New Mexico is set to become the first state in the United States to implement free universal child care starting next week. This groundbreaking initiative, championed by Governor Michelle Lujan Grisham, aims to alleviate the financial burden on families, potentially saving them an average of $12,000 annually.
The program will eliminate child care costs for all families, irrespective of their income levels. Governor Lujan Grisham emphasized the significance of this initiative, revealing to CBS News that many families face child care expenses exceeding their mortgage payments. She stated, “In 41 states in America, your child care payment is more than your mortgage payment.”
Local educators, Hannah Mierley and Nathan Herzog, exemplify the financial strain of child care costs. They currently spend over $14,000 a year for their toddler, Atticus, which they describe as a significant portion of their budget. “It’s second to our mortgage,” noted Mierley, highlighting the financial challenges faced by many families in the state.
Funding and Economic Impact
The funding for this ambitious child care program will be sourced from New Mexico’s oil and gas revenues. Governor Lujan Grisham remarked, “All sectors of our economy are overperforming. You can’t stay that course unless you have a robust early childhood and child care setting.” This initiative is expected not only to ease financial pressures on families but also to bolster the workforce participation rate among parents.
According to the U.S. Department of Labor, approximately 67% of women with children under the age of five are currently active in the labor force. However, this figure has seen a decline in recent years, underlining the need for supportive measures like the new child care program.
In addition to covering costs, the initiative seeks to expand the pool of child care providers. The state plans to recruit and license more registered home providers, including qualified family members, to meet the growing demand for child care services.
To further support the infrastructure necessary for child care, the government will establish a $12.7 million low-interest loan fund aimed at the construction, expansion, and renovation of child care facilities. An additional $20 million has been requested for the fiscal year 2027 to continue these efforts.
Community Perspectives
When questioned about criticisms that label the program as a Democratic handout, Lujan Grisham defended the initiative, asserting, “I say it’s a Democrat that’s got twice the national average in economic output. This is about investing in mothers and fathers, being able to go back to the workforce.”
For families like Mierley and Herzog, the introduction of free universal child care offers a new perspective on their financial future. “It gives us some relief,” said Mierley, while Herzog added, “It’s the first time that we can really start thinking about, ‘How do I prepare for Atticus’ future?'”
As New Mexico prepares to implement this historic program, it sets a precedent that could influence child care policies across the nation. The state’s commitment to supporting families and enhancing workforce participation may resonate well beyond its borders, possibly inspiring similar initiatives in other states.
