, February 18, 2026.
  • The bill, if passed by the Senate, would prohibit facility fees for routine outpatient care starting January 1, 2027.

The players

Reena Szczepanski

New Mexico House Majority Leader and sponsor of HB 306.

Elizabeth 'Liz' Stefanics

New Mexico State Senator and co-sponsor of HB 306.

Kari Armijo

Secretary of the New Mexico Health Care Authority, which oversees Medicaid, SNAP, and other health programs in the state.

New Mexico Health Care Authority

The state agency that connects New Mexicans to health care, social services, and support programs.

New Mexico House

The lower chamber of the New Mexico state legislature that voted to pass HB 306.

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What they’re saying

“New Mexicans shouldn't face surprise charges for routine care. HB 306 brings more clarity to what patients pay while maintaining strong hospital systems and protecting access in rural communities.”

— Kari Armijo, Secretary, New Mexico Health Care Authority

“HB 306 is about practical consumer protection. It eliminates costly fees from patients' bills and helps make routine care pricing more predictable and understandable for New Mexico families. More than 20 states have already moved on facility fee reform, and New Mexico is taking the same common-sense step to protect patients while preserving rural access and emergency care.”

— Reena Szczepanski, House Majority Leader

What’s next

The bill now heads to the New Mexico State Senate for consideration. If passed by the Senate, it would then go to the governor to be signed into law.

The takeaway

This legislation represents a significant step forward in protecting New Mexico patients from surprise medical bills and making routine health care more affordable and transparent. By eliminating facility fees for outpatient services, the state is following the lead of over 20 others in prioritizing consumer interests while still preserving access to emergency and rural hospital care.