Sugar City
Pop. 1,242

Pioneers arrived in this area northeast of Rexburg on the Teton River as early as 1883, but the town’s history really began when several Salt Lake City, Utah businessmen formed the Sugar City Townsite Company in 1903. Traveling to the homesteaded region, these men purchased 320 acres from the homesteaders and began building a sugar beet factory and workers’ residences at the newly laid-out town. In 1904, the $1 million factory was up and running, and it took less than a year for it to become the largest sugar beet factory in the US. The industry continued to prosper, and by 1933, the Sugar City Townsite Company had a record year with production at 43 million pounds of sugar. Unfortunately, the Sugar Act limited farmers’ acreage and a dwindling labor supply forced the company to close its doors in 1942. Despite this set-back and a devastating 1976 flood from the Teton Dam, Sugar City has survived, and its post office has operated continuously since 1904.

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