Because gold had been found at the headwaters of the Blue River at Breckenridge, hopes were high among prospectors who worked the downstream tributaries in Grand County.  However, this lower section of the Blue contained no mineral wealth. 

The Denver and Rio Grand Railroad planned to run a route through the valley and began constructing grades, but the tracks were never laid because Moffatt's railroad crossed the county first.

An enterprising Canadian, 25 year old Willis Charles Call, had been employed as a cook for the grading company in 1881.  When the railroad abandoned the project, Call became a registrar of voters, and in 1886, the county assessor.  By 1890, he had a choice ranch near Kremmling.  His Austrian wife, Mary Rohrocher, was a very popular hostess.  It is believed that they owned the first automobile in the county.

The conflicts between the white settles and Ute Indians came to a climax in 1878 when the Ute leader Tabernash was killed by a posse and the very next day, Abraham Elliott a homesteader on the Blue, was killed in retaliation.  The remains of his ranch can be seen on Highway 9 at mile marker 135. 

Across the river was the ranch of Henry Yust, who settled there in 1885.  Another early ranching family was that of Thomas Pharo, An Englishman from Franham in Surry, near London.  Settling there in 1880, he developed a major cattle and horse ranch. 

The Blue River area was connected with a route west in 1913, when the co-called Trough Road was constructed, beside the Gore Canyon to State Bridge.

Granby was settled in 1904 and incorporated the next year. The town was created along the railroad line being built by Denver, Northwestern & Pacific, and was a connection with the stage route to Grand Lake. The Granby site was also chosen because of the dry ground and and good view of the surrounding mountains.

The town was named in appreciation of the services of Denver attorney Granby Hillyer, who worked to lay out the town site. Its central location makes it a natural trade center for east Grand County. Specialty truck farming, principally lettuce, became a major crop for Granby. At the peak of the market, the Waldorf Astoria hotel in New York City proudly advertised Granby Head Lettuce on its menus. Later, after WW II, Granby was called the “Dude Ranch Capital of the World.” Today the town offers a mix of recreational amenities and residential charm.

The principal population centers in the Fraser River Valley are Winter Park, Fraser and Tabernash.  When the early stage coaches came over Berthoud pass into the Fraser Valley, the most popular stop was at the Cozens Ranch, which now houses a historical museum in Winter Park. The valley is now bisected by U.S. Highway 40, which was designated the "Victory Highway" in 1931.  The new route of the highway leads through the main streets in both Fraser and Tabernash and the backdoors of some business became front doors because of the new highway alignment.   

Tabernash was the name given to a railroad siding, named for the Ute leader who was killed during a confrontation with local ranchers.  The town became a key station on the railroad line, and included a roundhouse, and a supply of helper engines for the steep climb over Rollins Pass.  When the Moffatt Tunnel was opened in 1928, the railroad no longer needed service there and the town lost its' main economic support.

George Easton founded the town site of Fraser in 1905.  The rest of the country became familiar with Fraser when the winter temperatures were often the lowest recorded in the U.S. and Fraser was know by the nickname "Icebox of the Nation".   Lumbering was one of the prime industries in the region until World War II.  During the war, the military built a Prisoner of War camp at Fraser to help lumber for the mills in the area.

The current area of Winter Park has had many names over the years.  First it was called simply "Old Town" or "Vasquez", named after the fur trader Louis Vasquez.  "Woodspur" or "Woodstock" referred to Billy Wood's lumber mill in the area, which furnished ties for the railroad while it was being built over Rollins Pass. During the construction of the Moffatt Tunnel, the name "West Portal" came into usage.  Rail workers also called the community "Little Chicago" as it was as it was a favorite gambling, saloon, and brothel site.  As tourists began to arrive it was known as "Idlewild" and also "Hideaway Park".  Finally, the name "Winter Park" was settled upon to correspond with the adjacent ski area of the same name.

The area population declined from 1232 people in the 1920's to only 373 people by 1930.  The Great Depression ended the construction boom and the price of beef became too low for ranches to turn a profit.  However, since that time, the area has thrived, mostly based on a tourism economy.  The valley's main source of income is now recreation and second home construction. 

