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In 'Model for the Nation,' New Mexico Makes Childcare Free

Families set to save thousands as state covers all costs starting Nov. 1
Posted Sep 10, 2025 6:43 AM CDT
New Mexico Rolls Out Free Childcare for All
Democratic New Mexico Gov. Michelle Lujan Grisham speaks at a news conference, March 22, 2025, in Santa Fe.   (AP Photo/Morgan Lee, file)

New Mexico is breaking new ground in early childhood policy, becoming the first US state to guarantee free childcare for all residents, regardless of income, the Guardian reports. The initiative, announced by Gov. Michelle Lujan Grisham, expands on a 2022 program that already made childcare free for most families. That earlier effort, which covered those earning up to about $124,000 for a family of four, reached around half of the state's children and was credited with helping to reduce poverty rates in one of the nation's poorest states.

Starting Nov. 1, the new policy promises financial relief for families, an economic boost, and what the governor calls an investment in New Mexico's future. State officials say families can expect to save an average of $12,000 per child annually. The package also includes a new $12.7 million fund for building and upgrading childcare centers, plus a push to recruit more home providers. The governor is starting the program administratively, without the state legislature weighing in, but lawmakers will have to approve the funding for it, the Albuquerque Journal reports. The state's Early Childhood Education and Care Department currently spends around $463 million a year on child care assistance, and Grisham is expected to request another $120 million to fully implement the program.

Residents benefiting from the program report greater financial security and increased time with their children. Some credit the support with enabling them to pursue education, launch careers, or simply afford basic needs like groceries. The changes have also affected the state's childcare workforce, with a related initiative pushing wages to $18 per hour, and adjusting subsidies to better cover costs. One pediatrics and public health professor calls the move a "model for the nation."

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