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 Sedillo Lopez
LAST UPDATED
ORIGINAL DATE 3/5/2025
SHORT TITLE State Agency Language Plans
BILL
NUMBER Senate Bill 440
ANALYST Hanika-Ortiz
APPROPRIATION*
(dollars in thousands)
FY25 FY26
Recurring or
Nonrecurring
Fund
Affected
$250.0 Nonrecurring General Fund
Parentheses ( ) indicate expenditure 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
DFA
No fiscal
impact
$25.0 to $42.0 $25.0 to $42.0 $50.0 to $84.0 Recurring General Fund
Parentheses ( ) indicate expenditure decreases.
*Amounts reflect most recent analysis of this legislation.
Sources of Information
LFC Files
Agency Analysis Received From
Early Childhood Education and Care Department (ECECD) Children, Youth & Families Department (CYFD) Health Care Authority (HCA) General Services Department (GSD)
SUMMARY
Synopsis of Senate Bill 440
Senate Bill 440 (SB440) appropriates $250 thousand to the Department of Finance and
Administration (DFA) to support a statutory requirement for state agency language access plans.
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 appropriation of $250 thousand contained in this bill is a recurring expense to the general
fund. Any unexpended or unencumbered balance remaining at the end of a fiscal year shall not Senate Bill 440 – Page 2
revert to the general fund. Although this bill does not specify future appropriations, multiyear
appropriations, particularly if used to fund services and those services perform well, create an
expectation the program will continue in future fiscal years; therefore, this cost could become
recurring after the funding period.
DFA would provide technical assistance to departments with the highest need for help with
needs assessments and plans. DFA has suggested in prior years that supporting agencies in
developing language access plans would cost a recurring $25 thousand to $42 thousand. Each
budget season, agencies would identify if additional budget was needed for interpreters, or pay
differentials were needed for staff, etc. Each agency may have a different approach to meet their
goals, depending on the language needs of their constituents.
For constituents needing language assistance beyond sign language, some agencies may have
language access plans in place to help them comply with federal laws like the Civil Rights Act.
SIGNIFICANT ISSUES
The bill helps to ensure that limited English speakers can access public services without
discrimination. As the Department of Health has previously reported, individuals with low
English proficiency often have less access to health care, including preventive and primary care,
and health insurance.
In 2022, the governor signed House Bill 22 (Chapter 18) into law that amended Section 99-2-5
NMSA 1978, adding to the duties of cabinet-level secretaries in the executive branch. Those
additional duties included plans to improve access to state programs for limited English speakers.
That effort requires: (a) an annual needs-based assessment; (b) a plan to meet those needs; (c)
cost to implement; and (d) reporting requirements. At the time, DFA noted that federal funding
for programs in the Department of Health and Human Services Department directed spending for
multilingual outreach. DFA suggested it would cost a recurring $25 thousand to $42 thousand to
support agencies developing these plans. For the other departments, the larger ones appeared to
be able to absorb the cost of the assessments and plans, but most would need additional budget if
interpreter services and pay differentials were needed.
Since 2022, the legislature has mandated language access plans. However, it is unknown if those
plans are being used to inform pay differentials for multilingual staff. Instead, pay increases are
generally tied to performance and budget availability. The bill gives DFA funding to support
these efforts. This might mean working with the State Personnel Office and revisiting salary
structures.
ADMINISTRATIVE IMPLICATIONS
DFA would help determine the specific information to be included in the annual assessments.
AHO/hj/SL2