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 Sanchez
LAST UPDATED
ORIGINAL DATE 2/28/25
SHORT TITLE Aging Network Provider Reimbursements
BILL
NUMBER House Bill 317
ANALYST Klundt
APPROPRIATION*
(dollars in thousands)
FY25 FY26
Recurring or
Nonrecurring
Fund
Affected
$2,500.0 Recurring General Fund
Parentheses ( ) indicate expenditure decreases.
*Amounts reflect most recent analysis of this legislation.
Duplicates Senate Bill 288
Sources of Information
LFC Files
Agency Analysis Received From
Aging and Long-Term Services Department (ALTSD)
SUMMARY
House Bill 317 (HB317) appropriates $2.5 million from the general fund to the Aging and Long-
Term Services Department (ALTSD) for expenditure in fiscal year 2026 and subsequent fiscal
years to increase provider reimbursements in the Aging Network. Any unexpended or
unencumbered balance remaining at the end of a fiscal year shall not revert to the general fund.
FISCAL IMPLICATIONS
The appropriation of $2.5 million contained in this bill is a recurring expense to the general fund.
Any unexpended or unencumbered balance remaining at the end of FY26 shall not revert to the
general fund. Although HB317 does not specify future appropriations, establishing a rate
increase could create an expectation the increase will continue in future fiscal years; therefore,
this cost is assumed to be recurring.
The House Appropriation and Finance Committee recommendation for the General
Appropriation Act for ALTSD includes $690.8 thousand for this purpose.
House Bill 317 – Page 2
SIGNIFICANT ISSUES
New Mexico's four Area Agencies on Aging (AAAs) coordinate and support community-based
services for individuals aged 60 and older, or 55 and older in tribal programs. These agencies
administer programs at the local level within designated planning and service areas, tailoring
services to meet regional needs.
Each AAA provides a variety of services to support older adults and their families, including:
Adult Day Care,
Case Management,
Homemaker/Chore Services,
Transportation,
Respite Care,
Caregiver Support,
Congregate and Home-Delivered Meals,
Health Promotion and Disease Prevention, and
Legal Services.
The specific services available vary by region, ensuring that older New Mexicans receive the
assistance and information they need.
ALTSD noted New Mexico’s senior population is projected to grow significantly, with the
number of residents aged 65 and older expected to increase over the next 20 years, making up 23
percent of the state's population by 2040. The 85+ population will more than double within that
time, and by 2030, New Mexico is expected to rank fourth in the nation for seniors per capita.
In FY24, the network 2.2 million home-delivered meals and 1.3 million congregate meals,
serving 114,771 seniors. Additionally, the high-risk nutritional senior population increased by
19.7 percent, while senior transportation services saw a 38 percent rise from FY23. Chore
services also increased by 27.8 percent from FY22.
Funding for Aging Network is usually reverted if unspent at the end of each fiscal year. Sponsors
may consider removing non-reverting language.
CONFLICT, DUPLICATION, COMPANIONSHIP, RELATIONSHIP
This bill duplicates Senate Bill 288.
KK/hj/SL2