New Mexico Is Getting an ACP Replacement This Summer. Are You Eligible?
New Mexico's Low-Income Telecommunications Assistance Program (LITAP) gives qualifying households up to $30/month toward their internet or phone bill. It's open to households earning $45,000/year or less and launches July 1, 2026 making New Mexico the first state to create a direct, state-funded replacement for the expired federal ACP.
When the Affordable Connectivity Program ended in 2024, millions of households lost the $30/month help they relied on to stay connected. For a lot of families, that meant tough choices about whether to keep their internet on at all.
New Mexico just became the first state to do something about it — and the new program launches this summer.
What Is LITAP?
LITAP (Low-Income Telecommunications Assistance Program) was signed into law by Governor Michelle Lujan Grisham in February 2026 and is administered by the New Mexico Public Regulation Commission (PRC). It gives qualifying households up to $30/month applied directly toward their internet or phone bill, and it’s built to last since it’s funded at the state level rather than through federal appropriations.
Who Qualifies for LITAP?
To qualify, your household needs to earn $45,000 a year or less.
New Mexico estimates the program will support up to 173,000 households statewide — reaching the families who feel the cost of internet the most.
Official eligibility details and application information will be published by the New Mexico Public Regulation Commission ahead of the July 1 launch. We’ll have a full step-by-step guide on how to apply as soon as that information is available. In the meantime, you can check what affordable plans are available at your address right now on FreeConnect.us.
How Is It Funded?
This is what sets LITAP apart from the ACP, and what makes it more stable.
The federal ACP was funded through a Congressional appropriation. When Congress stopped approving the money, the program ended, and over 23 million households lost their benefit practically overnight.
LITAP is funded through New Mexico's state rural universal service fund, which collects a small surcharge on phone and internet bills across the state. The legislature raised that fee by roughly $1–$2/month per subscriber to cover the cost of the program. That means:
- No impact on New Mexico’s general fund — it doesn’t rely on state budget appropriations
- No Congressional vote required to keep it running
- The program’s cost is spread across all New Mexico subscribers, not drawn from taxes
The program can spend up to $10 million in year one and up to $45 million annually after that.
Can You Stack LITAP With Lifeline?
Yes, and that combination could make a real difference.
The federal Lifeline program already offers a $9.25/month discount on phone or internet service for qualifying low-income households. It’s available nationwide, but enrollment has always been lower than it could be partly because the discount on its own doesn’t stretch far enough.
Stack it with LITAP’s $30/month and eligible New Mexico households could see up to ~$40/month in total monthly assistance. That’s enough to bring a standard internet plan down to a genuinely manageable cost for many families.
Why This Matters Even If You're Not in New Mexico
New Mexico is the first state to build a direct household subsidy program that mirrors what the ACP did but is funded in a way that doesn’t depend on Washington.
Other states like California, Texas, and Oregon have had similar state universal service funds for years. New York and Connecticut have passed laws requiring ISPs to offer low-cost plans. But New Mexico is the first to create an ACP-style benefit that goes directly to households.
That’s significant because it shows the model is workable at the state level. Other states are paying attention. If you’re outside New Mexico, similar legislation could be coming your way and knowing what to look for puts you ahead of it.
What Can You Do Right Now?
If you’re in New Mexico, mark July 1, 2026 on your calendar. We’ll publish a full how-to-apply guide before the launch date once the PRC releases enrollment details — so check back here or bookmark this page.
In the meantime, it’s worth making sure you’re already on the most affordable internet plan available at your address. A lot of people are overpaying simply because they didn’t know better options existed on their street.
FreeConnect compares plans from 26+ providers using your actual address, not just your zip code, so you see every real option available to you.
Check what’s available at your address →
Frequently Asked Questions
When does LITAP start?
July 1, 2026. The program was signed into law in February 2026 but isn’t accepting applications yet.
How much is the LITAP benefit?
Up to $30/month toward internet or mobile service for qualifying households.
Who qualifies for LITAP?
Households earning $45,000/year or less. Official eligibility criteria will be confirmed by the New Mexico Public Regulation Commission before the program launches.
How do I apply for LITAP?
The application process will be managed through the New Mexico PRC. We’ll publish a full how-to guide as soon as enrollment details are available — check back at freeconnect.us/blog-home or bookmark this page.
Is LITAP the same as the ACP?
Very similar. Both offer up to $30/month for internet service and target low-income households. The key difference is that LITAP is state-funded through a surcharge on existing bills, not a federal appropriation, which makes it more stable long-term.
Can I combine LITAP with Lifeline?
Yes. The federal Lifeline benefit ($9.25/month) can be stacked with LITAP for a combined discount of up to ~$40/month.
What if I'm not in New Mexico?
LITAP is currently only available in New Mexico, but similar programs are being discussed in other states. In the meantime, FreeConnect can help you find the most affordable plan available at your address. Plans start at $25/month in many areas.
