Archaeological evidence found outside the park confirms that prehistoric Native Americans inhabited the Cottonwood River valley. A few sites were as much as 7,000 years old, though most were 2,000 years old or less. At the time of European contact in the mid-17th century the area was home to the
Dakota.
State park creation To help combat unemployment during the
Great Depression, federal funding was dedicated to park development throughout the United States. The Cottonwood River valley was selected as it was in a well-populated region with no other large recreational area or lakes. Moreover, the land was largely abandoned and seemingly in need of
flood control structures. A second workforce arrived in June 1935, establishing its own camp in the southwest corner of the park. These were less-skilled workers hired through the Civilian Conservation Corps (CCC). They built the dam and its earthen dikes, constructed a kitchen shelter, landscaped, planted trees, and blazed trails. WPA and CCC workers cleared trees out of the lakebed. For the first year the laborers were World War I veterans from the
Veterans Conservation Corps (VCC). In July 1936 they transferred to other Minnesota state parks and were replaced with the unemployed young men more typical of CCC projects. A principle of the rustic style was to harmonize with the local environment, generally by using local materials. In this case, however, architect Edward W. Barber chose to reflect local culture as well, honoring the strong German heritage of New Ulm. The park buildings evoke the
architecture of Germany with steeply pitched roofs,
dormers, chimneys,
casement windows with small
panes, and fine nonlinear stonework. The beachhouse is also one of the largest New Deal structures in the Minnesota state park system. About 160 German POWs arrived at Camp New Ulm in June 1944. Mostly members of the
Luftwaffe (the German Air Force), they ranged in age from 18 to 25. Twelve men from the U.S. Army served as their guards. After the harvest season, prisoners worked at brick and tile factories and a poultry processing plant. Ochs Brick in Springfield was one. ==Recreation==