New Mexico Judge Dismisses Challenge to Childcare Program

A New Mexico judge has dismissed a lawsuit challenging the state’s universal childcare program, allowing this significant initiative to proceed. The dismissal means the program will continue to operate without income caps, covering daycare costs for all families as long as parents or guardians are working, studying, or meet specific exemptions.

The lawsuit was brought by former Republican gubernatorial candidate Duke Rodriguez and others. They questioned the process by which Democratic Governor Michelle Lujan Grisham’s administration extended the program without legislative approval at that time. The administration argued successfully that lawmakers have since approved and funded the expansion, making the lawsuit outdated.

District Judge Elaine Lujan ruled in favor of the state, citing that Rodriguez and his co-plaintiffs did not have the necessary standing to proceed with the lawsuit. Despite the ruling, Rodriguez’s legal team plans to appeal.

“Just because Lujan Grisham thinks she has a great idea doesn’t mean she gets to write the law and enforce the law,” said plaintiffs’ attorney Jacob Candelaria.

The judge’s decision was welcomed by Lujan Grisham, who described the legal challenge as unfounded and stressed the program’s legality. She expressed relief for families who rely on the subsidy, highlighting that they can continue making plans with certainty about their financial and family futures.

New Mexico is positioning itself as the first U.S. state to offer universal childcare without income restrictions. This effort is observed by policymakers across the nation as a potential model for reducing family expenses and enhancing public investment in childcare.

During legal proceedings, Candelaria argued that bypassing the Legislature was a fundamental breach of separation of powers, affecting constitutional interests. However, Holly Agajanian, representing the governor’s office, maintained that the case was a policy dispute rather than a constitutional issue.

In February, Governor Lujan Grisham signed a law to solidify the childcare program, contingent on the state’s healthy financial situation. The initiative, largely funded by oil and gas revenues, was already among the nation’s broadest, aiding families earning up to 400% of the federal poverty level.

Questions about the program’s long-term viability remain, with state legislative analysts noting a trend of overspending soon after its expansion began. The Early Childhood Education and Care Department is contemplating regulations to ensure financial stability. These measures might include introducing copayments for higher-income families should changes in the economy occur, such as drops in oil prices or enrollment spikes.