The U.S. Department of Defense spent $3.6 billion in New Mexico in the fiscal year 2020, or about 0.6% of its total domestic spending.
Of that money, payroll accounted for about 42% while about 58% went to contractors. The overall economic impact of defense spending in the state is equal to about 3.5% of New Mexico’s overall GDP. On a per capita basis, defense spending in New Mexico is equal to about $1,707 per person.1
Southern New Mexico is very much an economic recipient of military installations and spending. Otero County military personnel spend $303.6 million to boost the economy while military personnel spend $5.2 million in Chaves County.
The employment numbers for military institutions in Southern New Mexico are outlined below: White Sands Missile Range had nearly 9,000 jobs and Holloman Air Force Base had nearly 7,000 direct, indirect, and induced jobs in 20202; and New Mexico Military Institute had nearly 400 jobs.
White Sands Missile Range
Sprawling across five counties of Southern New Mexico, White Sands Missile Range (WSMR) is the widest and largest military base in the United States.4 WSMR is the U.S. Department of Defense’s largest Test and Evaluation Range, encompassing roughly 2.3 million acres, 8,500 miles of restricted airspace, and military training routes that are critical to the training communities of the Army, Air Force, and Navy.5
“We have a lot of room here,” said Scott Stearns, Chief of Public Affairs. “When this base was established in 1945, it was very, very remote. The government already controlled the land from Fort Bliss north, so it seemed natural to locate it here.” The location in Southern New Mexico has proven to be an advantage for the range. “This is a wonderful place for this test facility because of the topography, length, size, and the controlled air space.”
WSMR is the only place besides the United States White House with controlled air space from the ground to infinity, according to Stearns.
The base is under the command of the U.S. Army but supports missile development and test programs for the Army, Navy, Air Force, NASA, other government agencies, and private industry. It is the largest open-air land test range in the country with state-of-the-art environmental testing chambers, extensive data collection instrumentation and data processing and modeling and simulation facilities.6 The range was used by NASA as a landing site for Space Shuttle operations.4
There is a mixture of full time Army and Navy military personnel at WSMR, but there are no permanent military units stationed there; temporary units come and go as needed for training and other purposes.4
Holloman Air Force Base
Located between the Sacramento and San Andreas Mountain ranges, Holloman Air Force Base is home to the Air Force’s 49th wing, 4th Space Control Squadron, 46th Test Group and detachment of the German Air Force, the German Air Force Flying Training Center, which trains Tornado aircrews and pilots. Holloman AFB is famous for its speed tests with the longest and fastest test track in the world, stretching out more than six miles. It set the land speed record in 2003 when a railed vehicle reached 6,524 miles per hour.4
Holloman AFB is home to the Air Force’s 49th wing, which provides combat-ready Airmen and F-22 Raptors. It also trains MQ-1 Predator and MQ-9 Reaper pilots and sensor operators.7
The 49th Wing has a distinguished history spanning back to WWII in the Pacific. According to Denise Ottaviano, Media Relations Chief: “We’ve flown the Air Force’s greatest airplanes, and we’ve produced some legends of airpower. Today we are the backbone of combat airpower, producing operationally ready F-16 and MQ-9 aircrew and supporting over 21,000 military and civilian personnel.”
Holloman is the Air Force’s largest F-16 training unit. “We produce 50% of all F-16 Viper pilots in the Air Force,” said Ottaviano. “We also produce 25% of all fighter pilots. We graduate over 100 combat-ready F-16 viper pilots and 700 MQ-9 pilots and sensor operators per year.”
Ottaviano continued, “As a training wing, the availability of quality airspace in southern New Mexico makes Holloman AFB an ideal location to accomplish our training mission. Other advantages are weather conditions that provide ideal flying conditions nearly year-round, an abundance of recreational activities, and a low cost of living. We also benefit from a positive relationship with the local community where we partner on many projects throughout the year.”
New Mexico Military Institute
The New Mexico Miliary Institute (NMMI) is a public institution in Roswell that is home to both a high school and junior college. It is the nation’s only state-supported, fully integrated nationally accredited co-educational college preparatory military boarding school for grades 9 – 12 with a parallel military junior college.
At NMMI high school students can take college courses from college professors that transfer for college credit to colleges across the country. NMMI’s notable alumni include Sam Donaldson of ABC News, Chuck Roberts, CNN Senior News Anchor, Owen Wilson, Actor and Academy Award Nominee, John “Red” Morgan, Medal of Honor Recipient, and 23 general and flag officers of the military services.3
The NMMI 300-acre campus has 21 major buildings, a parade field, playing and practice fields, and a golf course. The campus is also designated a historic district on the National Register of Historic Places.8
As of 2022, its 412 students come from 45 states and 37 foreign countries. It has a student to faculty ratio of approximately 15:1. Approximately 98% of the students go on to college. According to the NMMI website, it employs over 370 people with a payroll that has a major impact on Roswell and the surrounding area.
The military industry in Southern New Mexico has a large influence on our economic stability, as well as providing training and military advancement opportunities for people ages high school through retirement. The climate in Southern New Mexico is ideal for flying almost year-round and state-of-the-art open-air testing. Southern New Mexicans can be proud that our military installations produce well-trained personnel and new technologies that help to protect and defend the freedoms we enjoy as Americans.
Article written by Becky Hauschild and originally published in Focus Regional 2022 Winter edition.
Sources
- S. Department of Defense Office of Local Defense Community Cooperation Fiscal 2020 Defense Spending by State report.
- Economic Impact of Military Installations in New Mexico on the State report from the New Mexico Economic Development Department’s Office of Military Base Planning and Support, in partnership with the University of New Mexico’s Bureau of Business and Economic Research. October 2022.
- New Mexico Military Institute website
- National VA Loans website
- S. Department of Defense Readiness and Environmental Protection Integration Program New Mexico State Fact Sheet
- Mesilla Valley Economic Development Alliance website, White Sands Missile Range
- Mesilla Valley Economic Development Alliance website, Aerospace
- 8NMMI Review, Board School Review website








