1. A. An applicant is considered eligible if they meet the following eligibility requirements:

   1. (1) is a provider as defined by the act and these rules; and is
   2. (2) is verified as in good standing regarding its licensure by the department; and
   3. (3) complies with all applicable federal, state and local laws and regulations.

2. B. A project is considered eligible if it meets the following eligibility requirements:

   1. (1) is owned by an eligible applicant; and
   2. (2) the project involves the physical improvement, repair, maintenance, expansion or operation of a facility, as defined by the act and these rules; and
   3. (3) involves a facility licensed by the department under 8.9.4.11 NMAC; and
   4. (4) is verified as supporting healthy and safe teaching environments by the department.
3. C. The department may give priority to eligible applicants that have facilities serving a proportionately high number of state-subsidized clients and low-income families (by statute, this factor has priority over all others) or based on other programmatic factors determined at discretion of the department.

[8.9.9.8 NMAC - Rp, 8.16.3.8 NMAC, 12/23/2024]