May 21, 1921: Violence Mars Operations of Owens Valley Aqueduct. “On May 21, 1924, the first violence of the dispute erupted. Forty men dynamited the Lone Pine aqueduct spillway gate. No arrests were made. Eventually, the two sides were entirely stalemated.
The City believed the wholesale purchase of the district was unnecessary to meet its water needs. Instead, on October 14th, the City proposed a plan that would leave 30,000 acres in the Bishop area free of City purchases. The City also offered to help promote the construction of a state highway to the area, thereby creating a local tourist industry.
The Wattersons and the directors of the Owens Valley Irrigation District rejected the proposal, insisting on outright farm purchase and full compensation for all the townspeople.
On November 16, 1924 Mark Watterson led 60 to 100 people to occupy the Alabama Gates, closing the aqueduct by opening the emergency spillway. Renewed negotiation ended the occupation.
Finally, the conflict became completely centered on the issues of farm purchases and reparations to the townspeople. Attacks on the aqueduct began again in April 1926 and by July 1927 there had been 10 instances of dynamiting.
The controversy was at its height when suddenly valley resistance was undermined. The Wattersons closed the doors of all branches of the Inyo County Bank. The Wattersons were not only bankrupt, later they were tried and convicted of thirty-six counts of embezzlement.
In the face of the collapse of both resistance and the Owens Valley economy, the City sponsored a series of repair and maintenance programs for aqueduct facilities that stimulated local employment. The City of Los Angeles also continued to purchase private land holdings and their water rights to meet the increasing demands.”