For a hospital in a rural state, out-of-state recruitment can be a challenge. Chief Human Resources Officer Neil Teatsorth at San Juan Regional Medical Center in Farmington, N.M., said the state has handed hospitals a powerful new recruitment tool.
New Mexico became the first state to make childcare free to qualifying residents. The program launched Nov. 1, and Gov. Michelle Lujan Grisham signed it into law March 10. Since the launch, 12,666 additional families and 16,706 children have enrolled statewide, and the state projects roughly 30,000 families and 44,000 children are on track to receive free care in 2026, according to the governor’s office.
The law is also a recruiting tool with out-of-state candidates, who Mr. Teatsorth said have long passed over New Mexico in favor of states such as Texas, Nevada or Arizona.
“They tend to leapfrog over New Mexico because it’s a lesser-known, lower population state with fewer communities, and so [free child care] really puts us into the conversation now in a way that didn’t necessarily exist before because of this incredible benefit,” he said.
The statewide benefit means any New Mexico hospital can make a compelling case to prospective employers. What further distinguishes San Juan Regional is its own on-site childcare center, Children’s Discovery Place. About one-third of U.S. hospitals offer some form of childcare benefit, and on-site centers are even rarer, KFF Health News reported in 2022. The center, open to employees and community members alike, is at capacity, he said, raising the question of whether to expand it or open a second location.
The law’s effects reach past recruiting. Some employees with a stay-at-home spouse can now enroll a child and add a second household income, and some childcare workers have seen wages rise as facilities meet the standards the state requires.
For a hospital whose primary talent pipeline runs straight out of college, Mr. Teatsorth said the benefit also helps recruit experienced professionals from out of state who can complement and mentor early-career clinicians entering the workforce.
“We’re hoping that this helps provide a nice counterbalance by bringing in experienced talent and strengthening the depth and experience across the entire workforce,” he said.
Childcare is not the only policy shift working in the state’s favor. Malpractice insurance reform was signed into law in March; Mr. Teatsorth said the legislation has eased the liability concerns that once gave physicians and physician assistants pause about practicing in New Mexico. The law creates tiered caps on punitive damages in medical malpractice lawsuits, including $1 million for independent providers and $6 million for locally owned hospitals.
For Mr. Teatsorth, the larger goal is to position Farmington and the Four Corners region as a destination of choice, with quality schools, an ideal, sun-drenched four-season climate, endless outdoor activities nearby and a cost of living that can provide greater rewards than any larger metropolitan area.
“It can also help people that seemed to be losing the rat race because of high taxes, high inflation,” he said. “‘Here’s an alternative, if you’re willing to find a new destination and create a new life.’ This is a tremendous opportunity for just that.”
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.