Summary:

 Senate Bill 338 (SB 338) appropriates five million dollars ($5,000,000) to the Department of Health for the New Mexico Health Service Corps to support the recruitment and retention of health care providers who treat rural or underserved populations or patients of federally qualified health centers.


 

Legislation Overview:

 Senate Bill 338 (SB 338) appropriates five million dollars ($5,000,000) from the General Fund (GF) to the Department of Health (DOH) for expenditure in Fiscal Years (FY)  2026 and 2027 for the New Mexico Health Service Corps to support the recruitment and retention of health care providers who treat rural or underserved populations or patients of federally qualified health centers. It limits the administrative costs of this appropriation to two hundred thousand dollars ($200,000).

Any unexpended or unencumbered balance remaining at the end of FY 2027 reverts to the GF.

 

Current Law:

 The Office of Primary Care and Rural Health in the DOH administers the New Mexico Health Service Corps (NMHSC), a state supported program which recruits, places and offers financial assistance to designated health professionals who work in rural and medically underserved areas of the state. The program is divided into two parts: the Stipend Program and the Community Practice Site Support Program.
The NMHSC Stipend Program offers primary care medical and dental students stipends to support their education in exchange for two years of full time service in one of these areas or clinics upon completion of training. Applicants may apply for two consecutive years.
Through the Community Practice Site Support Program (also referred to as the Community Contract Program) the NMHSC provides recruitment and/or retention support to NMHSC-eligible healthcare providers by awarding community/practice sites grants and mid-level provider grants when funding is available.