Lake County town hall exposes sharp divides over PG&E plan to surrender Scott Dam

Lake County officials, tribal representatives and environmental advocates clashed at a town hall convened by the Lake County Chamber of Commerce over PG&E’s plan to surrender the Potter Valley project license for Scott Dam and Lake Pillsbury.

The meeting, convened by Amanda Martin, chief executive officer of the Lake County Chamber of Commerce, gathered county supervisors, Rep. Mike Thompson (by video), Round Valley Indian Tribes member Nicole Whipple, the Lake Pillsbury Alliance, the Sierra Club and local fire chiefs to hear competing proposals, facts and fears ahead of a final surrender application that PG&E plans to file with the Federal Energy Regulatory Commission (FERC) on 2025‑07‑29.

Why it matters: county supervisors and local fire officials said removing Scott Dam would eliminate Lake Pillsbury — a year‑round water storage source they say is critical for wildfire response, local taxes and the lakeside economy. Tribal speakers and conservation groups countered that a free‑flowing Eel River would restore fish habitat and tribal uses and urged a regional restoration plan that does not depend on leaving the dam in place indefinitely.

Supervisor Bruno Sabatier (Lake County) framed the stakes in terms of local services and emergency response. He told the audience that “what is happening in Lake Pillsbury is horrifying” and warned that loss of the lake would reduce a water source used repeatedly during the Mendocino Complex and August Complex fires. Lake Pillsbury Fire Chief Larry Thompson said, “Water is our first and last line of defense in a fire,” and described 24‑hour water‑filling operations during the August Complex that drew helicopters, super scoopers and local water tenders.

County and local officials repeatedly cited a Lake County Assessor estimate that the lake contributes about $850,000 a year in property tax revenue to the county — a figure PG&E disputes and says is closer to $100,000 — and warned that the loss of lake‑related recreation and property values could damage local businesses. Frank Lynch and Carol Sequini of the Lake Pillsbury Alliance described the lake as the “hub of the Mendocino National Forest,” listing campgrounds, a marina, volunteer fire stations and roughly 300 recreational residences in the basin.

Tribal and restoration advocates urged a different view. Nicole Whipple, a Round Valley Indian Tribes member and policy advocate, said she supports removal of diversions and long‑term river restoration while acknowledging short‑term harms. “I am anti dam,” Whipple said, describing tribal water rights and the Round Valley tribe’s long‑standing advocacy for restoring the Eel River. She said tribal claims and federal law give tribes senior claims and urged recognition of tribal interests in any solution.

Deb Salley, chair of the Sierra Club’s Lake Group, said her organization views dam removal as a possible outcome and urged local planning for restoration: “Fighting the inevitable makes no sense to me,” she said, adding that proactive planning for recreation, fisheries and community benefits produces better outcomes than reactive efforts after a removal.

Cloverdale Mayor Todd Lands and other downstream interests emphasized water deliveries to the Russian River watershed and irrigated agriculture, wine country and community water supply. Lands questioned technical diversion scenarios presented by proponents and said recent engineering shows the revised diversion rules would deliver meaningful water into Lake Mendocino only “fewer than two weeks” per year under the proposed seasonal‑diversion approach.

Costs, technical uncertainties and timelines featured throughout the evening. Presenters offered widely different cost estimates: fish‑passage and diversion construction figures were cited at $50 million–$100 million, seismic retrofit options at roughly $300 million, deconstruction estimates typically cited in the $500 million range and several speakers warned that aggregate regional replacement and mitigation work could approach $2 billion. Several speakers also said PG&E reports the project now produces little or no revenue (the facility was cited in testimony as delivering roughly 9.4 megawatts but not currently generating) and that PG&E’s economics prompted the surrender application.

Congressman Mike Thompson, in a recorded message, said the FERC surrender application and any decommissioning plan would start a multiyear federal review and insisted Lake County “must have a seat at the table.” “Decisions of this magnitude cannot be made without listening to the people who will be most affected,” Thompson said.

County officials described multiple parallel responses already underway: the Board of Supervisors’ staff drafted letters to federal and state agencies, county counsel and staff said the county had asked federal agencies to evaluate their ability to assume responsibility for the infrastructure, and several speakers said the Department of the Interior and the Army Corps of Engineers had been contacted as potential partners. Speakers also said the county is a party to the FERC process and urged residents to submit formal FERC comments.

Public comment reflected the meeting’s split: some longtime Lake Pillsbury residents urged county action to preserve the dam and lake; others, including tribal members and conservation advocates, emphasized water rights, cultural uses and long‑term habitat recovery. Several public commenters described logistical challenges in the basin, including limited cell service and rural roads, and asked how restoration, groundwater, mercury and sediment downstream would be managed if the dam were removed.

What’s next: PG&E’s anticipated 2025‑07‑29 surrender application to FERC and a multi‑year FERC review process were cited repeatedly as deadlines that will shape follow‑up action. County staff said they will continue to press federal and state agencies for options — including potential federal assumption of the facility — and urged residents to engage in the FERC process.

The town hall made clear that the Potter Valley project dispute remains unresolved: local officials and first responders warned of immediate local impacts if the lake is removed, while tribal and conservation advocates pressed for restoration of the Eel River and asserted tribal water rights and cultural claims. The FERC docket and interagency discussions will determine whether the next stage is detailed mitigation, transfer of operations, retrofit, or decommissioning plans subject to regulatory review.

Quotes used in this article were taken from speakers at the town hall and are attributed to those speakers in the body above.