The proposed bill establishes the "Animal Welfare Program" in New Mexico, aimed at providing funding for projects that enhance the welfare of domestic cats and dogs. Starting July 1, 2025, the program will allow the Department of Finance and Administration to award grants to municipalities, counties, or eligible entities, including Indian nations, tribes, or pueblos. These grants can be used for various purposes, such as repairing or renovating animal shelters, purchasing necessary equipment, controlling stray animals, enforcing animal cruelty laws, and providing spay and neuter services. Applicants must submit detailed proposals demonstrating how their projects align with the program's objectives, and the department will conduct a competitive review process to determine funding allocations.

Additionally, the bill creates the "Animal Welfare Program Fund," a nonreverting fund in the state treasury that will consist of appropriations, gifts, grants, and donations. The fund will be administered by the Department of Finance and Administration, which will also oversee the expenditures related to the program. The department is required to submit an annual report to the legislative finance committee detailing funded projects, their progress, and any proposed projects that were not funded due to insufficient resources. This initiative aims to improve animal welfare across the state through targeted funding and support for relevant projects.