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Committee substitutes Behavioral Health Medicaid waiver bill, gives HCA added flexibility and advances substitute

2527567 · March 7, 2025
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Summary

Lawmakers adopted a committee substitute for House Bill 70, the Behavioral Health Medicaid Waiver Act, giving the Human Services/Health Care Authority flexibility in waiver planning and extending the application timeline. The Appropriations committee approved a do-pass on the substitute and a do-not-pass on the original bill.

SANTA FE — The House Appropriations and Finance Committee on Tuesday approved a committee substitute for House Bill 70, a measure to authorize a Medicaid waiver for behavioral-health services for people with serious mental illnesses and related conditions.

Committee members and advocates said the substitute language was developed to give the New Mexico Human Services Department/Health Care Authority more flexibility in planning and implementing the waiver, including flexibility in consultant use, options for waiver structure and an extended timeline for the waiver application. Jim Jackson (Disability Rights New Mexico) described the substitute as adding options and removing prescriptive language while preserving the authority’s role to establish services and eligibility.

Advocacy groups including the Disability Coalition and a veterans-family caucus testified in support, emphasizing individualized care plans and interdisciplinary teams for people with behavioral-health disabilities. Committee members noted funding in the budget for initial work; representatives on the dais referenced approximately $1,000,000 in HB 2 for developing the waiver.

The committee adopted the substitute and approved a procedural pair of motions: a do-not-pass on the original House Bill 70 and a do-pass on the Appropriations and Finance Committee substitute for House Bill 70. The do-pass on the substitute was moved by Vice Chair Dixon and seconded by Representative Garrett; Representative Pettigrew was recorded in opposition to the committee’s recommendation.

The substitute now advances for further legislative consideration; the committee asked the authority to continue coordination with stakeholders as it develops the waiver application.