Communities across New Mexico will receive increased funding to create jobs, support local businesses and strengthen regional economies as the state distributed $258,500 in economic development grants to projects spanning 11 counties.
The funding through the Local Economic Assistance & Development Support (LEADS) program targets workforce development, business retention and infrastructure improvements in both rural and urban areas. Nine of the 12 grant recipients represent rural and frontier communities, reflecting the state’s priority on addressing economic challenges in less populated areas.
Individual grant amounts ranged from $19,000 to $25,000, representing an increase from last year’s range of $5,000 to $25,000, according to the New Mexico Economic Development Department.
“LEADS projects are tailored to the community’s needs and have an immediate impact on the local economy,” Cabinet Secretary Rob Black said in a press release. “These projects bring the public and private sectors together to make positive, long-lasting, and regionally appropriate change.”
The program has demonstrated measurable results in economic recruitment. Previous LEADS funding helped Roswell and Chaves County prepare development sites that “directly contributed to the successful recruitment of Amazon, Inc., a transformative moment for our region’s economic future,” said Mike Espiritu, president and CEO of the Roswell Chaves County Economic Development Corporation, in the press release.
LEADS evolved from the Certified Communities Initiative in fiscal year 2016 and addresses documented challenges facing rural New Mexico, where communities struggle with population decline, workforce shortages and limited economic diversity, according to New Mexico State University research.
Several grants specifically target workforce challenges that officials describe as pressing statewide concerns.
The Albuquerque Regional Economic Alliance received $25,000 for its Talent Insights Advisory Council to “tackle one of our region’s most pressing economic challenges — retaining and attracting talent,” senior vice president Chad Matheson said in the press release. The project will partner with University of New Mexico or Central New Mexico Community College students to survey working-age individuals about community perceptions.
Clovis Economic Development received $25,000 to assess current and future labor needs and identify skill gaps through a Workforce Readiness & Entrepreneur Survey.
The grants support the Gov. Michelle Lujan Grisham administration’s goal to train 2,000 workers in climate-ready professions by 2026 as part of economic diversification efforts.
Rural recipients focus heavily on business retention and entrepreneurship development.
The Town of Red River received $25,000 to create a business resilience program for a community where “99% of our businesses are family-owned and operated,” director of economic development and tourism Max Khudiakov said in the press release. “This investment protects not just livelihoods, but legacies.”
Grow Raton was awarded $25,000 to complete the renovation of a commercial kitchen facility that will offer five rental studios and basement space for commercial food storage and value-added packaging, supporting local food entrepreneurship.
Other rural recipients include Greater Gallup Economic Development Corporation ($25,000 for employer outreach), City of Lovington ($20,000 for community event space), Middle Rio Grande Valley Economic Development Association ($19,500 for small business support and Socorro economic planning), and Taos County ($19,000 for business continuity planning and creative industries development).
Urban recipients address regional economic challenges through workforce development and business expansion initiatives.
Mesilla Valley Economic Development Alliance received $25,000 to expand its “AutomateUp” skills certification program to reach larger audiences across additional industries.
Sandoval Economic Alliance was awarded $25,000 for its “Grow Your Own” initiative, which includes business retention, micro-economic development and manufacturing connection programs.
Roswell Chaves County Economic Development Corporation received $25,000 to develop additional shovel-ready industrial sites following the Amazon recruitment success.
The LEADS grants represent one component of broader state economic development efforts that include a $30 million Workforce Training & Apprenticeship Fund and the New Mexico Match Fund, which leveraged over $200 million in federal funding through state matching grants in 2024.
