Otero County: a New Mexico Business Journal special section produced in cooperation with the Otero County Economic Development Council and the Chambers of Commerce of Alamogordo, Tularosa and Cloudcroft

New Mexico Business Journal, March, 1991 by Marian McQuiddy

OTERO COUNTY

THE PAST AND PRESENT are coming together in Otero County, and the future is bright.

At the time of the coming of the railroad in the 1890s, the areas including Alamogordo, Tularosa and Cloudcroft were originally an extension of Dona Ana County.

Besides being 60 miles from the county seat in Las Cruces, the distance made the maintenance of law and order difficult.

Developer Charles B. Eddy resented this and set about lobbying to create a separate county, Sacramento.

The county was approved by the Territorial Council on Jan. 16, 1899 after some lobbying to Territorial Governor Miguel A. Otero.

Big business in those days for the state's second largest county consisted mainly of the railroad and lumber for Alamogordo, farming in Tularosa and farming and tourists in Cloudcroft and High Rolls, brought up the mountain by the "cloud-climbing" railroad.

But 13 years later, the railroad was gone, timber cutting had been restrained, and the boom had gone bust and the area had to look at other ways to earn a dollar.

Now nearly 80 years later, economic diversification is still on the minds of county leaders.

They know the federal government owns 68 percent of the land, and the Mescalero Apache Reservation another 11 percent.

One significant variable on the county's well-being is the future of Holloman Air Force Base. However, wide-open blue skies cannot be banked on as an absolute in these days of government defense reevaluation of priorities and budget cuts.

Today, the base is the major local employer with a combined military/civilian annual payroll of more than $200 million and a total economic impact of more than $300 million on the local economy.

As the 1990s began, there was mixed news from the base.

On one hand, the fiscal 1991 defense budget contains $44 million for construction at Holloman, $36 million of which is dedicated to preparing for the arrival of the 37th Tactical Fighter Wing from Tonopah Research Site in Nevada. The wing of F-117A Stealth fighters is scheduled during fiscal 1991.

The move could bring 2,000 new military people to Otero County.

But, the 479th Tactical Training Wing is leaving.

The planned reduction will draw down from 117 AT-38B jet aircraft to approximately 30 AT-38Bs as the wing's Lead-On Fighter Training Program is being converted to a shorter Basic Fighter Training Program in the near future.

Also a major player in the country's economic structure is the White Sands Missile Range.

County leaders appreciate their good military neighbors at Holloman and the White Sands Missile Range and are proud of the job that they do, but also realizing they cannot depend on the military forever, and have been busy pursuing alternative development strategies.

One tool has been the Otero County Economic Development Council (OCEDC).

Established in 1988, OCEDC is a non-profit organization composed of members from local government and the country's business community dedicated to economic expansion in the county.

Dick Darbo, OCEDC executive director, is excited about what he has to sell in Otero County as he contacts light manufacturing firms who may be looking for a new home.

"We have an excellent Sun Country location. Our No. 1 priority is new jobs so we have flexible packages to offer. There is a 30-minute access to four climate zones," he says.

Otero County offers a good labor force, job training, lots of industrial sites and available housing, Darbo adds.

With all the pluses, the bottom line is that a business can succeed in Otero, Darbo says. "There is an excellent potential for profitability here," he emphasizes.

OCEDC has been aggressively marketing Otero County through a direct-mail program in Southern California.

Darbo says over the past year he has visited 27 manufacturing executives whose firms have made an inquiry, been known to be planning an expansion, or who have been referred.

Two prospects visited Otero County over the past year.

"They were positive and impressed with the pro-growth attitude," he says.

OCEDC will be getting even busier this year.

Alan Austin, council president, says its board has approved a plan calling for a minimum of 5,000 manufacturing CEO contacts, 15 prospecting trips and continued follow-up.

The area will be represented at one or two industrial trade shows in cooperation with the Otero County Electric Coop., affiliate, Plains Electric Cooperative and the New Mexico Economic Development staff.

"We feel the 1991 OCEDC marketing program will produce results over a reasonable period of time, allowing for implementation of our marketing strategy," Austin says. "We know we have many attributes here to sell."

OCEDC also is working with the New Mexico Economic Development Department in its marketing.

"There is a program at state that works with local institutions interested in helping to get businesses established," Austin says.

The essential keys for success, both men agree, will be hard work - and some patience.

"We must tell more expanding firm executives our story, cultivate relationships and the results we all want will come our way in time," Austin adds.