The town of Waterville began in 1883, when Stephen Boise took a squatter’s claim on the plateau above Orondo. Boise built a cabin and then dug a well where he struck an abundance of water.

In the summer of 1885, Albert T. Greene bought out Boise and along with Joseph M. Snow, started a settlement on Boise’s homestead near the present town of Waterville. It was then known as “Jumpers’ Flats.” The available water in the well Boise drilled was so great, the locals began to call the place Waterville. In 1886, Greene and Snow thought up a plan to capitalize on the water and start a town to take the county seat away from Okanogan. After Snow was finished surveying the new town, They announced their intention to steal the county seat.

In 1887, a vote was called to select the permanent county seat of Douglas County and as a publicity stunt to sway the vote, Greene and Snow hauled a barrel of water to Okanogan for a show to the voters. The final blow came when the Waterville trustees announced that if Waterville was selected as the seat of the county, they would wave all building fees for 2 years. That clinched it and Waterville became the county seat.

The enticement was brought up at the convention and it was said that the offer was a bribe to the people and in violation of Territorial Law. Nobody seemed to care as the water was just too important.

Waterville grew quickly and starting in 1890, stages and freighters began to run down Corbaley Canyon to the steamer dock in Orondo. The stages also hauled passengers bound for Spokane eastward to Coulee City that in 1889 became the terminus of the Central Washington Railroad.

In 1903, the Waterville Hotel opened and continues to serve travelers to this day. In 1908, State Road No. 7 was run through Waterville and in 1918 the new Sunset Highway rerouted the highway through town.