A reduction in the reimbursement rates for Home Health Care workers is drawing fire from the New Mexico House and Senate delegation, Home Health Care providers and the media.

On January 1, 2026, the Trump Administration enacted a 19% cut in the allowed quarter-hour rate of $16.75 to $13.50 for workers who provide Home Health Care for Veterans with serious disabilities and conditions.  According to a letter sent by Senators Martin Heinrich and Ben Ray Lujan, New Mexico representatives Teresa Leger Fernández, Melanie Stansbury and Gabe Vasquez, and Texas representative Henry Cuellar, the cut is already leading to a shortage of available providers and damaging the private firms that employ and supervise Home Health Care Aides. 

The legislators point out that these cuts amplify problems already created by existing policies that do not allow reimbursement of travel time and expenses to Home Health Care workers serving rural areas.  An estimated 68,000 Veterans over the age of 65 in New Mexico and Texas are reliant on Home Health Care. The preponderance of these live in rural areas requiring that their aides travel considerable distances to help them.  

The Santa Fe New Mexican reports that a new coalition of care-giving companies has formed and is preparing to sue the VA if it fails to restore the cuts.  Meanwhile Senator Heinrich says if the VA doesn’t roll-back the cuts he will introduce legislation forcing them to do so.  

Comfort Keepers of Santa Fe, numbering about 66% of its client base as Veterans, has been able to hold the line against reducing services despite the rate cut, but anticipates problems with both employee retention and recruitment. 

See the complete letter from the members of Congress on Senator Heinrich’s Website.

Read the Santa Fe New Mexican story.