The Old Power Plant at the Devil's Bathtub Trailhead Is Changing Hands. What Happens to It Now?

The building at the Devil's Bathtub trailhead in lower Spearfish Canyon once took the water out of Spearfish Falls. For more than eighty years, Homestake Mining Company sent Spearfish Creek and Little Spearfish Creek through pipelines to this plant. Here the water fell hundreds of feet onto turbines to make electricity for the gold mine in Lead. The falls came back only after the plant went quiet.

A 2026 state law authorizes the plant to pass from South Dakota Game, Fish and Parks to the Spearfish Canyon Foundation for use as a museum and interpretive center. It is the first real plan in years for one of the most-passed buildings in the canyon. That plan depends on money, a roof and a rule in the law that sends the property back to the state if it doesn't stay in public use.

The plant that took the creek

Homestake built Hydro Plant No. 2 near Maurice in 1917 to power its mine in Lead. The dates vary a little by source. The Foundation's byway guide gives 1917 as the completion year. A Homestake record in the Deadwood archive says the plant was finished late in 1917 and started running in 1918.

The engineering explains why so much of the canyon looked different for most of the last century. According to that archive record, water from Spearfish Creek ran about 4.5 miles through a pipeline and then dropped 548 feet to the water wheels. The Spearfish Canyon Foundation's scenic byway guide describes a 12-mile system of flumes and tunnels finished in 1917. The Foundation's byway map describes the upstream section as a five-mile flume running from Savoy.

A 2001 state news release says Homestake had been diverting both Little Spearfish Creek and Spearfish Creek into pipelines for Hydro Plant No. 2 since 1917. The byway map is plainer about the cost. It says Spearfish Falls was restored in 2003 after decades of its water going through flumes to the Maurice plant.

How the water came back

The water came back through a legal settlement, years before anyone talked about a museum. Here is the order of events from the state's 2001 release and the Foundation's materials:

• 1999: Under a settlement, Homestake turned part of its Little Spearfish Creek water right into an instream flow right. That right covers a 6.3-mile stretch of creek and allows up to 20 cubic feet per second.
• 2000: Instream flows returned to Little Spearfish Creek for the first time, during July, August and September.
• 2001: The three-month summer release ran again, this time limited to 11 cubic feet per second because a culvert under Highway 14A couldn't safely carry more. Year-round flow was to follow once mine reclamation was finished.
• 2001: Workers shut the plant off, removed the flumes and locked the building, Foundation president Jerry Krambeck told the Black Hills Pioneer. The Homestake Mine closed that same year.
• 2003: Spearfish Falls was restored, according to the Foundation's byway map.
• 2014: Game, Fish and Parks bought the plant as part of a larger purchase of Homestake's canyon properties, which also included Roughlock Falls and Spearfish Falls, South Dakota Searchlight reported.

So the state ended up owning both Spearfish Falls, which the plant's diversions had kept dry, and the plant itself. After the state took over, the building stayed mostly untouched, according to the Pioneer's report on the 2026 bill signing.

Why the lot became the trailhead

The plant's parking lot became busy for reasons unrelated to the building. Hydro 2 sits upstream from Cleopatra Creek and Devil's Bathtub. The Pioneer describes the trail as mostly a locals' spot that saw a sharp jump in foot traffic. Hikers used to park near the bridge at Cleopatra Place. As traffic grew, officials closed that area to parking and made the hydro plant lot the starting point for the trail.

When the Foundation first pitched the project to Lawrence County, Krambeck said the trail area was being "loved to death," the Pioneer reported. In the same story, Game, Fish and Parks pointed out that the creek next to the trail has a rare natural rainbow trout spawning area.

That is the setting the Foundation has taken on. Its building sits at the start of a crowded trail, beside a creek the state calls sensitive, and in the same water system that once ran dry for the plant's sake. An interpretive center here would tell that story in the place where it happened.

What the law actually says

House Bill 1052 authorizes Game, Fish and Parks to convey the disused plant and its property to the Spearfish Canyon Foundation for a museum or other public purpose. Governor Larry Rhoden signed it on February 11, 2026. The enrolled act calls for a special warranty deed on a 3.75-acre parcel. Some earlier coverage said 3.5 acres, but the law says 3.75. Game, Fish and Parks spokesman Nick Harrington told the Pioneer the transfer includes the 3.75 acres and the Hydro 2 building at no cost to the Foundation.

The gift comes with a condition. Under the bill, the property goes back to the state if it isn't used for a public purpose for two years in a row. The Foundation gets the building free, but it has to turn the building into something the public can use.

Krambeck told the Pioneer the transfer would become official on July 1, the date the Legislature's record gives for the law taking effect. As of mid-October 2026, we found no public news since then confirming that the deed was recorded, giving a fundraising total or scheduling an open house. The law allows the conveyance. Public coverage hasn't yet reported it done.

The roof comes first

The first job is repairing the building. Foundation treasurer Myles Kennedy told the Pioneer the group needs to raise about $2 million for repairs. Krambeck said the Foundation has "some encumbered funds that we've been sitting on for quite a few years," and added, "We have some pretty good seed money."

The order of work Krambeck described:

1. Replace the roof, which has damage inside and out.
2. Replace the windows.
3. Put up fencing, which is needed before the public can visit.

He estimated contractors could start no earlier than spring 2027. The building is on the national historic register, so repairs have to go through preservation review. Deadwood historic preservation officer Kevin Kuchenbecker is helping the Foundation work with the state historical society and national preservation bodies.

The Foundation has said it will pay for the work locally. At the January 2026 legislative hearing, Foundation member Bob Ewing said the group would seek grants and local support and would not come back to the state for renovation money, South Dakota Searchlight reported. The governor has backed the idea publicly. In a social media post quoted by the Pioneer, Rhoden wrote:

"The Homestake Mining Company's Hydroelectric Plant No. 2 is a remarkable piece of South Dakota's history. After touring the site, it's clear it has strong potential for preservation and public education."

What a finished Hydro 2 could look like

The longest-running description of the end goal comes from the Foundation's earlier pitch to Lawrence County. There, Krambeck described a seasonal visitor center open from Memorial Day to Labor Day, built around historic preservation and interpretation. That would fit the canyon's existing summer rhythm. No opening date has been announced, and given the repair order and the earliest start in 2027, a summer 2027 opening would be ambitious.

Don't confuse this building with Hydro Plant No. 1, the city-owned plant in Spearfish. The museum plan covers only No. 2, the Homestake plant up the canyon at Maurice.

For now, the building at the trailhead looks the same as it has since 2001. The next visible change should be a new roof, and that work can't begin before spring 2027.

Falina Selchert grew up with Spearfish Canyon's history, from the mine's flumes to the restored falls. If you own property along the byway or are thinking about a place near it, Black Hills Real Estate Pros can explain how changes like Hydro 2 fit into canyon life. Start living your vision. Schedule a consultation or request a free market valuation.

This article is general information, not legal, tax or financial advice. Consult a qualified professional about your situation.