HISTORY OF

NORTHEAST MISSOURI RURAL TELEPHONE COMPANY

             In 1949 a few good men began work to obtain financing from the Rural Electrification Administration to establish a modern telephone service in their respective areas.  Financing from the R.E.A. only became available the year before (1948) when President Truman signed the act into law freeing up federal loan funds for rural telephone service.

                In early 1952, a Rural Telephone Association was formed to serve parts of Adair, Schuyler, Putnam, Scotland and Sullivan Counties with an 11 member temporary board.  Each county had two or three representatives who were Adair - J. O. Filkins, Bryan Hoerrmann, and O. T. Huffman; Scotland - Leo Drake, Joe Moore and Hubert Miller; Schuyler - Crockett Berry, B. D. West and Eugene Poe; Putnam - C. H. Ferguson, and R. E. Whitacre.  The organization was to be known as Tri-County Rural Telephone Cooperative Association.  Later in the year the name was changed to Northeast Missouri Rural Telephone Co.  Officers elected were Crockett Berry, President, John O. Filkins, Vice-President, O. T. Huffman Secretary and Leo Drake, Treasurer.

            By late 1952, negotiations were under way to purchase the Novinger, Green City, Green Castle and Granger telephone companies.  Boundary lines were established between NEMR, Mark Twain Rural Tel. Co. and Southwestern Bell.  Rates were discussed and connections with the Bell System were established. 

On December 3, 1954 NEMR received confirmation of a $700,000 loan from REA.  This money was to be used to purchase and build lines, central office and install dial telephones in parts of five counties, providing 8-party service to subscribers. 

            According to Crockett W. Berry, coordinator for NEMR, “New and improved telephone service will be brought to rural areas of Scotland, Sullivan, Schuyler, Adair and Putnam counties, serving more than 1500 subscribers.”  Included was the purchase of three existing telephone exchanges located at Granger, Worthington, Novinger and Arbela. 

            Officials of the Telephone Company say that construction on the new dial system should be underway by fall.  Directors of the company are:  John O. Filkins, President, Kirksville; Bryan Hoerrmann, Vice-President, Green Castle; O. T. Huffman, Secretary, Green Castle; Leo K. Drake, Treasurer, Memphis; B. D. West, Queen City; C. H. Ferguson, Livonia; Richard Whitaker, Unionville; Joe Moore, Rutledge; Hubert Miller, Granger; Eugene Poe, Downing; and Crockett W. Berry, Glenwood, coordinator. 

            A temporary office was established in Greentop, Missouri in a rented building.  A small office staff was employed, one man was hired for maintenance and the directors began to sell stock to people wishing to acquire telephone service.

            The directors spent countless hours meeting with prospective subscribers explaining the system and how the cooperative worked with them as stockholders in the company.  Not all the people were receptive but most wanted good service.  To quote one ex-board member, “Anything to beat the whoop and holler.”  When rural electrification came through with electricity, this was a grounded system causing a noise or disturbance on the existing magneto phone lines, as the telephone service was a grounded system.  Very annoying. 

            The rural areas were served by many small companies.  One consisting of 16 parties on the line thus constituting a company called the Hamiltonians.  They owned their phones, wire, etc. and would string the line from home to home.  On occasion a pole would be replaced by cutting down a tree, digging the hole and tacking up the wire again.  It was difficult to give up the old ways but the directors were persistent in their efforts and in the end were rewarded by subscribers buying stock and being included in the company. 

            A Mr. Frederick M. Strahan was employed as manager in August 1955 and Basil Neagle employed as bookkeeper.  In September of that year the company Financial and Statistical Report showed total assets and other debts of $44,816.16 and total Liabilities and Other Credits as $44,816.16. 

            The purchase of Myers Telephone Co. was completed early in 1956 for the exchanges of Green City, Green Castle and Pollock.  The board agreed to purchase or take over the Winigan Mutual Tel. Co. as soon as possible. 

