In 1899, the company, the Niagara River Hydraulic Tunnel Power & Sewer Company, was re-organized and became the Niagara Falls Power Company. Edward Dean Adams, a New York financier, became the new president of the new company. The Niagara Falls Power Company adopted Evershed’s plan, although by the time power was finally harnessed, the original scheme had been changed considerably.
The Niagara Falls area could not use all the power that would be generated, and instead of wasting the power the company wanted to transport the remaining portion to other cities. The only problem was that no method was developed in order to deliver electricity over long distances.
Most American built engines, in that time frame, had a maximum capacity of 100 horsepower, but the Niagara Falls Power Company planned to use 200,000 horsepower engine. This leap in technology required financial resources beyond what were available to the company.
With the financial support, the Cataract Construction Corporation (consisting of J.P. Morgan, John Astor, William Vanderbilt and Edward Dean Adams) built a shortened version of the power tunnel before deciding on a method of power distribution. They acquired a 1,500 acre tract of land above the Reservation State Park for industrial tenants.