Peru began at the river's edge.

It was the river that powered the sawmills and the grist mill; it was the river that facilitated the movement of supplies and products. In fact, Peru's first enterprise was a ferry boat which made its initial trips across the Missouri in early 1855.

Claim cabins had been erected as early as 1853 in the area that later became Peru, soon to be followed by others. A. M. Medley wrote, "My father, A. Medley and family settled on Honey Creek in what is now Peru precinct in April, 1855. He was a blacksmith by trade and soon opened a shop for accommodation of other settlers. A store and post office were started, and schoolhouse built in 1855."

Mt. Vernon town site was platted and a post office secured. Two years later, in 1857, a survey was made laying out Peru, and though there was spasmodic talk of uniting the two towns, Peru forged ahead and Mt. Vernon eventually disappeared.
D. C. Cole wrote, "The winter of 1856-57, known as the winter of the deep snow, saw a great deal of suffering. Times were hard, food scarce, settlers few and far between, no mills from which to get flour or stores to buy the other necessities of life, and but little money with which to buy; what marketing was done, was done in Missouri. All were poor, but endured the hardships that their children might be benefited thereby."

However, among those arriving to settle the new region, was Samuel Dailey who in 1857 brought machinery for a sawmill. He and Major Baker, Indian Agent at the Otoe Reservation, and Thomas Green, a daring pioneer businessman, built a sawmill by the river. A flour mill was added, but the machinery was barely saved when the river swallowed the mill structure, lumber and log yard. Tom Green then installed the saw machinery on the other side of the river, and went on in 1862 to erect a flour mill at Peru with lumber hauled across the ice. This mill, Green's flour mill, became a center of industry for the entire area, and contributed immeasurably to the development of the town.

The hills along the river were covered with thick stands of trees, and soon the sawmills were turning out the lumber so imperatively demanded by the new country, to build houses and barns, schools, churches and stores. Steamboats plying up and down the river needed constant supplies of wood for fuel. These boats brought grain to Peru's grist mill from other towns along the river, and farmers from miles around drove in with wagons loaded with wheat, all to be ground into flour at Green's mill.

Another early industry, important to Peru's history, was the brick-making business. Clay from a nearby hill proved suitable for brick making, and soon a brickyard with horse-powered mill, and a brick kiln were turning out high grade building material. This industry flourished for about forty years, and its products may still be seen in buildings in the area.

The coming of the railroad to Peru in 1875 marked the end of the era of steam boating. The bulk of freight was moved by the railroads, and boats came more and more infrequently. Eventually the river left the town, and was no longer a part of Peru's daily life. But the town shifted its emphasis to the college that had been established on her southern edge.

This college, born in 1865 through individual donations, held its first classes in an abandoned building in 1866 with thirty-six students. It first was a Normal school, later becoming a Teachers' College, and now is known as Peru State College. In 1966-67 the college with twenty fine buildings on its beautiful campus, the "Campus of a Thousand Oaks", celebrates its centennial year. Other publications in this connection recount details of its history. We quote briefly from one.

"The image of an institution sometimes is measured by its physical facilities and the fortunes of its athletic teams. Important as these may be, Peru State is primarily concerned with the quality of her product—the young people who will take their places in society in a myriad of capacities."

Undeniably the existence of this fine college has had tremendous impact in many ways, not only on the town of Peru, but on the entire county.

The town now has four churches, a grocery store, post office, bank (established in 1891), two restaurants, coin laundry and dry cleaning establishment, Kiwanis Club, Masonic Lodge, and O.E.S.

The steamboat whistle no longer echoes from the hills. The mills and warehouses, the brickyard, the landing docks are gone. But Peru has adapted to change, and faces the future with optimism. Ô