IMO contacts (while very important) are less important than ability. If you know the right people but can't deliver when called upon, then knowing those people doesn't do much good.
My advice is to spend time developing your skills. Record lots of stuff, build your library, sound design stuff for free for a while. Everyone needs a logo done or a video dealt with. Once you get super confident start trading your work for stuff and favors (or money if you can get it).
Network online. Sound design is not the type of thing that has to be geographically restricted. 60% of our clients are from out of town, and my workflow commonly relies on FTP or yousendits back and forth with the video editor.
Build skills, and the contacts will follow.
