The New Mexico Senate Health and Public Affairs Committee convened on March 2, 2025, to discuss significant legislation aimed at addressing the state's affordable housing crisis. The primary focus was on Senate Bill 144, which proposes a one-time appropriation of $500,000 from the general fund to the Department of Finance and Administration (DFA) for the New Mexico Mortgage Finance Authority (MFA). This funding is intended to support the implementation of the Affordable Housing Act, allowing expenditures to commence in fiscal year 2026.

Isidoro Hernandez, the executive director of Housing New Mexico, emphasized the organization's expanded mission, which now encompasses a full spectrum of housing services, from homelessness to homeownership. He noted that the MFA has been instrumental in providing loans to first-time homebuyers and has developed over 40 programs aimed at assisting working families. The proposed funding will help local governments implement affordable housing plans and provide necessary training and technical assistance.

The committee heard strong support for the bill from various stakeholders, including former legislators and representatives from housing organizations. They highlighted the critical need for increased funding to boost the supply of affordable housing, which is currently facing a significant shortage. The discussions underscored the importance of leveraging state funds to stimulate local economies and create jobs through construction and development projects.

In addition to Senate Bill 144, the committee also reviewed Senate Bill 145, which seeks to appropriate $500 million to the New Mexico Housing Trust Fund. This bill aims to enhance funding for affordable housing projects, including the construction and rehabilitation of existing units. Hernandez explained that the trust fund has a proven track record of effectively utilizing funds, with a strong emphasis on collaboration with local governments and community partners.

The committee ultimately voted unanimously in favor of Senate Bill 144, signaling a commitment to addressing the pressing housing needs in New Mexico. The discussions highlighted the ongoing challenges in the housing sector and the critical role of state funding in facilitating local initiatives to provide affordable housing solutions.