HEALTH CARE AFFORDABILITY FUND DISTRIBUTIONS
HB 4 adjusts how funds from New Mexico's health insurance premium surtax are distributed to the Health Care Affordability Fund. It changes the percentage of surtax revenue sent to the fund over time: 55% before July 2024, 30% from July 2024 to September 2025, 55% from September 2025 to September 2026, and 100% after September 2026. The bill directly affects the allocation of state revenue generated by the health insurance surtax, which supports healthcare affordability programs. This policy change modifies existing distribution rules without altering the surtax rate itself. The fund's purpose is to assist New Mexicans with healthcare costs, though the bill does not specify new eligibility criteria or program expansions.
Bill status
signed
all 5 stages cleared
Introduction
Jan 2026
Committee Review
Feb 2026
House Passage
Feb 2026
Senate Passage
Feb 2026
Signed into Law
Mar 2026
Introduced Jan 22, 2026
Signed Mar 6, 2026
Maddy AI version diff · 2 comparisons
What changed between versions
AF substitute
→
Final Version
·
4 edits
MODERATE
The bill was revised to clarify the distribution percentages of health insurance premium surtax receipts between two state funds and to add a new requirement for unspent money in the Behavioral Health Program Fund to revert to the Health Care Affordability Fund at the end of each fiscal year. The changes also update specific dates for when different distribution percentages take effect, extending the timeline for certain funding phases.
Scope change
The scope of the bill was expanded to include a new provision requiring unexpended funds in the Behavioral Health Program Fund to revert to the Health Care Affordability Fund, and the distribution percentages between the two funds were modified with updated effective dates.
FISCAL
Distribution percentages from health insurance premium surtax receipts were adjusted, with percentages for 2025-2027, 2027-2028, and 2028 onward now explicitly defined in the final version.
REQUIREMENT
A new requirement was added mandating that any unexpended balance in the Behavioral Health Program Fund at the end of a fiscal year must revert to the Health Care Affordability Fund.
TIMELINE
Effective dates for distribution percentages were updated, with the 2025-2027 period now beginning September 1, 2025, and the 2027-2028 period beginning September 1, 2027.
TECHNICAL
Formatting and structural changes were made to align the bill with standard legislative formatting, including removal of committee substitute markings and addition of proper act numbering.
Floor votes · Senate Feb 18, 2026 · House Feb 12, 2026
How they voted
21–12
Passed · 5 other
Total votes 38
Feb 18, 2026
D
Democratic22
90% Yea
R
Republican16
75% Nay
Vote distribution
All Yea
All Nay
Mixed
No data
Full legislative history
Actions timeline
Total actions
9
Key actions
7
Committee
3
Mar 6, 2026
Signed into law
Signed
executive
Feb 19, 2026
Executive · Passed
House concurred in Senate amendments
executive
Feb 18, 2026
Upper · Passed
passed Senate
upper
Feb 17, 2026
Upper · Passed
DO PASS, as amended, committee report adopted
upper
Feb 13, 2026
Introduced
Sent to Senate Finance Committee
upper
Feb 12, 2026
Lower · Passed
passed House
lower
Feb 11, 2026
Lower · Passed
DO NOT PASS, replaced with committee substitute
lower
Jan 27, 2026
Lower · Passed
DO PASS committee report adopted
lower
Jan 22, 2026
Introduced
Sent to House Health & Human Services Committee & House Appropriations & Finance Committee
lower
5 primary · 0 co-sponsors
Sponsors
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