STATE AND FED SCHOOL GRANT PGMS

HB0123

HOUSE BILL 123

57th legislature - STATE OF NEW MEXICO - second session, 2026

INTRODUCED BY

Tara L. Lujan

AN ACT

RELATING TO PUBLIC SCHOOLS; REQUIRING THE PUBLIC EDUCATION
DEPARTMENT TO MAINTAIN AN INTEGRATED DIGITAL SYSTEM FOR SCHOOL
DISTRICTS AND CHARTER SCHOOLS TO MANAGE FUNDING FROM CERTAIN
STATE AND FEDERAL GRANT PROGRAMS; REQUIRING SCHOOL DISTRICTS
AND CHARTER SCHOOLS TO APPLY FOR FUNDING FROM CERTAIN STATE AND
FEDERAL GRANT PROGRAMS THROUGH A UNIFIED APPLICATION; REQUIRING
THE PUBLIC EDUCATION DEPARTMENT TO APPROVE A SCHOOL DISTRICT'S
OR CHARTER SCHOOL'S PROPOSED EXPENDITURES; MAKING AN
APPROPRIATION.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

SECTION 1.
A new section of the Public School Code is
enacted to read:

"[
NEW MATERIAL
] UNIFIED APPLICATION FOR STATE AND FEDERAL
GRANTS.--

A. The department shall maintain an integrated
digital system for school districts and charter schools to
manage funding from state and federal grant programs. The
system shall include a unified application that:

(1) consolidates common requirements across
state and federal grant programs;

(2) automates data entry and calculations;

(3) creates a single source of accurate and
consistent data for each school district and charter school;

(4) categorizes grant programs with unique
grant codes;

(5) categorizes the types of expenditures
authorized across grant programs with unique expenditure codes;
and

(6) provides a mechanism for the department or
a school district or charter school to monitor compliance with
grant program requirements.

B. School districts and charter schools shall apply
for and manage funding from the following grant programs
through the integrated digital system:

(1) grant programs established pursuant to the
federal Elementary and Secondary Education Act of 1965, as
amended by the federal Every Student Succeeds Act;

(2) grant programs established pursuant to the
federal Individuals with Disabilities Education Act;

(3) grant programs established pursuant to the
Community Schools Act;

(4) all grant programs established to promote
literacy or reading proficiency pursuant to the Public School
Code; and

(5) other state or federal grant programs
required by the department after consultation with the
legislative education study committee and the legislative
finance committee.

C. When a school district or charter school applies
for grant program funding through the integrated digital
system, the school district or charter school shall provide
line-item details for each proposed expenditure, and those
proposed expenditures shall be subject to the department's
approval."

SECTION 2.
TEMPORARY PROVISION.--The digital system or
unified application currently used by the public education
department shall comply with the provisions of this act by
December 31, 2026.

SECTION 3.
APPROPRIATION.--One million dollars
($1,000,000) is appropriated from the general fund to the
public education department for expenditure in fiscal years
2026 and 2027 to bring into compliance or otherwise maintain
the integrated digital system for school districts and charter
schools to manage funding from state and federal grant
programs. Any unexpended balance remaining at the end of
fiscal year 2027 shall revert to the general fund.

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