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HOUSE BILL 404
57
TH LEGISLATURE
-
STATE
OF
NEW
MEXICO
-
FIRST SESSION
,
2025
INTRODUCED BY
Art De La Cruz
AN ACT
RELATING TO SOCIAL SERVICES; CREATING THE MONETARY STIPEND
PROJECT AS A THREE-YEAR PILOT PROJECT TO PROVIDE MONTHLY
ASSISTANCE PAYMENTS TO DEMONSTRATE THAT A MONETARY STIPEND FOR
BASIC COST-OF-LIVING EXPENSES IMPROVES EDUCATIONAL, EMPLOYMENT
AND HEALTH CARE OUTCOMES FOR ADULTS WHO ARE FORMER FOSTER OR
DELINQUENT CHILDREN; PROVIDING FOR PROGRAM ELIGIBILITY, PROGRAM
TERMS AND REPORTING REQUIREMENTS; MAKING AN APPROPRIATION.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. [NEW MATERIAL] PILOT--MONETARY STIPEND
PROJECT--ELIGIBILITY--PROGRAM TERMS--REPORTING AND
EVALUATION.--
A. The "monetary stipend project" is created as a
three-year pilot project that provides monthly assistance
payments to eligible adults and measures the effect of monetary
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stipends on socioeconomic outcomes. The purpose of the
monetary stipend project is to demonstrate that a monetary
stipend for basic cost-of-living expenses improves educational,
employment and health care outcomes for adults who are former
foster or delinquent children. The monetary stipend project
shall be administered by the higher education department.
B. An eligible participant shall be a New Mexico
resident, United States citizen or lawful permanent resident
and an adult who is less than twenty-six years of age and who
is a former foster child, was adjudicated and incarcerated
pursuant to the Delinquency Act or who participated in and aged
out of the fostering connections program as provided in the
Fostering Connections Act and is:
(1) enrolled in a post-secondary educational
program;
(2) participating in an apprenticeship program
or workforce development recognized by the workforce solutions
department; or
(3) participating in a program or activity
designed to promote employment or remove barriers to
employment.
C. Subject to appropriation, the higher education
department shall determine the amount of a monetary stipend in
consultation with the health care authority. The amount of a
monetary stipend shall be individualized for each participant
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and adjusted based on the participant's income and on other
public assistance that the participant receives; provided that
a monetary stipend shall not exceed two thousand dollars
($2,000) per month. A monetary stipend may be expended on
cost-of-living expenses, including housing expenses, as
provided by rule.
D. The higher education department shall promulgate
rules for the form and manner of the application, procedures
and criteria for reviewing applications, the methodology for
evaluating participants and other rules necessary to carry out
the provisions of this section. If the higher education
department determines that the federal Social Security Act
requires waivers or authorizations from the United States in
order to carry out the monetary stipend project, the department
shall notify the health care authority, and the authority shall
request such waivers or authorizations no later than December
31, 2025.
E. The higher education department shall report to
the legislative health and human services committee on May 1
and November 1 of each year of the monetary stipend project.
No later than October 1, 2031, the higher education department
shall provide a final report to the legislative health and
human services committee on the outcomes for the participants,
the fiscal impact of the program and other recommendations that
the higher education department deems appropriate."
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SECTION 2. APPROPRIATION.--Three million dollars
($3,000,000) is appropriated from the general fund to the
higher education department for expenditure in fiscal years
2026 through 2028 for the monetary stipend project. Any
unexpended or unencumbered balance remaining at the end of
fiscal year 2028 shall revert to the general fund.
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