Rouses Point was first settled around 1783 by
Canadian and
Nova Scotian refugees who were granted land in the
Canadian and Nova Scotia Refugee Tract in reward for their services during the
American Revolution.
Steamboats were a booming business on this part of the lake; the second commercial steamboat in the world was launched on Lake Champlain, with Rouses Point as its first port-of-call. Steamboat traffic continued on the lake for the next 100 years until displaced by the
railroad. Edward Thurber built the first frame house in 1818. President
James Monroe stayed there. After an unnamed first fort (sometimes called "Fort Blunder") was mistakenly built 1.2 km north of Island Point in Canada,
Fort Montgomery was built here between 1844 and 1871 to guard Lake Champlain against possible invasion from British Canada. The fort was never completed and was briefly garrisoned by the U.S. Army during the
American Civil War. In 1816, the first stone house built from "Fort Blunder" was a house of worship for Baptists, Methodists, and Presbyterians. It is still standing as a family home. By 1860, Rouses Point had a variety of shops and tradespeople such as loggers, bakers, tailors, carpenters, blacksmiths, prostitutes, and hatters. Its location on the Canada–U.S. border made it an important stop on the
Underground Railroad, through which many African American slaves escaped to freedom. Rouses Point became an incorporated village in 1877, and grew to a population of over 2,000 by 1892. The
Delaware and Hudson Railway opened a station, connecting the village to
New York City and
Montreal. During
Prohibition (1923–33), the village's proximity to the Canada–U.S. border made it popular with those who wanted to smuggle illegal alcohol across the border.
Rum-running became common, and three
speakeasies, one called "The Bucket of Blood", operated nightly.
Organized crime visited the area, bringing with it the usual vices. During
World War II, the community was the scene of substantial shipments of war materials to points north by water and rail.
Wyeth, a pharmaceutical company, formerly employed over 1,000 people. ==Geography==