Restructuring the Office of Housing into the Mexico Department of Workforce Solutions

Gov. Michelle Lujan Grisham announced today that the Office of Housing is moving from the Governor’s Office to the New Mexico Department of Workforce Solutions (NMDWS) to more directly link job creation and housing strategies and provide for greater accountability.

“New Mexico has devoted a significant amount of money to solving its housing challenges, and it is essential that this investment leads to tangible progress as soon as possible,” said Gov. Lujan Grisham. “This move will ensure that the Office of Housing has the resources it needs to put these dollars to use solving our state’s housing shortage as we continue pursuing legislation to make the state’s housing and homelessness initiatives permanent.”

The Office of Housing consists of four positions and is responsible for developing strategies to address the housing shortage and homelessness in New Mexico. The Office will coordinate with the Department of Finance and Administration to direct the spending of state housing appropriations.

In the coming months, the Office of Housing team will make recommendations for where the state’s housing and homelessness operations should be placed permanently.

“Across the state, businesses, job seekers, and our own staff tell us that one of New Mexico’s biggest workforce challenges is the housing shortage,” said NMDWS Cabinet Secretary Sarita Nair. “Bringing the Office of Housing together with the Department of Workforce Solutions will enable strong collaboration and accountability. We will leverage our deep connections to communities from Farmington to Hobbs to ensure that the shared vision of rapid and efficient housing expansion becomes a reality.”

The fiscal year 2026 state budget includes an appropriation of $110 million to support housing, affordable housing, transitional housing, and the expansion of housing services providers that facilitate behavioral health services and substance abuse recovery, homelessness assistance, and prevention for persons with behavioral health needs.

It also includes $2 million for housing assistance personnel and programs, $2 million for consulting and strategic planning to support innovative models to end homelessness, and $5 million for grants to local governments to support housing encampment response and closure and cleaning of campsites.

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