Samuel Thomas Hauser

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Samuel Thomas Hauser (January 10, 1833 – November 10, 1914) was an American businessman and politician who helped build Montana Territory. He became rich in silver mining and railroads, then lost everything in the Panic of 1893. He later rebuilt some wealth with hydroelectric plants, but that fortune also fell apart after his dam failed. Hauser served as the 7th Governor of Montana Territory from 1885 to 1887.

Early life and rise to wealth
Hauser was born in Falmouth, Kentucky. He started working on railroads as a young man and moved to Missouri, where he became a civil engineer. He moved to Montana during the gold rush era and helped start one of Virginia City’s first banks. Hauser invested heavily in silver mines, smelters, and railroads, which made him very rich. He also bought land and built other mining ventures, and he helped connect mining towns to markets with new rail lines.

Governor of Montana Territory
Hauser was a Democrat, but he worked to develop Montana’s economy and sometimes partnered with Republicans. President Grover Cleveland appointed him governor in 1885, and Hauser took office that year. As governor, he supported free silver and favored moving Indigenous people aside to open land for settlers. He resigned in 1886 to focus again on his business interests, ending his term in early 1887.

Banking troubles and legal trouble
In 1866 Hauser started the First National Bank of Helena. The bank took big risks and often ignored banking rules, lending to insiders and using shaky, unsecured loans. As Montana’s silver industry faltered in the 1890s, the bank ran into serious trouble. A bank run in 1893 forced it to close temporarily, then reopen in 1894. The bank’s finances remained weak, and by 1896 and 1897, investigators and a federal grand jury accused Hauser and others of misusing bank funds and misleading regulators. An independent examiner later found serious misconduct, including loans to family members and other improper maneuvers. Although Hauser was charged and the case drew national attention, he was not ultimately convicted.

Hydroelectric ventures and decline
After his banking collapse, Hauser turned to hydroelectric power on the Missouri River. He founded the Helena Water and Electric Company and helped launch Canyon Ferry Dam (built 1896–1898). He also formed the Missouri River Power Company and built a long power line to Butte. Hauser arranged deals with Amalgamated Copper and their leaders to sell power from his dams. In 1907 he completed Hauser Dam, a steel dam east of Helena, but it broke in 1908, causing damage and leading to lawsuits and payouts. Hauser rebuilt the dam, but financial problems continued. Amalgamated later built its own Rainbow Dam, and Hauser’s partners pulled back, leaving him with heavy debts. By the end of the decade, Hauser’s business ventures were largely in the hands of others, and he never regained his former wealth.

Legacy
Hauser built works that helped Montana grow: mines, smelters, rails, and early hydroelectric power that connected communities. He left a lasting mark on Helena, including the Hauser Mansion, which still stands. He died in Helena in 1914 and was buried at Forestvale Cemetery. Hauser Dam remains a namesake feature in the region.