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Start a business · Home health agency · New Mexico

How to start a home health agency in New Mexico

New Mexico requires a Home health agency license (annual) from New Mexico Health Care Authority, Division of Health Improvement (Health Facility Licensing and Certification) to operate a home health agency. Fee: $300. Processing time: A temporary license (up to 120 days, no more than two in a row) is issued once documents are approved; patients may be admitted then.

Verified Oct 6, 2026Sources: state agencies, CMS and OIG

License required
YesHome health agency license (annual)
Application fee
$300
Processing time
—
Home health physical therapy
$49.66per 15 min · $198.64/hr
Organizations in the state
442NPPES, Sep 13, 2026
On this page
Licensing

New Mexico home health agency license

New Mexico requires a Home health agency license (annual) from New Mexico Health Care Authority, Division of Health Improvement (Health Facility Licensing and Certification) to operate a home health agency. Fee: $300. Processing time: A temporary license (up to 120 days, no more than two in a row) is issued once documents are approved; patients may be admitted then.

License required
Yes
License
Home health agency license (annual)
Fee
$300
Fee details
$300 per license (8.370.3.10 NMAC); nonrefundable. The first temporary license is included in the initial fee.
Renewal
Every year · $300 annual renewal; renewal application due at least 30 days before expiration. A lapsed license means the agency must stop operating and reapply as new.
Processing time
A temporary license (up to 120 days, no more than two in a row) is issued once documents are approved; patients may be admitted then.
Survey and inspection
Initial survey after the agency is operating; renewal requires an on-site survey; unannounced surveys and patient home visits may occur. Plans of correction due within 10 working days.
Medicare certification
Separately, CMS put a 6-month nationwide moratorium on new Medicare enrollment of home health agencies (including new branches and practice locations) into effect on May 13, 2026; it can be extended in 6-month increments, and CMS left any Medicaid/CHIP moratorium to each state.
Regulation
8.370.22 NMAC (Home Health Agencies); 8.370.3 NMAC (fees); Section 24-1-5 NMSA 1978
How to apply

Steps to get licensed in New Mexico

In order, as the licensing agency describes the process.

  1. Send a letter of intent to the licensing authority
  2. Submit the initial application with the fee
  3. Submit a functional program outline (services, expected monthly census, contracted services, hours)
  4. Submit agency policies and a copy of the rules annotated to those policies
  5. Receive a temporary license and begin admitting patients
  6. Once operating with a patient, request the initial survey in writing
  7. Receive the annual license after the survey finds compliance
Documents

What you need to submit

4 documents listed by the licensing agency.

Document
Letter of intent
Initial license application and fee
Functional program outline
See the full checklist — start free

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Staffing

Staffing and training requirements

Staffing
  • Administrator: physician, RN, or high-school graduate with health administration training and at least 1 year supervisory/administrative home health experience
  • LPN services supervised by an RN with 1 year home health or 2 years nursing experience; supervisory home visit at least every 60 days
Medicaid

Enrolling as a New Mexico Medicaid provider

Program
New Mexico Medicaid / Turquoise Care (New Mexico Health Care Authority, Medical Assistance Division)
Application fee
Under the federal rule (42 CFR 455.460), institutional providers pay the CMS application fee when they first enroll, re-enroll or revalidate. The fee is $750 for calendar year 2026. Individual physicians and non-physician practitioners do not pay it. A fee already paid to Medicare or to another state's Medicaid program counts. HCA's enrollment pages do not list a separate state fee.
Fingerprinting
HCA's Provider Enrollment Matrix flags fingerprints as mandatory for home health agencies, DME/medical supply providers, prosthetists/orthotists, and private and state nursing facilities. Under federal rules (42 CFR 455.434 and 455.450), the state places provider types in 'limited', 'moderate' or 'high' risk levels. High-risk providers, and anyone who owns 5% or more of one, must submit fingerprints for a criminal background check.
Site visit
HCA's Provider Enrollment Matrix flags a mandatory site visit for some entries of these types: ground ambulance, home health agencies, hospice, clinical and diagnostic laboratories, DME/medical supply providers, physical therapists, LMFTs, and prosthetists/orthotists. Under federal rule (42 CFR 455.432), the state must visit moderate- and high-risk providers before and after enrollment. Every enrolled provider must allow unannounced on-site inspections.
Revalidation
New Mexico revalidates every three years, which is more often than the federal 5-year minimum. Revalidation is rolling and restarted in June 2026. A selected provider gets a 60-day notice, logs in to YES.NM.GOV, updates the record, uploads the documents listed in the Provider Enrollment Matrix, and submits. A provider who does not revalidate can be disenrolled. Expiring licenses and certifications are updated separately through a Recertification application.

