The bill mandates the Board of Regents of the University of New Mexico to provide financial support to eligible entities involved in graduate medical education. Eligible entities include federally qualified health centers, rural health clinics, independent psychiatric facilities, and critical access hospitals that participate in accredited residency programs in New Mexico. The Board is required to supplement costs associated with medical residents, such as salaries, benefits, and other related expenses, for the duration of their residency from fiscal years 2027 through 2029, with a priority given to New Mexico residents.

To facilitate this initiative, the bill appropriates $27 million from the general fund to the Board of Regents for the specified fiscal years. This funding is intended to cover both direct and indirect costs incurred by the eligible entities. Additionally, any unspent funds at the end of fiscal year 2029 will revert back to the general fund, ensuring that the financial resources are managed effectively.