As fast as settlers arrived in the county, conflicts arose over water use.  George T. Bell, an early rancher on the Blue River in the 1890's, had water rights coming out of Deep Creek, Spring Creek, and Soda and Iron Springs.  Daughter Maud Bell had married James Mugrage and when her father died in 1925, she and James stayed on the ranch of about 800 acres, to operate it.  She reported years later that when Noonen, a large rancher also on the Blue, built his ditch, he took much of the Bell water and used it for his own benefit.  Many years later, Maud discovered that although her father was long dead, those early water rights still belonged to the Bells, not the Noonens. 

Another family, that of George Henricks, settled far up the Troublesome Valley, about 1900, in what was truly an inaccessible spot.  What possessed him to pick such a remote area for his ranch?  Because when he and his wife Aurille lived in Nebraska and tried to make a living on their farm, farmers upstream stole their water to the point that they couldn't keep their crops alive.  Aurille actually had to use the same batch of water for two or three purposes!  As water fights escalated, George vowed to find a place where nobody could be above him and his water source. Rancher Will Call took him far up the Troublesome valley to a large meadow, reachable only by foot or horseback.  Life wasn't easy, for George and Aurille had to do everything from scratch, and they lived in a cabin with a dirt floor for many years.  But nobody took his water! 

Even more recently there was a case on Crooked Creek, where a ranching family that owned quite a good spring and used it to water their hay, discovered that a new neighbor was diverting the water from the spring over onto his own land, to water his own hay!  The rancher protested and diverted the water back where it belonged.  The newcomer turned around and stole it again.  This situation went on for many years without good satisfaction.

The Kirtz Ditch development on the Troublesome began about 1890.  In 1911, an Elias T. Copelin homesteaded land, later adjacent to the Alexander and George Murray Baker ranches.  One day Copelin and Murray Baker, one of the brothers, got into an argument over water rights in the Kirtz Ditch, each accusing the other of stealing his water.  Murray, who was a little guy with a fierce temper, picked up a shovel and gave Copelin a mighty whack with it.  Copelin fell to the ground but after a bit picked himself up, climbed on his horse, and headed toward his home.  However, the blow must have damaged his brain because he was found the next day, dead on the ground at his own gate

High on Meadow Creek, in the early 1900's, lumber activity began in the area later known as Sawmill Meadow.  About 1910, the Western Land and Flume Co. put in a little dam near what is now the trailhead to Columbine Lake.  The resulting lake, today filled with water lilies, was used as a holding pond for logs that would be moved by flume to the main mill downstream in Tabernash.  This lumber company sold to Western Box & Lumber Company in 1912.  Business flourished.  There was even a short railroad going into the woods, with the tracks made of logs about 6" to 8" in diameter.  Prospects looked good.  However, from the beginning water rights were an issue. Some people say it was Nathan Hurd who broke the company.  Western Box had lost some of its water to the Strawberry Ditch (going to Granby) in 1914.  More trouble was looming.  Hurd wanted to keep the water from the little reservoir for the ranchers and lettuce farmers below.  The timber folks wanted to use the water during the summer months to keep the flume going.  Nobody was willing to give up anything, so in 1915, the big mill closed.   Still, efforts continued.

Then in 1919, the planing mill at Tabernash burned.  In the early twenties, further contention led to the withholding of more water from the lumber companies who wanted permission to ditch Trail Creek water across into Meadow Creek, replacing water taken higher up for the flume and Strawberry Ditch.  This would have been quite easy because, about seven miles out of Tabernash is a nearly flat saddle that exists between the two creeks.   Nevertheless the Hurds wouldn't hear of it.

Then one Henry Jarvis showed up on the scene.  He was known to all the timber men.  In 1923, Jarvis, using a box of TNT, "blew the dam" of the irrigation reservoir at Western Box.  People suspected that he did it for T.S. Huston, one of the big lumber powers of the area.  The feeling was that "if the lumbermen couldn't have the water, neither could the ranchers and the Granby farmers."  In any case, that basically was the end of Western Box Company.