Full New Mexico Medicaid enrollment guide →

Certificate of need

Does New Mexico require a certificate of need?

CON program
No

New Mexico certificate of need details →

EVV

Electronic visit verification in New Mexico

Model
state-sponsored
State vendor
Fiserv AuthentiCare
Services in scope
  • personal care
  • respite
  • home health
Alternate EVV allowed
Yes

New Mexico EVV requirements →

Labor

New Mexico wage floor

State minimum wage
$12.00 an hour
Effective
2023-01-01
Scheduled increases
No scheduled change found in the official sources reviewed.
HCBS 80/20 rule
Federal baseline: 42 CFR 441.302(k) requires the state to show that each provider spends at least 80% of Medicaid payments for homemaker, home health aide and personal care services under 1915(c) waivers on direct care worker pay and benefits. Compliance starts 2030-07-09 (for managed care, the first rating period starting on or after that date); annual payment-adequacy reporting under 441.311(e) starts 2028-07-09. A state may set a lower share for state-defined small providers and exempt providers facing hardship, each only through a public notice-and-comment process. The eCFR text has not changed since 2024-07-09. No state-published 80/20 implementation step (small-provider criteria, hardship exemption or reporting guidance) was found for this state in the official sources reviewed.
Market

New Mexico market size

Counts from federal public files: NPPES (active organization NPIs), CMS Care Compare and CMS Medicaid enrollment.

Home health agencies — active organization NPIs (NPPES)
442 (as of Sep 13, 2026)
Medicare-certified home health agencies (CMS Care Compare)
70 (as of May 27, 2026)
Total Medicaid and CHIP enrollment (latest reported month)
673,265 (as of Jun 1, 2026)
Rates

What New Mexico Medicaid pays

Home health: published New Mexico fee-for-service rates, each linked to its source.

ServiceCodeNew Mexico ratePer hourRank
Home health physical therapyPhysical therapistG0151$49.66per 15 min$198.643 of 19
Home health occupational therapyOccupational therapistG0152$49.66per 15 min$198.642 of 18
Home health speech therapySpeech-language pathologistG0153$49.66per 15 min$198.643 of 16

All New Mexico Home health Medicaid rates, ranked →

FAQ

Frequently asked questions

Do you need a license to start a home health agency in New Mexico?

New Mexico requires a Home health agency license (annual) from New Mexico Health Care Authority, Division of Health Improvement (Health Facility Licensing and Certification) to operate a home health agency. Fee: $300. Processing time: A temporary license (up to 120 days, no more than two in a row) is issued once documents are approved; patients may be admitted then.

How much does a home health agency license cost in New Mexico?

$300 Renewal: Every year · $300 annual renewal; renewal application due at least 30 days before expiration. A lapsed license means the agency must stop operating and reapply as new..

How long does it take to get licensed in New Mexico?

A temporary license (up to 120 days, no more than two in a row) is issued once documents are approved; patients may be admitted then.

Does New Mexico require a certificate of need for a home health agency?

No. New Mexico has no certificate of need program.

How do you become a Medicaid provider in New Mexico?

Enroll through Provider & PED Enrollment System at YES.NM.GOV (https://yes.nm.gov/).

What does New Mexico Medicaid pay a home health agency?

New Mexico Medicaid pays $49.66 per 15 min for home health physical therapy, effective Jul 1, 2026, ranking 3 of 19 states.