Part 3 - The Homestake Era

The city of Spearfish may not have wanted to buy the Spearfish Electric Light and Power Company when the owners announced they were putting it on the market, but Homestake Mining Company was interested.

D.K. Dickinson had a long association with
the Homestake Mining Company.

(Photo courtesy of Deadwood History, Inc.

The Adams Museum Collection)
Since the very early days of white settlement in the northern Black Hills, there had been concerns about what the Queen City Mail later called “that old bugaboo about the Spearfish stream and the probability of some of our up gulch neighbors appropriating the water for their own selfish purposes.”   In November 1899, with Thanksgiving just around the corner, newspaper reports indicated that the Homestake company was preparing to “expend a million dollars in the construction of reservoirs, pipelines, pumping stations, etc., to carry water from the Spearfish to its great mills at Lead and to supply Lead, Deadwood, Central and Terraville with water for domestic purposes.”

In a front-page story on November 21, 1899, the Deadwood Pioneer-Times reported that “Dr. D. K. Dickinson of Lead has purchased the electric light and power plant….situated three miles above the town of Spearfish.”

No purchase price was listed, nor was there any background regarding Dr. Dickinson.  In fact, no revelations were likely necessary, since Dickinson had long been closely associated with Homestake Mine from 1879 to 1904.  He was Chief Surgeon and spearheaded the establishing of a clinic and hospital for the company.  But his association ran well beyond just medicine; he served as a Director of the Black Hills & Fort Pierre Railroad alongside Homestake Mine owner George Hearst and Homestake Mine superintendent Thomas J. Grier.  Dickinson and Grier were also directors of the First National Bank of Deadwood.

While the intricacies of the arrangement remain obscured, there is little doubt Dr. Dickinson was acting on behalf of the Homestake Mining Company, which had been acquiring land and water rights for decades.  In 1882, Homestake had acquired Spearfish Creek water rights from the Wyoming and Dakota Water Company, which had aggregated the rights from several individuals in the 1870’s.

The Mail wrote that it “has always voiced the sentiment of this community in opposing the diversion of any part of the water in the Spearfish in the manner proposed by the Homestake, and it has not yet seen any reason to change its views.”

Nonetheless, the prospect of Homestake taking more control of Spearfish Creek and property contiguous to the stream offered the possibility of great benefits – an “electric road” between Spearfish and other communities in the northern hills and the purchase of area ranches might well lead to an ore treatment plant somewhere in the vicinity.

The Mail remained focused on stirring the community to ensure that “the volume of water in the stream…not be materially damaged, and that the water will not in any way be polluted.”  But it recognized that if Homestake were willing to “expend a million dollars to take this water,” that it would likely be ready to equal that amount for litigating court challenges.  The paper was particularly irritated by what it called a “mammoth pumping station which is to transfer an unknown quantity of Spearfish creek water to the company’s mills at Lead City.” 

“Might doesn’t make right, but it looks very much as though the millions of the Homestake would prevail in this instance.”

Thomas Grier, Homestake's long-time superintendent was born in Canada
and began his career as a telegrapher.  He moved to the U.S. and went to
work for Western Union in Salt Lake City, becoming its"Chief Telegrapher."             
He moved to Lead, Dakota Territory in 1878, becoming a bookkeeper
for the Homestake Gold Mine, rising to superintendent in 1884.  

(Courtesy of  Deadwood History, Inc., Homestake Collection)
Concerned downstream citizens reportedly met with Homestake superintendent Thomas Grier to express their grievances and were supposedly assured by Grier that Homestake had no intention to “injure any one in the valley,” and that the plant would be operated so as not to interfere with irrigating during the summer months.  Those citizens came home with “an indefinite ideas as to what Mr. Grier or the Homestake really intended to do.” 

Electric illumination in Spearfish continued to expand with the plant under Homestake control.  They retained electrician W. S. Knight, who had been working at the plant since 1895, as manager.  By the summer of 1900, the company was supplying 10 arc lights and 900 incandescent lights throughout the community.

By early 1902, any expressed concerns about diversion of water from the creek had apparently diminished.   But Spearfish residents had begun focusing their attention on the growing electrical requirements of the town, and how Spearfish Electric Light and Power plant might help meet those needs.

The newly-formed Spearfish Business Men’s Club, in one of its first endeavors, sent a contingent of members to meet with Homestake superintendent Grier and discuss their desire to not only increase the capacity of the electric plant – but also to move it closer to Spearfish.

Mr. Grier “acquiesced readily when he found that the Business Men’s Club was fathering the scheme,” wrote the Queen City Mail, and “he gave the committee to understand that work would begin very soon and promised it within sixty days.” 

 The Mail touted the meeting as the “second accomplishment” of the Business Men’s Club, and recognized John Wolzmuth, Charles Pierson, George Pemberton, and L.W. Valentine.

If Spearfish leaders were pleased with the news – their satisfaction didn’t last long.

As the “60-day” period cited by the newspaper approached, the Mail noted that there had been no activity yet and that the light company had “but a short time” to make good on Grier’s promise.

Weeks dragged into months, and 1903 arrived with no action taken by Homestake.

By late September 1903, the Mail could no longer contain itself.  In a front page story headlined “Nothing Doing,” the paper lambasted  Homestake Mine and its superintendent.

Supt. T. J. Grier has decided that Spearfish is not worth a good electric light plant.  Last January he promised a committee of citizens to move the plant and increase the power, the work to begin in sixty days.  He deems that he is privileged to change his mind, like a woman.”

In a curt letter to the Business Men’s Club, Grier had written, “Our canvass of the situation at Spearfish City indicates the possibility of so little additional business that, no change in the location or capacity of the plant there, is warranted at present.

The Mail reiterated that Grier had “promised” the changes, but when it didn’t happen in a timely fashion, the Business Men’s Club had written five letters and attempted to set up personal interviews twice – none of which was acknowledged by Grier, according to the newspaper.

Gloomily, the Mail concluded, “The matter is now in status quo, and there it is likely to remain unless the citizens rise indignant against the position of the all powerful Homestake official.”

Apparently, the “rise” of indignation by the citizens suggested by the Mail never materialized, and nothing was done.  But another “rising” of sorts the following summer would change everything.