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$5.3 Million Broadband Enhancement Set for New Mexico’s Mescalero Apache Reservation

The project is the first in the nation to be obligated, which allows Mescalero Apache Telephone Inc. officials to take advantage of low interest dollars. With the loan, it can upgrade specific portions of its copper cable facilities with fiber.

(TNS) -- Persistence and a good plan moved Mescalero Apache Telephone Inc. (MATI) to the front of the line for financing by the U.S, Department of Agriculture of a multimillion dollar broadband communication system. Officials from the Rural Development Division of the USDA were in the area Thursday to present a certificate of obligation to officials of MATI and the Mescalero Tribal Council, representing the $5.397,000 obligation by the Rural Development's Rural Utilities Service's Telecommunications Loan Program and the Substantially Underserved Trust Land Program.

The project on the reservation that abuts Ruidoso is the first in the nation to be obligated, which allows MATI officials to take advantage of low interest dollars. With the loan, MATI can upgrade specific portions of its copper cable facilities with fiber, primarily aimed at the homes of 1,178 telephone customers and 500 data customers currently served by the company, which is a wholly-owned corporation of the tribe that operates one exchange serving the reservation. The proposed improvements, which could take up to two years to construct and install, primarily will be located in the more densely populated areas of Mescalero, including the Geronimo, Pena, Goat Summit and Carrizo housing cores.

"Broadband access is important to our rural communities," Brandon McBride, RUS administrator, said Wednesday during an interview in Ruidoso. "It's important in terms of having new educational opportunities. It can improve rural health care and it also is important for local businesses to being able to compete in the global market place. It will allow Mescalero to provide fiber to the homes of many of its customers and that will improve broadband services for them."

For those receiving the fiber facilities at home, children with schoolwork will be able to go on-line and do homework, he said.

"In some cases, distance learning opportunities are available once we improve broadband access," McBride said. "A lot of times, local schools can connect with colleges and universities outside of the area to provide those kinds of programs."

Electronic health records can be accessed and physicians practicing in rural hospital can consult with doctors in larger hospitals in urban areas, he said.

The process

Godfrey Enjady, who heads MATI, applied for the loan through the USDA's traditional telecommunication infrastructure loan program, McBride said.

"We were able to use our authorities through SUTA, and their loan came through, and we were able to process that," he said. "It is a good project and a good proposal."

Terry Brunner, USDA Rural Development State Director, said, "From the New Mexico side, they were really persistent. They had the idea early and worked a lot with USDA over the last few years to put the project at the front of the line. It is a really nice commentary on the quality of work being done by the Mescalero that they are the first in the gate for this program."

The program is subject to annual review and funding by Congress, McBride said.

Statements of support for the Mescalero project were issued by U.S. Sens. Martin Heinrich and Tom Udall, Democrats from New Mexico and U.S. Rep. Steve Pearce, a Republican who represents the Second Congressional District, sent a representative to the ceremony Thursday. They noted that SUTA is a provision in the 2008 Farm Bill, which amended the Rural Electrification Act of 1936. The provision gave the Rural Utilities Service new tools to finance improvements in electric, telecommunications and water and sewer infrastructure in underserved tribal communities.

USDA's area investment

Over the past six years, the USDA has invested $8.2 million in Lincoln County housing, Brunner said.

"Out of $8.2 million, there were some direct loans, three to potential home owners at 3.3 percent interest and about 12 home repairs for homeowners in at the low income level, who can come in and apply," he said. "We also have done 50 or so loan guarantees, where a lender makes the loan and we back it up with government guarantees. It's popular, because it is for moderate to low income."

The housing figure jumps to about $40 million, if Otero County is thrown into the mix, he said.

"We've been trying to shed some light on that so people understand the impact Rural Development has had on the area," Brunner said. "We financed a lot of sewer lines to homes along the highway in Mescalero (about $4 million for the system).

"Proper sewage treatment is really important, especially in New Mexico where we have so many people on domestic wells. If you have good sewer treatment, you can get them off septic systems and prevent leakage into ground water resources. You not only provide a crucial service, but protect groundwater and keep it safe from contamination."

Brunner said he planned to tour McBride through the regional Wastewater treatment plant constructed by the village of Ruidoso and city of Ruidoso Downs to serve the area. The USDA financed $8.7 million of the $32 million cost of that plant.

"It's all necessary, if you are going to have economic development," McBride said. "You have to have safe drinking water, affordable housing and increasingly, we're seeing that broadband access is key to attracting economic development. As Lincoln County continues to grow and develop, it's important we have that nice infrastructure in place for the community."

©2015 the Ruidoso News (Ruidoso, N.M.) Distributed by Tribune Content Agency, LLC.