HOUSE BILL 65
57th legislature - STATE OF NEW MEXICO - second session, 2026
INTRODUCED BY
Rebecca Dow
AN ACT
RELATING TO CHILD WELFARE; AMENDING THE CHILDREN, YOUTH AND FAMILIES DEPARTMENT ACT TO CREATE THE SHORT-TERM STABILIZATION PILOT PROGRAM; DIRECTING THE CHILDREN, YOUTH AND FAMILIES DEPARTMENT AND THE HEALTH CARE AUTHORITY TO COLLABORATE TO CONTRACT WITH CHILD WELFARE EXPERTS TO DEVELOP AND IMPLEMENT THE THREE-YEAR PILOT PROGRAM IN DONA ANA, CHAVES, SAN JUAN, MCKINLEY, BERNALILLO, SANTA FE AND EDDY COUNTIES; PROVIDING THAT THE PILOT PROGRAM WILL SERVE ELIGIBLE CHILDREN IN STATE CUSTODY AND THEIR FAMILIES AND WILL INCLUDE ENHANCED FOSTER CARE SERVICES; PROVIDING ELIGIBILITY REQUIREMENTS; ALLOWING PLACEMENT GAP INCENTIVES; REQUIRING EVIDENCE-BASED ASSESSMENTS AND TREATMENT MODELS; DEFINING TERMS; PROVIDING FOR SPECIALIZED INCENTIVE TRACKS; MAKING AN APPROPRIATION.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. A new section of the Children, Youth and Families Department Act is enacted to read:
"[NEW MATERIAL] SHORT-TERM STABILIZATION PILOT PROGRAM CREATED--PURPOSE--PROGRAM REQUIREMENTS--ELIGIBILITY--ADMINISTRATION.--
A. The "short-term stabilization pilot program" is created within the department as a three-year pilot program for children in state custody and their families within Dona Ana, Chaves, San Juan, McKinley, Bernalillo, Santa Fe and Eddy counties. The purpose of the pilot program is to provide children with in-home or home-like placements along with short-term stabilization support and services and crisis response and bridge placement when appropriate.
B. The department, in collaboration with the health care authority, shall contract with child welfare experts who possess demonstrated experience in evidence-based treatment models and stabilizing placements for children with acute behavioral health or mental health needs. Contractors selected to provide services pursuant to this section shall work with the department and the health care authority to develop and implement the short-term stabilization pilot program that uses home-like settings intended to reduce placement disruptions, including therapeutic foster homes. The pilot program shall provide the following evidence-based treatment and enhanced foster care support and services:
(1) twenty-four-hour crisis intervention;
(2) monthly in-home caseworker visits to discuss child functioning, parenting techniques and caregiver self-care;
(3) weekly in-home child therapy;
(4) monthly in-home family therapy;
(5) parent training focusing on therapeutic communication and trauma-informed crisis management; and
(6) treatment team meetings to collaborate on a child's individualized service and support plan.
C. To fill placement gaps for children who require short-term stabilization or behavioral health support services, the department, in collaboration with the health care authority, shall establish financial and program incentives to expand placement options, including small, home-like facilities or therapeutic foster homes. The incentives may include:
(1) enhanced contract rates for qualified therapeutic foster parents or home-like facility providers;
(2) start-up financial support for small, home-based or residential placement settings that serve six or fewer children; and
(3) bonus payments for placement providers who accept children participating in specialized incentive tracks as provided in Subsection E of this section.
D. A child's participation in the short-term stabilization pilot program shall be based upon the child's
CANS assessment at the time of entry into the program and as may be required or recommended after initial entry. Children with a history of frequent placements, a risk of placement disruption or a clinical diagnosis requiring higher levels of therapeutic support shall be prioritized for program participation.
E. The short-term stabilization pilot program shall include specialized incentive tracks developed for children participating in the program who:
(1) have acute behavioral needs;
(2) are adolescents;
(3) are part of a sibling group; or
(4) require short-term stabilization placements of seven to thirty days as a bridge to permanency or long-term placement.
F. Upon implementation, the short-term stabilization pilot program shall be administered by the department with continuing assistance as appropriate by the health care authority.
G. For the purposes of this section:
(1) "CANS" means a standardized child and adolescent needs and strengths assessment tool widely recognized and used as a clinical case-planning tool within child welfare systems;
(2) "evidence-based treatment" means a clinical or therapeutic intervention that is recognized by a national or state child welfare or behavioral health authority and is validated by research and supported by outcomes data;
(3) "specialized incentive track" means a structured path that provides a child extra support and services and includes enhanced payments or benefits to the foster parents or provider who cares for the child; and
(4) "therapeutic foster home" means a licensed foster home or kinship placement approved to provide in-home behavioral health services."
SECTION 2. APPROPRIATION.--Two million five hundred thousand dollars ($2,500,000) is appropriated from the general fund to the children, youth and families department for expenditure in fiscal years 2027 through 2029 to, in collaboration with the health care authority, contract with child welfare experts to develop, implement and administer the short-term stabilization pilot program in Dona Ana, Chaves, San Juan, McKinley, Bernalillo, Santa Fe and Eddy counties. Any unexpended balance remaining at the end of fiscal year 2029 shall revert to the general fund.
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