            Central office equipment was to be purchased for Arbela, Brock, Tobin Creek, Novinger, Martinstown, Green City, Pollock and Winigan exchanges.  Dial telephones were to be ordered from the Kellogg Co. at their quoted price of $27.18, including ringer and Koil Kord. 

                REA determined that the Commercial Office was located in an area not served by NEMR therefore, making it necessary to select a new location.  The business office would be moved to Green City by August, 1956. 

            By mid 1957 plans and specifications were completed for the construction of the new system in the Green City, Pollock, and Winigan exchanges.  This would consist of 100% buried rural plant, the first in the United States financed by REA. 

            The business was growing and by September 1958, Northeast Missouri Rural Telephone was ready for its first annual meeting.  Approximately 400 members and guests were in attendance.  Following is an excerpt from the managers first report, given by General Manager, L. L. Anderson.  “Many of you have said that it took a long time to get our system into operation.  In fact, I believe some of you said we never would.  Well, I admit there were times when your Board of Directors and myself felt the same way, but we never gave up.  Many is the time we shook our heads to clear the red tape, and started on a new avenue of approach to our problems.  But today we are in business.  We are serving many more customers and we have many added services in operation, such as extension telephones, bells, alarms, signals, etc. and our long distance revenue far surpasses our expectations.” 

            A customer related to Mr. Anderson an interesting experience.  “Last night we picked up our receiver, dialed the operator and gave her a number in Honolulu, Hawaii, and you know in three minutes or less we were speaking to our son just like he was in the same room.  That in itself paid our telephone bill for many months.” 

            Mr. Anderson continued, “Now, let me elaborate on that service and enlighten all of you as to just what kind of telephone service you have.  The operator he called dialed direct distance dialing the telephone number he asked for in Honolulu.  Some day, before too long, you will be able to do the same thing yourself, without even talking to the operator.” 

            In the President’s report Mr. Filkins indicated a total of 2119 memberships, serving 1850 customers.  The program calls for a total of, at least 2400 customers or stations in five years’ time to make the project feasible. 

            Also in this first annual meeting, Mr. Drake, the Treasurer reported to have met the first debt service to REA consisting of the principal and interest and have deposited or have on hand sufficient funds to cover the debt service through October, 1959. 

            The company continued to grow and by the annual meeting in 1960, the manager’s report carried this information, quote, “Members of our corporation have often inquired about our slogan, ‘OWNED BY THOSE WE SERVE’.  “It is hard to visualize personal ownership of a company that has assets of more than $1,271,000.00 dollars.  Yet believe it or not each member is an owner just as surely as he is the owner of a home, a farm or a store.  His ownership is not just a matter of opinion, or some individual’s interpretation -- it is definitely a matter of law.  Your telephone system was organized under the Missouri State law as a membership corporation, and is a non-profit membership controlled enterprise.”

             The directors saw the need for continual upgrading of the company’s telephone service, thus making application to REA for funds.  By mid July 1966 4-party service was being completed for most of the exchanges.

             A new headquarters office building was built and occupied by late 1973.  This was located at the South edge of Green City.  Ray Ford was employed as General Manager by the board.  Mr. Ford had advanced through the company from Lineman to Plant Superintendent and on to General Manager.

             Providing good telephone service was continually the goal of the directors.  By early 1975 they were discussing 1-party service to all the exchange areas.  This dream became reality by 1978.  REA approved a loan to make available to all subscribers on a party line service to be upgraded to 1-party service, thus followed touch-tone service.

             The directors proceeded with the acquisition of franchises and feasibility studies for Novinger, Green City and Green Castle for Cable TV in late 1981.  This resulted in an option to purchase the franchises from these communities and the forming of a for profit corporation named, Multi-Com., Inc.  NEMR purchased 1,000 shares of Multi-Com., Inc. in connection with the operation and maintenance of the CATV system.  A loan by NEMR to Multi-Com., in furtherance of the construction, operation and maintenance of the cable system was provided. 

