Fiscal impact reports (FIRs) are prepared by the Legislative Finance Committee (LFC) for standing finance
committees of the Legislature. LFC does not assume responsibility for the accuracy of these reports if they
are used for other purposes.
F I S C A L I M P A C T R E P O R T
SPONSOR Matthews
LAST UPDATED
ORIGINAL DATE 2/13/25
SHORT TITLE Interstate Medical Licensure Compact
BILL
NUMBER House Bill 243
ANALYST Montano
REVENUE*
(dollars in thousands)
Type FY25 FY26 FY27 FY28 FY29
Recurring or
Nonrecurring
Fund
Affected
Fee
No fiscal
impact
$50.0 to
$70.0
$50.0 to
$70.0
$50.0 to
$70.0
$50.0 to
$70.0
Recurring
New Mexico
Medical
Board Fund
Parentheses ( ) indicate revenue decreases.
*Amounts reflect most recent analysis of this legislation.
ESTIMATED ADDITIONAL OPERATING BUDGET IMPACT*
(dollars in thousands)
Agency/Program
FY25 FY26 FY27
3 Year
Total Cost
Recurring or
Nonrecurring
Fund
Affected
NMMD
No fiscal
impact
No fiscal
impact
No fiscal
impact
Recurring
Other state
funds
Parentheses ( ) indicate expenditure decreases.
*Amounts reflect most recent analysis of this legislation.
Duplicates Senate Bill 46
Sources of Information
LFC Files
Agency Analysis Received From
Regulation and Licensing Department (RLD)
Department of Health (DOH)
New Mexico Medical Board (NMMB)
New Mexico Attorney General (NMAG)
SUMMARY
Synopsis of House Bill 243
House Bill 243 (HB243) enacts the Interstate Medical Licensure Compact in New Mexico,
allowing physicians to apply for an expedited medical license in multiple states that are members
of the compact. This bill streamlines the licensing process for physicians by providing a
centralized and standardized application process, enhancing healthcare accessibility across state
lines.
The compact maintains state medical board authority while allowing qualified physicians to House Bill 243 – Page 2
obtain licenses in participating states more efficiently. The bill also establishes the New Mexico
Compact Commissioners, who will oversee the state's participation in the agreement and ensure
compliance with its regulations. Additionally, it requires that the compact’s bylaws and rules be
filed with the State Records Administrator.
This bill does not contain an effective date and, as a result, would go into effect 90 days after the
Legislature adjourns if enacted, or June 20, 2025.
FISCAL IMPLICATIONS
The New Mexico Medical Board (NMMB) projects that HB243 would increase the total number
of physician license applications by 10 to 15 percent, in line with the average rate of increase
experienced by other states who have joined the compact. This would translate to a revenue of
$50 to $70 thousand.
SIGNIFICANT ISSUES
NMMB notes:
Physicians licensed in New Mexico through the compact will have to obtain NM medical
licenses and be subject to the NM Medical Practice Act. New Mexico will not surrender
any authority to issue and regulate licensed physicians. The goal of joining the compact is
to expand access to care by streamlining the licensing process for physicians and
facilitate multi-state practice and telemedicine which would benefit both physicians and
patients in New Mexico. States that participate in the compact see a significant increase
in physician licensure in their state, which we anticipate would occur in New Mexico.
The compact would not supersede New Mexico’s autonomy and control over the practice
of medicine. New Mexico would maintain control through a coordinated legislative and
administrative process. The practice of medicine is defined in the compact as where the
patient is located, not where the physician is located. As such, all initial disciplinary
actions will be handled by the board of the state where the patient is located, which is the
same as being handled by NMMB currently.
The Department of Health (DOH) adds:
According to the 2024 report published by the New Mexico Health Care workforce
Committee, New Mexico continues to fall below acceptable benchmarks for the number
of primary care physicians necessary to meet the needs of its residents. The data used in
the report for physicians shows that in 2021 New Mexico would have needed 334
physicians to meet the needs of residents. While the number of providers has slightly
improved since
2019, we continue to see a shortage of medical providers in New Mexico. As our
population continues to age, we can anticipate the need for more primary care and
specialty providers to meet the needs of the population.
The New Mexico Attorney General (NMAG) notes that HB243 may interact with existing state
law:
HB243 will create a new pathway for licensure, and…does not change a member state’s
medical practice act or any applicable laws. However, pursuant to NMSA 1978, Section
61-6-13 (2023), New Mexico already has a physician expedited licensure framework. House Bill 243 – Page 3
Section 61-6-1(A) states that upon receipt of a completed application, fees, and
verification of licensure where the applicant actively holds a license to practice medicine,
the New Mexico Medical Board may issue an expedited license as soon as practicable but
no later than thirty (30) days. If HB243 is enacted, the Section 61-6-1(A) framework may
only be applicable to physicians who do not hold a principal license in a compact states
or physicians who do not want to utilize the compact. As such, it is unclear how Section
61-6-1 and HB24 will interact.
ADMINISTRATIVE IMPLICATIONS
NMMB would have to alter their rules to incorporate the Interstate Medical Licensure Compact-
required language.
CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP
This bill is a duplicate of House Bill 243.
TECHNICAL ISSUES
NMAG notes:
HB243 does not include an effective date. If signed into law, the legislation would go
into effect 90 days after the Legislature adjourns. However, according to Section 2,
Article 20, the bill proposes that the IMLC shall become effective and binding upon
legislative enactment. Consider amending to include a matching clause.
OTHER SUBSTANT IVE ISSUES
DOH adds:
The Interstate Medical Licensure Compact will reduce the administrative burden and the
time required to become licensed in New Mexico, which could increase available
physicians. An increase in primary care providers could also reduce the number of
emergency department visits. By having access to a primary care provider who can see a
person within a day or two reduces the number of people seeking more routine medical
care in emergency departments. In addition, by providing routine care and follow-up on
chronic conditions, primary care providers reduce the need to seek emergency treatment
for diseases that can be controlled through routine care.
NM/rl/SL2