
In the 1920s, Red Riverbed began extensive logging in the Lake Almanor basin. It would be just a matter time that logging activities might spark a fire. On July 27, 1926, a fire started at Butt Valley west of Lake Almanor,.
The fire started from sparks of a steam donkey engine which spread rapidly over the recently logged over lands toward the west shore of Lake Almanor. For a time the fire threatened the Lake Almanor Inn at Prattville and the various cottages adjacent to it, requiring the evacuation of seventy-five campers. The fire burned over 16,000 acres, and destroyed three abandoned logging camps and several miles of railroad ties. Red River estimated its loss at $23,000.
Tim