             In mid December 1983, the 1-party upgrade was completed and the directors were looking into the expansion of the company headquarters building.  Early 1984 brought another step in the company’s progress.  Computer timesharing was arranged and the old billing machine was retired ending another era.  The company’s accounting, billing, materials, and property records would be upgraded into the computers system.  This time sharing arrangement was made with Martin & Associates, Inc., Mitchell, S.D.  The connection was made by private line through S. W. Bell and AT&T.

             By early 1985 the headquarters addition was completed and in use, later that year concrete driveways and parking areas were constructed.  Landscaping was completed making the buildings and grounds visually attractive.

            In 1980 the first digital switch was installed in Green City exchange.

 Early in 1986 preparations were made to compile the plans, designs and other pertinent information needed to submit to REA for loan funds or additional funds to modernize existing central offices from XY to digital type offices and to provide TIE cables and the necessary equipment to give the company the capability to record and ticket it’s own toll.  In 1988 the new switches were put into service. 

            1988 also brought about the first fiber optic cable placement in the companies’ exchanges.

             Plans were made to plow fiber to each central office forming a ring of fiber.  This created a system where a cut cable would not isolate an exchange from toll services.

             In the 1980’s NEMR witnessed the divestiture of AT&T causing unbelievable changes in the telephone and communications industry.  The deregulation of the inside wiring in the subscribers structure, deregulation of the telephone instrument, and FCC charges for access lines.  Not to mention the tumultuous changes in arriving at toll settlements, pooling, etc.

            In 1996 plans were drawn up to place fiber to within 18,000 feet of every home.  Advantages were to eliminate aircore cable, analog subscriber carrier, loaded pairs and provide high speed internet and data services, along with inexhaustible access lines to all areas.

            1992  The company’s subsidiary, Multi-Com, Inc. began providing jobs to the area and revenue to the company by telemarketing products for other companies.  In 1994 Northeast Missouri Rural Telephone Company obtained franchises for direct television service via satellite, and Multi-Com began to offer this service.  Today Multi-Com has approximately 3500 customers in the counties of Adair, Putnam, Schuyler, Scotland and Clark counties.

             Three new exchanges were procured in 1996 by a new subsidiary, Modern Communications Company.  Unionville, Queen City and Memphis became assets of the coop, bringing 3,800 access lines into the fold.

             Northeast Missouri Rural Telephone Company in the 1990’s was proud to aid in the provision of interactive television to the classrooms of 6 area schools within the service area.  They also assisted 3 local hospitals in obtaining telemedicine services with connections to University Hospital in Columbia, Missouri.

             Technology became progressed to the point in 1995 so that Internet service was offered by the Company to a vast area of Northeast Missouri.

             And in 2001 the Company began to deploy ADSL and other faster Internet and data services where available in their service area.

             NEMR has advanced from a newly formed corporation, selling stock in a company to provide good telephone service to people in the rural area, to a company that employs 40 people, providing 1-party telephone service to approximately 9200 access lines in a nine county area.  The headquarters facilities at Green City consist of a modern office building, utility garage to house the company vehicles, material storage and the latest addition of a pole building for additional storage.  The employees work with state of the art equipment and receive training continually to keep abreast in the ever-changing world of communications.  Fiber construction is almost complete, lacking a mere 250 route miles yet to be built.  Plans are under way to bring Modern’s customers into the coop with full benefits. 

             Much of the early success of the company should be credited to the directors for the endless hours, without compensation, they contributed towards organizing NEMR and for having the foresight into what telephone communications could be in the rural area.  Green City is known nationwide as a pioneer in modern telephone communication.

             It is to these early pioneers, all past and present members of the board of directors and all past and present employees, not forgetting all the loyal members, whose service made success possible through the years that we dedicate this 50 year history of Northeast Missouri Rural Telephone Company.

Items from the past