Paoli

A meander of the Sugar River, providing an excellent waterpower opportunity, prompted Peter W. Matts to acquire acreage in Montrose Township in 1846. He erected a sawmill in 1847, soon followed by his home, a tavern and a general store. Matts platted Paoli in 1856, and named it for a town near his Pennsylvania birthplace.<br><br> In 1864, Francis and Bernard Minch purchased the sawmill and built a stone grist mill. By the mid 1870s, the community boasted a school, post office, two churches, a cheese factory, two hotels, a doctor and several tradesmen.<br><br> The Chicago, Madison and Northern Railroad bypassed Paoli in 1888, but the settlement prospered past the turn of the century; the proud possessor of a local band, an acclaimed baseball team and theatre group. The public ground and Fischer Hall were often used for holiday, social and political events.<br><br> As the mill era passed, the population declined. Recently, the community has shown new vitality; buildings have been restored, a new town hall acquired, and new businesses opened.