Artesia

New Mexico Business Journal, Sept, 1997 by Gailanne Dill

For nearly three decades it's been in Artesia, like a sentinel standing guard. The Navajo Refining Company's refinery has been a symbol of how important the oil and gas industry has been here. With a population of 12,000, Artesia, nestled in the Pecos Valley, depends on oil and gas, agriculture, ranching, dairies and small business for its economic base. But with the continued success of the Federal Law Enforcement Training Center satellite and the expansion of U.S. 285, the small community may be a sleeping giant.

Higher prices for oil have resulted in an economic upswing. With 700 wells, the area is feeling an impact. Marbob Energy, for example, has installed one new fig and is putting two more in at an average cost of $450,000 per rig. Raye Miller, chief financial officer for the company, said the extra capital has allowed more drilling.

Bill Gray, senior vice president for Navajo Refining, says the company is processing 60,000 barrels of crude oil a day. Employing 450 people, Navajo refines oil produced in Southeastern New Mexico into gasoline, jet fuel and asphalt. He said production has increased from 16,000 barrels a day to 60,000 in the past 28 years and the number of employees has tripled.

Artesia is also the home of Yates Petroleum, which has been exploring for oil and gas since 1923 and operates 2,500 oil and gas wells. It was rated No. 1 in 1995 for oil production by the New Mexico Oil and Gas Association.

Brewer Oil Co. owner Don Brewer said that the industry brought his family to Artesia. Artesia has many strengths, he believes, including the willingness of business people to help out one another. "One thing that has really stabilized Artesia was the Federal Law Enforcement Training Center," he said.

Whether rappelling from towers, maneuvering on the skid control range, or improving their aim on the running man target range, federal officers from all over the nation spend some time in Artesia. The Center opened its satellite (home base is Georgia) in 1989 at the former Artesia Community College. The facility trains law enforcement officers from the Bureau of Indian Affairs Police Academy and Drug Enforcement Section, Immigration and Naturalization Service, U.S. Border Patrol, U.S. Bureau of Prisons and several other federal agencies.

Now realizing its full potential, FLETC has increased its student days from 12,270 in 1990 to 94,000 student days currently. On 1,700 acres federal officers are taught firearm training, physical training, emergency and non-emergency vehicle training and maneuvering, and a large range of law enforcement training.

The real impact of the center is just now being seen, according to Richard Price, executive director of the chamber of commerce. "It is starting to show its effect on our community. We see it in the increased traffic and activity, the new housing starts, and the fact that our hotels have 85 to 90 percent occupancy throughout the year. It has put a tremendous amount of money into the economy," he said.

FLETC's master plan includes building a $3.1 million dormitory and $1 million permanent driving range. Expansions planned for 1998 total $5 million for the physical training building, classrooms, labs and in 1999 a $1.5 million administration building.

In addition to his excitement about FLETC, Price is also enthusiastic about the widening of U.S. Highway 285. "Before this expansion, we were so limited in Southeastern New Mexico," he said. Businesses don't want to come where transportation is difficult and where there is no access to four-lane highways. Transportation costs are about six times more when you are dealing with single lanes. Now we are seeing much more activity and are receiving more requests for information about Artesia from business and industry."

Price said there are other factors making Artesia attractive to industry. "We have an abundance of water," he said. "We feel our lower land costs are very marketable. We have also just joined the New Mexico Main Street Program and are in the organization and design stage. With the backing we are receiving in the community and from industry, we expect to see our plans come to fruition in two to three years."

Artesia also has a strong education program, according to Price. He said the newly completed $1 million Yeso Elementary School provides state-of-the-art classrooms. The schools also report a low dropout rate of 2 percent and a 60 percent success rate in students furthering their education.

The 38-bed Artesia General Hospital is undergoing projects to recruit physicians and study new medical services. The hospital is adding a CT scanner and a Special Care Unit. It currently provides general medical, surgical, obstetrical and emergency services. It also operates the First Care Home Health Agency and a First Care Family Health Clinic for rural primary care.

Western Bank, which will celebrate its 50th anniversary in 1998, sees stable economic growth in Artesia. By providing the latest technology, customers in Artesia can take advantage of the same kind of services they would find in a larger community, according to Selma Fugier, senior vice president.