More than 230,000 Medicaid members to receive notices about new work or activity rules
SANTA FE — The New Mexico Health Care Authority (HCA) today briefed New Mexicans on major federal Medicaid changes taking effect in the coming months, including new work or activity rules that could put thousands of Medicaid members’ coverage at risk beginning Jan. 1, 2027.
During a virtual news conference with the New Mexico Department of Workforce Solutions, HCA officials outlined who may be affected, available exemptions, what Medicaid members need to do to keep their coverage and where they can access helpful resources.
Beginning this week, more than 230,000 Medicaid members will receive notices about the new work or activity rules. Receiving a notice does not mean a member will automatically lose Medicaid. Some members will qualify for exemptions.
“Our highest priority is helping eligible New Mexicans keep the health coverage they qualify for,” said HCA Cabinet Secretary Kari Armijo. “We want our customers to understand what changes apply to them, what they need to do next, and where they can go for help.”
Starting Jan. 1, some adults ages 19 to 64 enrolled in Medicaid will need to complete 80 hours of work or other qualifying activities each month unless they qualify for an exemption. Paid work, education, job training, work programs, community service and other qualifying activities may count.
Not everyone will have to meet the new federal requirement. Exemptions include Native Americans, pregnant or postpartum members, some parents and caregivers, people with disabilities or serious health needs, and people receiving certain treatment or care. Other exemptions may apply based on individual circumstances. HCA encourages Medicaid members to learn what applies to them at HCA.NM.GOV/KeepYourBenefitsNM.
HCA also outlined other federal Medicaid changes and their expected impact in New Mexico:
- New work or activity rules: HCA projects about 89,000 New Mexicans could lose Medicaid coverage because of this rule.
- Eligibility changes: About 2,350 lawfully present immigrants are projected to lose federally funded Medicaid eligibility beginning Oct. 1. New Mexico has created state-funded coverage to help affected members maintain health coverage.
- More frequent renewals: Starting Jan. 1, Medicaid members subject to the work or activity rules will generally renew every six months instead of every 12 months. HCA projects about 101,760 members could lose coverage for at least two months because of more frequent eligibility checks.
- Retroactive coverage: Starting Jan. 1, federal rules will reduce how far back Medicaid can cover past medical bills, from three months to one month for some adults ages 19-64 and to two months for older adults and people with disabilities.
Note: The figures of affected New Mexicans overlap, since some New Mexicans fall into more than one category. These figures should not be added together for a total estimate.
HCA also provided an update on federal SNAP work or activity rules that expanded statewide Jan. 1, 2026. HCA continues outreach to help SNAP and Medicaid customers understand the requirements, identify exemptions and connect with employment and training resources.
“If, after talking to the Health Care Authority, it turns out you need to find work, training, or volunteer opportunities, we are here to help. It can be difficult to know where to start when looking for work, updating or creating a resume, or wanting to build new skills. We encourage everyone to visit us in-person at an America’s Job Center New Mexico or online at jobs.dws.nm.gov,” said Department of Workforce Solutions Cabinet Secretary Sarita Nair. “You don’t have to navigate this process alone. We are here to help you figure out your next steps and provide you with the tools you need to succeed.”
HCA is reaching customers through its Keep Your Benefits NM campaign, which includes direct notices in turquoise envelopes, text and email reminders, partnership with community partners, local influencers outreach, paid advertising and community events across New Mexico.
The agency will hold its first virtual Keep Your Benefits NM information session Wednesday Sept. 23 from noon to 1:30 p.m., where New Mexicans can learn about the Medicaid changes, ask questions and find out where to get help. Community members can register here: Keep Your Benefits NM information session
Additional community events will be held across the state this fall.
Medicaid and SNAP customers should watch for HCA notices and keep their contact information current. If you receive a turquoise envelope from HCA, you need to take action. To learn about the federal changes, exemptions, upcoming community events and available help, visit HCA.NM.GOV/KeepYourBenefitsNM.
Community organizations and other partners can also find outreach materials on the website to help spread the word about the federal changes.
Watch the news conference:
- English: Watch the news conference recording or view the Facebook recording.
- Spanish: Watch the Spanish-language recording on YouTube.
- View the news conference slides.
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About the New Mexico Health Care Authority
The New Mexico Health Care Authority connects New Mexicans to the care and support they need to live healthy, full lives. The agency administers Medicaid, the Supplemental Nutrition Assistance Program (SNAP), the Low-Income Home Energy Assistance Program (LIHEAP), cash assistance, child support services, and behavioral health care across the state. HCA also oversees the State Health Benefits program for state employees and manages the Health Care Affordability Fund to help make coverage more affordable for working families. The agency licenses health care facilities, investigates complaints, and ensures providers deliver safe, high-quality care. In addition, HCA supports individuals with intellectual and developmental disabilities through a variety of home and community-based programs that protect health, safety, and human rights.