DD Waiver Director Memo Points to Failure of Legislators to Fund Increases That Impact Direct Caregivers Pay
It appears there is going to be a lot of finger-pointing amongst state officials as to why Direct Support Professionals will continue to be paid less than a Living Wage.
In reviewing a memo from Jennifer Zwally, Director of the Developmental Disabilities Supports Division of New Mexico’s Health Care Authority, it appears the workers who provide important, direct care and support for developmentally and intellectually disabled New Mexicans, will not be getting any significant raise this year.
According to the U.S. Department of Labor, “Every day across the nation, Direct Support Professionals (DSPs) play a vital role in America’s workforce and economy by providing necessary supports and services to people with disabilities of all ages, including supports related to employment. DSPs are part of the broader workforce of Direct Care Workers (DCWs).”
New Mexico has thousands of DSP’s who provide the care described by the US DOL.
But the Health Care Authority, with the support of the Governor and Legislative Leaders, continue to pay Direct Support Professionals at wages $10,000 to $15,000 a year below the calculation of a Living Wage for New Mexico.
Last year, New Mexico contracted the consulting company Health Management Associates (HMA) for the amount of $374,920.00, to conduct a study to review and recommend an updating of the rates that serve as the basis for the pay received by these Direct Support Professionals.
Zwally told stakeholders at a Zoom earlier this month, that DDSD supported the increases recommended in the study produced by HMA.
The memo, released to stakeholders in the DD Waiver community, provides the following statement from Zwally, “DDSD did not receive any appropriations tied to the 2025 Rate Study conducted by Health Management Associates (HMA). The Final Rate Study Report can be viewed on the HCA website at: https://www.hca.nm.gov/directors-office-rate-studies/.”
What was not included in the memo from Zwally, was the fact that DDSD and its parent agency, the Health Care Authority (HCA), were several months late last year in signing a contract for the study.
The original Request for Proposal issued by DDSD and HCA was released on October 7, 2024, with “Best and Final Offers” that were due in late December of 2024.
However, the HCA did not sign a contract for the study until the end of April 2025.
After several months of work HMS released its study to the DDSD and HCA.
In December of 2025, HCA Secretary Kari Armijo informed legislators that the study would soon be available.
The HCA did not release the rate study until January 27, 2026, about a week after the Legislature began its 30-day Session for creating a state budget.
It’s clear that both the executive and legislative branches of the state government could have provided support for increases in the DDSD budget which would have provided much needed pay increases for an already underpaid and understaffed DSP workforce.
It’s also clear that the Governor did not fight for any increase, nor did the House Speaker or Senate Leaders instruct their budget chairs to increase appropriations for the workers who provide direct care to DD Waiver clients.
The Candle will be reporting soon on the disparities in pay of people providing services in New Mexico, juxtaposing the salaries of cabinet leaders and upper level management employees in state government to the poor pay the state appropriates for those who provide direct care for some of New Mexico’s most vulnerable residents.