Kit Carson Electric Cooperative (KCEC) – FTTP– Taos and Rio Arriba Counties
Kit Carson Electric Cooperative (KCEC) is proposing a 100% fiber-based deployment, providing the most advanced, technically feasible and cost-effective fiber-to-the-premise (FTTP) solution. Fiber is the clear choice for a cost-effective, future-proof broadband network that will meet and exceed the communities’ needs at deployment and for the future. Upon completion the FTTP network will meet and exceed the OBAE’s policy goals for speed, latency, reliability, consistency and quality of service, easily scaling over time to meet the evolving connectivity needs of households and businesses, support the deployment of 5G, successor wireless technologies and other advanced services necessary to provide a high-quality of life in the rural communities served by this Priority Broadband Project. KCEC proposes to construct 76.9 miles of underground fiber and 692.2 miles of aerial fiber infrastructure and begin offering 1G/1G broadband service to 4049 eligible unserved and underserved broadband serviceable locations (BSLs) in the following Project Area Units (PAUs): Chama Valley 01, Chama Valley 02, Chama Valley 03, Cuba 04, Espanola 01, Espanola 02, Espanola 03, Jemez Mountain 01, Jemez Mountain 02, Cimarron 02, Cimarron 03, Mesa Vista 01, Mesa Vista 02, Mesa Vista 03, Mesa Vista 04 HC, Peñasco 01, Peñasco 02, Taos 02, Taos 03, Taos 04, Questa 01. KCEC is submitting an Alternative Percentage Application, 201 outlier locations have been identified as too costly to be served with FTTP and will require an appropriate alternative technology as determined by the New Mexico Office of Broadband Access and Expansion (OBAE).  The KCEC-FTTP-Taos and Ria Arriba Counties Project covers a rugged, and remote rural landscape, serving approximately 7-10 eligible BSLs per mile. The PAUs contained in this application have long been overlooked by existing ISPs due to the cost of delivering FTTP and without grant support, serving these areas remains economically unfeasible. The total project cost of the KCEC-FTTP-Taos and Ria Arriba Counties Project is $35,140,123. KCEC is requesting $22,966,706 (65% of total project cost) from the OBAE BEAD program and KCEC will provide $12,173,417 (35%) in matching funds. While fiber networks require a significant upfront investment, physical infrastructure will be deployed, adding long-term value to the communities served, bringing good paying local jobs and allowing these communities the opportunity to thrive in an ever-growing digital economy. Communities with FTTP experience higher wages, access to telehealth, telework, improved education and health outcomes, increased property values, and stronger economic growth compared to those relying on lessor technologies, which suffer from high latency, congestion, and limited bandwidth. Fixed Wireless and Satellite technologies simply fail to provide the economic return, reliability, scalability and bandwidth needed to meet the evolving connectivity needs of households and businesses, moreover they do not have the capacity to support the deployment of 5G, successor wireless technologies and other advanced services rural communities desperately need.    The key drivers of financial sustainability for the Kit Carson Electric Cooperative – FTTP-Taos and Ria Arriba Counties project include achieving a minimum take rate of 52%, managing operating expenditures in line with revenue growth, and reaching positive operating cash flow within 3 years and 2 months. By focusing on these factors, the project can ensure long-term financial viability and success.    Construction on KCEC-FTTP-Taos and Ria Arriba Counties Project will begin January 15, 2026, and is scheduled for completion by December 31, 2028, for a duration of 36 months. KCEC plans to commence construction upon the execution of a BEAD Subgrantee Agreement with OBAE.     KCEC selected an all-fiber approach because of the reliability and long-term economic benefits broadband infrastructure will provide the region. KCEC’s proposed last-mile, FTTP project will be particularly beneficial to this very rural, socio-economically challenged region of Northwestern New Mexico, as it will provide robust, reliable, FTTP access allowing for online education, telehealth services, and remote work opportunities. The proposed network is designed to accommodate future growth and scalability and support a significant increase in the number of households, businesses, and Community Achor Institutions (CAIs) throughout the life of the network. KCEC plans to build a FTTP network that will support and empower that growth for decades to come.