Good afternoon Lobos –
The New Mexico State Legislature’s 60-day session has officially ended, with our legislators and governor approving a final state budget of $10.8 billion for FY 2026, a nearly 6% increase. As enacted, the budget reflects a strong commitment to higher education, with $1.2 billion in recurring general fund appropriations allocated to higher education institutions, supplying $37.9 million in new money statewide, a 3.3% increase above FY25. This includes important new targeted investments, jointly supported by the legislature and governor, boosting student support services and graduate compensation.
It is evident that UNM was well supported by the legislature and governor in both budget and other state policies enacted during the session. UNM’s major funding comes from recurring appropriations, mainly Instruction and General (I&G), which funds basic operations including instruction, administration, campus operations, and student support. Recurring funding also supports Research and Public Service Projects (RPSPs) that serve specific programmatic purposes at higher education institutions. For the coming year, UNM will receive an increase in our recurring funding of $16.9 million system-wide, exclusive of compensation appropriations, an increase of 3.6 percent. We also received important funding for specific compensation increases and increased medical benefits costs for employers.
The final budget also provided $19,350,000 in special appropriations for 15 projects at UNM. These special appropriations provide one-time money that typically must be expended by the end of the coming fiscal year. Key funding priorities for us include $2.5 million for the College of Population Health; $1.8 million to support a mental health, substance use disorders and criminal justice technical assistance center; and $1.8 million for the Quantum New Mexico Institute.
Lawmakers also authorized dozens of special appropriations to New Mexico’s Higher Education Department (HED), Department of Finance and Administration (DFA), and Economic Development Department (EDD), many of which UNM will be eligible to receive by statewide administrative formula or by demonstrated need, in alignment with state agency priorities. Important appropriations on the list include $40 million for building renewal and replacement, $3 million for equipment renewal and replacement, $10 million to the Technology Enhancement Fund, $72 million to the New Mexico Match Fund and $40 million to the Research, Development and Deployment Fund, all of which will be important for our facilities and research programs that are seeking additional support.
The final signed capital outlay bill includes $125,628,333 for 30 UNM capital projects across all campuses. Generous funding was provided for our largest requests such as the Humanities and Social Sciences Complex, the planning and design phase of our proposed new School of Medicine Facility, Phase II of the College of Pharmacy Renovation, and the initial planning phase for UNM Stadium improvements. UNM also received capital outlay funding for many other mission-critical projects for which we received broad support from many individual legislators and the executive branch.
For details and more information, the UNM Office of Community and Government Relations has prepared an in-depth analysis of the FY26 budget and what it means for The University of New Mexico.
I want to thank everyone, especially our student leaders, the UNM government relations team, our Regents, the Council of University Presidents, and of course those policymakers who represent us, who demonstrated real commitment to UNM and higher education in this year’s legislative session. I also appreciate the many other Lobos who met with and provided information to legislative leaders to keep our priorities top-of-mind—and who shared how UNM continues to provide support for local communities and our state.
|