SANTA FE, N.M. — New Mexico has approved a sweeping package of regulatory changes aimed at cutting red tape for physicians, a move state leaders say will speed patient access to care and help the state compete for badly needed medical talent.
Gov. Michelle Lujan Grisham on Friday signed House Bill 345, dubbed the “Health-Care Workforce Support Act,” eliminating several administrative hurdles that doctors and physician assistants have long complained slow their ability to practice. The measure passed both chambers of the Democratic-controlled Legislature with bipartisan support earlier this month.
Key provisions scrap prior-authorization requirements for most primary-care visits paid by Medicaid, create a centralized online credentialing portal for hospitals and insurers, and allow doctors licensed in any U.S. jurisdiction to provide telehealth services to New Mexico patients without securing an additional in-state license. The law takes effect July 1.
“When paperwork keeps physicians out of exam rooms, patients lose,” the governor said at a signing ceremony. “Today New Mexico tells doctors: spend your time on patients, not on filing cabinets.”
An analysis by the University of New Mexico Health Sciences Center last year estimated that 32 percent of physician positions in rural counties sit vacant. Dr. Elizabeth Maldonado, a family physician in Raton, called the credentialing portal “a game changer,” noting it can take 90 days or more to win hospital privileges after relocating. “If we can cut that to a month, more doctors will give our small towns a look,” she said.
State Medicaid Director Nicole Comeaux estimated the prior-authorization rollback would slash 400,000 annual paperwork requests, freeing the equivalent of 150 clinician workdays. Insurers counter that authorizations hold down unnecessary care. “Without guardrails, costs will climb and premiums will follow,” said Michael Romero, spokesperson for the New Mexico Association of Health Plans.
Health-policy analysts say New Mexico joins Arizona, Colorado and Utah in loosening practice rules as competition for clinicians intensifies nationwide. “The real test will be whether these reforms translate into more boots on the ground,” said Jennifer Diaz, senior fellow at the non-partisan State Health Policy Institute.
Officials plan to publish quarterly metrics on licensing times, Medicaid spending and rural vacancy rates. Lawmakers signaled a willingness to revisit the statute if costs spike. For now, hospitals are rushing to update onboarding systems before the July rollout, betting the lighter regulatory load will give the state a recruiting edge.