The proposed bill establishes a three-year pilot project known as the "monetary stipend project," aimed at providing monthly assistance payments to eligible adults who are former foster or delinquent children. The project seeks to demonstrate that financial support for basic cost-of-living expenses can enhance educational, employment, and health care outcomes for these individuals. Eligibility criteria include being a New Mexico resident, a U.S. citizen or lawful permanent resident, and under the age of twenty-six, with specific participation in educational or workforce development programs. The higher education department will administer the project and determine individualized stipend amounts, which cannot exceed $2,000 per month, based on participants' income and other public assistance.

Additionally, the bill outlines the responsibilities of the higher education department, including the creation of rules for application processes and evaluation methodologies. It mandates biannual reporting to the legislative health and human services committee during the project and requires a final report by October 1, 2031, detailing participant outcomes and fiscal impacts. The bill also appropriates $3 million from the general fund for the project, with any unspent funds reverting to the general fund at the end of fiscal year 2028.