NM HB269

Prohibits licensed child care and early childhood care programs contracting with the Early Childhood Education and Care Department from using state funds to pay monitoring, franchise, or management fees to parent companies, executive compensation to investment firms, or for operations outside New Mexico

Bans contracted child care programs from paying dividend recapitalizations or capital distributions to investors, or from selling real property and entering into leaseback arrangements with outside business entities

Defines "investment firm" as entities whose primary business is investing funds for equity or debt in businesses, and "investment fund" as entities accepting investments only from accredited investors or tribal nations with at least $5 million in investment assets

Requires the department to submit annual reports to the legislative health and human services committee by December 1, starting in 2026, detailing business structures, executive compensation, debt-to-earnings ratios, acquisitions/closures, investor fees, and real estate transactions

Amends the Early Childhood Care Accountability Act (Chapter 32A, Article 23C NMSA 1978) to add these new financial accountability requirements for child care programs receiving state funds