I agree that it is doubtful that the Bisti Badlands (and Bisti Wilderness area) could be meant in the song. Too dang far from routes through El Paso. Both east and west of the Rio Grande at El Paso, there are stretches that look like badlands, especially from a plane.

As Freightdawg says, mountain ranges and forested areas (above 6000 feet) make the northwestern NM region interesting. A couple of years age, I spent a vacation around the Bisti Wilderness area, and over into the Navajo Nation. Very interesting country- and surprisingly, quite a bit of wildlife. Farmington is 40 miles north.
Q, also born in Santa Fe.