The Yuba Water Agency has awarded a new $13.9 million contract to Hat Creek Construction and Materials to stabilize the area surrounding its New Colgate Powerhouse, addressing significant environmental damage caused by a major failure earlier this year. Construction is slated to begin in September and will continue as weather permits.

Hat Creek Construction and Materials, a Burney-based company specializing in the production and use of rock, asphalt, concrete, and raw materials, will undertake the project. According to Yuba Water Senior Engineer Matt Murray, this initiative represents an important step in stabilizing the soil and slopes around the powerhouse’s penstock, aiming to protect both facilities and the Yuba River from additional sediment and runoff before the rainy season arrives. Perry Thompson, Hat Creek’s CEO, noted his company is already staging heavy equipment, including haul trucks capable of carrying 30 to 40 tons, at the site.

The damage stems from a February 13 rupture of the $77 million powerhouse’s penstock, a mile-long, 14-foot pipe that carries water from the New Bullards Bar Reservoir to the facility. This incident displaced more than 60,000 cubic yards of sediment and debris, causing extensive environmental damage along the Yuba River. Yuba Water Agency Communications Manager DeDe Cordell reported that approximately 400 acre-feet of water, equivalent to 130,340,571 gallons, washed down the hillside during the immediate crisis, carrying earth and debris. Cordell added that much of this material collected at the powerhouse, both on land and in the water.

Hat Creek’s plan involves bracing slopes and hills with stabilization materials, installing a rock buttress on the penstock’s east side, and constructing detention basins to manage rainfall runoff. Perry Thompson described the endeavor as a "landslide stabilization project." He explained that his company intends to repurpose rock found adjacent to the site, ensuring that the materials used do not have erosive components. Thompson conveyed his company's priority to rebuild safely, quickly, and efficiently.

The Yuba Water Agency stressed that it is covering the ongoing costs of these repairs through its financial reserves. The agency does not receive local tax revenue and does not have residential ratepayers. Yuba Water manages a section of the river in the Sierra foothills, owning and operating four hydroelectric powerhouses on the Yuba River: the New Colgate Powerhouse, Narrows 1 and 2 Powerhouses, and the New Bullards Bar fish release powerhouse. These facilities, according to Yuba Water Agency records, provide carbon-free energy to support resource needs across the state. Work is expected to commence later this month and proceed as weather conditions allow.